This September we celebrated the 26th annual ISPA Conference & Expo. There were many exciting debuts at Conference this year, including the introduction of our new ISPA Chairman Todd Shaw, and, of course, new ISPA research!
At Conference we released the 2016 U.S. Spa Industry Study as well as the Consumer Snapshot Initiative Volume VII: Millennial Perceptions and Preferences to our members. The 2016 U.S. Spa Industry Study is the 17th consecutive year of collecting data on the industry.
2016 U.S. Spa Industry Study
Some highlights of the most recent Industry Study include:
• Industry revenue showing 5% growth from $15.5 billion at 2014 year end to $16.3 billion at 2015 year end.
• New spa openings estimated to have exceeded spa closures by a margin of 360 in 2015.
• Over three-quarters of all spas reported a profit percentage in excess of 10% for 2015.
• Nearly 9 in 10 spas said they were ‘confident’ (36%) or ‘very confident’ (53%) of an increase in revenues over the next six months.
• More than 80% of spas said they would be adding or creating new treatment offerings this year.
Want to hear even more of the research highlights? Check out this video of PwC’s Director of Global Research Colin McIlhenney at the 2016 ISPA Conference & Expo.
Consumer Snapshot Volume VII
This year’s Consumer Snapshot Survey focused on the millennial spa-goer, a group that continues to enter the workforce in larger numbers and become heavily influential as consumers. The term millennial often has varying definitions, but the millennial generation is determined in this study to be those born between 1980 and 1997.
Some of the larger takeaways from this research include the following:
• For the first time in an ISPA Consumer Snapshot Survey, spa-goers outnumbered non-spa-goers for a respective audience with 56% of millennials having visited a spa in the last 12 months.
• Women account for 54% of millennial spa-goers compared to 46% who are men.
• The majority of millennial spa-goers are over 25 years of age (64%) with just over one-third between the ages of 17 and 25 years (35%).
• Millennial spa-goers are more likely to be employed full-time than non-spa-goers at 64% compared to 52%, and are more likely to have a university degree at 63% compared to 48% of non-spa-goers.
• The biggest reason millennial spa-goers visit the spa is to reduce or relieve stress with 32% of respondents selecting this choice.
If you’re an ISPA member, you can download the full 2016 U.S. Spa Industry Study and the Consumer Snapshot Volume VII by logging in to the ISPA website and visiting the research page.