Topic of focus – Technology in the Workplace
Growth in the third quarter of 2018 continued once again in the spa industry. Less than one in five spa respondents (19 percent) reported a decrease in gross revenue change for the third quarter of 2018 compared to the third quarter of 2017. Similarly, only nine percent of resource partner respondents reported a decrease when analyzing the same two quarters.
When the most recent Snapshot Survey focused on quarterly performance was administered in April of 2020, the coronavirus pandemic had forced 99 percent of spas to close. Most spas have now navigated the reopening process (90 percent of this month’s survey respondents reported being open and receiving guests), and this survey continues the important process of documenting spa performance so that the pandemic’s effects can be accounted for and theindustry’s steps forward can be measured accurately.
The October 2022 ISPA snapshot survey asked respondents to share details about their spa or company’s third quarter performance (July 1 through September 30, 2022) compared to the third quarter of 2021. The results reported in this quarterly performance survey further illustrate the spa industry’s continued recovery from the pandemic.
Compared to the same period in 2021, nearly 80 percent of the spas surveyed reported an increase in third quarter revenue. Complementarily, 72 percent of spa respondents reported an increase in profits. Almost one-third (27 percent) saw profits increases exceeding 20 percent compared to the prior third quarter profits. Continuing the 2022 trends, spa visits were up for 62 percent of respondents.
Topic of Focus – What ISPA Members are Exploring
The ISPA community is continuously seeking new concepts, products and business practices that will keep their offerings fresh and relevant.
Topic of focus – Marketing Monthly Snapshot Surveys provide ISPA members with a valuable look into the state of the spa industry, spa industry trends and help to identify the needs of spa professionals. Snapshot Surveys are conducted on the third Friday of each month, with full results provided only to respondents two weeks from the release date of the survey. Knowledge is a valuable tool and these quick surveys provide a wealth of information shared by ISPA’s members. The September Snapshot Survey requested information from spa members relating to marketing.
Topic of focus – Spa Treatment Trends
The majority of spa respondents (58 percent) offer more than 10, but less than 40 treatments on their spa menu. Of these treatments, the most popular treatment times are 50 minutes (51 percent) and 60 minutes (37 percent) long. For Day Spa respondents, the most popular treatment time was 60-minutes (60 percent), while Resort/Hotel Spa respondents had slightly shorter times at 50 minutes (62 percent).
Topic of focus – Technology in the Workplace
When asked which advertising methods they used, the majority of spa respondents identified email (83 percent) and social media (92 percent) as methods they used to market their services. Email was slightly more common among day spa respondents than hotel/resort spa respondents, at 93 percent and 78 percent respectively. A majority of hotel/resort spa respondents also identified magazine advertising as a method they used (51 percent). Similarly, resource partner respondents identified social media (95 percent), email (85 percent) and magazine (51 percent) as their top advertising methods.
As spas continue to cope with the effects of the coronavirus pandemic, retail sales have become a more central part of the conversation about how they can diversify and supplement other revenue streams. ISPA’s September Snapshot Survey asked respondents to share information about retail trends in their spas.
The spa industry entered 2022 still facing challenges from the effects of the pandemic. Though spa operating hours were no longer hugely affected by the pandemic, other issues had emerged, such as staffing difficulties and price inflation. A PwC-prepared report on the 2023 ISPA U.S. Spa Industry Study focuses on how the industry met the challenge of sustaining the momentum in the recovery from the pandemic. In the following pages, we will review some of the main findings in the 2023 report and consider its utility in predicting and informing decisions about growth of individual spa businesses and the spa industry as a whole. Note that, while the Study and related report focus on the spa industry in the U.S., many of its themes and findings are applicable to the global spa community.
“PHYSICIAN, HEAL THYSELF.” It is not a new idea: Writers in biblical times already referred to the adage as an age-old proverb, and versions of it are found in Classical texts from the 6th century B.C.E. and earlier.
The words sometimes have been used to taunt and doubt the individuals providing treatments—but at its core, the message is clear: To be able to nurture others, a caregiver must first tend to his or her own needs.
The concept may be ancient, but it has never been more applicable than in 2023. Only now, it may be quantifiable.
A pioneering study of leaders across health and well-being industries shows prioritizing leader well-being is critical for increasing industry and social effectiveness. In research findings reported this spring, Wisdom Works Group finds a unique opportunity for these leaders to enhance well-being for themselves and the people and organizations they serve.