According to Jan Freitag, senior VP at Smith Travel Research (STR), we can expect to see a pick-up in the luxury hospitality sector, including hotel spas, in a matter of months.
STR has been tracking the state of US hotels’ revenue per available room (RevPAR) alongside the proportion of the population that’s been vaccinated. “It’s too early to make statements about more vaccinations and more people travelling because those who are already vaccinated – like the elderly or high-risk population – are less likely to be travelling,” Freitag tells Spa Business. “However, there will be a relationship here very soon, especially as you get into the second half of the year, because vaccinations will have rolled out and this will give people the confidence to travel.”
Freitag believes vaccinations will be crucial for spas’ recovery considering they’re high-contact environments. He also says that government approaches to lockdown and virus re-emergence will matter immensely to global hospitality recovery, as regions with stricter controls and more rapid responses have seen a much more promising return to business – for example, in the Asia Pacific region.
He says: “People have used the term ‘K-shaped recovery’ for the US, meaning people at the upper end of the consumer market have saved money over the last year, versus the downside of the K – those who’ve lost their jobs, are less financially stable and will be unlikely to travel.”
The recovery begins Freitag believes the upper end of the market will do well towards the end of Q2 and into Q3 2021. “Plus, once corporate demand returns in Q4 and into 2022, full-service hotels that traditionally have offered spas should see very healthy demand,” he adds.
Some enthusiastic onlookers have gone as far as saying we’re on the cusp of the second ‘roaring 20s’, with hopes the economy will boom in the wake of the pandemic, as consumers splurge money they’ve saved during lockdowns.
STR reported that as of 20 February 2021 US hotel occupancy had reached 48 per cent and was on an upward trajectory, compared to its lowest point in early April 2020 where occupancy hit 22 per cent (see Graph).
Freitag anticipates interest in hotel spas could be on the up because of the enhanced global focus on wellbeing. “It’s been a rough time and we know self-care needs to be top of the agenda,” he says, “this will provide a prime opportunity and drive demand for all spas, because they epitomise what self-care stands for.”
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2021 issue 1
Editor's letter: Healing the world
With the impact of COVID-19 affecting millions of people globally, spas have a special role to play in the recovery movement
Spa Programmes: On the menu
Healing heartache retreats at Chablé Mexico and Czech spas using mineral water to treat long COVID feature in our latest programming highlights
Programming: Kevin Kelly
Four Seasons’ Sensei retreat in Hawaii taps into wearable tech and biometric data
Programming: Jeremy McCarthy
Mandarin Oriental rolls out it Inner Strength Outer Strength mental wellness course to guests
Interview: Emlyn Brown
Accor’s global vice-president of wellbeing talks to Katie Barnes about business strategies following COVID
Everyone’s talking about: Local markets
How are spas adapting their business model to attract locals? And what happens when international tourists return? Spa Business magazine reports
Trends: Spa Foresight™ 20/21
Touch hunger, lung health, resilience and COVID cool spots all feature in future predictions from the Spa Business team
Sponsored: G.M. COLLIN: New partnerships
Skincare brand GM Collin is
re-energising its sales network and looking
for new distributors from across the globe
to drive its business network
Insight: Hindsight 2020
Mia Kyricos looks at the harsh lessons that spas can learn from the last year
Analysis: On your marks
Analyst Jan Freitag suggests a timescale for global hotel recovery and hotel spas
Research: Eyes on Ireland
An Irish Spa Association snapshot survey shows the impact of COVID on spas across country
Promotion: Artofcryo.com: Chill factor
Artofcryo.com provides evidence-based whole body cryotherapy solutions,
offering effective solutions for guests and an attractive ROI for investors
Fitness: Harley Pasternak
The celebrity trainer and nutritionist shares his vision of fitness and health in the age of coronavirus
Promotion: Iyashi Dôme: Optimal solution
Iyashi Dôme Japanese saunas offer a versatile treatment solution for spas searching for quality touchless treatments backed by science and Japanese technology
Finishing touch: Watch out
UK researchers launch a new study to explore how digital nature experiences can be good for us
According to Jan Freitag, senior VP at Smith Travel Research (STR), we can expect to see a pick-up in the luxury hospitality sector, including hotel spas, in a matter of months.
STR has been tracking the state of US hotels’ revenue per available room (RevPAR) alongside the proportion of the population that’s been vaccinated. “It’s too early to make statements about more vaccinations and more people travelling because those who are already vaccinated – like the elderly or high-risk population – are less likely to be travelling,” Freitag tells Spa Business. “However, there will be a relationship here very soon, especially as you get into the second half of the year, because vaccinations will have rolled out and this will give people the confidence to travel.”
Freitag believes vaccinations will be crucial for spas’ recovery considering they’re high-contact environments. He also says that government approaches to lockdown and virus re-emergence will matter immensely to global hospitality recovery, as regions with stricter controls and more rapid responses have seen a much more promising return to business – for example, in the Asia Pacific region.
He says: “People have used the term ‘K-shaped recovery’ for the US, meaning people at the upper end of the consumer market have saved money over the last year, versus the downside of the K – those who’ve lost their jobs, are less financially stable and will be unlikely to travel.”
The recovery begins Freitag believes the upper end of the market will do well towards the end of Q2 and into Q3 2021. “Plus, once corporate demand returns in Q4 and into 2022, full-service hotels that traditionally have offered spas should see very healthy demand,” he adds.
Some enthusiastic onlookers have gone as far as saying we’re on the cusp of the second ‘roaring 20s’, with hopes the economy will boom in the wake of the pandemic, as consumers splurge money they’ve saved during lockdowns.
STR reported that as of 20 February 2021 US hotel occupancy had reached 48 per cent and was on an upward trajectory, compared to its lowest point in early April 2020 where occupancy hit 22 per cent (see Graph).
Freitag anticipates interest in hotel spas could be on the up because of the enhanced global focus on wellbeing. “It’s been a rough time and we know self-care needs to be top of the agenda,” he says, “this will provide a prime opportunity and drive demand for all spas, because they epitomise what self-care stands for.”
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2021 issue 1
Editor's letter: Healing the world
With the impact of COVID-19 affecting millions of people globally, spas have a special role to play in the recovery movement
Spa Programmes: On the menu
Healing heartache retreats at Chablé Mexico and Czech spas using mineral water to treat long COVID feature in our latest programming highlights
Programming: Kevin Kelly
Four Seasons’ Sensei retreat in Hawaii taps into wearable tech and biometric data
Programming: Jeremy McCarthy
Mandarin Oriental rolls out it Inner Strength Outer Strength mental wellness course to guests
Interview: Emlyn Brown
Accor’s global vice-president of wellbeing talks to Katie Barnes about business strategies following COVID
Everyone’s talking about: Local markets
How are spas adapting their business model to attract locals? And what happens when international tourists return? Spa Business magazine reports
Trends: Spa Foresight™ 20/21
Touch hunger, lung health, resilience and COVID cool spots all feature in future predictions from the Spa Business team
Sponsored: G.M. COLLIN: New partnerships
Skincare brand GM Collin is
re-energising its sales network and looking
for new distributors from across the globe
to drive its business network
Insight: Hindsight 2020
Mia Kyricos looks at the harsh lessons that spas can learn from the last year
Analysis: On your marks
Analyst Jan Freitag suggests a timescale for global hotel recovery and hotel spas
Research: Eyes on Ireland
An Irish Spa Association snapshot survey shows the impact of COVID on spas across country
Promotion: Artofcryo.com: Chill factor
Artofcryo.com provides evidence-based whole body cryotherapy solutions,
offering effective solutions for guests and an attractive ROI for investors
Fitness: Harley Pasternak
The celebrity trainer and nutritionist shares his vision of fitness and health in the age of coronavirus
Promotion: Iyashi Dôme: Optimal solution
Iyashi Dôme Japanese saunas offer a versatile treatment solution for spas searching for quality touchless treatments backed by science and Japanese technology
Finishing touch: Watch out
UK researchers launch a new study to explore how digital nature experiences can be good for us
Abu Dhabi-based investment firm Mubadala Capital has made a binding, fully financed
€1 billion
offer to acquire Pierre and Vacances SA, the European holiday resort operator behind the
continental European Center Parcs business.
Expo 2030 Riyadh is being planned as a permanent visitor destination, with organisers
confirming the six-million-square-metre site will become a Global Village after the event closes.
The owner of one of Australia's best-known waterparks has acquired a major competitor,
creating a new attractions business spanning two of the country's largest visitor destinations.
The Toverland theme park in the Netherlands has announced a €98m expansion programme
that will add a resort, new attractions and staff facilities as it pursues plans to become a multi-
day destination.
Hotel de France, located on the British Isle of Jersey, has created a wellness retreat package
that includes a hot yoga session that will take place in Jersey Zoo’s butterfly sanctuary.
A new immersive attraction designed to transport visitors into the final hours of ancient Pompeii
is preparing to open near the world-famous archaeological site in southern Italy.
Experience design company, BRC Imagination Arts, has completed a transition that sees founder
Bob Rogers pass ownership of the business to four long-serving senior executives, while
remaining actively involved with the company.
Movie Park Germany has opened a new Paramount Pictures-themed attraction as part of its 30th
anniversary celebrations, using immersive storytelling and adaptive reuse to reinforce the park’s
longstanding “Hollywood in Germany” positioning.
Therme Manchester’s 28-acre development, which will include interconnected glass pavilions
that measure 65,000sq m, will be the largest bathing and wellbeing attraction in the world once
complete, according to prof David Russell, CEO of Therme UK.
Efteling has opened Hooghmoed, a new family drop tower designed to broaden the appeal of its
recently launched Sirene Island themed area and introduce younger visitors to thrill attractions.
+ More news
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