Research just out gives some indication of COVID-19’s impact on the spa industry in the US. But there’s a lack of data to show what’s happening within our sector globally
By Katie Barnes | Published in Spa Business 2021 issue 2
ISPA’s 2021 study looks at spa revenue, visits, workforce and locations / wavebreakmedia/shutterstock
The International Spa Association recently released a sneak peek of its ‘Big Five’ statistics ahead of the publication of its full 2021 US Spa Industry Study findings next month (see p38).
Conducted by PricewaterhouseCoopers (PwC), the preliminary findings give the clearest picture yet of how COVID-19 has affected businesses in the US spa sector.
Some of the statistics confirm what many expected. There was a 36.4 per cent decrease in overall spa revenues, from US$19.1bn at the end of 2019 to US$12.1bn at the end of 2020. At the same time, the number of spa visits dropped by 35.1 per cent from 192 million in 2019 to 124 million at the end of last year.
There were some surprises too. The number of spa locations only fell by 3.9 per cent, meaning by the end of 2020, there were still 21,560 spas in the US, including those temporarily closed due to the pandemic. “Many people thought these numbers would fall of the cliff,” says PwC’s global research lead, Colin McIlheney, adding that it’s “very encouraging” to see that so many businesses are still out there.
Another key finding was the marked difference between types of facilities, with day spas weathering the storm far better than resort and hotel spas. Average revenue fell by 46 per cent for resort/hotel spas compared to only 31 per cent for day spas. One in two resort/hotel spas reported a greater than 25 per cent decrease in staff, compared to one in five day spas.
These figures are valuable as they give operators a chance to take stock of how they measure up and an idea of how to adapt their businesses in the future.
However, the publication of the report highlights the lack of available industry numbers on a global scale. How do these figures compare in terms of the impact COVID-19 has had on spa businesses in Asia, for example, where anecdotal evidence suggests businesses are bouncing back quicker than in other world regions? Where’s the spa benchmarking data from industry associations and organisations in other international markets?
We want industry bodies worldwide to step up and gather and publish their numbers, so decision-makers can fully understand the impact of the pandemic on the global sector and plot successful ways forward.
Katie Barnes, editor @SpaBusinessKB
Katie Barnes is the editor of Spa Business magazine
| [email protected]
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2021 issue 2
Spa people: Adrian Zecha
Adrian Zecha talks about his latest brands and why he's not planning retirement anytime soon
Spa people: Michala Chatel
Ultima Collection's managing partner explains why and how it's adding wellness options to exclusively rented villas and properties
Spa people: Stephanie Stahl
The Ace of Air co-founder tackles sustainability head on with a 'buy the product rent the packaging' scheme
Menu engineering: At your service
Art and sauna bathing collide in a Japanese exhibition; Banyan Tree rolls out its Wellbeing Sanctuary concept globally
Top team: Capella
Neena Dhillon talks to the owning company and senior executives from this burgeoning Asian hospitality brand with a passion for wellness
Ask an Expert: Treating Long COVID
One in 20 people who've had coronavirus are still battling its side effects for three months or more. How can spas help?
Promotion: Art of Cryo: Cool night's sleep
High-performance cryo chamber specialist Art of Cryo joins forces with leading bed manufacturer Samina to launch cryo centres for sleep health
Interview: Stelian Iacob
Therme Group's COO tells Katie Barnes how it's making the traditional thermal facility model more relevant to today's consumers
First person: Yasuragi
Spas in Sweden stayed open in the pandemic, but does the nation still have an appetite for wellness? Andrew Gibson investigates at this Japanese concept spa hotel near Stockholm
Interview: Tammy Pahel
The VP of spa at Carillon Miami candidly shares some of the challenges of the past year with Lisa Starr and explains why she's investing in touchless innovations
Spa survey: Wellness time
A new consumer survey shows how people's attitudes towards wellness and spas have changed. Mindbody's Katherine Wernet
Focus on: IV nutrition therapy
Is IV nutrition therapy as credible as some spas claim? Lisa Starr investigates this increasingly popular treatment
Research just out gives some indication of COVID-19’s impact on the spa industry in the US. But there’s a lack of data to show what’s happening within our sector globally
By Katie Barnes | Published in Spa Business 2021 issue 2
ISPA’s 2021 study looks at spa revenue, visits, workforce and locations / wavebreakmedia/shutterstock
The International Spa Association recently released a sneak peek of its ‘Big Five’ statistics ahead of the publication of its full 2021 US Spa Industry Study findings next month (see p38).
Conducted by PricewaterhouseCoopers (PwC), the preliminary findings give the clearest picture yet of how COVID-19 has affected businesses in the US spa sector.
Some of the statistics confirm what many expected. There was a 36.4 per cent decrease in overall spa revenues, from US$19.1bn at the end of 2019 to US$12.1bn at the end of 2020. At the same time, the number of spa visits dropped by 35.1 per cent from 192 million in 2019 to 124 million at the end of last year.
There were some surprises too. The number of spa locations only fell by 3.9 per cent, meaning by the end of 2020, there were still 21,560 spas in the US, including those temporarily closed due to the pandemic. “Many people thought these numbers would fall of the cliff,” says PwC’s global research lead, Colin McIlheney, adding that it’s “very encouraging” to see that so many businesses are still out there.
Another key finding was the marked difference between types of facilities, with day spas weathering the storm far better than resort and hotel spas. Average revenue fell by 46 per cent for resort/hotel spas compared to only 31 per cent for day spas. One in two resort/hotel spas reported a greater than 25 per cent decrease in staff, compared to one in five day spas.
These figures are valuable as they give operators a chance to take stock of how they measure up and an idea of how to adapt their businesses in the future.
However, the publication of the report highlights the lack of available industry numbers on a global scale. How do these figures compare in terms of the impact COVID-19 has had on spa businesses in Asia, for example, where anecdotal evidence suggests businesses are bouncing back quicker than in other world regions? Where’s the spa benchmarking data from industry associations and organisations in other international markets?
We want industry bodies worldwide to step up and gather and publish their numbers, so decision-makers can fully understand the impact of the pandemic on the global sector and plot successful ways forward.
Katie Barnes, editor @SpaBusinessKB
Katie Barnes is the editor of Spa Business magazine
| [email protected]
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2021 issue 2
Spa people: Adrian Zecha
Adrian Zecha talks about his latest brands and why he's not planning retirement anytime soon
Spa people: Michala Chatel
Ultima Collection's managing partner explains why and how it's adding wellness options to exclusively rented villas and properties
Spa people: Stephanie Stahl
The Ace of Air co-founder tackles sustainability head on with a 'buy the product rent the packaging' scheme
Menu engineering: At your service
Art and sauna bathing collide in a Japanese exhibition; Banyan Tree rolls out its Wellbeing Sanctuary concept globally
Top team: Capella
Neena Dhillon talks to the owning company and senior executives from this burgeoning Asian hospitality brand with a passion for wellness
Ask an Expert: Treating Long COVID
One in 20 people who've had coronavirus are still battling its side effects for three months or more. How can spas help?
Promotion: Art of Cryo: Cool night's sleep
High-performance cryo chamber specialist Art of Cryo joins forces with leading bed manufacturer Samina to launch cryo centres for sleep health
Interview: Stelian Iacob
Therme Group's COO tells Katie Barnes how it's making the traditional thermal facility model more relevant to today's consumers
First person: Yasuragi
Spas in Sweden stayed open in the pandemic, but does the nation still have an appetite for wellness? Andrew Gibson investigates at this Japanese concept spa hotel near Stockholm
Interview: Tammy Pahel
The VP of spa at Carillon Miami candidly shares some of the challenges of the past year with Lisa Starr and explains why she's investing in touchless innovations
Spa survey: Wellness time
A new consumer survey shows how people's attitudes towards wellness and spas have changed. Mindbody's Katherine Wernet
Focus on: IV nutrition therapy
Is IV nutrition therapy as credible as some spas claim? Lisa Starr investigates this increasingly popular treatment
A US$50 million (£44.2 million, €51.2 million) transformation of Chicago's historic McCormick
Mansion has created a new destination that combines live magic, immersive theatre, dining and
private membership under one roof.
The Montana Historical Society has officially celebrated the opening of its new Montana
Heritage
Center, a US$107 million (£79 million, €92 million) destination that combines immersive
storytelling with cutting-edge audiovisual technology to bring the sta
San Antonio Zoo has reported a US$283 million economic impact for 2025, following a decade-
long transformation programme that has seen almost US$200 million invested into the Texas
attraction.
Plans for the AU$180 million redevelopment of Reef HQ Aquarium in Townsville, Australia, are
progressing, with the project set to transform the attraction into a global centre for reef
education and conservation.
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.
Disney has reaffirmed its commitment to investing US$30 billion in its US parks and cruise
business by 2033, using new America250 celebrations to underline the role its attractions play
in supporting jobs, tourism and economic growth.
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.
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