One of the biggest US spa franchisors, Massage Envy, has expanded internationally with the opening of two sites in Sydney, Australia.
The new locations are the first in a 100-unit, 15-year deal between Massage Envy and Australia-based Collective Wellness Group, which will manage Massage Envy’s operations in the country. The group also oversees Australia’s 450 Anytime Fitness clubs.
Lee Knowlton, senior vice president of global sales and international at Massage Envy, says he hopes to have 40-50 stores open in Australia in the next three years, with Sydney and Melbourne as the firm’s primary focus.
“I think we’ll see our growth in Australia accelerate over the next few years,” says Knowlton. “They [Collective Wellness] already have the infrastructure and the real estate, and they’re really strong players in the market.”
Knowlton says he looks at things like population, income, GDP, taxes, the economy and awareness of the product when he’s considering international locations, but that finding the right master-franchise partner is also important – and was key in selecting Australia as the inaugural country for international expansion. “We’re looking to find a partner to help us develop in the whole country,” he explains.
The first Sydney location is 2,100sq ft (195sq m) with 10 treatment rooms – a slight dip in Massage Envy’s US model, which is typically closer to 3,400sq ft (316sq m) – and Knowlton says the firm will likely stick to the smaller model for international sites, where real estate tends to be pricier than in the US market.
The business model, branding and design of the spas will be similar to in the US, with offerings of 1-, 1.5- and 2-hour massages and facials, with membership pricing at AU$69 (US$52, €45, £36) for a 1-hour treatment.
The first Massage Envy in Sydney is also located several doors down from an Anytime Fitness location, and while Knowlton says future locations won’t necessarily be co-located, there is certainly the potential to do so – and possible synergy between the brands.
“They’re similar brand experiences,” he says. “In theory, you could go work out and then go get a massage, so I think we’ll probably have quite a few of those down the line.”
Knowlton hopes to have another international location signed by the end of this year – with Canada, Mexico, the UAE, the UK and South Korea top of the list – and up to three countries per year from then on.
Massage Envy currently has more than 1,100 franchise locations in 49 US states.
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2016 issue 3
Top team: Gwinganna Lifestyle Retreat
The people behind this world-renowned lifestyle retreat share their business insights with Julie Cramer. Plus a focus on co-investor Hugh Jackman
Ask an expert: Visiting practitioners
Done well, visiting practitioner programmes can boost profits by up to 40 per cent. But how can spas get the offer right? Kate Parker investigates
Promotional feature: Esadore - creating a splash
The MD of Esadore International, Theodora Kioussis, explains how the company’s creative, manufacturing and operational skill sets can bring an international managing director
of UAE-based esadore International to life in a short space of time
One of the biggest US spa franchisors, Massage Envy, has expanded internationally with the opening of two sites in Sydney, Australia.
The new locations are the first in a 100-unit, 15-year deal between Massage Envy and Australia-based Collective Wellness Group, which will manage Massage Envy’s operations in the country. The group also oversees Australia’s 450 Anytime Fitness clubs.
Lee Knowlton, senior vice president of global sales and international at Massage Envy, says he hopes to have 40-50 stores open in Australia in the next three years, with Sydney and Melbourne as the firm’s primary focus.
“I think we’ll see our growth in Australia accelerate over the next few years,” says Knowlton. “They [Collective Wellness] already have the infrastructure and the real estate, and they’re really strong players in the market.”
Knowlton says he looks at things like population, income, GDP, taxes, the economy and awareness of the product when he’s considering international locations, but that finding the right master-franchise partner is also important – and was key in selecting Australia as the inaugural country for international expansion. “We’re looking to find a partner to help us develop in the whole country,” he explains.
The first Sydney location is 2,100sq ft (195sq m) with 10 treatment rooms – a slight dip in Massage Envy’s US model, which is typically closer to 3,400sq ft (316sq m) – and Knowlton says the firm will likely stick to the smaller model for international sites, where real estate tends to be pricier than in the US market.
The business model, branding and design of the spas will be similar to in the US, with offerings of 1-, 1.5- and 2-hour massages and facials, with membership pricing at AU$69 (US$52, €45, £36) for a 1-hour treatment.
The first Massage Envy in Sydney is also located several doors down from an Anytime Fitness location, and while Knowlton says future locations won’t necessarily be co-located, there is certainly the potential to do so – and possible synergy between the brands.
“They’re similar brand experiences,” he says. “In theory, you could go work out and then go get a massage, so I think we’ll probably have quite a few of those down the line.”
Knowlton hopes to have another international location signed by the end of this year – with Canada, Mexico, the UAE, the UK and South Korea top of the list – and up to three countries per year from then on.
Massage Envy currently has more than 1,100 franchise locations in 49 US states.
Read more from this issue of Attractions Management magazine
View contents of Attractions Management 2016 issue 3
Top team: Gwinganna Lifestyle Retreat
The people behind this world-renowned lifestyle retreat share their business insights with Julie Cramer. Plus a focus on co-investor Hugh Jackman
Ask an expert: Visiting practitioners
Done well, visiting practitioner programmes can boost profits by up to 40 per cent. But how can spas get the offer right? Kate Parker investigates
Promotional feature: Esadore - creating a splash
The MD of Esadore International, Theodora Kioussis, explains how the company’s creative, manufacturing and operational skill sets can bring an international managing director
of UAE-based esadore International to life in a short space of time
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.
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.
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