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The Savills Blog

Creating a spa can add extra bubbles to hotel performance

Wellness can be summarised as 'an active process of becoming aware of, and making choices towards, a healthy and fulfilling life'. The wellbeing movement is accelerating at a remarkable pace and this time of year it is particularly boosted by Dry January and health-conscious New Year's resolutions.

The popularity of wellness has created a huge opportunity for the hotel industry. The variety in spa provisions can range from bare bones facilities to luxury destinations.

A spa hotel is a concept that has evolved at a pace correlative to the health and wellbeing movement. Initially loss-making enterprises, hotel spas now operate as stand-alone businesses and benefit from both corporate and leisure demand generators.

One of the industry's most well-known success stories is Champneys which opened in Tring as the first health spa in the UK in 1925. Its portfolio of spas has grown ever since with the most recent round of investment taking place in November 2016.

The Global Wellness Institute estimates that wellness real estate – homes and buildings that are built to enhance and support the health or the occupiers  –  was a $134 billion global industry in 2017 having grown by 6.4 per cent annually since 2015. This is expected to reach $180 billion by 2022 as a result of the expanding middle class and its growing appetite for spas.

In many of the mature spa markets, such as the UK, growth predominantly comes from the addition of spas to existing hotel/resort properties rather than openings of entirely new properties.

In terms of visitor make up, the beginning of the week is predominately corporate groups. Conscious of how they are perceived by their colleagues, traditional spa treatments might not appeal, however the gym and swim facilities provide a practical solution to getting in some exercise before the professional day begins.

Towards the end of the week hen parties and spa weekends dominate, with day guests providing a boost to visitor numbers, and the spa manager having to carefully balance the demands of the hotel guests and the non-guest visitors.

The creation of a spa and fitness offering can attract new groups to a hotel and broaden its appeal. The emotional and mental wellbeing of a guest is now integral to their stay, and with this in mind, we expect to see more hotel owners operators adding spa facilities to their business. 

 

Further information

Contact Savills Hotels

 

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