Abstract
Wellness is the new consumer priority.
Spas, with their unique mix of therapies and treatments, outperform the beauty
market.
Innovation drives spa growth and best performers show double digit sales
growth.
Spas pioneered new beauty and wellness treatments. In doing so, they
established new beauty and wellness priorities for consumers. In what is the
most curious development, spas have become the best performers in the beauty
market by delivering appearance enhancement as a part - evena bonus -
of their core wellness package.
Spas meet a new consumer need for wellness and in the process have grown from
zero to a business worth more than UK Stg billion in a decade. The spa
offer may appear diffuse but there are three distinct and well established
pillars and these are wellness therapies, beauty or appearance enhancement,
and pampering treatments. The particular therapy emphasis, or treatment mix,
can vary but the spa visit is an integral part of a wellness lifestyle.
At first glance, spas present a confusing range of the traditional and high
tech because they have drawn on such disparate sources for their
treatment and wellness therapies. At home they have borrowed from the beauty
salon, alternative wellness practitioner, the dermatologist, medical and laser
clinic. Abroad, they have picked from Asia to Scandinavia.
The resulting "spa offer" is unique and quite distinct from that of the
sectors out of which it developed. This ability to adapt and integrate
explains why different philosophies, seemingly incompatible, co-exist
and underpin the core business. For example, pampering and wellness elements
must be exclusively natural. Beauty, however, can be organic or natural
or even a combination of the organic and the high tech or medical.
Massages and spas are now synonymous because the massage is the main spa
therapy. Massages which energise, rejuvenate and deliver wellness to
clients generate well over 50% of sales for the spa. The best selling massage,
- the "deep tissue" or Swedish massage - relieves tension and stress.
Bodycare sets the spa apart from the traditional beauty salon. Spas now offer
treatments, previously only available for the face, which beautify the body.
The most popular "facials for the body" are massages, wraps and scrubs
which cleanse, exfoliate and refine the skin.
Spas have grown exponentially by delivering beauty from within, that is
wellness cum appearance-enhancement. Additionally, stand-alone beauty
treatments also generate significant revenues for spas. It is
anti-ageing skin care which is the main driver of demand for beauty in
spas. It must be noted that different types of spas (day, hotel, med) provide
quite distinct body and skincare treatments but this is because a number of
factors (regulations, location, space and philosophy) determines just what is
possible.
It is innovation in beauty as with wellness - in terms of product formulation
and treatment delivery - which has allowed spas to outperform the traditional
beauty market. Beauty treatments, both high tech and natural, are sold as a
package, that is a sequence and combination of treatments, utilizing a
range of skills and a variety of products.
In a nutshell, spas outperform because they sell more treatments and products
to more people more frequently. Their client base is wide as they have
attracted millions of new consumers - especially younger women and men. They
are a fixture of the urban lifestyle.
The wellness paradigm is now shaping the entire beauty, personal care
and wellbeing sector. The effect can already be seen in selective
beauty channel para-pharmacies and hypermarkets. This shift in consumer
behaviour is forcing innovation on the beauty market.
The story of massages best explains both the spa trajectory and its
potential . Massages are now mainstream which is a dramatic
transformation of what was once an artisan sector. Until recently, they
were mainly provided by sole practitioners (eg, alternative health) and viewed
as a minority therapy or in some cases with suspicion as "sleaze". Now
massage chains are being rolled out (especially in the US) such is their
demand.
Not surprisingly, there is confidence in the fundamental strength of
the sector and its capacity to grow. Spa sales softened in 2010 due to the
recession but the best performers expect a return to double digit
growth rates.
The main factors driving expansion are continuing demand for wellness by the
consumer and constant innovation in therapies, treatments and technologies on
the part of the spa. Spas are at a very virtuous point of their growth
cycle. Increased demand for wellness by spa users drives innovation
which then expands both demand and the consumer base.
Table of Contents
- TABLE The UK spa market data glance
- Spas pioneer new categories and new consumer priorities
- TABLE The three pillars of the spa market
- Pampering - - Relax body and mind
- New treatment categories
- From zero to ... From sleaze to ....
- New categories of products
- TABLE Three spa pillars bridge the ......
BEAUTY
PAMPERING
WELLNESS
- UK uniquely innovative
- Going forward - - pampering, massage and wellnes
- Going forward - - beauty
- Going forward - - packages not single treatments
- Currency
- Date of publication
SECTION TREND SETTING SPAS AND THEIR CONSUMERS SHAPE NEW BEAUTY AND WELLNESS PRIORITIES
- Introduction and summary
- What do spa clients want? A major omission suggests new priorities
- Spas a new lifestyle
- New priorities change the question being asked
- Wellness in holistic healing temples (quote)
- London spas showcase the future
- TABLE The Best in Class spas in London experts' picks
- London spas size and composition of the population
- The "affluents" and the "determined"
- London attracts diverse clientele, including ..
- Tourists, travelers and shoppers
- London 2012 Olympics
SECTION SPA BUSINESS ACTUALITIES, SALES VARIATIONS CURRENT AND FORECAST
- Introduction / summary
- TABLE Sales variations in day spas and hotel spas, 2010 to 2014
- Sales variations, forecast and historical
- Sales variations, by spa type
- Spas (quotes)
- Spa escapism
- Spas invest to maintain quality
- Location specific performance
- No competition
- TABLE Spa sales trends, the seasonal highs and low
- Trends in the winter
- Trends in the summer months
SECTION SPA BUSINESS ACTUALITIES, THE TOP SOURCES OF REVENUES
- Introduction and summary
- TABLE Spa revenues, (%) from treatments and from product retail
- TABLE Wellness and beauty menus as (%) of revenues in spas
- Wellness more upmarket?
- TABLE The treatments most commonly offered by spas
- Data discrepancies / Business actualities do not fit into inherited
categories
- Tracking income from gift certificates
SECTION SPA BUSINESS ACTUALITIES TOP TREATMENTS, MASSAGE AND BODY CARE
- Introduction and summary
- TABLE Massage, and other body business, summary
- Rise of massage from sleaze
- TABLE The best selling massage therapies
- The deep tissue (Swedish) massage
- Massage techniques from the West and the East
- Massage for women
- Massage for men
- TABLE The solutions that massage therapies deliver
- Stress and beauty
- Only customized massages
- TABLE Massages ranked (%) full body and partial body
- Sales trends, partial body massages
- The lunchtime and the shopper' s massage?
- No undressing is attractive
- Massage and stress relief (quotes)
- Opportunities in massage 29 The latest massage therapies (quotes)
- TABLE Body beauty and body care business, summary
- Blurring of beauty and wellness
- TABLE Body care treatment packages (examples)
- TABLE Spa body treatments (%) from wraps, scrubs, and massages
- Body shaping treatments
SECTION SPA BUSINESS ACTUALITIES, BEAUTY AND FACE TREATMENTS
- Introduction and summary
- TABLE The top beauty treatments in spas, data summary
- TABLE Face care, the top rituals/purposes
- Facials for shoppers
- TABLE Facials as a % of business in spas
- Big spas, big sales of ...
- Anti ageing facials, % of spa business
- TABLE Facials as a % of spa business and the brands used
- TABLE Anti ageing facials (AAF), the top protocols
- TABLE The cleansing facials, top protocols
- TABLE The cleansing facials, the spa sequence
- Facial rituals
- TABLE Facials, high tech and medicalised
- Some forbidden beauty
SECTION SPA BUSINESS ACTUALITIES, MANICURES, ETC.
- Introduction and summary
- TABLE Nail and other beauty treatments in spas, data summary
- Manicure and nail business in spas
- Hair removal business in spas
- Laser hair business in spas
- Starter and maintenance Brazilians
- Tanning business in spas
SECTION SPA BUSINESS ACTUALITIES, CONSUMER PROFILES AND ATTITUDES TO SPA SPENDING
- Introduction and summary
- TABLE consumer segments in spas, summary profile
- Gender of clients
- Working women
- Everyone with the money
- The spas where extravagant spenders are ...
- Consumer attitude to spending in spas in 2011?
- Managers describe the extravagant spenders
- Selecting wisely to maximize experience
SECTION BUSINESS ACTUALITIES PRODUCT RETAIL AND HOMECARE
- Introduction and summary
- TABLE Revenues (%) product retail, summary
- Spas with higher retail than industry average
- Stock up in London
- TABLE Spa retail (%) from skincare lines
- Yoga retail
- TABLE Drivers of retail sales in spas
- Smell, taste, and test quality
- Convenience and privacy
- Luxury on demand
- Retail avoids rigmarole
- Driving recommendations in spas
SECTION GOING FORWARD AND CONCLUSIONS SPA THERAPIES
- Introduction and summary
- TABLE The best and worst performing categories in beauty and wellness
- TABLE Unmet consumer beauty and wellness needs
- Wellness or quality of life enhancement
- Women specific therapies
- Therapies to attract men
- Spa sociability
- Sleep deprived
- Clients and time
- TABLE The new lifestyle menu
- DIFM Fitness
- Yoga and Reiki
SECTION BEYOND AND OUTSIDE THE SPA MARKET
- Introduction and summary
- TABLE Beauty provision, traditional and high tech
- Pace of growth
- Forecasts made in 2006 borne out
- Barriers to entry
- Cost of equipment significant entry barrier
- Sales in multiples and large companies
- Business in largest clinics is ...
- A few large companies ......
- Multiples target .....
- Companies of unprecedented size in beauty provision
- Biggest retailers adopt and adapt spas' selling strengths
SECTION SPA BUSINESS ACTUALITIES, BRANDS
- Introduction and summary
- TABLE ... brands
- TABLE Brands in bodycare (x names) and face care (x names)
- Product houses, own labels (bespoke)
- TABLE Brands noted as new or innovative (x names)
- TABLE Spa criteria to select / drop a brand
- Practices that maintain brand exclusivity
- Professional only brands
- Exclusivity
SECTION SPA BUSINESS ACTUALITIES PRICES
- Introduction and summary
- Pricing 55
- TABLE Prices, facials examples by status of therapist
- TABLE Prices of injectables and Botox
- TABLE Prices of peels (package of 6)
- TABLE Prices fillers for facial lines, facial augmentation
- TABLE Prices laser hair removal per sessions
- TABLE Prices laser lipo and body
SECTION BUSINESS ACTUALITIES SPA PRICES, AND THE IMPACT OF THE ONLINE
- Introduction and summary
- Pricing and online discounts
- On line deals blur carefully wrought segments
SECTION COMPANY PROFILES, PRODUCT MANUFACTURERS
- TABLE Company and brands identified (X names)
- Experts comments on brands (alphabetical order)
SECTION COMPANY PROFILES SPA OPERATORS (DAY SPAS)
- TABLE Spa companies, and the largest chains(*) identified (X names)
- Spa company (units UK)
- TABLE Spa companies hotels identified (?X 20 names)
- Spa company
- TABLE Health clubs, and leisure clubs identified (?X names)
- Health clubs
- Comments on spa companies and retailers (alphabetical order)
- TABLE Beauty retailers beauty counter assistants 66
- Company
SECTION SUPPORT DATA BEAUTY AND WELLNESS MARKET UK
- Introduction and summary
- Estimating spa numbers
- TABLE The UK beauty/wellness universe, units and revenues - - by business
type
- Data provided as approximations of scale
- TABLE The beauty salon/day spa market data at a glance
- The UK and the USA compared
- Industry counts
- TABLE The beauty salon / day spa market (2010)
- Facility based units
- TABLE Beauty salon/day spa market segmentation (A, B and C)
- Definition of spa segment A
- Definition of spa segment B
- The C segment and the .....
- The spa market in hotels and H&F clubs
- A spa OR a treatment room, a solarium, or a sauna?
- TABLE Most spas in ....
- TABLE UK hotel sector (%) by type of business
- TABLE The H&F club sector, quantified (units and revenues)
- TABLE Revenues in different segments of the CAM market in the UK
- The top five CAM therapies
- TABLE The top 20 acupuncture procedures in the UK
- Support data aesthetic procedures (invasive and non invasive)
- TABLE The non-invasive aesthetic procedures market, summary of data
- Numbers professionals with provision rights (non-invasive aesthetic
procedures)
- Huge difference in the skill and expertise of providers
- Speed of growth, A regulatory mess
- Voluntary
- Statutory
- Insurers and compliance
SECTION RECOGNITION SCHEMES IN BEAUTY AND WELLNESS
- Recognition (awards and peer judgement)
- Recognition (CAM Clinic of the Year)
- Recognition aesthetic procedures
SECTION METHODOLGOY
- TABLE Description of participating companies
SECTION COUNTRY DATA UK
INDEX OF COMPANIES, BRANDS, SELECTED PUBLICATIONS, AND ORGANIZATIONS (REGULATORY, TRADE, PROFESSIONAL)