These are challenging times for the spa industry, which is weathering both the downturn and the perception that the business was founded on the premise of indulgence and pampering.

Add to these the fact that many hotel and resort spas recently have invested in new or updated facilities, and the outlook looks even more difficult.

Barbara Talbott

The two-day event brought together spa experts, owners and operators for a program titled “Developing into the Decade,” during which Tabacchi and other experts shared actionable insights about spas and value, communicating with consumers, and increasing revenues profitably in the current market.

Back to (exceptional) basics. How do consumers define spa value?

“It’s not necessarily about price, though that certainly matters,” said Nancy Novogrod, editor-in-chief of Travel + Leisure and editorial director for American Express Publishing. “Spa-goers want to feel the money was well spent, for a great experience and meaningful results.”

A great experience, Novogrod and fellow panelist Wolf Hengst, chairman of Wahanda, agreed, begins with the right environment: tranquil and welcoming. Arrival sets a tone for the entire spa “journey.”

Even more important are the people: therapists who are skilled and caring. Hengst, who for many years served as president of Four Seasons and is now chairman of the new online spa and wellness venture, put it another way.

“There’s a real opportunity (for spas) to make a difference through the quality of staff and their level of competence. We have all these new spas, and that’s created an enormous need for skilled people.”

And what about meaningful results? Beware the quest to be different and exotic, Novogrod said.
 
“Some spas got a little crazy,” she said. “One in Texas, for example, was offering a barbecue sauce rub.”

By contrast, spa value now is about benefits that make a real difference, such as jet lag massages for the long-distance traveler.

Spa visits can create short- and longer-term benefits, according to Carolee Friedlander, CEO of AccessCircles, a by-invitation online community designed to empower women.

“Stress is the No. 1 factor in creating disease—heart disease, for example,” she said. “Massage has been shown to reduce stress.”

Friedlander, who is also a lifelong spa-goer, knows of what she speaks. A consultant to top spas and integrative medicine centers, she has worked at the nexus of health and spa for many years.

“When speaking to consumers now, I like the ‘re’ words, as in ‘renew, replenish, rethink, re-energize,’” she said.

So is spa no longer about the pleasure principle? Despite the quest for solid benefits, that’s actually not the message. Even treatments meant to help and heal need to be delivered in a pleasing environment—ideally, one that offers good design and an experience that appeals to all the senses.

In fact, providing real enjoyment—what Novogrod called “micropleasures” is another key way spas can offer value today. As the panel agreed, a few hours of spa can feel like a vacation. For consumers, it can be a great return on investment for the time and money spent.

Tapping new markets. Hotel guests aren’t the only ones who can benefit. Reaching out to the local market—cultivating it systematically through events, e-marketing and added value—can offer hotel and resort spas access to new customers at attractively low-acquisition costs.

Local guests also can help fill periods of lower demand. The key is to find them initially, then secure an e-mail address and permission to stay in touch. Targeted Web listings will reach consumers who shop for spa online. Partnering on events with local organizations can create awareness, and local media can be pitched with stories about spa trends and staff, new treatments and packages.

Price verses value. Delivering more, as in more for the money, has become an expectation for many consumers regardless of what they’re buying. How can spas respond to that need without eroding revenue and profits?

“Promotions do get a response,” Hengst said. “We see that online at Wahanda. Some spas offer discounts, but we believe that’s not the only way … to demonstrate value.”

Many spas offer complimentary use of other desirable facilities ranging from steam, sauna and relaxation to therapy pools and sophisticated aqua-experiences. Spa operators can suggest how they flow, pre- and post-treatment, into longer and more satisfying visits.