Spa Industry Report 2013

Photo Credit: Sala Phuket Resort and Spa

Methodology

1 Focus Group (6 Participants)

Survey (n=463)

Consumer

Research

1 Focus Group (10 participants)

14 Interviews

Survey (n=86)

Operator Researc

h

SPA CONSUMER REPORT

nationality and country of residence

Thailand

Netherlands

Germany

India

USA

Others

0% 10% 20% 30% 40% 50% 60% 70% 80%

62%

9%

6%

3%

3%

17%

73%

6%

4%

3%

3%

10%

Country of Residence

Nationality

gender ratio

Male

Female

0% 10% 20% 30% 40% 50% 60% 70%

35%

65%

age and gender

<= 20

21-25

26-30

31-35

36-40

41-45

46-50

51-55

56-60

> 60

0% 5% 10% 15% 20% 25% 30%

MaleFemale

gender and marital status

Single

Living with partner

Married

Divorced

Other

0% 10% 20% 30% 40% 50% 60% 70%

MaleFemale

average monthly income

Up to THB 25,000 (USD 850)

Up to THB 40,000 (USD 1,400)

Up to THB 60,000 (USD 2,000)

Up to THB 100,000 (USD 3,400)

Up to THB 150,000 (USB 5,000)

Up to THB 200,000 (USD 6,800)

THB 200,000 or more (USD 6,800 or more)

0% 10% 20% 30% 40% 50%

45%

21%

10%

10%

6%

2%

6%

visited a Spa in the last 12 months?

Yes

No

0% 10% 20% 30% 40% 50% 60%

56%

44%

how often visited a spa

12

3-45-6

7-1213-2425-52

>52

0% 5% 10% 15% 20% 25%12%

16%

18%

16%

23%

9%

5%

1%

average spending per visit

Less than THB 500 (USD 15)

Up to THB 750 (USD 25)

Up to THB 1,500 (USD 50)

Up to THB 3,000 (USD 100)

Up to THB 4,500 (USD 150)

Up to THB 6,000 (USD 200)

Up to THB 7,500 (USD 250)

Up to THB 10,500 (USD 350)

Up to THB 15,000 (USD 500)

More than THB 15,000 (more than USD 500)

0% 5% 10% 15% 20% 25% 30% 35%

15%

14%

33%

19%

6%

5%

3%

1%

0%

3%

Why not?

Why go?

Lifestyle

Beauty

Relax

No time

Photo Credit: Four Season Spa, Chiang Mai

Reasons for Visit Spa

Most commonly used

Thai massage

Aromatherapy massage

Foot massage

Body scrub

Facials

Photo Credit: Four Season Spa, Koh Samui

Treatments/Therapies

Men Prefer

Thai massage

Swedish massage

Reflexology massage

Women Prefer

Facials

Hand and foot care

Body scrub

Herbal compress massage

Photo Credit: Four Season Spa, Koh Samui

Treatments/Therapies

Photo Credit: Thai Spa Magazine

Future Expectations

authentic therapies/treatments

individualized packages

packages based on discount and time spent in spa

Female Spa

Consumers individualized

packages

packages based on discount and time spent in spa

authentic therapies/treatments

Male Spa

Consumers

Photo Credit: The Earth Spa, Six Senses Spa, Hua HinSpa Therapists

pleasant behavior

responding to individual needs

ability to explain therapies and treatments

Current Spa

Consumers pleasant

behavior

ability to explain therapies and treatments

responding to individual needs

Prospective Spa Consum

ers

Photo Credit: Six Senses Spa, Koh Samui

Searching for a spa

internet

word of mouth

being a hotel guest

Current Spa

Consumers internet

word of mouth

magazines

social media

Prospective Spa

Consumers

SPA OPERATOR REPORT

spa location

ThailandIndonesia

OtherIndia

VietnamQatar

PhilippinesAustalia

CambodiaLaos

Singapore

0% 10% 20% 30% 40% 50% 60% 70%63%

15%15%

9%5%5%

3%3%

2%2%

1%

spa type

Massage center

Hotel / resort spa

Day spa

Destination spa

Hotel spa

Salon spa

Medical spa

Slimming center

Other

0% 10% 20% 30% 40% 50% 60%

2%

53%

17%

7%

12%

0%

2%

0%

6%

Photo Credit: Thai Lanna Spa Association

“hard-skills” important

greater need for specific educational programs for spa managers

Spa Manager

Photo Credit: Pakasai Resort

selection• attitude• experience

training• standards• treatment

specific• language /

communication

• behavioral skill

Selection and Training of Therapists

“result-oriented” consumers

customized and beauty treatments

spa cuisine

Photo Credit: Peninsula Spa, Bangkok

Consumer Expectations

“socializing” at the spa

use of high technology

quality and skills of the therapists becoming more

important

Photo Credit: Samui Nora Buri Resort

Spa Therapies/Treatments

INDUSTRY RECOMMENDATIONS

Photo Credit: Amari Coral Breeze SpaSpa Consumers

• Changing demographics but European Europeans (including Russians) are still one of the largest target group

• Chinese nationals are the fastest growing market segment

• Number of male spa consumers have grown but no significant change in male/female ratio

Photo Credit: Amari Coral Breeze SpaMale Spa Consumers

• on average male spa consumers is slightly older than the female spa consumers, and as such might have a higher disposable income

• compared to female spa consumers a higher proportion of male spa consumers visit the spa with their spouse or partner

• currently mostly prefer massages but is expected to demand more men specific treatments and therapies

Photo Credit: Amari Coral Breeze SpaSocializing @ Spa

• social aspect of visiting a spa is quite prominent

• high proportion of spa consumers visit the spa with their friends

• consumers are looking for group treatments or packages

• consumers like to talk during or after their treatments

Photo Credit: Amari Coral Breeze Spa

Changing Consumer Expectations

• more beauty and result oriented treatments

• customized treatments and individualized packages

• spa cuisine

Photo Credit: Amari Coral Breeze Spa

Therapies / Treatments

• understand expectations by different consumer demographics

• back to basics: authentic treatments• importance of the spa therapists• spa menu engineering• development of new

therapies/treatments

THANK YOUQ & A