Top 10 Global Spa and Wellness Trends Forecast

2014 Trends Report

© 2014 Spafinder Wellness, Inc. All Rights Reserved.Information and data extracted from this report is to be accompanied by a statement identifying Spafinder Wellness, Inc. as the publisher and source.

2014 Trends Report As Presented By:

Mia KyricosChief Brand Officer

Spafinder Wellness, Inc.

Susie EllisPresident

Spafinder Wellness, Inc.

Top 10 Trends1 Healthy Hotels 2.0

2 Wired Wellness

3 Hot Springs Heat Up

4 Suspending Gravity

5 Ferocious Fitness

6 “Natural” Beauty Meets Social Media

7 Aromatherapy: Scent with Intent

8 Wellness Retreats Rise… & Urbanize

9 Death & Spas: Thriving During Life’s Transitions

10 Top 10 Surprising Spa & Wellness Destinations

Über Trend: Your Mind is What Matters

Healthy Hotels 2.0

1

MGM Grand (U.S.) triples its number of “Stay Well” rooms.

Fueling the Trend

• $439 Billion Wellness Tourism Industry

• A Need to Rejuvenate– Americans only take

10 of 14 vacation days– Japanese 7 of 18– South Koreans 7 of 10

• Rising Healthcare Costs

Wellness65% More

Wellness130% More

Tourism Spending (2012)

Stronger FitnessWyndham’s TRYP Hotels (International)

Sleep ProgrammingHotel Benjamin (U.S.)

Healthier FoodEVEN Hotels (U.S.)

PURE RoomsHypoallergenic Rooms by PURE®

At Hyatt, Marriott and more

Healthy Hotels 2.0

• Top trend in 2013– Hotels branding & rebranding around wellness

• Top megatrend in 2014– Deeper, multi-faceted programming

• Moving from the exception to hospitality vernacular

• Driven by demand & hotel response

• More than just a marketing differentiator

The Future: From Exception to the Rule

Wired Wellness

Heapsylone’s SmartSocks

2

Fueling the Trend

• “Quantified Self”: Our Need To Track Data– Project to sell 252 million

tracking devices by 2017– 100,000 Health Apps– 62 App Stores

• Rise in Virtual Classes– 30+ million results when

you Google “Online Yoga”

• mHealth– 40% annual growth – $10.2 billion by 2017

Untie the BandsStrava

Employee WellnessGetHealth

mHealthMendor Discreet, Diabetic

Monitoring Device

Meditation AppsSmiling Mind

Wired Wellness

• Are wired and wellness counterintuitive?

• Technology plays a significant role in:– Healthy living– Lowering health care costs

• Growing significantly:– Fitness & Wellness Trackers– Fitness & Wellness Apps– Online Booking

The Future: Spa & Wellness Providers Get Wired for Long-Term Relationships

Hot Springs Heat Up

The Banjaran Hotsprings Retreat

3

Fueling the Trend

• Authentic, local travel experiences

• Inherent sustainability

• Rise in people seeking social experiences

• Economically affordable, stress reliever

“The rub-off business

associated with hot

springs is staggering.”

– Cary Collier, principal, Blue Spas, Inc.

Old Become NewTauern Spa (Austrian Alps)

New & ImprovedEvason Ma’In Hot Springs (Jordan)

Luxurious OnsensHoshino Resorts (Japan)

“Trendy” Replaces “Funky”Two Bunch Palms (U.S.)

Hot Springs Heat Up

• Dates back to Roman times

• Exist all over the world

• There has never been a hotter moment for thermal spas

• Affordable, social, beneficial and natural

• Hundreds of new, exciting projects

The Future: Hot Springs are the Hot Spot for the Spa Industry

Suspending Gravity

Aerial yoga at Fairmont Scottsdale’s Well&Being Spa

4

Fueling the Trend

• Gravity’s Heavy Toll– Backaches, swollen feet, varicose veins– Compresses our organs

• Flotations Medical Benefits– Reduces stress, chronic pain, swelling,

depression and insomnia – Lowers blood pressure– Improves Skin

• New Weightless Fitness Approaches

Flotation Tanks/RoomsAman Resort (U.S.)

Flotation PoolsNordik Spa-Nature (Canada)

Aerial YogaFairmont Scottsdale’s Well&Being Spa

Anti-Gravity Fitness Equipment

AlterG

Floating SpasFloating Gardens (Amsterdam)

Suspending Gravity

• Desire to disconnect from the “weight” of the world

• Escape from gravity’s pull by “suspending it”

• Flotation tanks, chambers, pools

• Ariel & antigravity classes, treadmills

The Future: Space – A Spa Frontier

Ferocious Fitness

5

Tough Mudder

Fueling the Trend

• Walks, Runs & Marathons– Thousands of events– Millions of participants

• $2.2 Trillion Entertainment Industry– A "Ripped' celebrity culture– Reality TV: The Biggest Loser,

Extreme Makeover, Survivor and more

• Out-of-Shape Global Population– One billion adults are overweight– 475 million are obese

• A World Pressed For Time– High intensity interval training in

short timeframes

OUR COMPETITIVE NATURE

60% Boys

47% Girls

On Sports Teams By Age 6

Ferocious with a CauseJDRF’s Ride to Cure Diabetes

Ferocious CompetitionsTough Mudder

Ferocious Interval TrainingGwinganna Lifestyle Retreat (Australia)

Ferocious FunGROOV3 (U.S.)

Ferocious Fitness

• Like fashion, fitness is ever-changing

• More intense workouts & training

• Real & sometimes quick results

• Important part of social life

• Fun is a key ingredient

The Future: More Fun. More Competitive. More Hardcore.

“Natural” Beauty Meets Social Media

6

Fueling the Trend

• Demand for Organic– 2011, 15% rise in natural

personal care products– $23 billion market

• Consumers Want Less-Invasive Treatments– Non-surgical cosmetics

procedures grew 500% over last 20 years

• All-Natural Looks in Fashion

“1 in 5 of all [beauty]

products contain chemicals linked to cancer, 80%

contain ingredients that

commonly contain

hazardous impurities, and

56% contain penetration enhancers.”

– Environmental Working Group

Hands & FeetBastien Gonzalez Pedicures (Thermes Marins Monte-Carlo)

Scalp Treatments

“No-Poo” MovementArgan Oil

Nutritional Supplements

REVIV (U.S.)

Acupuncture: Now for SkinTiffani Kim Institute (U.S.)

Technology & Science

“Natural” Beauty

• People are expected to look their best 24/7

• Leaving the era of faux beauty

• Organic products, science & technology intersect to deliver seemingly natural results

• Less chemical products, more nature & technology

• Spas are the clean-beauty torchbearers

The Future: As the Selfie Takes Over, Beauty is an Expected Constant

Aromatherapy:Scent with Intent

7

Aromatherapy Associates

Fueling the Trend

• Aromatherapy market grew 15% annually over past 2 years

• Proven Health Benefits– Topical application: Antibacterial, anti-

inflammatory and analgesic effects– Aromatherapy: Reduces stress, anxiety,

insomnia, depression, tension headaches, systolic and diastolic blood pressure

• Mood-boosting & Brain-engaging

Custom Blending

Spa Matilda (Mexico)

Scent Goes High TechBody Bliss, Intentional Aromatherapy App

Beyond the SpaAromatherapy Artist Persephenie Lee

Even in CarsMercedes-Benz 2014 S-Class AIR-BALANCE System

Aromatherapy: Scent with Intent

• Essential component of spa treatments– Spas helped aromatherapy become mainstream

• Now being reimagined, from pleasant to personalized and transformative

• New aromatherapy of intention treats pain, depression and more

• Botanists and digital technology are playing a key role

• Well beyond sachets and cinnamon candles

The Future: Move Away from “Spray & Pray” Approaches to More Intentional Uses

Wellness Retreats Rise… & Urbanize

8

Salamander Resort & Spa

Fueling the Trend

• Wellness Retreats Offer What’s Missing in Traditional Medical Care– Supportive environment for making lifestyle

changes– Obesity rate 2x higher since 1980– Preventable diseases cause 63% of deaths

• 50% of the World Live in Urban Areas– # will double by 2050

• Travelers Taking Shorter Vacations, Closer to Home– “Near-Away” Destination Spas

Immersive WellnessVANA (India)

Brand Expansion – Rural…Lanserhof Tegernsee (Bavarian Alps)

…And UrbanLans Medicum in Hamburg

Brand ExpansionMiraval at Natirar to open in 2015 (New Jersey, less than 1 hour from NYC)

Urban-Close Destinations Salamander Resort & Spa (Virginia, near Washington D.C.)

Urban-Close Destinations GOCO Retreat (50 kms from 11.5 million people in Beijing)

Wellness Retreats Rise… & Urbanize

• Exciting growth after years of recession

• New locations with personalized, immersive wellness programming

• All new brands

• New expansion of classic destination spas

• New urban-close wellness retreats

The Future: Destination Spas & Retreats Fill a Healthcare Void

Death & Spas: Thriving During Life’s Transitions

9

Fueling the Trend

• Core identity of spa is healing, personal connection and helping people cope with pain and stress

• Spas are a natural extension of Hospice care

• Enlightened attitudes: People are increasingly accepting that death is as much a part of life as birth

• Spiritual awareness, including more acceptance of Eastern philosophies (mindfulness)– People are more open to getting help with stress, pain,

life issues

• And once again…an aging population

Hospitals Go SpaClodagh Design International

Caring is the DNA of SpasSpa4ThePink

Safe Places for Change…Green Valley Spa & Resort (U.S.)

…And Fresh StartsSpa Eastman (Canada)

Death & Spas: Thriving During Life’s Transitions

• Baby boomers are thinking seriously about aging & death

• Spas are returning to core strengths– Touch, healing and caring

• Hospitals & care centers are introducing spa elements

• Death isn’t the only challenge– Divorce, illness, job loss, PTS

The Future: People Embrace the Healing Power of Spa

Top 10 Surprising

Spa & Wellness Destinations

10

The Nam Hai(Vietnam)

Fueling the Trend

• 2013 State of Spa Travel Top 2 Trends:– People desire more exotic, off-the-beaten-path

destinations– People want immersion in local cultural

experiences vs. “generic luxury”

• Investing By Tourism Boards

• More Wellness Tourists

• Wellness-Obsessed Baby Boomers

• Global Consciousness & Social Interest

1. BhutanUma by COMO, Paro

2. GhanaKempinski Hotel opening in 2014 (Hotel rendering)

3. NicaraguaMukul, Beach Golf & Spa

4. PortugalLongevity Wellness Resort Monchique

5. VietnamThe Nam Hai

And 5 More

6. Colombia

7. Croatia

8. Lithuania

9. Morocco

10. Saudi Arabia

Top 10 Surprising Spa & Wellness Destinations

• Spa-goers and wellness seekers have “been there, done that” mentality

• Seeking exotic destinations and indigenous experiences

• Countries that were off-limits due to war, crime and social/political issues are re-branding around spa

• A “wellness halo” drives tourism dollars

• Wellness tourism is an important element

The Future: More New Destinations on the Spa & Wellness Map

Top 10 Trends

1 Healthy Hotels 2.0

2 Wired Wellness

3 Hot Springs Heat Up

4 Suspending Gravity

5 Ferocious Fitness

6 “Natural” Beauty Meets Social Media

7 Aromatherapy: Scent with Intent

8 Wellness Retreats Rise… & Urbanize

9 Death & Spas: Thriving During Life’s Transitions

10 Top 10 Surprising Spa & Wellness Destinations

Be sure to download the full report at:www.spafinder.com/trends2014

www.spafinder.ca/trends2014

www.spafinder.co.uk/trends2014

If you’re a member of the press, contact:Beth McGroarty, Research Director & Editor(213) 300-0107 or beth@rbicom.com

© 2014 Spafinder Wellness, Inc. All Rights Reserved.Information and data extracted from this report is to be accompanied by a statement identifying Spafinder Wellness, Inc. as the publisher and source.