Interview about Spa Management

with
Sybil Hofmann
President
Alpine Center
the Swiss Business School for Hotel & Tourism Management Education



Alpine, decided, with the help of Spa specialists, to design and launch a Spa Management course to prepare the future managers of the spa industry.

1) What current market needs does this new specialization in Spa Manager address? According to what criteria did you decide to launch this spa management course?

The health and wellness industry is the fastest growing segment of the hospitality and leisure industry both in Greece and globally. For years, spas were seen as havens for the rich, places where privileged people could be soothed and pampered.  Today, however, thanks in part to the economic boom of the 90’s and the growing trend among many people to indulge themselves, spas have become increasingly popular and profitable.  Revenues generated from this industry are very substantial with high profit margins. 

With this blooming sector, the demand for qualified staff to manage spa’s has also increased. A Spa Manager needs to be a highly effective business manager and must be able to compete in an intensely competitive industry that is constantly changing.

Spas’ are today an integrated concept of various hospitality industries. They can be found in every new 4 and 5 stars hotels. They are also being incorporated in existing establishments in order not to lose market share or competitiveness, especially when consumers are very spa savvy and difficultly ‘fooled’

In the last two years, Alpine Center has received many requests from hotel managers or owners looking for specialized spa managers, strengthening even more the importance of integrating spas to their core businesses in order to remain profitable and competitive.

It was therefore not surprising that Alpine, decided, with the help of Spa specialists, to design and launch a Spa Management course to prepare the future managers of the spa industry.

Although this course does not at the moment endeavor to develop technical skills, such as spa treatments and spa cuisine, it will however emphasize business knowledge and skills introducing students to the different treatments and services offered at a spa; it will include visits to 5* spas and industry experts as guest lecturers. Furthermore, students will have to complete a 20 weeks industry placement in a reputable spa in order to apply the theory learned.

Successful spa management requires good business and administrative skills combined with customer service skills.

2)  What new trends can be identified in the global market and how can they be addressed through education?

To start with, it is important to identify the different types of spas representing distinct sectors such as the resort spa, destination spa, day spa, hotel spa with full service spa including fittness, thalassotherapy, cruise ship spa, medical spas,  health farm, etc.  It is important to create a transparent categorization system for spas in order to convey and market them to the consumer. 

A recent trend is the resort-based  “hybrid” concept  which helps a spa to maximize its economic potential by offering different services to different customers.  For example it is a resort spa for the conference guest who may only have time for an ala carte treatment, yet it also appeals to the leirsure guest who wants to enjoy an ala carte treatment, a half day spa package or a multi-day themed spa get-away.  The local community can use it as a “day spa” that provides everything from an hour to a full day “spa vacation” experience.  The spa can be a membership-based “club spa” for the local community.  This way you have more options to market the spa and be more profitable.

In the US spas are becoming part of up-scale residential communities so that people can “live the spa life” and increase their lifestyle balance, productivity and creativity.   More and more people want to live and work in communities with spa and lifestyle programs that enhance their quality of life with fitness and wellness activities and health enrichment programs.  The spa will be a new type of social and business center or club where people can network and at the same time take care of themselves. Spas will be the new centers for personal enrichment offering life-enriching seminars and programs that focus on activities such as wine tasting, art, music, cooking, pain management, healthy aging

A future trend is to make spas more affordable and accessible so that people will take spa treatments on a regular basis rather than just on a special occasion basis.  This will see an increase in spa utilization and therefore more profits.  A lot of people have never been in a spa for anxiety of the unknown.  If spas expect to grow their business, they need to think about how to attract the non-spa-goer by overcoming various barriers to entry.

It is important to create spa experiences that will touch people physically, socially, emotionally, intellectually and spiritually.  Staff will need to be trained to be “experience makers”  and they need to be taught and empowered to customize and personalize the spa treatments based on the person’s needs, interests, time and budget so that they create an experience that makes guests return for more.

An emerging trend is creating a spa brand.  This is becoming increasingly important as spa users will base their decisions on the strength and reputation of the brand.  It will be critical that consistency becomes the defining factor.

Another growing market is the medical spa which integrates spa services with conventional and complimentary therapies and treatments.    Dermatologies and plastic surgeons have been jumping on the bandwagon offering higher level spa services and care.

Finally, spas goers are concerned about taking care of themselves and the environment.  They appreciate it when the spa has green policies regarding organic products, cleaning agents, utilities, etc.

Current spa operators here in Greece view spas as a support service rather than a proper business entity and many do not employ a full-time manager.  Therefore many spas are underperforming because of the lack of good management practice and commercial knowledge.  Many spa owners are former therapists who may be good at giving a good massage but do not have business sense.  Therefore, as mentioned before, spas need to employ managers who are business savvy with an excellent knowledge of spa products and services.    The need for a standard approach to qualifications at all levels is becoming more important.  Therapists need to be highly qualified in the various treatments and in retail sales as they should recommend products and increase profitability.

Successful spa management requires good business and administrative skills combined with customer service skills. Spa managers are responsible for keeping the spa operational, much like hotel or resort managers. They train and manage employees, keep inventory, order supplies, create work schedules, resolve customer service issues, handle some accounting and manage the marketing and advertising of the spa.  Thus, spa managers should receive an education comparable to hotel management including operations, business and accounting courses.

 It takes special people to work in spas, those who enjoy and believe in the future of the wellness industry, who possess excellent customer service skills and those who care about providing exceptional experiences to spa goers. These are the men and women who will make outstanding spa managers.

2)     Until now,  what interest has been shown in the new course?

We were pleased to receive a number of enquiries from current spa employees wishing to upgrade their positions and enrich their knowledge.  We also received commendations from companies that sell products to the spa industry, mentioning that from their experience they know there is lack of management expertise in many spas.  A few of our current students have also expressed an interest in following this course.  It takes special people to work in spas, those who enjoy and believe in the future of the wellness industry, who possess excellent customer service skills and those who care about providing exceptional experiences to spa goers.  These are the men and women who will make outstanding spa managers.

The future belongs to spas that make a point of remaining aware of consumer behaviour and preferences and marketing their services accordingly. 

3)     What do you believe are the prospects in the future?

According to a recent Spa Industry research study, spas will continue to be a thriving business sector.  Given the increasing perception that spa services contribute to overall health and the fact that stress seems to be dominating most people’s lives now-a-days, this is hardly surprising.  The future belongs to spas that make a point of remaining aware of consumer behaviour and preferences and marketing their services accordingly.