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ISPA Releases Preliminary 2007 Spa Industry Study Results
The International SPA Association (ISPA) released its preliminary 2007 figures on the United States spa industry in August of 2007. Final figures will be released in November.
The preliminary findings of the 2007 Spa Industry Study by The International SPA Association (ISPA) show that the U.S. spa industry is maturing. The number of spas is still growing, but overall revenues are down. Day spa revenues, in particular, dropped sharply even as more day spas opened.
Here are the preliminary findings:
Number of Spas in the United States, 2007
- There were an estimated 14,615 spas in the United States in August 2007, up 6% from 13,757 spas in August of 2006. There were 10,128 spas in April of 2004.
- Although the number of spas is still growing, the rate of growth is slowing.
The number of day spas, resort/hotel spas, medical spas and destination spas all increased between 2006 and 2007. The number of club spas and mineral springs spas decreased.
- 11,736 day spas in the U.S., 80% of the total.
- 1,345 resort and hotel spas, 9% of the total.
- 976 medical spas, 7% of the total.
- 428 club spas, 3% of the total.
- 51 mineral springs spas, 0.4% of the total.
- 79 destination spas, 0.5% of the total.
Annual Revenues of the Spa Industry
While there were more spas in the U.S., revenues actually fell 3.4% from $9.7 billion in 2005 to $9.4 billion in 2006. Revenues are medical spas more than doubled.
Annual Revenues By Spa Type
- Day spas : $5.294 billion in 2006, down from $6.794 billion in 2005.
- Resort and hotel spas: $2.499 billion, up from $2.026 billion.
- Medical spas: $1,063 billion, up from $469 million.
- Club spas: $242 million, up from $209 million.
- There were 110 million spa visits in 2006, a 16% decline from the 131 million spa visits in 2005. It was almost as low as the levels seen in 2003. However, one explanation may be that people are getting multiple services at one visit.
The number of spa employees also declined.
- There were 234,588 total spa employees in July 2007, compared to 267,400 total spa industry employees in August, 2006. Most of the decline was in part-time employees.
- 118,078 of the employees were full-time, 73,648 were part-time, and 42,862 were contract employees.
- There were 215,200 total spa industry employees in April 2004.
- Men, couples and pregnant women are being catered to with special packages. 48% of spas have packages for men, 46% for couples and 45% for pregnant women.
- Teen packages are available at 34% of spas, while senior packages are available at just 20% of spas.
By Anitra Brown, About.com
CTFA Applauds Increased Funding for FDA Office of Cosmetics and Colors
The U.S. House Committee on Appropriations, late yesterday, approved a $2 million increase for the U.S. Food and Drug Administration’s (FDA) Office of Cosmetics and Colors. Cosmetic, Toiletry, and Fragrance Association (CTFA) President and CEO Pamela Bailey issued the following statement praising the committee’s efforts for an increase that will enhance the office’s capacity for enforcement, oversight and development of global safety standards for personal care products. "We are pleased that the House Committee on Appropriations voted to increase FDA funding for consumer protection. Our products literally touch nearly every American every day. Through strong regulatory oversight, made possible by this $2 million increase, consumer confidence in the safety of their products will remain high. "Consumer safety is the number one priority of the more than 1,000 cosmetic and personal care product companies. Over the years, cosmetic and personal care product companies have worked with FDA to establish a unique partnership in which companies go beyond the requirements of the law to provide additional safety and technical resources and information. "Our strong partnership with FDA has been put at risk because the Office of Cosmetics and Colors has shrunk to an insufficient level. This increase will enhance consumer protections and provide the cosmetics office with much needed inspectors and compliance officers. "Consumers depend on safe products that are available and consistently regulated across the globe. While FDA has long been the gold standard in cosmetics regulation in the U.S., without adequate funding the FDA may not have the resources to participate in meetings with regulatory officials around the world. This funding increase will allow critical FDA participation in international discussions to develop the best and most encompassing global protections and regulations for consumers everywhere."
Elizabeth Arden Puts a Twist on Indigenous Treatments
Treatments such as the Windfall Spa Experience and Jackpot Therapy can now be experienced at the newly opened Elizabeth Arden Red Door Spa at Harrah’s Atlantic City in New Jersey.
Cal-a-Vie Goes Hollywood
Cal-a-Vie: The Spa Havens recently hosted actress Kirstie Alley at its Vista, CA, location and also made an appearance on an episode of Oprah. 866-762-4283
Soleil Salon & Spa Named Best in New Hampshire
For the second year in a row, Soleil Salon & Spa in Windham, NH, has been named the “Best Salon & Spa in New Hampshire” by New Hampshire magazine’s readers in its annual “Best of NH 2007” contest. 603-434-8233
The Spa of Colonial Williamsburg Features Cultural Techniques
Incorporating techniques from colonial, African-American and American Indian cultures, The Spa of Colonial Williamsburg recently opened with multiple treatment and relaxation rooms. 800-688-6479
Green Convergence
By Nancy Jeffries
The link between nutrition and beauty is inspiring a new breed of beauty products. Marketers are recognizing the value of rolling health care and beauty into overall treatment programs supported by eco-friendly products, and both manufacturers and consumers are feeling their way through a transition as conscience and economics converge.
Eco-values Escalate
By Euromonitor International
The cosmetics and toiletries industry continues to benefit from a combination of strong macroeconomic trends and key demographic factors. Innovation and the ability to rapidly adapt to changing circumstances remain vital to success.
Iatria Named Distinguished Day Spa
The Day Spa Association named Iatria Day Spa in Raleigh, NC, its 2007 Distinguished Day Spa Award Recipient for its commitment to quality, service, continuing education, its community and the spa industry as a whole. 919-870-1975
The Lamar Everyday Spa Recognized as Company to Watch
Scottsdale, AZ’s The Lamar Everyday Spa was recognized as one of the Arizona Companies to Watch, an awards program put on by the Arizona Small Business Association and the Edward Lowe Foundation. 877-377-3235, info@thelamar.com