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Moving Forward

Melinda Taschetta-Millane December 2010 issue of Skin Inc. magazine

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It’s hard to believe that we have another year under our belts and, fortunately, the industry is starting to see a faint glimmer of light at the end of the tunnel in 2011.

The spa industry definitely has taken a few hits, but has weathered the economic downturn by changing the way business is conducted. The International SPA Association (ISPA) recently released the ISPA 2010 U.S. Spa Industry Study, conducted by PricewaterhouseCoopers LLP, which gives some solid insight into the state of the industry. According to the ISPA study, the spa industry has adapted to the economy by:

  • Maintaining the attractiveness of the spa offering—helping the consumer cope with the increased stress levels that have resulted from the recession;
  • Marketing and discounting to stimulate demand; and
  • Focusing on efficiency and costs to limit the impact of the downturn on the revenue side.

Spas are beginning to see an upturn in the numbers of visits from clients. According to the ISPA study, “When asked whether their spa had experienced an increase or decrease in visits by clients in the six months from September 2009 to March 2010, almost one in two spas (48%) reported an increase. This was nine percentage points in excess of the proportion saying they had seen a decrease (39%). The remaining 13% of spas said the number of visits had remained unchanged. ”

10 key challenges

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