Green Health Spa

I just returned from the International Spa Association Annual Conference held in Austin Texas. This was my 4th ISPA event and it is always a treat. It certainly is the most well groomed, beautiful person event I go to. Spa is a big piece of LOHAS as it incorporates
health and wellness along with personal care and green building. The last few years has seen a surge in green health spas have seen a surge in green orientation with things like eco-friendly towels and robes along with natural and organic skincare, essential oils and body treatments. These elements are a no brainer for modern LOHAS consumers who want LOHAS products without sacrificing quality. LOHAS consumers are also a main target audience for spas as many are those who frequent spas for massage treatments or other forms of wellness for the body and soul. (that would be me!)

The spa market has exploded in the last 10 years but the term 'spa' has been butchered quite a bit. I can go to my local Wal Mart or strip mall and find nail and hair salons with spa incorporated into their name - (usually in bright neon lights). However when I go into them nose gets singed with smells of chemical toxins from manicures or hair products or get blasted into the street from techno music. I often see  articles and pictures of exotic locations with luxurious hotels with spas included in glossy magazine spreads. All of course with a hefty price tag that limit me to my imagination as to what the lifestyles of the rich and famous is like. Call me old fashioned and snobby but that is not what I consider the true meaning of spa. The whole point of the creation of the industry was to generate awareness of self and healthy lifestyles. These initially were wellness centers that provided space for integrative alternative medicine practices such as massage, acupuncture, energy healing and meditation. Somewhere along the way external beauty, pampering and opulence founds its way into the mix and led the growth of the industry. When I was growing up hotels that had golf courses were all the rage and was a status symbol of a quality hotel. Now if the hotel has a spa it is considered a luxury hotel.

The economic crisis has caused many hotels to reconsider this paradigm. Insiders of the industry have told me that many hotels that incorporated spas into their properties from a 'me too' type of keeping up with the Jones attitude often did not factor the costs of operation into their profit/loss margins. Rather it was blended enigmatically into overall hotel costs. A spa on hotel property was a thing to have and since business was good the scrutiny on spas was limited. Nothing like a crisis to mix things up. Now that hotels are struggling with occupancy so are hotel spas. Those that did not have a structure to measure costs and profits are really floundering. This is also true with destination spas. Some say the wealthy are still booking and traveling - that market will stay the same regardless. But the so called 'wealthy wannabe' are the ones who are not spending. Overall spas are seeing their customers still come to their spas but are spending less per visit. This was echoed by many who I spoke to over the course of the event. For us to have a sustainable economy on all fronts we need to hit the reset button.

The spa industry was visibly hit at the event as well. Last year the ISPA conference had over 3000 people. This year there were about 1700. The exhibit space was also about half as many vendors as last year. Obviously the foot traffic was much quieter than years past. Yet I was surprised when I spoke to most vendors that they felt positive about the event. They said that although the traffic was less those that were walking the floor were serious buyers who were purchasing orders from them and there was more time for a deeper discussions and relationship building.

I think this brings up a very significant point for all businesses - how deep does a relationship go once the transaction is taken out of the equation? This is something that many companies are facing as many people are not spending. The old ways of business are being re-evaluated to figure out how to maintain relevancy in an environment that is transaction less. If you have ideas on next steps please share your thoughts.

I think that this is also a time of opportunity for spa leaders to refocus attentions on wellness. Health care is on the forefront of many people's minds with the debates on health care reform getting a lot of media attention. I think spas are a great place for educating people on preventative care and relaxation. Plus if you think a massage or organic living is expensive you should look at the price of health care. The spa industry has seen a purge of businesses. Now if they can re-establish the focus on the reasons for wellness I think we would all find that refreshing. I would love to hear your thoughts.