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Spa Studies in the News
What Should Spas Offer in the Face of Increased Competition
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Big Deals or Quality?
by SpaQuality
LLC If
you read Avery Johnson’s 3-4-06 Wall Street Journal article, Competition
Forces Spas to Offer Big Deals, you are familiar with the statistics he
sites that indicate a spa industry slowdown: •
revenue peaked in 2002
• spa visits dropped by 13 percent from 2001 to
2003
• The spa slowdown came on the heels of several difficult years
for the travel industry
• Increased competition from an increasing number
of spas
and
what some spas are doing to try to keep their share of the market: •
Stepping up marketing programs that keeps guests from sampling the competition
• Offering expensive upgrades
• Creating loyalty programs
•
Offering big discounts on return visits
Offering
bribes in hopes of earning guests’ loyalty is one method. However, data from
other industries indicates that once you begin such tampering with cost, it is
generally impossible to recover. It continues to directly impact profit even after
the market condition is corrected. When the bribes and bargains stop, the Guest
starts looking elsewhere. A more viable long-term strategy is to focus on quality
and delivering what the Guest values. By providing good value, impeccable and
personalized customer service, clean and comfortable facilities, and reliable
and effective treatments Guests remain loyal.
Having and using a vigorous quality management system,
such as that described by The
International Standards of SpaExcellenceSM, is a far more effective
way to earn Guest loyalty than frequent-buyer-style loyalty programs,
deep discounts, or other temporary perks. When Guests return, the
Spa can be assured that the Guest will experience the quality that
the Spa has worked hard to deliver. Offer Guests consistent quality
and value, and they will go out of their way to pay you for the trip.
Order
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Welcome
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Daily
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One
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The
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$149 per night
Includes:
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Resort fee waived
01/01/2010 - 03/31/2010
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Farmington, PA
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A
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