Archive for August 13th, 2007

SPA CONSULTANCY IN DETAIL

Monday, August 13th, 2007

Thai SpaThe current trend for Hotel Chains is to move away from the ‘outsourcing’ of spas to the development of their own unique brand.  This has come about as a result of increased knowledge by hotel operators as to the requirements of how a spa works; the increased pool of experienced spa managers and the general desire to provide a ‘unique’ product that is suitably linked to their own branding image.  Probably more importantly, they are now realizing the profit potential of well run spas, and the fact that spas are not a ‘fad’ and are here to stay.

Spas by nature provide a very personal experience and while this may have been more the reality from smaller boutique hotels in the past, the larger hotels and chains are now realizing that they too can provide a very personal experience even thought they may be dealing with a much larger market segmentation, and the significance of having an ‘own brand’ spa is no small part of this.  Added to this, Hotels must regularly undergo a review and refurbishment of their operations and outlets and the hotel Spas are now falling into this requirement also.

Poolside SpaThis need to refurbish and update, reflecting the demands of the hotels (real or perceived) clientele, providing a more appropriate image for an ever more educated and sophisticated spa going public is also becoming obvious in terms of market positioning.  The Shangri-La has developed the Chi Spa, the ‘W’ brand hotels joined with Bliss, the Hilton are in the early stages of developing their spas and then there is smaller hotel chain operators such as the Banyan Tree with spas of a standard to which many spa operators and hotels still aspire.

The few companies with Asian experience, such as Banyan Tree, Mandara and Six Senses have all begun re-branding, and or development of other brands to try geared to different spa market sectors, so as to maintain their market position.  Having said this, there is still plenty of opportunity for other hotel chains to re-brand themselves in terms of their spa offering, and to differentiate themselves from the ‘rest of the crowd’, creating a genuinely unique product in keeping with their market positioning.

MassageEmployment of a spa consultant to assist with this re-branding is not only a financially sound one, but more importantly a common sense approach as other hotels chains found out.  Despite the increasing understanding of Spa operations by hotel operators, Spas remain a unique product that cannot be operated with the same ‘bottom line’ dollar driven focus that a hotel is run with, and must focus on the individual – something which may hotel operators find difficult to fathom.  To work with independent thinking industry professionals that are not linked to any other specific brand, yet are experienced in spa development, enables fresh ideas without the blinker approach resulting from an ‘internal’ re-brand, especially in the early development stages, to be brought to the table.  Operationally it will ensure good work flow, and the opportunity to maximize profit potential, while retaining the most cutting edge end product that is custom designed from start to finish to suite the client and its market position; a customized offering, not just a ‘copy’ offering.

Massage BedHorwath Spa Consulting Co., Ltd. an independent franchisee under the Horwath International umbrella of companies, has the professional credibility of being part of Horwath International, one of the worlds leading Hotel & Leisure management consultancy firms, and whose independent franchise members have a lengthy client list including most if not all of the major hotel companies of the world.  Horwath Spa Consulting may be a relatively young company, having only been established since early 2002, but the extensive experience that the team has gained in the hospitality industry (collectively over more than 70 years, of which almost 40 years has been in the spa sector), has proven to be a winning combination, with spas in Thailand, India, China, Turkey, Vietnam and Singapore to our name, either independently during our working careers or under the banner of Horwath Spa Consulting.
Asian therapies provide by Asian therapists who have a natural caring nature, using Asian products with centuries of healing tradition, have to be experienced to be believed.  Many have tried to copy the intricacies that are offered, but it is only those with their heart in Asia that have a true understanding of it all.

Spa MassageWith a diverse range of projects to our portfolio, from cruise ships to day spas, hotel and resort spas to destination spas, each of which offers its own unique challenges to ensure that they are set up to maximize profit potential and achieve market share, has been a challenge, but one to which we feel proud to say that we have achieved.  This is further underscored with the number of spas who are now extending contracts and signing Horwath Spa Consulting to management consultancy contract.

Being based in Asia, the heart and soul of the Spa industry is also seen as a key to this growth and development.  The ‘west’ is now looking to the ‘east’ to learn more about nurturing, holistic health based on many centuries of practical experience, but all too often to which there is no ‘real’ understanding.  The recent explosion of interest in Thai, Aryuvedic and Chinese products, techniques and therapies has a long way to go before appetites will be sated.

Spa ConstructionDepending on the size and type of spa, a consultancy set up period can be as little as four months, but this time frame is rarely set by the consultant, as it is generally the construction teams that define this issue.  As a consultant, our work does not cost the client any more if it is for a longer period of time, as we work on a set project fee, payable over the life of the project, so the earlier that we are employed, the lower our monthly payments will be.  Other than the Training Fee, which can only be established once the spa menu is finalised, our fee is a one of fee that will take you from concept through to operational opening.  A separate contract will be required should on going management be required, but whether or not this is required, we will still set up the spa to the same standards as if we were not the management consultant.