Building a strong business in the new spa landscape

As spas reopen in a very different business climate, Iain Bell, founder of the Executive Fitness Foundation, shares his tips for future success

All industries and service sectors have been hit hard during the past 12 months, but none more so than the Hospitality, Leisure and Tourism market and the Personal Care Sector, the government category under which UK spas fall.

Uncertainty, instability and financial challenges have become part of the landscape for all spas, but as a climate of derestriction gradually blossoms, their doors are opening once again.

In reality, the spa landscape has changed permanently and for the better; never before have operators been more aware of their bottom line and so driven to succeed. Over the past year they have shown tenacity, fortitude and brilliance in redesigning their business models to leaner versions that provide greater agility for a more sustainable future.

The matrix of Covid-19 will continue to exercise its influence on the spa industry through changes in government policy, operating guidelines or industry regulations. Infection rates, variants and vaccinations will also be vital factors in how spa and wellness providers can tentatively move forward.

Iain Bell is founder of the Executive Fitness Foundation. His global expertise spans over 30 years in wellness, health innovation and spa consulting. An expert wellbeing facilitator, educator, international speaker and writer, his passion is to connect holistic health with modern medicine. iain@ef1.com

But the spa industry has shown exceptional resolve and now must prepare to meet unprecedented levels of demand, fuelled by a global boom in the pursuit of wellness and health.

While international travel restrictions may continue and shift, for the rest of this year we will have an emergent and flourishing national customer base, so here are five topics all spas need to focus on in order to maximise the opportiunities that lie ahead.

A vision for reopening

As a spa manager or owner, now is the time to drive change. Be more mindful about the quality of what you deliver. Focus on customer experience, satisfaction and loyalty. This will secure a more financially bright Q3 and Q4 in 2021. Deliver your re-opening with clear communications and explicitly clear Covid guidelines, and be sure to demonstrate your commitment to customer excellence.

Wellbeing starts at work

Staff preparation and reorientation is central to change-management, leadership and recruitment philosophy.

In the aftershock of a mental health crisis, customers will flock to spas to rejuvenate their health, self-esteem and mental state. Your team members will also require this kind of support. In fact, their wellbeing should precede customer excellence. As a spa leader you will require a more people-centric style to ensure your spa functions highly with a motivated and happy team.

Engage your staff more in your operations and encourage their input at all levels. A strong operational dialogue will boost morale and job satisfaction, whereas a dictatorial leadership style can further fracture a fragile team, resulting in poor customer interaction, absenteeism and further costs to the business with high staff turnover.

Make your differences count

Running a business right now may seem daunting, but having conviction in what you offer and how it is delivered is central to boosting your revenue and achieving success.

Covid-19 has forced a shift from globalisation to localisation and on the high street more than three-fifths of UK shoppers have increased their support for local businesses. This means your business is in a better position to exercise its differentiation. Local produce in your food and beverage, and environmentally savvy organic products will all serve to boost your revenue and ultimately your brand and your legacy.

Start building supply lines with other spas and exchange products and produce to build your brand story and diversity. This will lead to increased customer engagement, greater loyalty and more revenue. The more clearly you showcase your service package, the more you will build credibility and loyalty.

A question of philosophy

To succeed in your service offering and motivate your team, your leadership style should reflect new perspectives and a fresh mindset. What you need is a mission statement that sets out your organisational intention, declaring your ultimate aims for purpose, service and above all action.

Highlight your core values, a sense of enterprise and a up-to-the-minute mindset. Pull together all of your organisational talent and harness all the factors you need to be agile, productive and sharpen your team’s mindset. This will provide a strong starting point for your new philosophy and will sit well beside your brand-building.

As you establish a more consistent online presence, your mission statement will always be there as part of your core values and company culture, so you, your team and your customers will all be on the same track.

Future-proofing your business

The last year has forced us to be creative and pushed us into maximising new methods and technologies. In many ways it has driven us to survive. This process has required us to think radically and to anticipate more potential instability, which will be vital if you are to futureproof your business.

E-commerce needs to be a vital part of any spa’s new skillset; a global survey by Shopify showed that 84% of customers shopped online during the pandemic, with nearly 150 million doing so for the first time in more than nine months.

Showcase your products, treatment menus and food and beverage offering; champion your staff and their expertise; engage with industry experts; tell your guests and clients about your digital transformation; show how active you are about your local environment and that you have a global understanding of recycling, energy and net-zero.

Furthermore, ask your clients to support and contribute to your efforts. Such engagement will only strengthen the long-term stability of your business and build greater loyalty.

Of course, the shift to online means that cyber security has never been more important. All businesses need to strengthen their internal processes to defend against malware attacks as part of this essential digital transformation. Customer data breaches and payment platforms must be afforded maximum security to protect privacy and identity.

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