Spa Balance

GOP PATH – An interesting KPI for the spa industry?

  In terms of revenue management, the spa industry has learned lots from the standards that the hotel industry has been using to measure performance. In fact, it was from the hotel industry’s REVPAR (revenue per available room) that we delved into the time element of our operations and adopted REVPATH (revenue per available treatment […]

Essential Key Performance Indicators in the Spa Industry

  In this series of posts dedicated to revenue management in the spa industry, we have talked about the importance of tracking occupancy figures, RevPath and establishing logical rate fences. We have also argued in favour of an integrated approach capable of providing spas with the ability to market and manage every available moment of […]

RevPATH and the art of understanding time to improve yield management in the spa industry

  Last week, we introduced some of today’s most challenging issues surrounding yield management in the spa industry. Furthermore, we stressed the importance of bringing an integrated approach into revenue management capable of providing spas with the opportunity to measure time as a crucial variable to understand revenue-production performance. In our previous post, we briefly […]

Re-Defining Yield Management in the Spa Industry

  In previous posts, we have discussed the importance of adopting effective yield management within the spa and wellness industries. There is little doubt that this is a crucial issue especially with the worldwide revenue our industry generates each year (over US$70 billion) and the ongoing challenges and opportunities we face. Our previous discussions covered […]

Hotel Spas and Revenue Management

  This month, we would like to share some articles dealing with spas’ day-to-day operations and revenue/profit strategies. We would like to kick off this series with a post where we will take a look at the benefits that hoteliers can perceive if they add their spas to their revenue management system. In order to […]

Spas and Treatment Menu Engineering

  Creating the right menu for your customers is an essential ingredient of the success surrounding any spa. Menu engineering is the art of implementing such a menu. This post takes into consideration some of the insights shared by Katie Barnes in a recent article published on spabusiness.com. The following post introduces the development, basic […]

10 Corrective Strategies for Spa Revenue Optimisation

  During the last two decades the spa, beauty and wellness sectors have benefitted from an exponential growth which boosted the entrance of a great number of entrepreneurs from other sectors to these ones in order to seek opportunities for quick money and success. Unfortunately, many investments did not meet the expected goals as the […]

Pricing Strategies: The Right Price

  Understanding how to create and implement a coherent spa pricing strategy is essential for maximising yield. There is no doubt that implementing a coherent pricing policy is one of the key factors for ensuring optimum revenues and higher profits.  But what constitutes a ‘coherent pricing policy’?  What are the important variables that need to […]

New Model of Revenue Management for Spas: Lessons from the Hotel Sector

  In terms of yield management and optimizing revenue, there is a lot the spa industry can learn from the hotel industry. In fact, thanks to the similar complexity that goes along with the management of pricing and rate levels for hotels and spas, the new customer-oriented approach taken by the hotel industry looks like […]