Successful Spa Sellers See a Growing Market
by Harvey ChipkinSpecializing in selling spa vacations is not necessarily relaxing, but it can be rewarding. Spa travel can be a solid business niche for travel sellers but, as with most specialties, it takes a lot of research and ongoing education to keep up with a changing product and market.
To learn how to succeed in the spa niche, Travel Market Report spoke with two agents who count spa vacations among their specialties – Betsy Donley of Camelback Odyssey Travel in Phoenix and Jill Leeds of Just Spas and Adventures in Bolton Landing, N.Y.
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Rethinking spas
“Spa has come a long way. It has turned into a wellness experience,” said Donley.
“In the future – and this is already happening – spas will market themselves as wellness spas. As millions of people turn 50 and 60, and want to act like they’re 35, they’re very conscious of wellness. People are really into it.”
A typical spa vacation today is likely to incorporate programming in areas such as how to lead a stress-free life, how to meditate and interpersonal communication. “It all contributes to this wellness concept,” Donley said.
“The word ‘experience’ is overused in travel now, but it genuinely fits for spa. If you go to a spa and they have speakers addressing subjects that apply to your life, you will come out in a different place,” Donley said, citing the destination spa Miraval in Tucson as an example. “Guests leave Miraval really taking in what they have learned and what they experience.”
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Foundation of her business
Leeds said her own experience visiting spas changed her life. “I had been retired for two years and going to spas was part of why I decided to start this business.”
Leeds saw a product that appealed to her– and a market niche with business potential.
“Travelers don’t want to just sit on a beach anymore. They want more active travel. Why not start a business that incorporates what the next niche will be and have expertise in that area. The Internet was just coming into being, and I thought I would become the go-to person online for a certain kind of trip.”
After selling spas for a while, she said, “I was able to expand to other products – villa rentals, cruises and river cruises. It’s all about providing great personalized service to clients.”
Incorporating spas into other trips
Donley recommends that travelers include a spa component on all their vacations. “Whether it’s a destination spa or simply having a treatment in a hotel, spa is always part of any trip planning I do. Travelers love spas, especially after they’ve been to a destination spa.
“Whether you have clients who are going to Bali or fly fishing or taking a bike trip, incorporate spa into any of that,” she advised.
These days, agents can pretty much find a spa wherever a client is going, said Donley.
And the variety of spas is expanding. “There’s a place called SHA (SHA Wellness Clinic) in Valencia, Spain, where they have a macrobiotic diet. Ranch at Live Oak Malibu has a seven-day program with lots of exercise and diet. It’s like an ashram, only it’s luxury.”
Mother-and-daughter market
The consumer market for spa travel has moved well beyond the traditional one of women traveling together. One extension of that is mother-daughter groups.
Donley has one mother-daughter group that has visited Miraval annually for 11 years. “It took me four years to convince the mothers to do it,” she said.
“They come from all over the country. We have formed a bond with these mothers and daughters, who now have daughters of their own almost ready to join them. Sometimes boyfriends and husbands accompany them.”
More target markets
There are few limits to potential customers for spas, according to Donley. “You can send honeymooners to a spa, and lots of people do their anniversaries there. I just had a couple in their 40s go to a spa for their anniversary.”
Leeds noted that more and more men are going to spas, “The last time I was at Miraval about 18 months ago, a third of the people were men – and it was not a special men’s week.”
Another market segment for spas is physicians seeking continuing education. “Some spas, like Canyon Ranch, do CME (continuing medical education) programs,” said Donley. “If you have potential clients in that niche it can work out well. “
Weight loss too
Leeds has also expanded her business to include weight loss, which has become a “big part” of her business, she said.
“Spas like Red Mountain have excellent programs for people with serious weight loss issues. I have been to others – like Pritikin in Miami and Blue Pearl in Laguna. I can talk to clients about the food and accommodations in these places.”
Qualifying matters
Though the market for spa vacations is wider than ever, agents still need to qualify their customers to match them to the appropriate spa.
“Agents should really know their spa clients,” Donley said. “I can tell somebody you ou should go to Canyon Ranch on this occasion and to another spa on another occasion – depending on where you are in your life.”
Prospective spa clients may contact her with a vision of what they want, but they still need to be qualified further, Leeds said. “They might call and say they heard of one spa, but I ask a lot of questions. I might tell them they don’t want to go to the original spa they mentioned but to another one. It depends on their expectations.”
Commission complexity
The revenue potential of a spa sale varies considerably.
Spa commissions are complex and depend on the individual spa, according to Donley. Some spas pay commission on an entire package – including meals and treatments. Others pay commissions on the room only.
“Spas are sort of in between cruise lines and better-paying products as far as commissions. Sometimes you might not get that large a commission even if you’re sending quite a few people,” Donley said.
Marketing spa travel
Donley promotes spa vacations by notifying clients of specials such as fourth-night free offers. “There are regularly specials, even at upscale spas like Miraval and Canyon Ranch.”
The Internet drives most of Leeds’ spa business.
“I really focused on SEO in the beginning. That’s how I get 99% of my business.
“If you search for weight loss, I come up pretty early on Google. I started on Google with pay per click, but eventually I began to come up in the natural search.
“One thing that sets me apart is that I have been to just about every destination spa,” Leeds said.
