Some refl ections on menu engineering
Peter C Anderson, owner, Anderson & Associates
The concept of free-form treatment delivery highlighted in a Spa Business feature (SB12/1 p26) – where there are four basic treatments, constrained only by time – recklessly ignores cost controls and product consistency, the backbone of menu engineering.
Financial analysis is also key. And we Spas are well positioned to take over from medical systems burdened by treating chronic diseases
Let’s move beyond lip service for wellness
Samantha Foster, director of business development, Destination Spa Management
For most spas, wellness services are those that promote relaxation, and/or provide some means of empowerment to cope with stress, such as massage, yoga or meditation. For medi-spas and those with a higher tech focus, the most excitement has been around anti-ageing and longevity, ranging from cosmetic procedures to bio- identical hormone replacement. Is this really wellness? A commonly cited defi nition is that “wellness is a state of complete physical, mental, and social wellbeing and not merely the absence of disease or infi rmity”.
Surely then, we should be doing more than a temporary reduction in stress or wrinkles! While we are eager to offer our clients the latest in anti-ageing, shouldn’t we fi rst be ensuring that a foundation of health is in place?
As wellness professionals, we need to understand the big issues that lie at the heart of global health concerns. For me, that means fi nding ways to deal with the world’s biggest killer – chronic disease.
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The World Economic Forum recently reported that the fi ve most common chronic diseases – cancer, diabetes, heart disease, lung disease and mental health disorders – will cost the world US$47 trillion (€36tn, £29tn) in treatment and lost wages by 2030. These largely preventable diseases are responsible for 63 per cent of all deaths worldwide. Historically, we’ve left it to governments and the medical system to deal with chronic disease, however they’re collapsing under the burden. The situation is now so large it can only effectively be controlled through a focus on prevention. Of all industries, the wellness industry is the best (and only) industry that is positioned to manage and prevent this pandemic. To date, we’ve failed to address chronic disease head-on – perhaps it seems too big; perhaps because it’s not as sexy as anti-ageing. Yet I strongly believe it is our biggest opportunity – both in terms of business and social contribution. In this era of improved technology and increased collaboration, the opportunities to positively impact on our guest’s health and lifestyle are ever-expanding. To that end, I’ve started a new LinkedIn group: Wellness Alliance against Chronic Disease. If you’d like to join the discussion and collaborate on solutions, please sign up.
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spabusiness.com / digital 15
start to muddy this process if we divert our emphasis to the more creative, cultural/ locational and brand-based components of menu engineering. However, understanding why an item may not be popular or knowing what can be done to enhance margins is where the real work begins. This is the alchemy that transforms our fi nancial data into comprehensive and actionable information. In addition, while its roots lie in disciplines used in food and beverage, the menu engineering process for spas is different – guests lying naked at US$3 per minute, have different sensibilities and expectations from diners. Well-vetted chefs should be able to execute every item on the restaurant menu; the same is not always true for therapists. Therefore, training and staff development costs (over and above the payroll associated with the specifi c treatment delivery), must be quantifi ed and factored-in when making menu inclusion and exclusion decisions, especially in markets with a shallow employee base.
While it may appear that customers are looking for smaller price points, the truth is their search is actually for value- for-money. Customised mini-protocols tailored to their needs are a step in the right direction, as they provide fl exibility in choice and price. A dynamic menu, in sync with evolving guest expectations allows you to have treatments that are both popular and profi table.
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