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RESEARCH


in-depth treatment offerings than locals, it’s no surprise that the wellness in spas in Jordan offering is far more sophisti- cated and has a focus on natural healing. At the 6,000sq m (64,583sq ft) Zara Spa at the Mövenpick Resort & Spa Dead Sea, for example, there’s a 200sq m (2,153sq ft) medical clinic which has doctors, nurses and consultants who can offer hydro- therapy, electrotherapy, dermatology and rheumatology treatments. That’s on top of therapeutic sessions in the Dead Sea and a range of pampering services. In contrast, local customers are the


mainstay of hotel spas in Doha and Bei- rut. In Doha, 80 per cent of customers are locals from outside the hotel, while Beirut has 64 per cent of customers who aren’t hotel guests. Location is key here as hotel spas in both Doha and Beirut are usually conveniently situated in downtown areas in close proximity to the local population.


Spa RevPATH


Time is money and the revenue per avail- able treatment hour (RevPATH) model captures the money that a spa generates with time being the common denominator. This is conceptually similar to the revenue per available room (RevPAR) concept used widely today in the hotel business. The RevPATH method allows for an accurate evaluation of performance across different spas irrespective of location as it compares performance to time. Each spa


Table 1: Revenue per Available Treatment Hour (RevPATH)


Revenue per Available Treatment Hour US$


2010


Dead Sea Doha Beirut


15 22 N/A


2011


12 23 16


2013 (Aug) 14 33 15


100 spa business handbook 2013


A honey date detox wrap at the Six Senses Spa, Evason Ma'In in Jordan


Hotel guests are the main customers in Jordan... while local customers are the mainstay in Doha and Beirut


operator should use the RevPATH model to profi le customers, preference of treatments and high volume period in a day, month and year. Promotions, staffi ng, opening hours and tie-ups with the hotel can be designed around this matrix if carefully planned. In our evaluation of the three Middle


Eastern markets, Table 3 shows that Doha witnessed the largest growth in RevPATH over the three years, with a 50 per cent growth from January 2010 to August 2012 to US$33 (¤26, £22). When it comes to RevPATH both hotel


spas in the Dead Sea area and Beirut expe- rienced a slight decline. From January 2010 to August 2012, RevPATH in Dead Sea spas


dropped from US$15-14 (¤11-10, £10-9) and from 2011-12, RevPATH in Beirut spas it fell from US$16-15 (¤12-11, £10-9).


Fitness and retail revenue Fitness revenues are high contributors to total spa income in the Middle East. In Doha and Beirut spas, fi tness membership made up 57 per cent of total revenues, and this is growing, with spas seeing an increase in fi tness revenue from 3 per cent (Doha) and 8 per cent (Beirut) from 2011-2012. Because of their location away from affl u-


ent inhabitants of Amman, 40km away, spas in the Dead Sea market area don’t gen- erate any money from fi tness memberships.


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