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Event Review: Spa and Wellness Forum 2015


Crystal Chesters, April 22nd, 2015

Trends, spa positioning, getting the most out of spa therapists, and how best to deal with inappropriate guest behaviour were some of the key issues that came to the fore at the Hotelier Middle East Spa & Wellness Forum, which took place on March 10 at Grosvenor House Dubai.

The Hotelier Middle East Spa & Wellness Forum attracted more than 160 of the top spa and wellness experts from around the UAE and beyond, to discuss the topics most relevant to the industry today. The event, which took place on March 10 at Grosvenor House Dubai, was held in association with Lucrea General Trading, and exhibitors included ManageMySpa and RNS Beauty Personal Care & Equipment.

Panel debates covered a range of pertinent issues, such as whether real return on investment can be generated from the latest trends in spa; how to make sure spas are an integral feature in a resident’s lifestyle, and how to get the most out of spa therapists — the most important element of a successful spa operation.

PRESENTATION: THE FUTURE OF SPA IN THE MIDDLE EAST
Paul Hawco, director of Talise Spa operations, Jumeirah Group presented a study on the growth of the wellness industry and how to measure profitability.

According to Hawco, wellness is now a US $3.4 trillion global industry —three times bigger than the worldwide pharmaceutical industry.

The spa industry alone accounted for $9.4 billion in 2013, while wellness tourism accounted for $494 billion. To continue this growth, Hawco suggested it’s time the industry answered some tough questions about the relevance of hotel spas in the region. He offered some early-morning food for thought with these questions:
• Are we financially relevant within the hotel industry based on our ROI/overall contribution?
• Without industry benchmarking KPIs, will we ever be able to discuss performance with hotel leaders, who do not understand the business?
• Are we in danger of being one, homogenous industry with little differentiation between brands, programmes, and design?
• Everyone wants wellness but no one knows what it is exactly, or how it might make a business case. Are we sure hotel guests want it in the hotel environment?
• With increased points of entry, and consumers exposed to spa and wellness everywhere they go, will the industry flourish in the right direction and continue to build trust?

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PANEL DISCUSSION: THE MONEY IN TRENDS
During the first panel discussion of the day, panellists debated whether spas should respond to a burgeoning medical tourism market with non-invasive cosmetic procedures as a means of generating extra revenue. Recent studies by Dubai Health Authority have shown that Dubai attracted more than 100,000 medical tourists in 2014, and the field is growing.

During the session, moderated by Ròya International hospitality consultant Jennifer B. Houchaime, experts agreed that spa professionals should focus on their own core offerings rather than resort to implementing cosmetic procedures.

Shahida Siddique, owner & CEO, Spadunya colour experience and Altearah Bio commented: “I don’t think we need to get into someone else’s territory, I think we have to focus on what we’re good at. Let the plastic surgeons do what they’re doing. There are so many plastic surgeons, we need to focus on wellness.”

Lindsay Madden-Nadeau, director spa integration and operations, FRHI Hotels & Resorts warned that international hotel operators could face major challenges should they introduce cosmetic procedures.

“When you’re thinking about big corporate names of hotels it would come back to reflect the group,” she said. 

“You have to be careful it’s not a Mickey Mouse operation and that it’s set up properly. In FRHI if something were to go wrong it would affect our company globally. If something is invasive you’ve perhaps got to take a step back on that.”

Gopal Kumar, spa director, Burj Al Arab, believes, however, that there are opportunities for spa operations to support and complement the offerings of cosmetic surgeons, rather than emulate their treatments.

“Preparing them and recovering them, that’s where the spa comes in. It can prepare a client to go there and then help with the recovery.

“Oxygen facials benefit you if you’ve had surgery. If you go to an oxygen chamber your recovery is much faster. “It goes hand in hand and it will enhance the whole thing together,” he added

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PANEL DISCUSSION: SPA AS A LIFESTYLE
Kalon Spa Consultancy managing director Lulu Katrevesis asked the group how they address last-minute cancellations in spas — a prevalent concern in the industry.

Gates Hospitality chief executive officer Naim Maadad said that the trick is to be on good terms with clients.
“It’s about building a long-term relationship and how you deal with the cancellation process,” he commented.

“Today it’s so easy to get on the phone and cancel a reservation, so I think we need to be savvy and say ‘okay, if you can’t come today then let’s reschedule’ — secure that booking.

“Turn that negative into a positive and make them feel that you’ve welcomed that cancellation with the hope that they’ll rebook again rather than being disgruntled.”

Heart & Soul Spa’s spa director Maria Antonela Axinte also pointed out how the practice of cancellation fees no longer applies at her spa, because it deters people from booking.

She explained: “Men and women today just avoid making appointments at spas that do have cancellation fees. At our spa we have a waiting list, and due to the popularity, when somebody cancels, we call the next available person on the waiting list.”

Sofitel The Palm Resort & Spa Dubai spa manager Chané Sandor suggested offering pre-paid packages, that would perhaps help spas reduce their loss of revenue for cancellations, and would secure clients.

“What I also think helps is advanced packages, so you can purchase a package of five treatments and pay for them at one time. So it’s kind of like a loyalty programme. They’ve already paid for the five treatments, knowing they have to come, and you can also help by being flexible with rescheduling their appointments.”

Sandor also highlighted the importance of courtesy calls by therapists to remind customers of their appointments, which would also give the team enough time to fill in an open spot in case of a cancellation.

Spadunya owner and chief executive officer Shahida Siddque said her outlets also offer prepaid packages, which work well.

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PANEL DISCUSSION: SPA POSITIONING – WHAT IS ITS ROLE IN A HOTEL?
Led by Aoibheanna Bonner, corporate director of spa operations, Rotana, the panel largely agreed on the need for more benchmarking in the spa industry in the Middle East.

Park Hyatt spa manager Ghassan Amer said: “It’s very good to study your business, analyse your strengths and weaknesses and track the behaviour of your customers.

“With my colleagues we always keep in touch to share figures and see how things are going in the spa and I think there should be a spa council for the UAE.”

Emirates Palace spa director Hannah Dowd agreed that a forum for sharing information would be beneficial.

“I think there’s a need for it so we can share figures among hotels. A lot of companies are not willing to do so, however.

“If they’re protective about financials we can look at other areas where we can do benchmarking, for example, city spas vs resorts, so we can have an idea of what’s happening in the rest of the UAE in Abu Dhabi and in Dubai.”

Bonner added that she believes benchmarking reports are useful “as long as spa managers are using them to identify trends and not just for the sake of writing a report”.

Ritz-Carlton Dubai director of spa Maria Haggo agreed with Bonner, saying: “Absolutely, if you’re only comparing yourself to yourself, how do you know how well you’re doing?

“At Marriott International, we’re quite detailed and we share how our different brands are doing internally, but we’re comparing ourselves to different markets, so it’s not really apples to apples.

“I believe there was something in place a few years ago and it’s worth picking up to set goals. On behalf of Marriott International, we’re still committed to being part of that.”

Michael Monsod, Zaya Retreats director of spa and recreation added that sharing results and targets within the team is also important.

He commented: “Benchmarking is really important and it’s important to share with your team as well because they need to know, they need to understand what your targets are and how to get them.

“The KPIs are a great way to illustrate your targets and how you’re doing beside your competitors.

“So definitely share these with your team, don’t just talk to them about treatments, but also the financial side of the business,” Monsod added.

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PANEL DISCUSSION: GETTING THE MOST OUT OF YOUR THERAPISTS
After lunch, experts discussed their concerns regarding employee turnover, and agreed that offering a career path, succession planning and recognising efforts can be the key to retention.

During the session, moderated by Ròya International hospitality consultant Jennifer B. Houchaime, Fairmont the Palm director of spa & recreation Kamal Khalil said: “Give them a career path, commitment to be loyal and succession planning, and listen to every single complaint.”

However, spa director at Heart & Soul Spa Maria Antonela Axinte believes that motivating staff is more complex, commenting that the key is identifying the distinct motivations of each staff member. “You will always have people who want a career, and then some who just want a job. You need to know who wants what, and what motivates them,” she said.

Dreamworks Spa general manager Christian Kiefer agreed, saying: “We need to look at people individually and find out what motivates them.

“A 21-year-old from Britain will probably have a different motivation to a 29-year-old Filipino who has a family at home.

“Also, you need to give your staff a sense of belonging.”

Panellists also insisted that being careful when recruiting, and nurturing relationships once a person is on board, is crucial.

Axinte said: “I think it’s important to pay attention during the recruitment process. You must not only look at what’s on the CV but see through it. Read between the lines.” She added that establishing a relationship and an open-door policy helps win employees’ trust and loyalty.

Managers should not shy away from offering constructive criticism, for this paves the way for development and career growth, Axinte concluded.

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CLOSING SESSION: OPEN PANEL
The final session of the event was an open panel with a selection of experts on stage to take questions from the audience. One issue that came up during questioning, was the challenge of inappropriate behaviour from guests at spas in the region.

Members of the audience questioned why hotels and high-end spas were held to different standards, when compared to smaller standalone massage centres.

Paul Hawco, director of Talise Spa Operations, Jumeirah Group said the rules on cross-gender treatments are very clear.

He commented: “I’m part of a government operation so we lobby people and speak to the authorities and try to get a better understanding because the original document from 1978 is very vague. We continue trying to speak to them, and I think some things could be updated.”

Rotana Hotel Management Corporation’s corporate director of spa operations Aoibheanna Bonner also pointed out the need to provide a safe working environment for therapists.

She said: “It’s important for us to create an environment that is comfortable for the colleagues who are working for us, and to create an environment where they are treated as professionals.”

Grosvenor House & Le Royal Méridien Beach Resort and Spa complex director of spas Galina Antoniouk added: “When it comes to educating the public, you can’t educate everybody. Training the staff is the most important thing. In the beginning, when people face this situation, it will make them very uncomfortable, but as a spa manager, it’s important to give them the training so they feel confident and protected.”