The Spa’s the Limit

The day spa is a fast-rising profit center, and clubs are trying to take it to the limit establishing spa services. But for a spa to be successful, many factors must be considered. Laurie Helmick, past president of the Oxford Aveda Spa, Salon and Health Club in Denver, Colo., warns that space is a huge factor when planning a spa. She recommends allocating at least 2,400 square feet for the complete spa, but a minimum of 600 square feet will suffice if you maintain only one spa service. And if a hair salon isn’t part of your plan, then 900 to 1,200 square feet is sufficient. A complete spa typically includes five hair chairs and six to eight treatment rooms.

The average total cost for a 2,400-square-foot day spa is $250,000, which comes out to $75 to $150 per square foot. A staff of 20 to 25 includes two to seven hair stylists, 10 therapists for six to eight rooms and two nail technicians. A licensed aesthetician is also a nice addition for the complete spa. Hiring a spa manager is sometimes difficult. The right person for the job must be both creative and practical, and fit into your budget. Outside hiring is almost always necessary to ensure a successful spa business.

Oxford Spa Club maintains a 10,000-square-foot center and grosses $2 million a year. It provides a plethora of pampering services including hair and nail care, make-up consultation, cosmetic products, facial and leg waxing and massage therapy. The staff provides facials to members in the locker rooms to promote the facility’s hair and make-up products.

The spa is integrated into the standard club tour, and spa news is also covered in the club newsletter. When Oxford opened 11 years ago, they had a 2,000-square-foot spa, and it wasn’t until five years later, that spa amenities became popular with members.

“People started to see the value of one-stop shopping,” Helmick says. Three-quarters of their profits come from day spa revenues.

To promote your spa, send press releases, advertising amenities and services to local publications. When recognized by local papers, clip and post articles on a bulletin board inside your club. Also, capitalize on any notable person visiting your facility by having them try out your services. Many people visit not only to work out, but to pamper and rejuvenate themselves. Your facility can profit from this by offering services and products that go beyond strictly fitness.

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