1. Health & Well-being in Europe & Asia
Spas existed as early as 1900s, revolved around hydrothermal and bathing, mainly focused on mineral spring spas and thalassotherapy.
Spas debuted in 1990s, still in infancy stage, and draw upon rich healing traditions of the East, past down from generations to generations.
European spas mainly associated with high-tech clinical environment and medical approach. Higher labour costs as a resulting from short staffing increases operational costs.
Eastern healing traditions focus on high-touch low tech delivery. Relatively lower labour costs encourages the high-touch nature of spas.
Water therapy continues to be popular at European spas and most spas provide medical treatments and expertise.
Spa-goers visit spas for fitness and beauty, to manage stress, seek peace of mind, achieve wellness and health.

2. Health & Well-Being Destinations
Current travel trends reveal a convergence of health, travel and hospitality, and the spa industry is emerging to fulfil these needs by embracing wellness and focusing on experiences.
In offering wellness, the spa industry not only offers luxury and pampering as when it first started, but is now entering the arena of providing health care.
More and more spas are providing a range of products and services that enhance health and well-being drawn from rich healing traditions and wellness programmes involving the four key aspects of fitness, nutrition, spa and beauty therapies and mind-body health.

3. Health & Well-Being Destinations
To illustrate, spas like Banyan Tree Spas are taking on an integrative approach by combining holistic healing practices with hospitality and leisure which are carried out in nurturing ambiences.
The positioning of tourism destinations as health and well-being destinations result in destination spas which are built primarily to provide spa and wellness activities for guests.
Popular destination spas are prevalent in countries like USA, UK, Indonesia and Thailand.
While destination spas have high capital costs for spa equipment and expertise compared to other types of spas, they achieve efficiency by providing multi-revenue options in rooms, F&B, retail, pre-booked treatments and activities.

4. Health & Well-being Destinations
In addition, destination spas achieve economies of scale by attracting guests who are interested in their activities and programmes.
As consumers evolve from merely seeking spa treatments to wellness programmes, Banyan Tree Spa introduced Retreat For The Senses in July 2009.
Retreat For The Senses is designed as an all-encompassing offer featuring room stay, spa treatments, wellness cuisine, activities and yoga and meditation classes to meet the needs of more sophisticated consumers.
With the emerging trend of spa as an integral part of health and well-being, consumers are increasingly seeking destination spas and the services and facilities available.

5. Challenges of Health & Well-being Destinations
Increased competition from both local and international operators, prompting the need for differentiation through new innovations, strong and unique branding.
Industry pioneers may suffer from complacency with their established position, resulting in lack of innovation to stand up against new entrants.
Economic and other natural occurring crises i.e. human communicable diseases impact the demand for tourism negatively.
In face of competition and economic crises, price sensitivity of consumers result in a need for a reduction in price standards of tourism.
High operation costs in Europe and shortage of staff result in high operating cost, lower labour costs in Asia but lack of expertise.

6. Challenges of Health & Well-being Destinations
 Maintaining price competitiveness without compromising brand image.
Retaining and developing strong labour force through training and good welfare to counter increased labour costs.
Building excellent facilities, providing outstanding products and services and yet maintaining corporate social responsibilities.
Operating the business through optimising profits but at the same time play a part in conserving the natural environment and empowering people.

7. Banyan Tree Spa in Europe
As a leading spa operator and the pioneer of the tropical garden spa concept in Asia, Banyan Tree Spas debuted in Europe with the launch of Angsana Spa at Tivoli Marina Vilamoura and Elements Spa by Banyan Tree at Tivoli Victoria in Portugal, introducing its award-winning blend of Asian hospitality and expertise.
Banyan Tree’s presence in Portugal will strengthen with the upcoming openings of Spas in Palacio Estoril and Tivoli Lisbon as well as Banyan Tree Alqueva.
Banyan Tree Spa’s strong branding and spa expertise differentiates it from its competitors.
Being a pioneer in the spa industry, which is in its infancy in Asia, industry benchmarks are lacking. Recognising that a high level of consistency and quality are the essence of the Banyan Tree Spa experience is delivered, Banyan Tree Spa Academy in Phuket, Thailand was set up in Its spa therapists undergo more than 300 hours of rigorous theoretical and practical training.

8. Banyan Tree Spa in Europe
Deployment of its therapists around the world allows Banyan Tree Spa to maintain a high level of service quality and keep operational costs competitive.
Besides training and development of spa therapists, Banyan Tree Spa Academy is tasked with research and development to introduce innovative spa experiences across more than 65 Banyan Tree Spas and Angsana Spas in over 25 countries.
Banyan Tree Spa brings its expertise as a leading spa operator in the development of spa concept, pre-opening management, spa operations, sales & marketing, spa audit, quality assurance and professional staff training.
Focusing on Asian therapies and the use of natural ingredients in spa treatments, Banyan Tree Spa incorporates natural ingredients from Portugal into its spa therapies.

9. Spa Companies as Big Player
In the past, spa is an optional facility in a hotel, but nowadays, spa has become an integral facility of hotels above 4- to 5-star standards, similar to fitness, swimming pool facilities which are necessities.
Spa is a value-added facility for hotels and today, there are significant correlations between spa, hotel and tourism industries.

10. Spa – A Core Value-Add For Hotels
Despite the economic downturn, spas observe a positive trend and visiting spas remain popular amongst the modern guests who seek ways to manage stress.
At some hotels/resorts i.e. Spa Resorts and Destination Spas, the spa factor rather than the accommodation is the focus, and guests select these resorts based on the spa experience.    

11. Boosting Hotel Revenues Through Spa
An excellent spa facility boosts the overall standards and reputation of a hotel, enhances guest experience and satisfaction and aids in boosting the average room rate.
A hotel with an outstanding spa facility can be used as a unique selling point to differentiate a hotel from its competitors and is able to be marketed with higher priced packages incorporating spa component.
Revenue from hotel guests, both leisure and business, as well as local market, can be increased with the presence of a spa within a hotel.
A spa will add revenue to a hotel’s bottom line by increase in room rates, which in turn increases Revpar.

12. Managing a Spa
As spa is a profitable and profound business, it is an increasing trend for hotels to engage professional spa management companies to manage or operate spas in their hotels.
Spa management companies offer investors and hotel operators a complete solution to create a world-class spa, thus hotels who do not wish to enter the intricacies of a managing a spa can continue to focus on their main hotel business.

13. WHERE WE ARE Mediterranean Middle East Americas East/SE Asia
Ireland
Mediterranean
Middle East
Dun Huang
Beijing
Portugal
Korea
Greece
Tianjin
Kobe
Americas
Lhasa
Morocco
Jiuzhaigou
Miyazaki
Kuwait
Ringha
Shanghai
Egypt
RAK
Hangzhou
Bahrain
Lijiang
Yangshuo
Taiwan
Qatar
Dubai
Dali
Kunming
Guangzhou
Mexico
Abu Dhabi
Luang Prabang
Luang Prabang
Luang Prabang
Luang Prabang
Hong Kong
Oman
Chiang Mai
Chiang Mai
Chiang Mai
Chiang Mai
Macau
India
India
India
Sanya
East/SE Asia
Bangkok
Vietnam
Maldives
Phuket
Koh Samui
Kuala Lumpur
Guam
Indian Ocean
Sri Lanka
Bintan
Seychelles
Lombok
Bali
Brazil
This map shows the portfolio in 2009 and the next 4 years.
[ In a niche business, size is not everything. But economies of scale are still valid.
We have invested in the corporate, operational and marketing overheads to support more hotels than we currently operate. ]
By 2010, we will have established greater footholds in the Middle East, the Mediterranean and the Americas.
The purpose of going global is to:
First, diversify away from Phuket and even Asia;
Second, have first-mover advantage in a global niche. Today, there is not a single global player in our niche, all are just national or regional players. We can be dominant in our space, within a 5 yr window.
Third, achieve an accelerating ripple effect. The first project in a new continent or region may be tough. But there is an accelerating ripple effect afterwards. We can quickly infill locations within a region after the beachhead hotel is secured.
Mauritius
Cairns
Gold Coast
South Africa
Sydney
Existing
New