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features

Promotional Feature: Massage Heights: Getting a feel for the UK spa market

Could you lead the commoditisation of the spa industry in the UK? Massage Heights is looking for international expansion partners. The company’s VP of Marketing, Alice O’Donnell, explains

Published in Health Club Management 2016 issue 6

At Massage Heights, we have an established network of franchise businesses across the USA and a master franchise operating successfully in Canada. Our business model has taken the successful gym membership model and applied it to the spa experience, creating a network of high street wellness retreats. This part of the sector has developed into a multi-billion dollar market in North America over the past decade.

Massage Heights’ retreats generate more dollars per square foot than our competitors and we have developed a reputation for providing among the best experience in the massage industry, offering professional, affordable and convenient therapeutic services.

With the USA many years ahead in this sector, we are ready to expand through a structured, effective and rapid roll out of our proven business model in similar economies with a more traditional spa industry. Leading the commoditisation of a sector, in our case the massage and spa industry, provides a well-financed first mover with a great opportunity to dominate in their country.

Following Massage Heights’ success crossing into Canada, we are now working to bridge the Atlantic. The current focus is on promoting the opportunity to attract an appropriate individual or corporation to take on the UK and Ireland markets.

EXCITING OPPORTUNITY
According to Spa Creators’ 2014 UK Spa Market Analysis report: “UK consumers currently make an estimated 6 million visits per annum to spas throughout the UK.”

Hotel spas account for 41 per cent of the total number of spas and attract around 12,600 consumers per annum.

Spas within health and fitness clubs account for 27 per cent of the market and attract 10,900 consumers. Local day spas only account for 12 per cent, but attract 20,400 consumers.

The Massage Heights model presents an exciting opportunity for an ambitious, entrepreneurial business person to commoditise the spa experience in Britain.

Take the proven business concept from Massage Heights across the Atlantic, and mirror the rapid roll out of its franchise network over here in the UK, providing you as the proprietor with a profitable first mover advantage from a business model built on recurring income that boasts a 97 per cent customer retention rate.

Taking the successful gym membership model and applying it to luxury spa treatments has created an elegant business model:
• Membership model with positive cash flow
• Recurring revenue
• High referral rates
• Multiple revenue streams
• Currently no network of direct competition
• Average clinic revenue equivalent to £800K

Taking this business model and the spa experience to create high street wellness retreats has created a multi-billion dollar market in North America over the past decade, and presents an opportunity to replicate that success in the UK. “The UK has an established luxury market, with an aspirational populace, exactly how the US and Canada were a few years ago,” says Lesley Hawks of Massage Heights.

“Demand for health and wellness is predicted to continue to grow with the increasing awareness of the importance of caring for your body and mind.”

Why Massage Heights?
Founded in 2004, the company has achieved its goal of making massage and spa services more accessible, and so more frequently experienced – we now have 125 outlets across the US and Canada run by hand selected franchisees.

With spa retreats located in busy urban areas, and open during hours to suit local people – and with well-trained therapists, multiple levels of membership and product upsells all contributing to revenue – dedicated Massage Heights outlets are able to offer an unrivalled client experience, and as such generate more income per square foot than their competitors.

Given the current levels of opportunity in the UK spa and wellness sector – combined with Massage Heights’ proven membership model – the stage is now perfectly set for early adopters to establish a strong and successful foothold in the British luxury massage and spa market.

That’s why the search is on for an enterprising British entrepreneur to take the reigns at the forefront of the firm’s UK expansion, to grow the Massage Heights brand and franchise network into a household name across the country.

Once considered a treat, massage has now gone mainstream in the United States, and we’ve identified the United Kingdom as the next new market that is ripe for expansion.

We’ve developed a model that is proven to be successful and transferable, so becoming our UK master franchisor is a relatively low-risk opportunity with high potential rewards.

Sign up here to get Fit Tech's weekly ezine and every issue of Fit Tech magazine free on digital.
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features

Promotional Feature: Massage Heights: Getting a feel for the UK spa market

Could you lead the commoditisation of the spa industry in the UK? Massage Heights is looking for international expansion partners. The company’s VP of Marketing, Alice O’Donnell, explains

Published in Health Club Management 2016 issue 6

At Massage Heights, we have an established network of franchise businesses across the USA and a master franchise operating successfully in Canada. Our business model has taken the successful gym membership model and applied it to the spa experience, creating a network of high street wellness retreats. This part of the sector has developed into a multi-billion dollar market in North America over the past decade.

Massage Heights’ retreats generate more dollars per square foot than our competitors and we have developed a reputation for providing among the best experience in the massage industry, offering professional, affordable and convenient therapeutic services.

With the USA many years ahead in this sector, we are ready to expand through a structured, effective and rapid roll out of our proven business model in similar economies with a more traditional spa industry. Leading the commoditisation of a sector, in our case the massage and spa industry, provides a well-financed first mover with a great opportunity to dominate in their country.

Following Massage Heights’ success crossing into Canada, we are now working to bridge the Atlantic. The current focus is on promoting the opportunity to attract an appropriate individual or corporation to take on the UK and Ireland markets.

EXCITING OPPORTUNITY
According to Spa Creators’ 2014 UK Spa Market Analysis report: “UK consumers currently make an estimated 6 million visits per annum to spas throughout the UK.”

Hotel spas account for 41 per cent of the total number of spas and attract around 12,600 consumers per annum.

Spas within health and fitness clubs account for 27 per cent of the market and attract 10,900 consumers. Local day spas only account for 12 per cent, but attract 20,400 consumers.

The Massage Heights model presents an exciting opportunity for an ambitious, entrepreneurial business person to commoditise the spa experience in Britain.

Take the proven business concept from Massage Heights across the Atlantic, and mirror the rapid roll out of its franchise network over here in the UK, providing you as the proprietor with a profitable first mover advantage from a business model built on recurring income that boasts a 97 per cent customer retention rate.

Taking the successful gym membership model and applying it to luxury spa treatments has created an elegant business model:
• Membership model with positive cash flow
• Recurring revenue
• High referral rates
• Multiple revenue streams
• Currently no network of direct competition
• Average clinic revenue equivalent to £800K

Taking this business model and the spa experience to create high street wellness retreats has created a multi-billion dollar market in North America over the past decade, and presents an opportunity to replicate that success in the UK. “The UK has an established luxury market, with an aspirational populace, exactly how the US and Canada were a few years ago,” says Lesley Hawks of Massage Heights.

“Demand for health and wellness is predicted to continue to grow with the increasing awareness of the importance of caring for your body and mind.”

Why Massage Heights?
Founded in 2004, the company has achieved its goal of making massage and spa services more accessible, and so more frequently experienced – we now have 125 outlets across the US and Canada run by hand selected franchisees.

With spa retreats located in busy urban areas, and open during hours to suit local people – and with well-trained therapists, multiple levels of membership and product upsells all contributing to revenue – dedicated Massage Heights outlets are able to offer an unrivalled client experience, and as such generate more income per square foot than their competitors.

Given the current levels of opportunity in the UK spa and wellness sector – combined with Massage Heights’ proven membership model – the stage is now perfectly set for early adopters to establish a strong and successful foothold in the British luxury massage and spa market.

That’s why the search is on for an enterprising British entrepreneur to take the reigns at the forefront of the firm’s UK expansion, to grow the Massage Heights brand and franchise network into a household name across the country.

Once considered a treat, massage has now gone mainstream in the United States, and we’ve identified the United Kingdom as the next new market that is ripe for expansion.

We’ve developed a model that is proven to be successful and transferable, so becoming our UK master franchisor is a relatively low-risk opportunity with high potential rewards.

Sign up here to get Fit Tech's weekly ezine and every issue of Fit Tech magazine free on digital.
Gallery
More features
Editor's letter

Into the fitaverse

Fitness is already among the top three markets in the metaverse, with new technology and partnerships driving real growth and consumer engagement that looks likely to spill over into health clubs, gyms and studios
Fit Tech people

Ali Jawad

Paralympic powerlifter and founder, Accessercise
Users can easily identify which facilities in the UK are accessible to the disabled community
Fit Tech people

Hannes Sjöblad

MD, DSruptive
We want to give our users an implantable tool that allows them to collect their health data at any time and in any setting
Fit Tech people

Jamie Buck

Co-founder, Active in Time
We created a solution called AiT Voice, which turns digital data into a spoken audio timetable that connects to phone systems
Profile

Fahad Alhagbani: reinventing fitness

Let’s live in the future to improve today
Opinion

Building on the blockchain

For small sports teams looking to compete with giants, blockchain can be a secret weapon explains Lars Rensing, CEO of Protokol
Innovation

Bold move

We ended up raising US$7m in venture capital from incredible investors, including Andreessen Horowitz, Khosla Ventures, Primetime Partners, and GingerBread Capital
App analysis

Check your form

Sency’s motion analysis technology is allowing users to check their technique as they exercise. Co-founder and CEO Gal Rotman explains how
Profile

New reality

Sam Cole, CEO of FitXR, talks to Fit Tech about taking digital workouts to the next level, with an immersive, virtual reality fitness club
Profile

Sohail Rashid

35 million people a week participate in strength training. We want Brawn to help this audience achieve their goals
Ageing

Reverse Ageing

Many apps help people track their health, but Humanity founders Peter Ward and Michael Geer have put the focus on ageing, to help users to see the direct repercussions of their habits. They talk to Steph Eaves
App analysis

Going hybrid

Workout Anytime created its app in partnership with Virtuagym. Workout Anytime’s Greg Maurer and Virtuagym’s Hugo Braam explain the process behind its creation
Research

Physical activity monitors boost activity levels

Researchers at the University of Copenhagen have conducted a meta analysis of all relevant research and found that the body of evidence shows an impact
Editor's letter

Two-way coaching

Content providers have been hugely active in the fit tech market since the start of the pandemic. We expect the industry to move on from delivering these services on a ‘broadcast-only’ basis as two-way coaching becomes the new USP
Fit Tech People

Laurent Petit

Co-founder, Active Giving
The future of sports and fitness are dependent on the climate. Our goal is to positively influence the future of our planet by instilling a global vision of wellbeing and a sense of collective action
Fit Tech People

Adam Zeitsiff

CEO, Intelivideo
We don’t just create the technology and bail – we support our clients’ ongoing hybridisation efforts
Fit Tech People

Anantharaman Pattabiraman

CEO and co-founder, Auro
When you’re undertaking fitness activities, unless you’re on a stationary bike, in most cases it’s not safe or necessary to be tied to a screen, especially a small screen
Fit Tech People

Mike Hansen

Managing partner, Endorphinz
We noticed a big gap in the market – customers needed better insights but also recommendations on what to do, whether that be customer acquisition, content creation, marketing and more
More features