Spa staff compensation across market sectors has been revealed in the full 2025 US Spa Industry Study, published by the International Spa Association (ISPA) Foundation.

Initial findings released earlier this year showed the total spa industry revenue in the US is estimated to have risen year-on-year by US$1.2 billion (€1 billion, £891 million) to US$22.5 billion in 2024 (€20.6 billion, £17.4 billion). The full report is out now, looking at the state of the spa industry in the US, including new information on how staff compensation differs between day spas and resort and hotel spas.

Context

The study shows there was a 5.8 per cent increase in total revenues in 2024 – growing to 18 per cent above the pre-pandemic level of US$19.1 billion (€16.6 billion, £14.2 billion).

The survey was carried out by PwC and McIlheney Consulting provided analysis, suggesting this growth is due to a 3.1 per cent rise in spa visits and a 2.6 per cent uptick in average spend per visit.

An estimated 187 million spa visits were made in 2024 (rising 2.5 per cent from 8,310 in 2023 to 8,510 in 2024) and the average revenue per visit rose from US$117.2 (€102, £87) to US$120.03 (€104, £89).

Average revenue per spa establishment increased by 5.1 per cent between US$974,000 (€847,600, £723,500) in 2023 and US$1,024,000 (€891,000, £761,000) in 2024.

Staff compensation

For the first time in 26 years, the study asked spas to state the average annual compensation received by full-time staff across a number of roles.

While massage therapists at day spas received US$49,500 (€43,000, £37,000) in day spas, resort and hotel spas paid these employees US$75,000 (€65,000, £56,000).

Spa managers in day spas were reported to receive US$56,400 (€49,000, £42,000), compared to US$69,400 (€60,000, £52,000) in resort and hotel locations.

Spa directors had the widest difference in compensation between US$108,700 (€95,000, £81,000) at resort and hotel spas, versus US$76,500 (€67,000, £57,000) at day spas.

Profitability

Broadly in line with pre-pandemic levels, fifty-four per cent of spas in the resort and hotel sector said their profit percentage was 20 per cent or more. Spas in other segments also reported profitability in line with pre-pandemic levels – with 68 per cent reporting a 2024 profit percentage of 10 per cent or more.

Spa locations

Spa locations also rose by 0.6 per cent to 21,980 locations (from 21,840 in 2023). There were 700 new spa openings but 560 spa locations closed, representing a net increase of 140 spa establishments.

Day spas still account for the largest share of spa locations (78.12 per cent), representing 17,170 facilities in the US by the end of 2024 (compared to 17,080 in 2022).

The number of resort and hotel spas at the end of 2024 (2,190) increased by 1.5 per cent compared to 2023 (2,150). This segment makes up 9.96 per cent of the spa market.

The number of medical spas (accounting for 8.19 per cent of the US spa market) remain roughly the same since 2023 – with 1,800 locations.

Club spas represent 3 per cent of the total number of US spa locations and the number of these destinations grew from 650 in 2023 to 670 by the end of 2024.

Employment

Total spa employment rose by 1.6 per cent, with total employment by January 2025 standing at 376,200 by January 2025. The figures for those working part-time in the industry grew by 3 per cent – expanding faster than the number of full-time employees. Contract employment has decreased by 6.5 per cent (a reduction of about 1,000 people), with 14,500 people employed in this manner in January 2025.

Services on offer

In addition to facials and massage services, a range of other options were analysed in the report. Just under one in four spas offer complementary or alternative therapies such as acupuncture, reiki and yoga (including 45 per cent of resort and hotel spas as well as 20 per cent of day spas).

In terms of technology-driven therapies, one in three spas (34 per cent) offer LED light therapy, 16 per cent of spas offer percussive massage, 9 per cent offer cryotherapy and 7 per cent offer robotic massage.

Medically-supervised services are provided by 12 per cent of spas.

Resort and hotel spas unsurprisingly offer the widest range of services, reflecting the scale of their operations.

Pricing

The average price per spa service is US$82 (€71, £61) higher in resort and hotel spas (US$190, €165, £141) than in day spas (US$108, €94, £80).

Average revenues and visits depend on the type of spa
Resort and hotel spas generate higher average revenues per visit compared to day spas but they also have higher average number of visits – 10,820 compared to the day spa average of 8,610.

As a result, revenue per resort and hotel spa locations (US$1,898 million, €1,650 million, £1,409 million) was twice the average for day spas (US$931,000, €809,000, £691,000).

Future concerns

Spa operators taking part in the study said recruitment and retention of high quality staff was a concern and that hiring qualified massage therapists was particularly difficult.

One in five respondents said their spa facilities were facing challenges regarding ageing facilities in need of updating, disruption due to closures for renovations and a lack of space and capacity affecting the ability to meet demand.

Operators also highlighted the need to attract new consumers to drive business growth (weekday customers plus local or business consumers). The uncertain economic landscape and how that may affect consumer habits, in addition to inflation, was a worry for companies’ concerned about profit margins, pricing, costs, quality and competition.

To read the full report, visit the ISPA website.