Book4Time
Book4Time
Book4Time
 
EMPLOYERS: POST A JOB
Free ezines & magazines
News Video Training Products Magazines Spa Business spa-kit Handbook What's on Advertise Subscribe
Catalogue gallery
More catalogues
Diary dates
Powered by leisurediary.com
17-17 Jul 2024
Pennyhill Park , Bagshot, United Kingdom
28-29 Jul 2024
Southern Sun Rosebank, Johannesburg, South Africa
03-05 Sep 2024
IMPACT Exhibition Center, Bangkok, Thailand
03-08 Sep 2024
Cruise London, Amsterdam, Zeebrugge, United States
08-10 Sep 2024
Wyndham® Lake Buena Vista Disney Springs™ Resort, Lake Buena Vista, United States
10-12 Sep 2024
St Moritz Hotel & Spa, Wadebridge, United Kingdom
15-18 Sep 2024
Wigwam, Phoenix, United States
18 Sep 2024
Chesford Grange Hotel, Kenilworth, United Kingdom
RLA Global: Wellness hotels experience positive growth trend globally in 2023
By Megan Whitby 14 Jun 2024
Findings show luxury properties with major wellness offerings generated three times more TRevPAR compared to upper-upscale hotels Credit: Melia Koh-Samui
RLA Global has published the fifth version of its annual wellness real estate report
The 2024 report indicates wellness hotels showed a positive growth trend globally in 2023
Luxury hotels with major wellness offerings led in terms of Total Revenue per Available Room (TRevPAR)
Upper-upscale properties were the best performers in terms of ADR and TRevPAR growth in all three categories of wellness properties; major, minor and non-wellness
Hotels incorporating wellness amenities experienced a significant boost in Total Revenue per Available Room (TRevPAR) in 2023, according to the latest Wellness Real Estate Report by RLA Global, produced in partnership with P&L benchmarking firm HotStats.

Minor wellness properties – those generating less than US$1 million (€932,700, £785,200) or 10 per cent of total revenue from wellness and leisure – stood out with a 26 per cent average increase in TRevPAR from 2022.

“There was a positive growth trend at hotels with wellness offerings in conjunction with all main year-on-year KPIs, including ADR (average daily rate), RevPAR (revenue per available room), TRevPAR and occupancy,” said Roger Allen, group CEO of RLA Global.

“Minor wellness properties demonstrated great flexibility in optimising operating expenses, contributing to their bottom line. However, performances also indicated a fragmented hotel wellness market that investors should pay close attention to.”

The recent report assesses average hotel performance using data from HotStats about 11,000 hotels worldwide, spanning major, minor and non-wellness categories (see end of story for definitions*).

RLA Global has analysed property-level KPI results, including ADR, occupancy rates, TRevPAR, GOPPAR (gross operating profit per available room) and GOP (gross operating profit), to present how wellness contributes to hotel revenue flows, operating costs, margins and overall profits.

Asset class comparison
Marking RLA Global's fifth annual report, the 2024 publication compares results across luxury, upper-upscale and upscale hotel classes for the first time.

Findings showed luxury properties with major wellness offerings generated three times more TRevPAR compared to upper-upscale hotels but experienced a 4 per cent decline in ADR.

Upper-upscale properties achieved the best ADR and TRevPAR growth in the major, minor and no wellness categories.

“People build and own hotels for very different reasons,” said Rachael Rothman, head of hotels research and data analytics at CBRE. “If it’s to generate a return, the report clearly emphasises that most investors would be better off having an upper-upscale property with some wellness amenities rather than going completely to the high-end of the spectrum.”

Changing guest habits
The report also highlighted trends in departmental revenue generation and profitability. For example, average F&B Revenue Per Occupied Room rose slightly in all three categories last year, driven primarily by restaurant spend.

However, beverage sales declined at major and minor wellness hotels, which also saw room service revenue drop by 13 per cent and 12 per cent respectively.

“The declining bar and room service revenues in city centre hotels reflect trends of guests becoming more health-conscious and drinking less alcohol, while food delivery apps provide guests with more compelling and cheaper options,” said Alex Santamaria, founder of Aware Hospitality.

For more data on hotel performances and in-depth analysis, download the full report here.

*Major, minor and no wellness categories
• Hotels with major wellness – Wellness and leisure revenue annually exceeding US$1 million (€932,700, £785,200) or more than 10 per cent of revenues
• Hotels with minor wellness – wellness and leisure revenue annually achieving less than US$1 million (€932,700, £785,200) or less than 10 per cent of total hotel revenues
• Hotels with no wellness - no wellness-related income.

About RLA Global
RLA Global (Resources for Leisure Assets Global) is an international consultancy specialising in leisure and wellbeing in real estate.

About Hot Stats
HotStats provides monthly P&L benchmarking for the hotel industry, collecting detailed financial data from more than 11,000 hotels worldwide to provide owners, operators and investors with valuable insights into the financial performance of their properties against their competitors.


News
1 to 12 of 8757 news stories
11 Jul 2024
Rugby legend, Jonny Wilkinson has been announced as a keynote speakers for the HCM Summit on 24 October in London. In an upcoming interview with HCM in preparation for his appearance at the summit, Wilkinson ... More
10 Jul 2024
The Woodland Spa, a premier UK day spa located in Burnley, Lancashire, is set to unveil the results of its £16 million (US$20.5 million, €18.9 million) transformation this August. As part of the Crow Wood ... More
08 Jul 2024
Global wellbeing organisation Therme Group is on a mission to make wellness accessible to all and is expanding globally, bringing its social spas to the US, Canada, the UK and now South Korea. Its existing ... More
05 Jul 2024
Nutrient vitamin IV therapy franchise, Prime IV Hydration & Wellness, is accelerating its expansion across the US, having recently launched its third location in Nashville's Green Hills area. Founded in 2017 by wellness industry veteran ... More
04 Jul 2024
Third Space is celebrating the launch of its 11th club in London at the historic Battersea Power Station development. The new club is located at street level on Prospect Way in an ultra-modern, Raphael Vinoly-designed, ... More
04 Jul 2024
Sound wellness company Swell has launched AI-generated music solutions for spas and hotels, scientifically proven to improve wellbeing. Founded by international DJ Brian d’Souza, Swell's new SwellSpa app delivers soundscapes designed to help guests achieve ... More
03 Jul 2024
Happy staff make more profitable businesses is the message of Jetts CEO, Elaine Jobson’s new book High Performance through Happy People. Jobson will be travelling from Australia to London for the HCM Summit on 24 ... More
03 Jul 2024
Grand Hotel Son Net – a stylish, art-filled Mallorcan boutique hotel – has launched a brand-new spa and wellness area, after reopening in 2023. Reserved for hotel guests, the two-storey wellness space features an indoor ... More
02 Jul 2024
The Global Wellness Institute (GWI) has released a new report emphasising the critical role of mental wellness in supporting overall mental health. Authored by GWI research fellows Ophelia Yeung, Katherine Johnston and Tonia Callendar, the ... More
28 Jun 2024
In 2026, the traditional bathhouse experience will get a futuristic twist with the arrival of Submersive – an innovative concept combining classical spa therapies with art, AI technology and multimedia effects. Described as the world’s ... More
28 Jun 2024
Lifestyle hospitality company Sbe is branching into longevity and wellness with a new brand of properties, the first of which will open in LA’s Century Plaza development by the end of 2024. Sbe has leased ... More
26 Jun 2024
A new study by the University of Sydney is one of the first to objectively measure whether daily steps can offset the health risks of sedentary behaviour. The results, published in the British Journal of ... More
     
International SPA Association - iSPA
MyBlend
Company Profile
KLAFS GmbH
Founded in 1928, KLAFS is known as an award winning, world-leading trendsetter in wellness and spa. [more]
 
MORE PROFILES
Featured Supplier
Elevate your offering with the new MSpa Duet
As a globally recognised provider of luxury spa solutions, MSpa is dedicated to bringing high-end spa experiences into more spa and wellness businesses and homes. ... more
Lemi
Product news
TempleSpa showcases new range with treatments that ‘spark energy and joy’
TempleSpa showcases new range with treatments that ‘spark energy and joy’
Circadia unveils Pre & Post Biotic Nourishing Mask with Royal Tea
Circadia unveils Pre & Post Biotic Nourishing Mask with Royal Tea
ESPA announces launch of Protect & Brighten Daily Skin Shield SPF 50
ESPA announces launch of Protect & Brighten Daily Skin Shield SPF 50
IDEA® Health & Fitness Association partners with CoverMe Fitness to deliver real-world solutions for fitness professionals across the globe
IDEA® Health & Fitness Association partners with CoverMe Fitness to deliver real-world solutions for fitness professionals across the globe
Dornbracht's Serenity Sky taps into TCM and Kneipp therapy
Dornbracht's Serenity Sky taps into TCM and Kneipp therapy
Prepare your spa for peak season with SpaSoft
Prepare your spa for peak season with SpaSoft
Directory

 
JOBS
NEWS
VIDEO
TRAINING
PRODUCTS
MAGAZINE
 
SPA BUSINESS
SPA-KIT.NET
SPA BUSINESS HANDBOOK
SUBSCRIBE
ADVERTISE
FREE DIGITAL SUBSCRIPTIONS
CONTACT US

Leisure Media
Tel: +44 (0)1462 431385

©Cybertrek 2024



Book4Time
Book4Time
Book4Time
Book4Time
News   Products   Magazine
NEWS
RLA Global: Wellness hotels experience positive growth trend globally in 2023
POSTED 14 Jun 2024 . BY Megan Whitby
Findings show luxury properties with major wellness offerings generated three times more TRevPAR compared to upper-upscale hotels Credit: Melia Koh-Samui
Credit: RLA Global
There was a positive growth trend at hotels with wellness offerings in conjunction with all main year-on-year KPIs
– Roger Allen
RLA Global has published the fifth version of its annual wellness real estate report
The 2024 report indicates wellness hotels showed a positive growth trend globally in 2023
Luxury hotels with major wellness offerings led in terms of Total Revenue per Available Room (TRevPAR)
Upper-upscale properties were the best performers in terms of ADR and TRevPAR growth in all three categories of wellness properties; major, minor and non-wellness
Hotels incorporating wellness amenities experienced a significant boost in Total Revenue per Available Room (TRevPAR) in 2023, according to the latest Wellness Real Estate Report by RLA Global, produced in partnership with P&L benchmarking firm HotStats.

Minor wellness properties – those generating less than US$1 million (€932,700, £785,200) or 10 per cent of total revenue from wellness and leisure – stood out with a 26 per cent average increase in TRevPAR from 2022.

“There was a positive growth trend at hotels with wellness offerings in conjunction with all main year-on-year KPIs, including ADR (average daily rate), RevPAR (revenue per available room), TRevPAR and occupancy,” said Roger Allen, group CEO of RLA Global.

“Minor wellness properties demonstrated great flexibility in optimising operating expenses, contributing to their bottom line. However, performances also indicated a fragmented hotel wellness market that investors should pay close attention to.”

The recent report assesses average hotel performance using data from HotStats about 11,000 hotels worldwide, spanning major, minor and non-wellness categories (see end of story for definitions*).

RLA Global has analysed property-level KPI results, including ADR, occupancy rates, TRevPAR, GOPPAR (gross operating profit per available room) and GOP (gross operating profit), to present how wellness contributes to hotel revenue flows, operating costs, margins and overall profits.

Asset class comparison
Marking RLA Global's fifth annual report, the 2024 publication compares results across luxury, upper-upscale and upscale hotel classes for the first time.

Findings showed luxury properties with major wellness offerings generated three times more TRevPAR compared to upper-upscale hotels but experienced a 4 per cent decline in ADR.

Upper-upscale properties achieved the best ADR and TRevPAR growth in the major, minor and no wellness categories.

“People build and own hotels for very different reasons,” said Rachael Rothman, head of hotels research and data analytics at CBRE. “If it’s to generate a return, the report clearly emphasises that most investors would be better off having an upper-upscale property with some wellness amenities rather than going completely to the high-end of the spectrum.”

Changing guest habits
The report also highlighted trends in departmental revenue generation and profitability. For example, average F&B Revenue Per Occupied Room rose slightly in all three categories last year, driven primarily by restaurant spend.

However, beverage sales declined at major and minor wellness hotels, which also saw room service revenue drop by 13 per cent and 12 per cent respectively.

“The declining bar and room service revenues in city centre hotels reflect trends of guests becoming more health-conscious and drinking less alcohol, while food delivery apps provide guests with more compelling and cheaper options,” said Alex Santamaria, founder of Aware Hospitality.

For more data on hotel performances and in-depth analysis, download the full report here.

*Major, minor and no wellness categories
• Hotels with major wellness – Wellness and leisure revenue annually exceeding US$1 million (€932,700, £785,200) or more than 10 per cent of revenues
• Hotels with minor wellness – wellness and leisure revenue annually achieving less than US$1 million (€932,700, £785,200) or less than 10 per cent of total hotel revenues
• Hotels with no wellness - no wellness-related income.

About RLA Global
RLA Global (Resources for Leisure Assets Global) is an international consultancy specialising in leisure and wellbeing in real estate.

About Hot Stats
HotStats provides monthly P&L benchmarking for the hotel industry, collecting detailed financial data from more than 11,000 hotels worldwide to provide owners, operators and investors with valuable insights into the financial performance of their properties against their competitors.
RELATED STORIES
Robust revenue growth at hotels with wellness offerings worldwide during 2022, finds RLA Global


Revenues at wellness hotels rose sharply in 2022 as demand rebounded, despite economic and geopolitical difficulties.
Wellness drives record TRevPAR results thanks to pandemic, reports RLA Global


Hotels with wellness revenues exceeding US$1m generated 126 per cent more in total revenue per available room (TRevPAR) in 2021 than those with wellness revenues of less than US$1m, according to the latest Wellness Real Estate Report by RLA Global*.
Report: Leisure shift drives wellness real estate during the pandemic


Hotels with wellness revenues exceeding US$1m (€852,700, £731,700) generated nearly 75 per cent more in total revenue per available room (TRevPAR) in 2020, compared to locations with wellness revenues of less than US$1m.
MORE NEWS
Rugby legend Jonny Wilkinson joins the speaker lineup at the HCM Summit to share insights into his journey to health and wellbeing
Rugby legend, Jonny Wilkinson has been announced as a keynote speakers for the HCM Summit on 24 October in London.
Woodland Spa to double footprint with £16m revamp, set to complete in August
The Woodland Spa, a premier UK day spa located in Burnley, Lancashire, is set to unveil the results of its £16 million (US$20.5 million, €18.9 million) transformation this August.
Therme creating ‘natural-healing urban oasis’ in South Korea, eyes further locations in Asia and US
Global wellbeing organisation Therme Group is on a mission to make wellness accessible to all and is expanding globally, bringing its social spas to the US, Canada, the UK and now South Korea.
Prime IV Hydration & Wellness unveils Nashville location amid plans for 97 new franchise spas this year
Nutrient vitamin IV therapy franchise, Prime IV Hydration & Wellness, is accelerating its expansion across the US, having recently launched its third location in Nashville's Green Hills area.
Third Space is on a roll with the second of three 2024 club launches
Third Space is celebrating the launch of its 11th club in London at the historic Battersea Power Station development.
SwellSpa taps AI to deliver nature-based sound therapy for spa treatment rooms
Sound wellness company Swell has launched AI-generated music solutions for spas and hotels, scientifically proven to improve wellbeing.
+ More news   
 
COMPANY PROFILES
BC Softwear Ltd

Established in 2002 by Barbara Cooke, BC SoftWear provides unmatched expertise in the crafting of th [more...]
+ More profiles  
DIRECTORY
+ More directory  
DIARY

 

17-17 Jul 2024

UK Spa Association - Summer networking event

Pennyhill Park , Bagshot, United Kingdom
28-29 Jul 2024

Les Nouvelles Esthetiques Spa Conference 2024

Southern Sun Rosebank, Johannesburg, South Africa
+ More diary  
 


CONTACT US

Leisure Media
Tel: +44 (0)1462 431385

©Cybertrek 2024

ABOUT LEISURE MEDIA
LEISURE MEDIA MAGAZINES
LEISURE MEDIA HANDBOOKS
LEISURE MEDIA WEBSITES
LEISURE MEDIA PRODUCT SEARCH
PRINT SUBSCRIPTIONS
FREE DIGITAL SUBSCRIPTIONS