Choices and Sentience for Stability and Growth Through 2026
While the world continues to experience global and economic unknowns, planning may feel challenging for the years ahead.
While the world continues to experience global and economic unknowns, planning may feel challenging for the years ahead.
Wellness has tremendous potential for hotels, as is being made abundantly clear from the litany of articles on the matter in recent months. Part of that potential stems from the all-embracing, or rather ambiguous, definition of the word. It’s healthy eating; it’s spa; it’s fitness; it’s mindfulness; it’s sleep; it’s nature; it’s medical diagnostics; it’s all of the above. But one theme throughout for hotels is that the focus skews to the individual or one-on-one (mostly leisure transients), less so to group activations.
The sudden growth in demand for wellness pursuits has perhaps calmed with the recession of Covid-19, but general interest in the great outdoors and getting back to nature has remained strong, prompting more and more hoteliers to tap into this trend.
How do we design spaces so people can have an experience, ie feel something, perhaps awaken in some small way, or reflect on their lives or the world around them?
The problem with slow burn trends like the current aging out of the baby boomers is not so much that we fail to predict them but that we often cannot account for them in a readily quantifiable and obviously actionable manner on a quarterly or annual financial statement to thereby jumpstart the necessary adjustments to adapt a business.
Wellness amenities at full-service hotels, along with standalone destination wellness hotels (DWHs), are always evolving. Wellness amenities and hotels both come in a variety of sizes, configurations, and service levels. Historically, DWHs have been independently developed and operated as the vision of an owner who wanted to provide an environment in support of a specific lifestyle or wellness practice. The growing awareness of lifestyle choices makes hotel guests increasingly savvy consumers, and as a result, mainstream hotel companies are aggressively courting them with goods and services targeted toward their sensibilities.Hyatt Corporation purchased Miraval Resorts, a destination luxury wellness brand, for approximately $215 million in January 2017. As Hyatt Corporation President and CEO Mark Hoplamazian believes, wellness is a “very significant megatrend” and “not a fad.” [1] This transaction indicates the growing popularity of this area of the lodging industry even six years ago. “And [wellness] is more and more on the minds of C-suite executives thinking about productivity and effectiveness in meetings and in life,” Hoplamazian continued. “So what we ID’d with the Miraval opportunity was an opportunity to accelerate how we care for those customers and guests. […] And we can do that in a very different way than how hotel companies have approached it in the past.”
If you don’t make time for your wellness, then you will be forced to make time for your illness. This catchy phrase underpins the widespread growth of the myriad practices falling within the broad, and quite ambiguous, banner that is wellness.
The uncertainty and instability of the past several years have increased the level of stress in employees. In correlation to this, the health and wellness tourism market is growing. Indeed, the Global Wellness Institute expects that wellness tourism expenditures will likely hit $1.3 trillion by 2025.
In this ongoing column on the growth of wellness as a profit center for hotels, one concurrent trends to be cognizant of is the aging of the baby boomer generation – ostensibly the wealthiest to date that is, at present, entering the prime travel years of early retirement. This generational shift intersects with the longevity revolution in many interesting ways that hotels can capitalize upon.
The benefits of a medical services located within a resort or hotel property are well founded. With an aging society and with travel and tourism set to increase post COVID-19, partnering with an onsite medical clinic franchise could strongly benefit a hotel. Now, a new medical App promoted by lodging properties, allows a domestic or international traveler with preexisting medical conditions, or with young children traveling to have increased confidence and ease of mind when traveling.
The wellness industry is diverse, dynamic – and, therefore, complex.
As more health care facilities grow to become “medical campuses” and medical meccas for care, they emulate hotels in their quality and delivery of health and wellness (H2H) services. Many build hotels or have partner hotels for medical guests and tourists on their health campuses. An innovative approach for blending hospitality and health care can be found in Orlando, where the RosenCare model could boost lodging revenue by using medical travel to the United States. In fact, in medical centers and hospitals, after the procedure (surgery or other treatment), approximately 75% of the services provided to patients are hospitality/hotel-related services (H2H) including dining, environmental, transportation, front desk, educational, and entertainment services.
Entering yet another unprecedented travel period with a looming recession and the sputtering end of the post-pandemic travel recovery, there are nevertheless a myriad of trends that are strongly converging to offer hotels a path to profitability no matter the economic climate. In this case, we are talking about the growth in demand for wellness products as well as the emergence of newer search platforms to cut through the exhaustion of digital noise in the travel space.
The world is full of experiences, big and small. In travel, there’s a lot of focus on the peak experiences like that instagrammable moment at the top of Mt. Everest. But micro-experiences may be more important, not only for our health and well-being, but for our humanity too. Plus, it can supercharge customer loyalty with brands.
Although many companies are asking teams to return to the workplace, the digital nomad market continues to see strong growth.
Prioritizing health, nutrition and wellness are a long-term trend, but how can any hotelier distill this multi-decade progression into one or two action items that can elicit measurable results over the next few quarters? You may not have a spa or capex for wholly new programming, so start small and start with F&B – an operation that nearly all hotel guests experience during their stays.
This paper provides some community-based creative solutions bridging Hospitality to Healthcare - putting the “heart back in healthcare” to improve the health and well-being of the community. These innovative programs provide a blueprint for high performance and practical health benefits. These programs cover a wide array of tactics that are practical fixes for health care systems. The health models presented in this paper are adaptable to other geographical regions and are brilliant beacons for health that can succeed and impact other communities.
Our hypothesis is that wellness will play a leading role in many hotel brands’ growth over the coming decades. Populations in advanced economies are getting older, meaning more demand for medical tourism or healthspan-extension programming. Concurrently, there is an ever-growing interest in wellbeing-boosting and antiaging activities, scientific research and products following the work-life reset that was the pandemic.
Dedicated wellness-themed branded residences have seemed to be all the buzz recently, but the volume of such developments does not indicate that the hype actually translates into a real market trend.
As more hoteliers venture into the experience economy, there will be quite a bit of trial & error to figure out how to create a variety of valuable activities. What should decision makers and teams keep in mind as they approach this process? Whether it’s on-site activities, pop-ups & events, workshops, excursions, or multi-day retreats, the possibilities are truly endless. But you have to find what works for you! Here are our top four dos and don’ts for creating unique experiences at your property.