believed that the COVID-19 crisis would lead to something similar . However , as Donaldson explained , the latest analysis suggests that the U . S . could be in for a more nuanced kind of rebound from the effects of the pandemic : a K-shaped recovery . Said Donaldson ,“ That essentially means that different aspects of the economy are recovering at different speeds . Economies and sectors are split between those that have returned to growth quite quickly and those that are experiencing a more protracted downturn . As a result of that , the shape of the economy is changing because of the differing speed of things returning to normal .”
It may be likely , then , that spas in certain geographic regions — areas where restrictions were lifted earlier or where vaccination rates are particularly high — will see a speedier return to pre-pandemic revenue and profit levels than those where restrictions linger . The idea of a K-shaped recovery may be frustrating for spa leaders who have spent much of the past year seeking relief from occupancy limits and other restrictions , but it probably isn ’ t surprising . Given the inconsistent and fragmented nature of spas ’ experiences with such restrictions during the pandemic , an inconsistent and fragmented recovery is fitting . The recovery of spas able to resume fullscale operations sooner rather than later will almost certainly outpace those required to keep restrictions in place longer .
For spa leaders , recovering from the pandemic will require the same patience and flexibility that they have had to practice for more than a year . And though some spas may return to normal — whatever that means in a post-COVID world — more quickly than others , Colin McIlheney suggested
that the spa industry as a whole has cause for hope .“ There is a feeling that some of the industries that were most impacted by not being able to open may have the best recovery ,” he said . “ Obviously , your at-home delivery services did very well , but spas , restaurants , bars , et cetera , which have had to close — there ’ s clearly an evidence of pent-up demand there , and I think there are definitely grounds for optimism for the later quarters of this year , and particularly for 2022 .” n
“ The indicators we ’ re seeing now show the overall demand [ for spa services ] is high . A lot of people have more disposable income that they had when the pandemic struck . People have been stuck at home without a service that they love for a fairly long period of time , and there are good signs that demand will be high as things loosen from the pandemic .”
— Russell Donaldson , PwC
18 PULSE ■ JULY 2021