SNAPSHOT SURVEY
BY JOSH CORMAN
SECOND QUARTER PERFORMANCE l l l KEY TAKEAWAYS
THE 2021 JULY ISPA SNAPSHOT SURVEY was the first to track spa and resource partner quarterly performance since most pandemic-related restrictions ( particularly those that limited spa occupancy levels ) were lifted in the U . S . and spas there were largely able to resume “ normal ” operations . Because so many spas were closed for most or all of the second quarter of 2020 , it is unsurprising that year-overyear performance improved dramatically among spa respondents , 53 percent of whom saw revenues increase by more than 50 percent during the second quarter of 2021 . Overall , more than four in five spas ( 82 percent ) reported a year-over-year revenue increase last quarter of at least 10 percent .
Spas ’ profits increased similarly , with 84 percent of respondents reporting an increase compared to the second quarter of last year . More than four in ten ( 42 percent ) saw profit increases of better than 50 percent . A corresponding increase in the number of spa visits was also evident , as nearly nine in 10 ( 89 percent ) spas noted an increase in visits compared to the same period last year .
Because the vast majority of spas were closed for large portions of the second quarter in 2020 , ISPA did not conduct a quarterly performance survey for that period . Direct comparison is therefore not possible , although the sharp uptick in revenues , profits and visits during the second quarter of 2021 is encouraging . These increases suggest that pent-up demand for spa services is likely strong , and barring the return of COVID-19-related restrictions , spa leaders will likely expect to see similarly encouraging gains throughout the remainder of 2021 .
HIRING AND WORKFORCE CHALLENGES
HIRING CONTINUED TO PROVE CHALLENGING for spas during |
82 % |
the second quarter , despite the return to a more normal mode of |
operations . Nearly a third of spas ( 29 percent ) said that they added |
67 % |
new positions in the second quarter , while 40 percent said that they filled vacant positions . Despite these efforts , 82 percent of spas |
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reported that finding massage therapists remains more difficult or |
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significantly more difficult than prior to the pandemic . Right at |
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two-thirds of spa respondents ( 67 percent ), meanwhile , said the |
40 % |
43 % |
same about nail technicians . Less than half ( 48 percent ) reported that estheticians were more or significantly more difficult to find . |
29 % |
Adding to these challenges may be the rising trend of ghosting among candidates . Ghosting refers to the practice of ceasing |
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all communications at any point during the hiring process , and |
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64 percent of spas said that they have been ghosted by a candidate |
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at some point in 2021 . Though the overwhelming majority |
Spas added new positions |
Spas filled vacant positions |
Massage Therapists
Nail Techs
Estheticians
Spas are finding it more difficult filling these positions now than before the pandemic .
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( 93 percent ) indicated that the ghosting had occurred early in the process , following initial contact , 25 percent said that they had been ghosted by a candidate on or after their first scheduled day of work . |
58 PULSE ■ SEPTEMBER 2021