Case Study Thraki Palace Thalasso & Wellness Spa · Case Study: Thraki Palace Thalasso & Wellness Spa Pre & Post Opening Case Study According to KPI’s. Results & Guidelines 4th

Case Study:

Thraki Palace Thalasso & Wellness Spa

Pre & Post Opening Case Study According to KPI’s. Results & Guidelines

4th March 2012, U.K. London European Spa Convention

Stavros G. Mavridis SPA MANAGER

www.thrakipalace.gr

Acknowledgements:

Name: Thraki Palace Hotel & Conference Center

Region: North East of Greece

State: Thrace, Evros

City: Alexandroupolis

Location: 4th Km. Nat. Road Alex/polis – Thes/nikis, Private Sand Beach, 10Km Airport (National)

Duration of Operation: 12 months / year

No. of Rooms: 149

Occupancy: 68%

Days / Stay: 59000

Average Day Stay: 2 www.thrakipalace.gr

Acknowledgements:

Acknowledgements:

Name: Thraki Palace Thalasso & Wellness Spa

Location: Part of the Hotel

Position: Ground Level with Day Light

Area: 2.400 sq.m.

Designation: Thalasso & Wellness City & Resort Spa

Stations: Reception & Waiting Area with Retail Shop – Changing Rooms – Fitness Area & Pilates Studio & Circuit Training Area – 14 Treatments Rooms – Euphoria Spa Suite – Lounge Area – Thalasso Pools Area

Duration of Operation: 12 Months

Days of Operation: 30 Days

Hours of Operation: 14 hours

Acknowledgements:

MISSION STATEMENT:

Our mission is the enhancement of Thraki Palace Thalasso & Wellness Spa

and our region as a Tourism Destination for Wellness, Health & Recreation

activities by providing professional services to all modern Hotel & Spa visitors for a Healthier Lifestyle.

www.thrakipalace.gr

PRE - OPENING:

► Competitive Advantage

► Strategic Analysis

► Market Research (In house & External)

► Client Segmentation

► KPI’s

www.thrakipalace.gr

COMPETITIVE ADVANTAGE:

► Location (local, national, international)

► Conference Center (top 5 in Greece)

► Value for Money Services

► Brand Name Thraki Palace

► Spa Facilities (top 3 in Greece)

► Opening 12 months / year

► Integrated Spa Services

STRATEGIC ANALYIS: SWOT Analysis

Internal Environment

Strengths Weaknesses

• Brand Name Thraki Palace • Experienced Hotel Staff • Location • Conference Center • Value for money services • Large client base

• Aged Rooms • Low spa awareness locally • Staff attitude

Opportunities Threats • No competitor in the region • New Destination • New trends to more healthier lifestyle worldwide • Spa market growth • Development of the Medical tourism

• Rejection from the local community • Unstable economic environment • Upgrade services from local competitors • Lack of competition (leads to lack of incentive)

STRATEGIC ANALYIS: PEST Analysis

External Environment (P) Political Factors (E) Economic Factors

• Stable Political environment • New labor laws • Changes to insurance national system • Development of neighbor countries

• Changes to tax system • Reduction of salaries of Civil servants • Recession • Increase of VAT • Increased transportation costs

(S) Social Factors (T) Technological Factors • Rapid spread of new forms of communication •  Social media (facebook, twitter) • Search for alternative destinations • Preference to biological & ecological products & services • Luxury = new experiences • Holistic & Consultative approach • Baby boomers, Gen X, Gen Y, Gen Z

•  Continuous development of spa software ▪ Cost reduction techniques

MARKET RESEARCH: In House Questionnaire

110 Questionnaires (Mar to Sep 2009)

Results: 50% Men – 50% Women 65% 35-55yrs & 30% 18-34yrs 95% comes from Urban areas 55% 1000 – 3000€ income/month 47% come for Leisure 48% 3-7 days Aver. Stay 60% spend >50€ Visit the Spa – 68% relaxation 60% Massage 42% Pools

www.thrakipalace.gr

MARKET RESEARCH: Externals Questionnaire

Telephone Survey – (2 periods Sep 09 & Apr 10)

710 people (women & men, aged 18-55)

New potential customers aged 18-24 70% spend 150€ for spa services/month Visit the Spa – 69% Massage 31% Face 24% Pools Informed about Spa – 44% from Friends 30% Internet

www.thrakipalace.gr

CLIENT SEGMENTATION

EXTERNALS

► Members – from the city

► Day Spa Visitors – Locally, Regional

► Weekenders – Locally, Regional

www.thrakipalace.gr

CLIENT SEGMENTATION

INTERNALS

► LEISURE – Greeks (1-3days, >5days) Romanians (1-3days, >5days) Bulgarians (1-2days) Turkish (1-3days) Russians (> 5days)

► BUSINESS – Corporate (1-2days) Incentives (1-3days) Conferences (2-5days)

► GROUPS – Greeks (3-7days)

www.thrakipalace.gr

KPI’s

1. Number of Treatment Rooms – 8 Multifunctional 2 Spa Suites 2 Thalasso Bath Tubs 1 Wet Table 1 Rhassul 1 Vichy Shower

2. Number of Employees 3 Beauty Therapists 2 Masers 4 Fitness Instructors 3 Spa Receptionists 2 Spa Attendants

www.thrakipalace.gr

KPI’s

3. Average Utilization per Year 35-40% (7 days, opening hours 14,

Treatments 8 hours)

4. Retail Sales 8-12% for the First Year

5. Hotel Spa Capture Rate 10-12% for the First Year

www.thrakipalace.gr

POST OPENING

► PROMOTION PLAN

► KPI’s

www.thrakipalace.gr

POST OPENING

PROMOTION PLAN

► In House

- Spa corner at Hotel Reception - Discount card during check in - Visual posters in the corridors - Small spa corners in key positions in the Hotel - Small informative stand into the rooms - Brochures in every room - Offers in every check-in according to client type - Special spa gift (product) to VIP clients - Free use of Gym & Thermal Spa Suite to all in

house clients - Email to all corporate clients - Special offers (seasonal) to tour operators

www.thrakipalace.gr

POST OPENING

PROMOTION PLAN

► Media

- Advertorials to Lifestyle Magazines, Newspapers, Radio

- Internet – use of social media, upgrade web site (on line booking), e-banners to web sites

- Facebook – Competition, Educational articles - Ispa Membership - Spa Magazines advertorials - Press Releases - Press Trips

www.thrakipalace.gr

POST OPENING

PROMOTION PLAN

►EXTERNALS LOCALS

- Soft Opening - Friends & Family offers (staff) - Radio (competitions, free use of facilities) - Telephone Marketing (hotel data base) - Opinion Makers (invitation with friends)

www.thrakipalace.gr

POST OPENING

KPI’s

Hotel Spa Capture Rate 11%

Client Demographics 60% Women 40% Men 70% Aged 26-55

Retail Revenue Contribution 6%

RevPATRoom 456€

www.thrakipalace.gr

POST OPENING

KPI’s

RevPATHour 9€

RevPTreatment 50,3€

No of Treatments per Guest 1,1

Treatment Room Occupancy 25%

Labor Cost per Treatment 15€

www.thrakipalace.gr

GUIDELINES

► Concept depending on Location

► Lay Out According to Customer Flow

► Market Research

► Know your Client

► Spa Manager to Operate Efficiently

www.thrakipalace.gr

GUIDELINES

► SOP’s

► Educated & Well Trained Staff

► Spa Products according to clients & concept

► Marketing & Sales Plan – Yearly Pre & Post Opening

► Find your costs

► Follow the trends & implement www.thrakipalace.gr

THANK YOU!!!

STAVROS MAVRIDIS SPA MANAGER

Facebook: Thraki Palace Thalasso Spa Hotel www.thrakipalace.gr