Spa revenue is not just numbers, here why

07 August 2018 / By Apoorv

Unlike the magical therapy in this picture, numbers are all analysis. Here's how.

Sansha Spa is a leader in spa revenue management, and with our revenue management, we help independent hotels increase their financial performance. Our spa yield and revenue outsourcing specialists implement Sanshas innovative and proven methodology to grow the results of your spa. Our revenue management consultants have an extensive experience in both the hospitality travel & tourism industry, and leave no stone unturned to uncover the hidden revenue potential of your spa, to increase your bottom line profit. We have a strong business development DNA, and aim to challenge the status quo and established order. Sanshas RM and yield experts will be incorporated in your spa management structure and operate as a part of your team taking on the responsibilities and duties of revenue management and business development. Working besides your executive management, we will be implementing best practices, proven techniques and the latest service developments. We will help you outperform your competition and become a leader in your local market.

We would be covering the areas and actions highlighted below when taking over a spa, either as a turnaround project or new opening;

Our Revenue Management Mission
  • Adopt a healthy market segmentation for the spa
  • Assist with budgeting and develop a forecasting model adapted to the market segments
  • Increase revenue by stimulating demand and use existing demand for the destination
  • Push forward the spa on potential distribution channels to enlarge the demand
  • Optimize direct sales and distribution via website and phone
  • Structure the pricing
  • Set strategic pricing in terms of public and negotiated rates
  • Handle all Revenue management tasks on a daily, weekly and monthly basis
Competitor Evaluation
Sansha will study the main competitors of the hotel to assess their price positioning in relation to their products offering. Sansha will build a report comparing the strengths and weaknesses of the main competitors and the hotel. The report will aim at building the Price – Value relationship that the spa can provide in front of its main competitors.
Price Benchmarking
Sansha will benchmark and compare the pricing strategies of the main competitors and the hotel. The study will look at the public prices but will also try to pinpoint negotiated rates such as corporate rates. The study will look at a year period: day by day pricing by length of stay. The benchmarking will show how the spa is priced competitively and create or revise the pricing grid.
Demand Calendar
Sansha will review the demand calendar, or create one, and analyze strength of demand day by day per period (with or without events), in view of day by day rate strategies.Demand Calendar
Forecasting Model
Sansha will build market segmentation for the spa and create a forecasting model to ensure that existing demand for each individual segment will be targeted most effectively in terms of marketing, sales and pricing strategies.
Rate Strategy Sheet
Sansha will develop monthly rate strategy sheets with the following objectives:
  • Day by day pricing strategy for one year will be shown (price value per length of stays day by day will be recommended)
  • Pricing strategy per channels of distribution

Online Distribution Strategy
Sansha will develop the implementation of the suggested action plan. As the main challenges based on current occupancies seem distribution and pricing oriented sansha will focus on getting the required results. This includes contracting online and offline distribution channels.
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