Unlocking the Strategic Opportunities of the Wellness Market: Insights From the Inside
The wellness market is booming, having grown from $4.9 trillion in 2019 to $5.6 trillion in 2022. As consumer preferences shift towards holistic health and recharging, hotel owners have an unprecedented opportunity to capitalize on this trend. By integrating wellness-focused amenities and services into their properties, owners can enhance guest experiences and loyalty, differentiate themselves in a competitive market, and drive significant revenue growth.
Capturing Value from Wellness: A Strategic Business Asset to Diversify Revenue
By incorporating wellness offerings in hotels, hotel owners not only enhance guest satisfaction but also generate new revenue streams beyond the traditional room business, optimizing revenue per square foot. Wellness is no longer a trend – as people are taking a holistic approach to their health with a growing focus on their mental, physical and emotional wellbeing -, it is a profitable business model that adds value for both hotel owners and guests.
By embracing wellness, owners can tap into a rapidly growing market, boost revenue, and create a unique selling point for their properties. Accor’s world-class expertise in wellness supports owners in developing tailored, profitable wellness concepts that drive long-term success. For owners looking to stay competitive and future-proof their investments, wellness integration is a winning strategy.
The investment in wellness experiences throughout the customer journeys, directly contributes to revenue growth through repeat bookings and loyalty, enhanced referrals, and expanded social media presence, contributing to sustainable business improvement that will only continue to accelerate. Accor is at the forefront of this wellness movement. Emlyn Brown, Global Senior Vice President, Well-Being, Accor
General Manager Insights: Business Cases from the Field
Discover how we unlock the full potential of the booming wellness trend, and meet Philippe Leboeuf – General Manager of Raffles London at The OWO – and Piotr Kupiec - General Manager of Novotel Singapore On Stevens:
Our guests lead busy, high-stress lives and deeply value fitness and recovery. At The OWO, we invested in a 27,000-square-foot wellness center spanning four floors, partnering with renowned brands like Guerlain and Pillar Wellbeing. This investment has not only elevated the guest experience with one of the best wellness offerings for the local London market, but also created a new revenue stream that significantly contributes to our bottom line. Wellness drives both hotel occupancy and Average Daily Rate (ADR), ensuring sustained financial growth. Philippe Leboeuf, General Manager, Raffles London at The OWO
We’ve seen a shift in customer behavior, with heightened demand for wellness offerings following the pandemic. At Novotel Singapore On Stevens, we’re moving beyond the traditional city hotel model to create a ‘Resort in the City,’ with expansive wellness amenities including two pools, a gym, tennis courts, and spa facilities. This not only appeals to our guests but also supports long-term business growth by offering unique experiences that attract both local and international travelers. Piotr Kupiec, General Manager, Novotel Singapore On Stevens
Maximizing Wellness Opportunities: 8 Keys to Unlocking Business Growth
Here are a few keys to embracing the wellness trend and maximizing these business opportunities as hotel owners:
- Acknowledge the ROI potential of Wellness: Recognize the return on investment potential of wellness features to enhance business opportunities and create new revenue streams.
- Integrate wellness across all touchpoints: Incorporate wellness elements throughout the guest journey - from healthy dining options, in-room wellness amenities, and mindful design, to wellness-focused events and activities.
- Leverage relevant partnerships: Collaborate with well-known wellness partners to enhance credibility, attract a broader clientele and enhance guest experience.
- Offer personalization and customization: Utilize guest data to offer tailored wellness packages, treatments, and activities that cater to individual needs, preferences, and health goals, thereby enhancing guest satisfaction and loyalty.
- Focus on sustainability and local experiences: Incorporate eco-friendly practices and locally inspired wellness offerings that promote authenticity, such as using local ingredients in spa treatments or offering nature-based activities, to attract conscious travelers.
- Create dedicated wellness spaces: Allocate spaces specifically for wellness activities, such as meditation rooms, fitness areas, and outdoor relaxation zones.
- Diversify wellness programs for different segments: Design wellness programs that cater to different guest demographics—business travelers, families, solo travelers, and groups.
- Maximize digital and marketing: Use digital tools and platforms to promote wellness offerings, enhance the guest experience, and drive engagement. Develop targeted digital marketing campaigns that highlight wellness features and use mobile apps for seamless booking and personalized recommendations.
Now is the time to unlock the value of wellness in hotel properties and stay ahead in the ever-evolving hospitality market.
Learn more in our recent LinkedIn Tribune
For a deeper dive into wellness and other transformative trends reshaping the hospitality industry, explore our new From Change to Opportunity Report.
To download and read the report, click here.
About Accor, a world-leading hospitality group
Accor is a world leading hospitality group offering experiences across more than 110 countries, over 5,700 properties, 10,000 food & beverage venues, wellness facilities or flexible workspaces. The Group has one of the industry's most diverse hospitality ecosystems, encompassing more than 45 hotel brands from luxury to economy, as well as Lifestyle with Ennismore. Accor is focused on driving positive action through business ethics, responsible tourism, environmental sustainability, community engagement, diversity, and inclusivity. Founded in 1967, Accor SA is headquartered in France and publicly listed on the Euronext Paris Stock Exchange (ISIN code: FR0000120404) and on the OTC Market (Ticker: ACCYY) in the United States. For more information, please visit group.accor.com or follow us on X, Facebook, LinkedIn, Instagram and TikTok.