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SPA management

China Paradigm 107: All you need to know about the spa business in China

Matthieu David interviews Johnny Chang Founder at Spa Solutions Training and Management Consultancy Ltd., Shanghai. How big is the spa industry in China and how much more of a quality service does it offer compared to the West? What training does Spa Solutions offer emerging spa businesses and in what way is the spa industry segmented in China? Find out the answers to these and more questions by listening to the interview.

  • 0:15 Guest introduction and Spa Solutions’ history
  • 6:12 Why does 19% of revenue comes from Spa retail sales?
  • 7:16 Personalization and protocol – the two factors for running a successful spa
  • 9:53 Why is the quality of the spa service in Asia better than in the West?
  • 13:06 How is the coronavirus outbreak impacting the spa industry short term and long term?
  • 18:43 The spa market segmentation – a brief analysis
  • 20:50 What equipment could raise the efficiency of spa businesses?
  • 23:58 Other examples of the spa business segmentation
  • 27:36 The hotel spa pricing system
  • 30:06 The spa market in China – big chain spas vs stand-alone spas
  • 32:43 How are the independent spa chains impact the spa Chinese market?
  • 38:30 How does a spa service business structure look like?
  • 40:48 Are there other streams of revenue for spas expect treatment and retail?
  • 43:06 The top spa businesses in terms of capital
  • 44:04 A few key features a spa needs to have to survive in China
  • 49:43 Does it make more sense to view the spa business as a retail business rather than a treatment business?
  • 51:35 About the geographical segmentation of the spa business
  • 56:25 Getting spa sales improved by 70% – a Spa Solutions quick fix
  • 58:49 Spa products retail prices – higher or similar to getting them from another specialized store
  • 1:00:21 About problems that need to be addressed in the spa industry
  • 1:02:07 Is formal training by cosmetic brands required for spas in order for them to sell their cosmetic products?
  • 1:05:28 What training does Spa Solutions offer big brands in terms of integration with spa services?
  • 1:07:14 How does technology help the spa industry?
  • 1:09:31 How does a profile of a typical premium hotel spa or medical spa look like?
  • 1:12:16 Are spas adapting their offers based on the different weather climates existing in different geographical areas in China?
  • 1:15:35 Outro

🔖 China Paradigm website

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We believe, that China, with 20% of world population and as the second world economy, is impacting every single business, small to big. That is why it is a new paradigm. How does China impact your business is the ultimate question we will answer through those podcasts.

China paradigm is a China business podcast sponsored by Daxue Consulting where we interview successful entrepreneurs about their businesses in China. You can access all available episodes from the China paradigm Youtube page.