Category Archives: wellness tourism

Thoughts on the high yield tourist

The high yield tourist concept hugely benefits spas and wellness businesses.

It was the first time I heard the term “high yield tourist” however I immediately recognized its huge importance to wellness tourism and spa tourism worldwide. The “high yield tourist” is something governments and private business know is very important – it brings in travelers who spend more money than other tourists often do. Also wellness tourists often don’t do as much damage to a country’s environment and thus are attractive from that point of view also.

The concept reminds me of the findings from many hotel groups that have evaluated the spending patterns of their guests. They have found that those guests who use the spa spend a lot more money in general than those who don’t use the spa. (Sometimes even twice as much on average!)

It was last week in New Delhi – we were sitting in the office of the man who is credited with spearheading the wildly successful “Incredible India” campaign – Amitabh Kant. In fact he had just handed us the book he wrote about that topic called “Branding India: An Incredible Story.” I was in India with Andrew Gibson (Mandarin Oriental, Hong Kong) and Professor Marc Cohen (RMIT, Australia) where we were making further preparations for the 2013 Global Spa and Wellness Summit that will take place October 5-7.

We were aware that Amitabh Kant was one of the key visionaries who put wellness tourism on the map – not only for India but for the world. In 2000 he was minister of tourism for Kerala and launched the “God’s Own Country Campaign” that introduced this beautiful region to the world and branded it as the cradle of Ayurveda. He later went on to work with India’s national government and developed the Incredible India campaign that resulted in showcasing the color and diversity of India – all under one banner. He explained that the foundation of the campaign was actually the wellness aspect of India…featuring yoga, meditation and Ayurveda.

He explained that his goal was to target the “high yield tourist,” knowing that if he could do that, others would follow. And that is exactly what happened.

There isn’t a great deal written yet about this “high yield tourist” – however it is a concept that will likely be discussed more often in the future. Check out this study from Australia: Concepts of Tourism Yield and Their Measurement .

Note their observation:

“Generally it is not the number of visitors per se that is the goal of tourism marketing but the expenditure associated with those visitors. Moreover, it is well recognized that greater numbers also generally imply greater social and environmental impacts. In this report we develop yield measures based on the financial and economic effects of visitor expenditure rather than visitor numbers.”

NY Times Article: Destination: Wellness – Not so Flattering

Happy New Year to everyone!

While I had planned this New Year’s Day post to be my answer to the often debated 2012 question “Should our industry get rid of the word spa?” that will have to wait until my next post. I feel compelled to share the December 28th NY Time’s Article called Destination: Wellness written by Jesse McKinley as well as my response to the piece. First…check out his lengthy article that was, I am afraid, not very flattering to our spa and wellness industry. (Check out the comments also.) Continue reading →

Medical Tourism Taking a Back Seat to Wellness Tourism

I rarely do this, however am making an exception in this case because I feel it is that important. Rather than just giving you a link to an article, I am retyping the entire article here for you (with attribution, of course). It is from today’s (Feb 20, 2012) Manila Standard Daily newspaper and titled, Tourism plan zeroes in on ‘wellness.’

The reason this is important is because it shows that what the research from the Global Spa and Wellness Summit has been predicting, is, in fact now happening. I don’t think many people really “got it” before because it was more theoretical however this is reality. The spa industry should be all over this – and making sure that government entities recognize how valuable it would be for them to help promote their country’s spa tourism.

Tourism plan zeroes in on ‘wellness’

Medical tourism is likely to take a backseat to health and wellness programs because the Aquino administration intends to focus on those booming tourism sectors, an official said Sunday.

Tourism Undersecretary Daniel Corpuz said most of the Philippines’ major hospitals were internationally accredited but only a few foreigners were going here for treatment.

“So we would rather concentrate on non-invasive procedures or the health and wellness [programs] than procedural operations.” Corpuz told reporters at the sidelines of the National Tourism Statistics conference 2012 in Manila.

He made the statement even as Tourism Secretary Ramon Jimenez said his department would be pushing the municipality of Oslob in Cebu as a tourist destination because of its famous whale sharks. Tourists visiting the area and Donsol in Sorsogon in Sorsogon could swim with the giant but docile creatures.

Corpuz described medical tourism was a complicated market segment and therefore hard to push. The Tourism Department launched its medical tourism program in 2007 to boost the country’s tourism industry. It pushed aesthetic surgery, complex orthopedic procedures and cancer and cardiovascular care among other things.

The department said the country’s beaches and resorts, world-class facilities and friendly people would entice foreigners to come here for treatment. Macon Ramos-Araneta.

(Published in the Manila Standard Today newspaper on /2012/february/20.)

Medical Tourism Will Force Health Care Change: Spas Benefit

I had a big “ah ha!” recently. It came after reviewing my notes and reflecting on what I heard and learned at the World Medical Tourism & Global Healthcare Congress I attended in Chicago a few weeks ago.

It was the revelation that because of medical tourism – people traveling across borders eitherinternationally or domestically for medical care – we can eventually expect a dramatic improvement in the health care crisis in the U.S. and around the world!

That was a major wow – and it gives me great optimism not only for our country but also for the spa and wellness industries as a whole.

Bottom line, medical tourism is now creating competition – true competition – and that is spilling over causing health care all over the world to respond. Add to that some of the changes in both the European and the U.S. health care systems and we are approaching a tipping point. Prices will come down and quality of care will go up. Here are some things I learned at the conference that bring me to that conclusion:

The quality of hospitals and doctor’s skills around the world is increasing so quickly that in many places it has not just caught up with the U.S., it is now surpassing it! That is a game changer.
Patient care is more caring in many parts of the world. Due to lower labor costs there are more people to care for each patient in places like the Philippines, Thailand, India, Barbados, etc. Patients get more time with their doctors, access to more thorough testing and are taken care of from the minute time they arrive in the foreign country until the time they leave.
The Internet is helping all of this along…the power is now shifting into the consumer’s hands and they are looking (and finding) places for cheaper, quicker, or better medical care.
90 different countries attended this conference. That’s huge! It means that 90 countries are interested in medical tourism which will fuel even more competition.
Insurance companies are beginning to embrace medical tourism by helping their policy holders find overseas solutions. This is new. (There were quite a few insurance companies at this conference.) The lower costs are just as attractive to insurance companies as they are to individuals!
Businesses that are self insured are fostering relationships with specific countries for their health care needs. Blue Lake Casino works with a medical facility in Costa Rica for all their orthopedics issues. B & H Photo of NY has 1700 staff. 50% are Jewish so they decided to work with a hospital in Israel for their health care needs.
Many places offer quicker service. Some countries (Canada, UK) have long waiting lists…going abroad can solve that.
Often lower costs can be found abroad. For example, dental work (often not insured in the U.S.) is becoming as good as or better in Mexico than in the U.S. at a fraction of the cost.
One can get access to new cutting edge medical options that may not be available in one’s home country. Example: stem cell medicine which is growing very fast.
Transparency is greater abroad. As one speaker explained – just try finding out the cost of a colonoscopy here in the U.S. It’s almost impossible because of the various entities involved in that procedure. You can easily get an all inclusive colonoscopy price quote in from many countries.
Executive physicals are popular. One research report found that 45% of medical tourists are interested in Executive Physicals, 33% interested in Dental procedures, with lower percentages for oncology, orthopedics and cosmetic surgery. The physicals are more comprehensive and cheaper. There is more time to discuss results with a doctor and some tests aren’t available anywhere else.
Areas of specialties are arising both domestically and internationally. Brazil is known for plastic surgery, Korea is known for living donor liver transplantation and robotic surgery, and Oklahoma is positioning itself as the medical tourism destination for oncology care in the U.S. Missouri’s Hospital Association found that domestic medical travel created over 3,000 jobs and generated $124 million in non-medical travel expenditures in 2009.
Hospitals are doing deals and getting creative. Lowe’s just struck a deal with Cleveland Clinic making it the first time a national company selected one specialist hospital. Mayo Clinic is planning to build a destination Medical Community as they now realize that if they don’t get involved with people post stay at Mayo, it will affect future customers. A company in Boston that talked about sending their employees to Thailand for orthopedic procedures found that a hospital in Boston was willing to match the price.

The last session of the conference really hit home – it was called “Meet the Medical Tourist.” There were several people who had taken trips abroad for medical care sharing their experiences. The most memorable was the couple from London who had not been able to get pregnant despite 3 cycles of IVF. They decided to try a well known fertility clinic in Barbados that had a very high success rate. The baby on their lap gave away the result.

Of most interest to me was the mother’s summary. In Barbados she had a more thorough evaluation, much greater interaction with the doctor and a more extensive preparation strategy. They took time to improve odds by monitoring aspects of her physiology that the doctors in London didn’t seem to have time or interest in doing.

I think medical tourism is something the spa and wellness industry should wholeheartedly support. Why? We benefit directly because medical tourists often travel with a companion and sometimes an entourage. Once someone has experienced a country – whether for a medical procedure or a spa vacation – it is reasonable to assume that they will feel more comfortable selecting it for the other. According to the GSS research, wellness tourism ($106B) is already twice the size of medical tourism ($50B). Medical Tourism doesn’t have a lot of repeat business – wellness tourism does. By supporting medical tourism, we will encourage people to think about their health when traveling.

Medical Tourism leads to Wellness Tourism. And Wellness Tourism leads to Medical tourism. And all of it will be a positive for the health care situation in the future.

I feel like kicking up my heels.

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Impressed with..Surprised by..Suggestions for Schloss Elmau and Spa, Germany

I was impressed with….surprised by….and have some suggestions for….Schloss Elmau Luxury Spa and Cultural Hideaway, Germany

Next stop on my Germany/Austria spa trip was the recently rebuilt Schloss Elmau where the German Spa Conference was going to take place. The full title of this property is Schloss Elmau Luxury Spa and Cultural Hideaway and you simply must click through their slide show. Now normally I wouldn’t be crazy about having so many words in a name – however I have to say, it really does describe the property perfectly. (By the way, Schloss means Castle)

I had first been introduced to Schloss Elmau at a Leading Hotels of the World dinner in New York. Leading had gathered the owners of 12 of their very special European properties (all Leading properties are special and all Leading Spas are exceptional) to discuss their unique art of hospitality. I thought this was a novel idea for a dinner and apparently so did many others as they had a grand turnout.

During the Q & A after the 12 owners spoke, I asked a question about what new trends they might be seeing in their spas. Immediately they all looked to one guy – the youngest member of the group – to take the question. That was Dietmar Muller-Elmau. He looked hip, cool, fun. His enthusiastic answer and some surprising side-bars definitely got my attention. Immediately Schloss Elmau was on my list of “must visit” spas.

Fast forward one year…am in a car driving up to the front door of the castle.

I WAS IMPRESSED WITH…the creativity of the concept and how much I really enjoyed being there.

Dietmar had inherited this Castle with all of its problems and responsibilities and started out as somewhat of a reluctant proprietor. He eventually came to peace with the fact that this would be a project to which he would need to dedicate immense energy, time and resources. When the property had a fire that destroyed half of it, he had no other choice but to jump in full time. The timing was pretty good in one sense it seems as he had just sold his very successful software company, Fidelio. (No wonder their website and photography is so fantastic!)

He set out to create something new – exactly to his personal liking. I was impressed with how he put together some unusual pairings and really made them work: Spa and concert hall. Spa and library. Families and couples. Spa seekers and non-spa seekers. Indoor and outdoor. Public and private. Michelin Star and Spa Cuisine. Old world and contemporary. Fun and romance (oops….I guess those really aren’t opposites but you get what I mean.)

Some highlights: The stunning view of the Alps from almost every window in the castle

The 2.5 million euro hamam – yes, you read that right…a combo of the authentic with a modern twist…think 3 hamams connected to each other, adding several small nooks enclosed as steam rooms for those who don’t want to lounge on the belly stone for an hour to break a sweat, special materials, and elaborate relaxation den, etc.
Huge carefully curated bookstore, ½ dedicated to children
Libraries with beautiful books in numerous locations – including in one of the spa’s relaxation rooms
The use of bright robes, some in turquoise, some in pink, maroon, etc. So instead of people walking around in white robes giving the place a sanitarium look, it looks like everyone is pitter pattering around their living room at home.

Most of all I was impressed with Dietmar’s vision and understanding of a fundamental aspect of health that few people I have met in the spa world (or outside of it for that matter) understand, let alone are able to facilitate. It is the balance between time alone and time spent in social interaction. Learning that this was an intentional part of the design from the beginning…makes it that much rarer of an accomplishment.

I WAS SURPRISED BY…the fact that this place had been a cultural hideaway with music concerts and literature readings from its very beginnings in 1916. Their beautiful concert hall in the castle hosts 200 music events each year. (Top performers in this area…remember it is the land of Mozart, Beethoven, Bach after all) so you can spa by day and be mesmerized musically at night. I was surprised that there were six restaurants – when there are only 130 guest rooms – and that one has a Michelin star. That works because some of the restaurants are on the smaller side so you have lots of choice…for example a traditional Swiss Chalet experience with fondue. There is even a spa restaurant with healthy fare. I was surprised to find there was not just one spa – but four! One for adults only, an outdoor nature spa, a Family spa and their Ladies/Private Spa. I was surprised by how this place worked as a perfect romantic getaway and at the same time a wonderful family vacation place where the kids have soccer fields, playgrounds, and organized activities galore. It certainly appears as if everyone is living happily ever after together in this castle.

I HAVE SOME SUGGESTIONS…sorry, I just can’t help myself – it is in my DNA to tweak things to perfection which I know is not always a very attractive (or welcome) trait. However since I sense some kinship with Dietmar in this regard, I will point out just a couple of things that could use a bit of tweaking:

My Thai massage was something different than what I expected. To me (and I think most other people who have experienced a Thai massage either in Thailand or outside of it) a Thai massage is done on a mat on the floor in pajama-like outfits issued by the spa. While this massage was called a Thai oil massage, I wasn’t expecting to be on a traditional massage table. It ended up feeling pretty much like a normal massage I would get anywhere although it had a slightly different ending. I don’t feel that this type of Thai massage is unique enough to warrant special billing (and you can interpret the word billing with both meanings here) on a spa menu. It is likely to be a disappointment to anyone who is looking forward to what is generally thought of as a Thai massage. My suggestion would be to consider removing it from the spa menu.

My final suggestion is a result of a somewhat amusing moment for me – again during that Thai spa treatment. When I looked down through the headrest of the massage table toward the beautiful bowl filled with water and flowers that was provided as a focal point so you don’t have to look at the floor or the therapist’s feet, I realized it was strewn with fresh frangipani petals and a beautiful lily pad. But as I looked closer I had to chuckle, the lily pad was artificial! I would say given the extraordinary setting and point of view of Schloss Elmau Luxury Spa and Cultural Hideaway – add a few more fresh frangipani petals and lose the artificial flowers.

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