March, 2010

Serenity Spa and Salon, an integral part of the Hilton Campus San Diego, is featured in April’s issue of Lodging magazine.  “Personalize, Economize and Socialize” highlights new trends in Spas.  Leading the trend is the Serenity Spa Happy Hour.

“While day spas have always been a popular retreat, the concept of mini-spa services and sampler packages is becoming all the rage for those who don’t have the time - or funds - for big spurges.
Serenity Spa and Salon, on the Hilton Campus in San Diego, Calif., is combating the unstable economy by providing a quick fix.  In addition to offering promotions and disconunted services, Serenity recently launched its “Serenity Happy Hour” that promotes fun express services, while introducing new clients to diverse treatments.
The happy hour offers 25-minute services ranging from massage, to body scrubs, pedicures, and facials.  To encourage socializing, these discounted services come with low-cost appetizers and a free cocktail. Price points start much lower than a full treatment.
Spa Director Jessica Woolfrey expains, “I think guests are always seraching for different things to do in a group setting that does not have a huge price tag attached.  We have definitely jumped on this with the Serenity Happy Hour.  It meshes the right-priced services with a fun and relaxing time spent with yourself, one friend or a group of ten. The response has been fantastic!”

So what is really happening in 2010?  According to the U.S. Travel Association, business travel will be up 2.5 percent in 2010 with leisure travel up 1.9 percent.  That leaves the group market…it would be nice if we could find someone who will project an increase in that market segment but we can’t.  Naturally, each market and submarket in the U.S. will respond differently to the recovery.  However, the latest travelhorizons survey indicates that travel intentions of U.S. travelers is improving, which is certainly good news for strong markets like San Diego.

San Diego’s occupancy finished at 63.3 percent, down nearly 9 percent from 2008.  Clearly, 2009 was not a banner year.  But the real problem was the drop in average rate to $124.45, down 12.7 percent.  The second half of 2009 saw Revenue per Available Room (REVPAR) drop nearly 15 percent, with a late year trend of 8 percent declines.  This was a big improvement from the first half of 2009, when we saw 25 percent declines.

The good news: we are on the road to recovery, and 2010 should see a flattening out of occupancy and rate.
Read More About The Light at the End of the Tunnel is Closer than You Think: Hospitality Forecast, 2010