ISPA Snapshot Survey Report April 2020: Quarterly Performance / COVID-19 | Page 2

COVID-19 ISPA’s Snapshot Surveys traditionally provide quarterly examinations of spa and resource partner performance, and this edition continues that custom. However, as the global coronavirus crisis continues to profoundly affect the spa industry, the need for detailed insight into how it will continue to respond remains substantial. As a result, this survey sought that additional context and attempts to offer as clear a picture as possible of how the industry is navigating the path toward reopening as restrictions are lifted in their areas. Of course, understanding the way forward begins with recognizing the scope of the pandemic’s impact on the spa industry. Virtually all spas reported being closed at the time of their response, with more than two-thirds (67%) having no published reopen date. Significant percentages of spas have furloughed (60%) or laid off (38%) employees during the crisis, while nearly a quarter (23%) have implemented salary reductions. In spite of those figures, however, the industry is already turning its attention toward reopening efforts. In anticipation of guest concerns, many spas are planning to make personal protective equipment, such as disposable gloves (38%) and face masks (44%) available to both guests and staff, with at least a third of all spas still working toward decisions on such measures. In addition, significant percentages of spas plan to implement other precautions—including visibly posting their hygiene and sanitation efforts (84%), placing restrictions on communal spaces (79%) and offering touchless payment options (51%)—as they prepare to welcome guests once more. Naturally, spa closures affected quarterly performance figures for spas and resource partners alike, though the pandemic’s impact has not been particularly consistent on that front, possibly due to the wide variation in closure dates and restrictions in different regions. 23 percent of spas, for example, reported a revenue increase of 10 to 19 percent compared to the first quarter of 2019, while 15 percent reported a revenue decrease in the same range. Sponsored by: 1