Consultant, Global Spa and Wellness

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Presented by: Camille Hoheb, M.S., Healthcare Administration Consultant, Global Spa and Wellness Founder, Wellness Tourism Worldwide

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Agenda:

Future of Thermal Tourism



Why



What



Where



Who



How



When

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Importance of Thermal Tourism



Leverages existing natural resources



Expands tourism portfolio



Increases marketability – cross marketing to multiple

segments



Plays up strengths of indigenous offering (specific,

local, germane)



Differentiator from competitors



Compliments and strengthens tourism initiatives



Bridges medical tourism & wellness/leisure travel

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Medical & Wellness Tourism:

Comparing & Contrasting

Medical Tourism (Patient)

 Solving a health problem:

clinical outcomes to improve condition

 Diagnostic, surgery, rehab

 Regulated & sterile

Wellness Tourism (Leisure

Traveler & Wellness Consumer)

 Improving QofL: renewal of

mind, body & spirit

 Pampering, prevention & lifestyle management

 Engaging 5 senses to calm,

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Thermal Tourism:

2 Distinct Approaches

Medical Tourism:

Ailments Treated by Thermal Providers: Rheumatic Diseases  Degenerative  Inflammatory  Soft tissue  Dermatological diseases  Psoriasis  Atopic dermatitis  Eczema  Metabolic Diseases  Obesity  Metabolic syndrome  Geriatrics Areas of focus:  Rehabilitation  Wellness  Traditional  Beauty Leisure/Wellness Tourism

 “to luxuriate in the soothing

waters of natural mineral baths”

 Stress relief & socialization Types:  Baths  Mud  Inhalation  Drinking  Beauty

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Who?

Thermal Tourism & Medical

Global Aging Population

 Increase in those living with chronic conditions for decades

 Chronic conditions projected to be the

leading cause of disability by 2020

 Increasing need for prevention & mgmt

 By 2050 the UN predicts that 22% of the worlds

population will be over the age of 60.*

Conventional approaches are failing, even in the most advanced nations of the

world throughout Europe, Asia, the Middle East,

Australia, Canada and the U.S.” (PricewaterhouseCoopers)

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Baby Boomers & the Aging Population

Expectations:  Quality of Care  Quality of Life  Technology  Cutting Edge  Proficiency  Continuity of care  Customer Service  Communication

 Speak the same language

 Knowledge

Active Aging -allows people to realize their potential for physical, social, and mental well-being throughout life & to participate in society.  Eco conscious  Travel/adventure  Natural  Organic  Empowerment

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By 2030: More Boomers, Conditions & Tests

Global HC Opportunities



6:10 Boomers have 1+

chronic condition.



1:3 will be obese (21

million people)



1:4 (14 million) will have

diabetes.



1:2 (26 million) will live

with arthritis.



8 x more knee

replacements will be

performed than today.

Implications:

 If all diabetic Boomers

receive recommended care = 55 million lab tests/yr (44

million more)

 Diabetic need continuous I/P & O/P med mgmt

 < demand for cardiology services as Boomers live longer

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Who?

Wellness Tourism

 Increased work load

leading to social isolation

 Escape: every day life

 Social interaction vs. virtual communities  Self improvement  Specific goals  Spiritual guidance, counseling or quest  Increase in CAM

 Baby Boomers – youthful

& fit QoL Health Work Financial Belonging Safety Environ’t Emotional Social

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Source: SRI –GSS 2010

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Younger Population:

Health & Wellness Needs

Infertility

Stress

Weight

Loss

Life

Balance

Cosmetic

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Country Image

: Impacts Customer Loyalty

Country image’s + effect: Perceived quality Customer expectation Perceived value Customer satisfaction Customer loyalty Word of mouth

Ayyildiz, Hasan,Cengiz, Ekrem

Fundamental strategy for competitive advantage

Customer Loyalty: a long-term commitment to repurchase involving both repeated patronage and a favorable attitude.

Source Dick and Basu, 1994

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Importance

of

Customer

Loyalty

&

Retention

Source: Ayyildiz, Hasan,Cengiz, Ekrem, “Country Image Effect on Customer Loyalty Model” Innovative Marketing

More frequent purchases Become advocates & promoters Provide valuable insight Purchasing patterns. Marketing needs. Emerging opportunities Greater margins to

the bottom line _Retention:

ultimate goals for boosting

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Country Image

Customer Loyalty Example



Similarities between Turkey and Middle East

 Cultural  Culinary  Religious  Linguistics

 Healing traditions of thermal & mineral bath, hamman



Turkey is geographically proximal

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How?

Europe

Trans-border Care



2013 (October) to take

affect in the European

Union



Affects medical care &

treatment



Spa therapies will be

covered with a

physician RX



Subsidized treatment

allowances have

decreased in Europe as

cost savings measure



Out of pocket costs have

increased



More private pay, most

likely shorter stays,

perhaps more

opportunity for increased

frequency

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Natural Assets & Lifestyle Shape Tourism

Cultural traditions, lifestyle approaches & availability of natural assets shape the world in terms of WT

services.

Most important services vary region to region

Natural environment -the most critical comparative advantage or asset.

Availability & utilization: key to product differentiating & development

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Key Assets by Region

Europe: Nature important in all of Europe, esp. SE.

Natural healing assets: significant in WE & CEE

 Rehab & surgical important in every sub-region (sans SE)

Middle East: natural healing & medical

Africa: natural environment plus spirituality

 N. America: med/surg, CAM. Nature – high rating,

spirituality > Europe.

 S./Central America – nature,

CAM (med assets low rating due to avail vs. local need)

 Asia: High spirituality ranking, CAM & med

 S. Pacific: Natural environ. CAM, med had lowest ratings

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Challenges to Development

Lack of:



Legal arrangements to

protect geothermal

resources



Insufficient investments



Management in local

government facilities



Institutional

collaboration



Reluctance of investors.



Access/transportation



Sustainability, resource

waste & treatment

systems



tourism master plan



skilled labor force



marketing



insufficient qualified

facilities

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Wellness Tourism Today

Most Popular Wellness

Tourism Services:

 Spa & wellness resorts

(83% responded very popular or popular),

 Beauty treatments (89%)

 Sport & fitness (89%)

 Leisure and recreational spas (85%)

Lack of Information:

 Occupational wellness

(19% of respondents

reported unfamiliarity with the term),

 Thalassotherapy (19%)

 New Age (15%)

Niche products

 Spa cruises (40% responded neither popular or unpopular),

 Therapeutic recreation (38%),

 Nutritional and detox programs (35%).

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Job Stress & Health: Studies Suggest…

Cardiovascular Disease

Increase cardiovascular disease risk.

Musculoskeletal Disorders

Increases the risk for developing back & upper-extremity disorders.

Psychological Disorders

Mental health problems (depression & burnout)

Workplace Injury

Decrease safe work practices & increase injuries

Suicide, Cancer, Ulcers, and Impaired Immune Function

The link between stressful working conditions and these health problems.

(Encyclopedia of Occupational Safety and Health)

By 2020 top 5 disease conditions share underlying factor of stress Heart disease, stroke, cancer, respiratory disease & cancer who.int

Relaxation - # 1 reason to spa

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Opportunities



Individuals



Families



Communities



States



Countries

 Businesses/Corporations  Insurance Companies  Government Agencies  Associations  Executives/Workforce  HR/Benefit Specialists

 Hospitals & H/W Providers

 Products/Services

 Travel Agencies. Airlines

 Meeting Planners &Incentive

Travel

 Wellness Destinations/Hotels

 Spas

Stakeholders

Health as the new Wealth Shift: Passive to active Mind/body – stress 24/7

Chronic conditions, if not prevented or properly managed will be the most expensive problem, overburdening healthcare systems

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Untapped, Under-Utilized & Under Promoted

Spas as a Legitimate & Critical Provider

Most Popular Workplace Wellness Programs: -Back care -Stress management -Exercise -Stop-smoking (WELCOA) Therapies w/Clinical Evidence Art therapy Ayurveda Biofeedback Breath work Hypnosis Chinese Medicine Massage Meditation Music Therapy Psychotherapy Thermal Waters Yoga

In an environment in which health care costs are skyrocketing, the sensible approach is to reduce the need for care, and the most

powerful way to accomplish this is by focusing on evidence-based prevention. ..this will only succeed if spending on prevention is

considered a priority rather than discretionary and only if incentives are realigned.” (Committee on Health, Productivity and Disability Management, Journal of Occupational and Environmental Medicine, May 2009)

Engagement -Clinical Studies Health Promotion- Health Education

Lifestyle Management - ROI

• Most Popular WW Programs: • -Back care • -Stress relief • -Fitness • -Stop-smoking • (WELCOA)

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Vacation Days – Earned by Country

France Germany Spain Italy Austria Great Britain Canada Australia New Zealand

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Wellness Tourism Tomorrow

Products available globally may lose their differentiating qualities

Thermal tourism – natural resource: local & specific

Products/Services 2020

Most Important Regions

Therapeutic services Central & Eastern Europe

Spiritual & Holistic Far East, SE Asia Wellness Hotels &

Resort Spas

Africa, C & S America, ME, Australia, NZ, South Pacific

Lifestyle bases services

N, S & W Europe & N. America

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Summary:

Future of Thermal Tourism

 Can impact socioeconomic growth

 Has gained importance & credibility from research on clinical benefits for wellness, treatment & rehabilitation. More needed

 Poised for global aging population

 Valuable for workforce wellness

 Challenges: development & management

 Sustainability in the preservation of resources

 Cooperation between the public and private sector

 Collaboration with thermal bath and tourism industry

 Competing with other health & wellness tourism products

 Promotion to underserved markets that don’t share similar

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Parting Thoughts

Help consumers

find the solution

to their health

goals &

well-being travel

experiences

Requirements for capturing customer base

Understanding consumer needs

Their motivation for wellness experiences

Offering the most needed & desirable services

Excellent customer service Marketing. Marketing.

Marketing.

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Thank You

To participate in industry surveys, networking or for more information, please contact:

Camille Hoheb, M.S, Healthcare Administration

Business Advisor, Global Spa and Wellness www.globalspaandwellness.com

Founder, Wellness Tourism Worldwide www.wellnesstourismworldwide.com

[email protected]

[email protected] Skype: camille.hoheb

twitter.com/camillehoheb