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(FMS) University of Delhi Ashraf Hussain Kumar Prashanth Arvind Hoskote Neha Joshi 1 Objective & Background

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(FMS) University of Delhi Ashraf Hussain Kumar Prashanth Arvind Hoskote Neha Joshi 1 Objective & Background Submitted by Under guidance of Dr. Monica Singhania Faculty of Management Studies (FMS) University of Delhi Ashraf Hussain Kumar Prashanth Arvind Hoskote Neha Joshi 1 Objective & Background Global Trends Profitable, Practical. Innovative •Ayurveda – Considered oldest wellness system currently in existence •Yoga, Panchkarma, Nature Therapy – popular techniques currently •Growing popularity of Indian Culture globally Encompasses Authentic Indian Culture Indian Context •Wellness & spa industry has shown strong growth of 22% CAGR Growing affluence locally Suitable for roll-out globally and be commercially International visitors viable, credible and proven •Spa Segment – USD 90-110 million •Acceptance levels of 2% expected to increase •Apart from traditional techniques, also cater to obesity and other lifestyle diseases Industry Gyms/ Wellness Fitness Tourism Spiritual Centres Lifestyle Retrests Spas Ashrams Hotel Spas Beauty Resort Centres Day Spas Spas Standardized Location – based “generic “ - experiences Experiences Ayurveda Medical Clinics Centres Medical Centres Identified Opportunity There is a significant market potential for a spa that: A Facility Spa with world-class facilities Provides a taste of Indian culture and ethos Focuses on the holistic well being rather than just medical treatment Located near a major metro Sparsh Sparsh falls under the category of Destination Spas with the following features A blend of Indian Concepts of: •Yoga Concept •Traditional Ayurvedic Treatments •Healthy eating and connecting with nature Best suited for: Target Group •Corporate Executives •Couples leading work stressed lifestyles •Total programs for lifestyle changes •Customized daily schedules: Treatments, activities, nutritional counseling Services •Spa cuisine for 3 meals per day. •Positioned as a ‘premium priced’ spa •Preferable 5 day lifestyle reboot program (Min. 2 day stay) Positioning •Lifestyle spa providing mind and body offerings and therapies Design Two Configurations: Royal and Classic in the ratio 1:4 A signature in house restaurant serving organic, healthy food (focus on vegetarianism) Customized local fare on the menu Yoga / activity room with possibility of on the spot partitioning into smaller spaces Essential spa facilities like swimming pool, gym etc Ayurvedic treatment and massage rooms Meditation space( green & possibly an interior climate controlled garden) Spa Store- selling private labeled products such a healthy teas and Indian medical system medicines Therapies Provide offerings from Indian medical systems like Ayurveda, Unani, Siddha to allow access to Ancient Indian Medical Practices an alternative system of medicine. The signature therapy at Sparsh that stimulates all five sensory organs for the attainment of 5-Sense Therapy perfect body balance. Includes things like like Aromatherapy ,Music therapy, Dance therapy Indian Massage Techniques Kalari, Champi, etc based on pressure points in reflexology, Anna Lepam Yoga, Meditation Breathing Exercises, Suryanamaskar, Thought Control, etc Indian Cuisine Organic Foods & Drinks for Detoxification and Health Improvement Nutrition counseling, Mind-body rejuvenation, Life coaching, healthy aging with self-image- Consultation boosting beauty service and product offerings Details Packages / Offering Locations • An introductory week long retreat •Followed by small sessions in upcoming time PERIODIC SPECIAL THEMED weight loss camps 2-3 hours distance from a major Other customer catchment area (major city) small diabetes a car-drive away distance from you place rejuvenati therapy on session Examples sessions Delhi: as Siliserh lake near Rajasthan lifestyle yoga boot Mumbai: Mumbai Pune expressway reboot camp Success Factors Micro trends •Geographicincreasing emphasis on wellbeingWomen (25-45 yrs) A premium segment •Demographicincreasing popularity of weekendlooking getawaysfor health/ for the wholespa family offering a one body treatments stop destination with ••increasingIncome group popularity of traditional Indian knowledge and culture. High income couples a holistic product and • Age working towards a service portfolio for a • Gender healthy lifestyle rejuvenating experience with an Socio Economic TARGETING International underlying authentic Gender travelers, POSITIONING Indian culture SEGMENTATION Lifestyle Senior & CXO level experience executives 9 Marketing Strategy Global Appeal & Scalability Corporate :customized outbound programs are planned for employees Global Footprint Tourist Agencies: tie-up with major tourist agencies for mid to top management employee Healthier lifestyle & Authentic close coordination with premium USPs introspect travel agents and hotels to offer spa ion. packages, massage. For Expatriates: long stay visitors and expatriates there would be discount Climate offers on top of membership discount. controlled Milieu Online Booking:online medium will have an inbuilt payment option to allow for online sales. 10 Area Projections 15000 10000 5000 0 Area 27… Roof… Yoga… Shop Swim… Gymn… Servic… 9 nos.… Loung… Restro… Multip… Entran… Consul… Confer… Accom… Restau… Offices Laundry Profit Revenue Trends 4000000 Revenues 2000000 Costs Axis Title Axis 0 Profits Year 1 Year 2 Year 3 Year 4 Year 5 11 Architectural Layouts 12 Interior Plan Designs In collaboration with: 13 Internal landscaped court with water feature Internal Landscaped Yoga Court Entry to the Lobby Reception Area Pool Area 18 Standalone treatment rooms 19 Other uses of green spaces - 1 20 Other uses of green spaces - 2 21 India Wellness Sector Trends 22 Wellness Sector Trends Surge in interest in Indian wellness practices among foreigners A major target group for the SPA is the foreign tourists visiting the country for holidays. Consumers in foreign countries have showcased increasing interest in Indian culture and health practices. India is a preferred destination for people wanting a break from hectic day to day life and those that are seeking spiritual value addition. We look at the yoga classes industry in the US as an indicator of interest in Indian wellness practices in foreign countries. Revenue Annual Growth 07-12 $7bn 7.7% Employment Businesses 109,009 24,843 *IBIS report on Yoga Studios, Oct 2012. 23 Wellness Sector Trends Surge in interest in Indian wellness practices among foreigners The industry has shown a growth of CAGR 7.7% over the last five years indicating surging interest in the foreign markets for Indian healthcare treatments. Growth in wellness industry 1000 900 10 Rejuvenation 800 Alternate therapy 210 700 600 200 Nutrition 500 5 400 110-130 80 Fitness and slimming 300 130 160 Values (INR Bn) Values (INR Beauty Services 200 40 70-80 100 200 110-120 Beauty products 0 2010 2013 High growth segments Source: PwC analysis 24 Demographic Statistics - India • Indian youth (in the age group 15 to 34 years) comprises over 34% of the total population • This is expected to cross over 400mn by 2015 and forms the core target group for wellness products and services Youth Population in India 440 427 420 410 400 384 380 In millions 360 2005 2010 2015 25 Fuelling Demand for wellness products Fast growing emerging affluent/ affluent classes in India, who aspire for a better life with greater interest in wellness trends 26 Rising Income levels and increasing Discretionary spend 2019-20 50% 50% 2009-10 60% 40% 2000-01 70% 30% Non-discretionary spend Discretionary spend 27 Rising levels of lifestyle disorders in India Lifestyle diseases in Urban India 33 2015 35 25 2010 24 20 2005 18 Million cases Diabetes Coronary heart disease 28 References: • Annual Report 2011-12, Ministry of Tourism, Government of India • Price Waterhouse Coopers Report, Riding the Growth Wave-Wellness, 3rd Annual Wellness Conference, FICCI – 2011 • Ayurveda & Siddha-An introduction • Ayurvedic Industry-Challenges And Opportunities, Mr.T.Balakrishnan • Feature: Landscaping Opportunities in the Indian OTC Ayurveda Market, Sreedevi Yallamrazu • Spas and the Global Wellness Market: Synergies and Opportunities, 2010 • Riding the growth wave Wellness 3rd Annual Wellness Conference -September 2011 • Spa Industry – India, ResearchOnIndia.com, 2009 • Wikipedia • World wide web for secondary research 29 .
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