The Global Spa Industry Is Growing Fast And Is Projected To Reach $154.6 Billion By 2022
Venturing into spa franchise business is not easy. According to a recent survey, 5 out of 10 entrepreneurs who start spa franchise businesses fail within the first few years. But why do spa franchises fail and go out of business?
Unfortunately, the reasons are many and all too common. Here are a few points to consider, along with advice on what the business can do for averting disaster before it strikes.
A franchise owner should put more reliance on their business skills. A franchise owner must be able to manage all the components of the business. A franchisee must be able to self-analyze business performance and adjust energies where needed. Lack of these necessary business skills may often lead to failure of your spa franchise business.
Your staffs are your biggest asset. Quality staff is necessary for the success of your spa franchise. The failure caused by poor training or subsequent levels of support is also likely to occur in newer, start-up systems compared to mature brands. Train your employees in operational duties and also create a strong employee base that cares about the success or failure of your spa franchise.
Location can make or break a franchise business. Your spa franchise should be located in a place near shopping centres, local markets, public places or malls lure the adequate attention of pedestrians, hence grab better footfall. Many franchisors take a passive or hands-off approach to identify and negotiate a favourable site for the franchise.
Anticipate or react to competition, technology or other changes in the marketplace. When you’re busy, it’s easy to look the other way while things around you are changing. But just imagine trying to cater to a young, trendy crowd in a community where the population is ageing. It won’t be long before you find yourself in trouble.