Dubai // At this year’s Beautyworld Middle East trade show, held at the Dubai International Convention and Exhibition Centre, the centrepiece of the vast hall that was dedicated to the spa industry was called the Sensorial Journey.
Stepping into the stand, spa professionals were wowed by a bespoke experience designed by the luxury French beauty brand Carita and the brand consultants Centdegres. It played to all five senses – sight, touch, smell, taste, and hearing. It began with a drink made from detoxifying ingredients and ended with a facial treatment using Carita’s Cinetic Lift Expert machine that uses LED, ultrasound and microcurrent technology to give the skin an instant pick-me-up.
It was a sophisticated experience designed to tune into the needs of the increasingly demanding UAE spa-goer. “They are looking for ‘Luxury 2.0’,” says Susie Ellis, the chief executive of the Global Wellness Institute (GWI). “They want a higher level of expertise from the therapists and trainers, and crave a more unique menu of services that includes indigenous practices and products that can help educate them about the region and its secrets to greater health and vitality, things they can get nowhere else.”
With a market that is growing so fast, it is no wonder UAE spa-goers are becoming more discerning. The global wellness tourism market here – which includes the spa sector, as well as all travel associated with enhancing one’s personal well-being – is the market leader in the Mena region, at twice the size of its next closest competitors, Morocco and Israel, combined, according to the GWI.
Ms Ellis, who hosted the spa industry-dedicated Wellness Symposium at this year’s Arabian Travel Market, says the wellness industry offers huge opportunities for the UAE economy.
“The wellness tourism market is a critical, fast-growing component of the UAE’s fast-growing tourism industry,” she says. “In 2015, the UAE’s Minister of Economy reported that tourism contributed US$36.4 billion to the country’s economy, 9 per cent of total GDP. And wellness tourism comprises 13.4 per cent of that total tourism spend including both domestic and international, at $2.72bn in revenues. So about one in seven of total tourism dollars generated comes from trips with a wellness component.”
And while the UAE’s spa sector, with treatments offered in both stand-alone spas and within hotels, is smaller than its total wellness market, it is growing at an even faster rate. The Mena region’s spa powerhouse, it grew from $582 million to $742m between 2013 and 2015, boasting an increase from 121 spas to 687, according to the GWI. It also ranks as one of the top 20 national spa markets in the world.
The UAE simply dominates in Mena, driving 35 per cent of the region’s spa revenues, says Ms Ellis. “The UAE spa market is nearly three times bigger than its closest Mena competitor, Saudi Arabia, at $255m. To put the UAE’s spa market growth in some global context, the UAE market grew 27.5 per cent from 2013 to 2015, while the global growth average was only 4 per cent. That’s roughly seven times faster growth. That’s incredibly impressive.
“There are 687 spas that earn $742m annually, or $1.08m on average per spa, which is very high. Just compare that, for instance, to the number three Mena spa market, Morocco, which has 1,785 spas earning $244m annually, or roughly $137,000 per spa.”
Pooja Hemrajani, an analyst at Colliers International, points out that in Dubai alone there are more than 200 spas in operation, and a further 25 new hotel spas are expected to open in 2017.
“Spas are now seen as an integral feature of a hotel, and often occupy prime real estate within a hotel,” says Ms Hemrajani.
“The stand-alone spa sector has also grown with several brands entering the market such as Sensasia and Dreamworks. The general trend now for mid-market hotels is to lease space to such spa brands or operators. This means spas are becoming more affordable and no longer have to be seen as a luxury. Hotel owners are also entering into revenue or profit-share schemes with spa management companies, which limits the risks for the hotel owner.”
The growth of the wellness market has been supported by the country’s investment in it, says Ms Ellis. “The UAE, smartly, regards tourism as an important economic sector that offers both economic and job creation potential – and promotion is helping drive the wellness travel market. In the hotel and resort spa markets, the UAE has benefited from significant investments in new hotels and resort properties, from both international and regional brands, in anticipation of Expo 2020.”
She also predicts a knock-on from the Government’s new happiness initiatives. “We expect there to be various new ‘happiness modalities’ that arise in the spa and wellness sector – perhaps even ‘Happiness Spas’ – and predict that with the trending integration of medicine and spa, DNA and bio-marker testing will likely find their way into a kind of ‘happiness profile’ that could shed some important light on issues such as what genetic factors contribute to happiness and how our industry might be better able to capitalise on this newly available information.”
Consumers in the UAE are also driving growth. “The spa and wellness travel market is gaining ground with professional and middle-class consumers in the UAE, who are living increasingly hectic, yet sedentary lifestyles. Overall, UAE consumers are becoming more aware of the risks of stress and chronic diseases, and are increasingly turning to sports clubs, spas and healthy foods to maintain good health and prevent diseases.”
At the moment, inbound wellness tourism dominates over the domestic market, with 68 per cent of receipts coming from international travellers, in contrast to the average global wellness tourism market which is heavily dominated by the domestic spend, at 67 per cent of market, according to the GWI. In the UAE, domestic wellness tourism is worth just $1.2 billion annually against a larger inbound market of $1.5 billion.
However, for Sue Harmsworth, the founder of the leading global spa brand, Espa, the impetus to enter the UAE market 15 years ago was driven by demand from domestic spa-goers. “We were finding that our UAE clients in London, New York and Europe were asking when we were going to be opening in UAE so it was an important market for us to launch into.”
The brand, which has global partnerships with luxury hotel groups including One&Only and Ritz-Carlton, supplies high-quality spa products and helps hotels establish and run their spas. It operates seven spas here including The Ritz-Carlton, Dubai International Financial Centre Atlantis the Palm and Espa at Yas Viceroy Abu Dhabi and has just launched new spas at The St Regis Dubai Intercontinental Dubai Marina and Al Habtoor Polo Resort & Club, Dubai. Later in the year it launches The Ritz-Carlton Dubai Beach and The Ritz-Carlton Ras Al Khaimah, and has 10 projects in the pipeline.
“The UAE market is very important to Espa, it’s the gateway to the Middle East and we’ve always had very strong partnerships there, particularly in the luxury segment,” says Ms Harmsworth. “We have seen exponential growth in the interest of spa. She says locally the firm uses “our wealth of knowledge of the culture and region in our spa designs, treatments, and product formulations”.
The domestic wellness travel market is set to matter more in the future, says Ms Ellis. “While inbound Mena and UAE wellness tourism is still growing, catering to the domestic and inter-regional wellness tourist and their cultural and religious sensitivities will become more paramount.”
business@thenational.ae
Business Insights
- As per the document, there are six filing options, including choosing to report on a realisation basis and transitional rules for pre-tax period gains or losses.
- SMEs with revenue below Dh3 million per annum can opt for transitional relief until 2026, treating them as having no taxable income.
- Larger entities have specific provisions for asset and liability movements, business restructuring, and handling foreign permanent establishments.
Did you know?
Brunch has been around, is some form or another, for more than a century. The word was first mentioned in print in an 1895 edition of Hunter’s Weekly, after making the rounds among university students in Britain. The article, entitled Brunch: A Plea, argued the case for a later, more sociable weekend meal. “By eliminating the need to get up early on Sunday, brunch would make life brighter for Saturday night carousers. It would promote human happiness in other ways as well,” the piece read. “It is talk-compelling. It puts you in a good temper, it makes you satisfied with yourself and your fellow beings, it sweeps away the worries and cobwebs of the week.” More than 100 years later, author Guy Beringer’s words still ring true, especially in the UAE, where brunches are often used to mark special, sociable occasions.
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
COMPANY%20PROFILE
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Wicked
Director: Jon M Chu
Stars: Cynthia Erivo, Ariana Grande, Jonathan Bailey
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More from Neighbourhood Watch:
Company%20Profile
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THE SPECS
Engine: 6.75-litre twin-turbocharged V12 petrol engine
Power: 420kW
Torque: 780Nm
Transmission: 8-speed automatic
Price: From Dh1,350,000
On sale: Available for preorder now
BRIEF SCORES:
Toss: Nepal, chose to field
UAE 153-6: Shaiman (59), Usman (30); Regmi 2-23
Nepal 132-7: Jora 53 not out; Zahoor 2-17
Result: UAE won by 21 runs
Series: UAE lead 1-0
If you go
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.
When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.
How to get there: Emirates currently flies from Dubai to Orlando five times a week.
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The specs
Engine: 1.5-litre turbo
Power: 181hp
Torque: 230Nm
Transmission: 6-speed automatic
Starting price: Dh79,000
On sale: Now
Neil Thomson – THE BIO
Family: I am happily married to my wife Liz and we have two children together.
Favourite music: Rock music. I started at a young age due to my father’s influence. He played in an Indian rock band The Flintstones who were once asked by Apple Records to fly over to England to perform there.
Favourite book: I constantly find myself reading The Bible.
Favourite film: The Greatest Showman.
Favourite holiday destination: I love visiting Melbourne as I have family there and it’s a wonderful place. New York at Christmas is also magical.
Favourite food: I went to boarding school so I like any cuisine really.
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The specs
Engine: 2.9-litre, V6 twin-turbo
Transmission: seven-speed PDK dual clutch automatic
Power: 375bhp
Torque: 520Nm
Price: Dh332,800
On sale: now
Milestones on the road to union
1970
October 26: Bahrain withdraws from a proposal to create a federation of nine with the seven Trucial States and Qatar.
December: Ahmed Al Suwaidi visits New York to discuss potential UN membership.
1971
March 1: Alex Douglas Hume, Conservative foreign secretary confirms that Britain will leave the Gulf and “strongly supports” the creation of a Union of Arab Emirates.
July 12: Historic meeting at which Sheikh Zayed and Sheikh Rashid make a binding agreement to create what will become the UAE.
July 18: It is announced that the UAE will be formed from six emirates, with a proposed constitution signed. RAK is not yet part of the agreement.
August 6: The fifth anniversary of Sheikh Zayed becoming Ruler of Abu Dhabi, with official celebrations deferred until later in the year.
August 15: Bahrain becomes independent.
September 3: Qatar becomes independent.
November 23-25: Meeting with Sheikh Zayed and Sheikh Rashid and senior British officials to fix December 2 as date of creation of the UAE.
November 29: At 5.30pm Iranian forces seize the Greater and Lesser Tunbs by force.
November 30: Despite a power sharing agreement, Tehran takes full control of Abu Musa.
November 31: UK officials visit all six participating Emirates to formally end the Trucial States treaties
December 2: 11am, Dubai. New Supreme Council formally elects Sheikh Zayed as President. Treaty of Friendship signed with the UK. 11.30am. Flag raising ceremony at Union House and Al Manhal Palace in Abu Dhabi witnessed by Sheikh Khalifa, then Crown Prince of Abu Dhabi.
December 6: Arab League formally admits the UAE. The first British Ambassador presents his credentials to Sheikh Zayed.
December 9: UAE joins the United Nations.
ABU%20DHABI%20CARD
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COMPANY%20PROFILE%20
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If you go
The flights
Emirates flies from Dubai to Funchal via Lisbon, with a connecting flight with Air Portugal. Economy class returns cost from Dh3,845 return including taxes.
The trip
The WalkMe app can be downloaded from the usual sources. If you don’t fancy doing the trip yourself, then Explore offers an eight-day levada trails tour from Dh3,050, not including flights.
The hotel
There isn’t another hotel anywhere in Madeira that matches the history and luxury of the Belmond Reid's Palace in Funchal. Doubles from Dh1,400 per night including taxes.
Business Insights
- Canada and Mexico are significant energy suppliers to the US, providing the majority of oil and natural gas imports
- The introduction of tariffs could hinder the US's clean energy initiatives by raising input costs for materials like nickel
- US domestic suppliers might benefit from higher prices, but overall oil consumption is expected to decrease due to elevated costs
The specs
Engine: Long-range single or dual motor with 200kW or 400kW battery
Transmission: Single-speed automatic
Max touring range: 620km / 590km
Price: From Dh250,000 (estimated)
COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
Brief scores:
Day 2
England: 277 & 19-0
West Indies: 154
Company%20Profile
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The biog
Age: 59
From: Giza Governorate, Egypt
Family: A daughter, two sons and wife
Favourite tree: Ghaf
Runner up favourite tree: Frankincense
Favourite place on Sir Bani Yas Island: “I love all of Sir Bani Yas. Every spot of Sir Bani Yas, I love it.”
COMPANY%20PROFILE
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MO
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KILLING OF QASSEM SULEIMANI
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Our family matters legal consultant
Name: Dr Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Try out the test yourself
Q1 Suppose you had $100 in a savings account and the interest rate was 2 per cent per year. After five years, how much do you think you would have in the account if you left the money to grow?
a) More than $102
b) Exactly $102
c) Less than $102
d) Do not know
e) Refuse to answer
Q2 Imagine that the interest rate on your savings account was 1 per cent per year and inflation was 2 per cent per year. After one year, how much would you be able to buy with the money in this account?
a) More than today
b) Exactly the same as today
c) Less than today
d) Do not know
e) Refuse to answer
Q4 Do you think that the following statement is true or false? “Buying a single company stock usually provides a safer return than a stock mutual fund.”
a) True
b) False
d) Do not know
e) Refuse to answer
The “Big Three” financial literacy questions were created by Professors Annamaria Lusardi of the George Washington School of Business and Olivia Mitchell, of the Wharton School of the University of Pennsylvania.
Answers: Q1 More than $102 (compound interest). Q2 Less than today (inflation). Q3 False (diversification).
Founders: Abdulmajeed Alsukhan, Turki Bin Zarah and Abdulmohsen Albabtain.
Based: Riyadh
Offices: UAE, Vietnam and Germany
Founded: September, 2020
Number of employees: 70
Sector: FinTech, online payment solutions
Funding to date: $116m in two funding rounds
Investors: Checkout.com, Impact46, Vision Ventures, Wealth Well, Seedra, Khwarizmi, Hala Ventures, Nama Ventures and family offices
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
Summer special
the pledge
I pledge to uphold the duty of tolerance
I pledge to take a first stand against hate and injustice
I pledge to respect and accept people whose abilities, beliefs and culture are different from my own
I pledge to wish for others what I wish for myself
I pledge to live in harmony with my community
I pledge to always be open to dialogue and forgiveness
I pledge to do my part to create peace for all
I pledge to exercise benevolence and choose kindness in all my dealings with my community
I pledge to always stand up for these values: Zayed's values for tolerance and human fraternity
The language of diplomacy in 1853
Treaty of Peace in Perpetuity Agreed Upon by the Chiefs of the Arabian Coast on Behalf of Themselves, Their Heirs and Successors Under the Mediation of the Resident of the Persian Gulf, 1853
(This treaty gave the region the name “Trucial States”.)
We, whose seals are hereunto affixed, Sheikh Sultan bin Suggar, Chief of Rassool-Kheimah, Sheikh Saeed bin Tahnoon, Chief of Aboo Dhebbee, Sheikh Saeed bin Buyte, Chief of Debay, Sheikh Hamid bin Rashed, Chief of Ejman, Sheikh Abdoola bin Rashed, Chief of Umm-ool-Keiweyn, having experienced for a series of years the benefits and advantages resulting from a maritime truce contracted amongst ourselves under the mediation of the Resident in the Persian Gulf and renewed from time to time up to the present period, and being fully impressed, therefore, with a sense of evil consequence formerly arising, from the prosecution of our feuds at sea, whereby our subjects and dependants were prevented from carrying on the pearl fishery in security, and were exposed to interruption and molestation when passing on their lawful occasions, accordingly, we, as aforesaid have determined, for ourselves, our heirs and successors, to conclude together a lasting and inviolable peace from this time forth in perpetuity.
Taken from Britain and Saudi Arabia, 1925-1939: the Imperial Oasis, by Clive Leatherdale
Company%20Profile
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Disclaimer
Director: Alfonso Cuaron
Stars: Cate Blanchett, Kevin Kline, Lesley Manville
Rating: 4/5
The specs
Engine: 2.7-litre 4-cylinder Turbomax
Power: 310hp
Torque: 583Nm
Transmission: 8-speed automatic
Price: From Dh192,500
On sale: Now
