MassageLuXe is a Proven Business Model That’s More Than Just Recession Resilient
Americans’ desire to take better care of their health transcends any economic downturns because you can’t put a price on your wellbeing. That’s why the massage and spa industry plays a key role in the self-care of millions of Americans and no brand has more to offer than the fast-growing luxury spa brand MassageLuXe.
MassageLuxe isn’t just successful because of the brand’s superior service and products but also because of growing consumer demand, its profitable recurring revenue stream model, and the fact that its services that can’t be replaced by technology.
“There’s no better franchise opportunity in the fast-growing luxury spa business than MassageLuXe,” said MassageLuXe CEO Mark Otter. “We cater to the growing demand of health-conscious consumers everywhere with a proven concept and business model that is recession resistant.”
MassageLuXe was founded in 2007 and began successfully franchising in 2008 during one of the country’s worst recessions. The brand thrived early on and is continuing its growth pattern today as the company is on track to have 250 locations by 2025.
Turns out the spa industry is actually a great business space during strong or troubled economic times. The industry’s numbers from the last recession make that clear. Revenues were up almost 18 percent from 2007 to 2008. That’s a whopping $12.8 billion, according to ISPA's 2009 U.S. Spa Industry Update. During that same time, the number of spa visits increased 16 percent and the number of locations rose almost 19 percent to 21,300 in the U.S.
The membership-based business model of MassageLuxe helps create loyal customers and sets franchisees up with recurring revenue streams, regardless of the economic landscape. Neither the owner nor the customer loses if an appointment is missed because unused massages or facial sessions roll over.
“We designed our model to encourage ongoing client participation and visits, create steadier sales cycles, and reduce administration and billing time,” said MassageLuxe Chief Growth Officer Kristen Pechacek. “MassageLuXe franchisees have a quick ramp-up with early profit opportunities thanks to an expanding service line, product offerings, and top-notch grand opening marketing support.”
MassageLuxe is also immune from the impact of technology disruption. After all, membership-based massage services can only be done in person and can’t be had online.
“As we see more nationwide health and wellness issues, it is important to offer non-pharmaceutical solutions to pain,” said Otter. “More and more doctors and patients are seeing the need for incorporating massage therapy services into their overall health and wellness regimen.”
He said the company provides services that are a health necessity for client members, and there’s nothing discretionary about that.
All of this makes right now one of the best times to invest in the proven business model of MassageLuXe. The brand is a perfect business opportunity to make a career change or diversify a business portfolio, all while maintaining a recession resistance. The brand currently has open territories and markets available for growth opportunities.