ATM 2018: Luxury spa market set to grow in Dubai

ATM 2018: Luxury spa market set to grow in Dubai

The number of five-star hotel spas in Dubai is on track to increase by a compound annual growth rate of 11 per cent to 2021, according to data released by Colliers International.

According to the report, Spa & Wellness Travel, produced exclusively for Arabian Travel Market, the number of five-star hotel spas in Dubai will increase from 107 in 2017 to 157 in 2021, in close correlation with the emirate’s hotel pipeline.

High profile openings over recent months include The Spa at Palazzo Versace Dubai and The Bulgari Spa, which will contribute to projected annual spa revenues in the emirate of US$495 million, by 2019, according to Visit Dubai.

Simon Press, senior exhibition director, Arabian Travel Market, said: “Regionally, the spa sector is multi-faceted and sensitive to events and developments in many other sectors, including global health, beauty and wellness trends.

“In 2017 we saw focus increase across these areas and Dubai was quick to capitalise and innovate, with the debut of a number of luxury-branded hotel spas.


“However, spas are no longer associated exclusively with the luxury market.

“As a result, we see more choice at various price points, a diversification in treatments, competitive marketing techniques and an increase in the number of spa management courses available to professionals.

“In 2018 and beyond, we expect to see these trends converge, further cementing Dubai and the region’s reputation as a leading medical, wellness and health destination.”

In the report, Colliers analysed data from spas representing 369 treatment rooms across Dubai and Abu Dhabi, highlighting nuances in demand and revenue trends.

In 2015, wellness trips to the GCC increased 44 per cent compared to 2013, while the number of spas increased 27 per cent, with Oman and Bahrain leading growth.

Bahrain also saw the highest increase in revenue over the same period, at 17 per cent.

The report concluded that such performance indicates a mature market capable of absorbing new supply.

Testing this, the UAE will welcome 83 new hotels in 2018, many featuring spa and wellness amenities and, across the Middle East, a further 500 new properties are due to open by 2020.

The 25th edition of Arabian Travel Market will take place at Dubai World Trade Centre, from April 22nd-25th.