Company Profile Promotion
ESPA promotion

As ESPA’s 20th anniversary year draws to a close, founder and CEO Sue Harmsworth explains how and why the company is still evolving


In many ways, the trajectory of ESPA encapsulates the history of the spa industry itself, from grass roots movement to global economy. Founded by industry pioneer Sue Harmsworth in 1993, the business has grown from a small UK-based concern offering consultancy services and a modest natural product line to a global spa management and product powerhouse, with more than 350 spas in almost 60 countries and clients ranging from Peninsula Hotels and One & Only Resorts to Ritz-Carlton and Mandarin Oriental.

But although these credentials are impressive, there are others that tell us more about what kind of company ESPA really is. After 20 years, this is still a family-run business, and including Harmsworth and her two sons – Michael, managing director, and Charlie, brand director – every member of the senior management team has been with the company at least 14 years and risen through the ranks. Moreover, all of the company’s 200 employees around the world, from sales people to trainers, have cut their teeth in operations, giving them a unique ability to offer clients rounded solutions to the challenges of running a successful spa business.

While ESPA’s heritage and expertise are enviable, however, the company has never made the mistake of resting on its laurels. Here, Harmsworth explains why the drive to innovate that inspired her to launch the business is just as important today.

How would you sum up your business model?
We’re an authentic, solutions-led spa company that offers its business partners a full range of services, from original concept and customer journey design, commercial business planning and budgeting, pre-opening and brand standards, recruitment, training and treatments right through to ongoing spa management. Our spa heritage and knowledge combined with our natural ingredient intelligence gives us a unique business edge, both commercially and operationally.

However, over the past few years, our business model has become much more flexible, meaning that alongside our spa design/development and management accounts, our portfolio now includes select product-only partnerships with spas and hotels that we feel share our stringent brand standards.

What we can promise is that every experiential encounter with ESPA will provide award-winning treatments, the finest quality natural products and a memorable, luxurious customer journey in a beautiful and relaxing environment.

What makes ESPA products unique?
I developed the ESPA product range while I was working as a spa consultant in the early 1990s for the simple reason that I couldn’t find the products I needed. Instead, I was forced to use a combination of clinical aromatherapy oils, bucket-loads of seaweed and skincare products that were really quite synthetic. So I set out to create a skincare line that was elegant and natural and covered everything needed for spas in a single range – and that’s still the case today.

However, since the launch of our own factory in Somerset, UK, in 2009, our product development has reached a whole new level. The factory is accredited by the Soil Association, Ecocert, the Organic Food Federation and the Fairtrade Foundation and, while our products have always been of extremely high quality, we’re now able to keep even tighter control over quality standards and respond even more quickly to our customers’ needs.

All of our products are made up of 95-100 per cent natural ingredients and are free from synthetic colour and fragrance, parabens, phthalates, DEA, TEA, SLS, SLES, silicone, propylene glycol and petrolatum. Every formula contains exceptionally potent natural actives and has been developed by our in-house chemists using cutting edge technology to deliver unrivalled results.

What kind of testing do you do?
I take an active role in the development process for every new product, working alongside our chemists to ensure that only the most effective products are brought to market. In addition, every product undergoes third-party efficacy testing, and must also pass staff, therapist and client forums. As a result, only 60 per cent of new products ever make it into the range.

Once a product is out there, we pay close attention to every comment that comes back from our spa partners, therapists and consumers. This continual feedback informs both our reformulations and new product introductions, helping us maintain our competitive advantage. Unlike many other spa brands, which make most of their revenue from just 20 per cent of their products, we make 60 per cent of our revenue from 40 per cent of our products, which we believe is partly down to the constant evaluation and reformulation of our range to ensure it’s as effective and results-oriented as it can be.

Can you tell us about your most recent product launches?
One of our most exciting launches this year has been our Lifestage range, which includes the Lifestage NET8 Serum, Lifestage Stage Release Moisturiser and Lifestage Stage Release Eye Moisturiser. Developed for women over the age of 45, Lifestage targets all the most visible signs of ageing in a single formula, using the very latest advances in skincare science – natural encapsulation and stage release technology – to deliver dramatic results.

In all honesty, I developed this range for me. When women reach the menopause, they start to suffer from all sorts of skin problems they haven’t experienced before, from open pores, redness and hyper-pigmentation to wrinkles and loss of elasticity. A few years ago, I started to find that I was using one serum for this and another serum for that, and it became confusing – I wanted everything I needed to be available in just one product.

The Lifestage formula contains 10 natural actives that together tackle all of these age-related issues. But what really makes it unique is the delivery system, known as natural encapsulation technology, which had previously only been used in medicines. The system consists of multiple microspheres, each of which holds a blend of the 10 actives, suspended in a capsule of salicylic acid. When the product is applied to the skin, the capsules punch through the epidermis rather than spreading evenly, and the microspheres burst – but because they’re different sizes they burst at intervals. This is known as stage release technology. The end result is that this very powerful formula is not only delivered deep into the skin but remains active for eight hours.

We’ve also just launched Optimal Skin ProSerum, which combines the benefits of a super-serum with those of an aromatherapy face treatment oil – that’s been so popular that we ran out of stock after three weeks and have had to quadruple our manufacturing quota. Other new products include our ESPA Bath and Body Essentials range and our 100 per cent natural Mandarin Lip Balm.

Your latest concept for managed spas is ESPA Life – can you tell us more about this?
We launched ESPA Life in 2011 in response to the growing demand among consumers for a more wellness-oriented spa experience, incorporating services such as complementary medicine, nutrition, weight loss programmes, sleep health programmes and so on. At the same time, we felt an offering like this could be a good solution for some of our hotel clients, many of who are still struggling with occupancy issues in this economic climate.

Wellness is a big topic in the spa industry at the moment, but it needs to be delivered with integrity. The danger is that the term ‘wellness’, like the word ‘spa’, ends up being over-used and everyone who has a nutritionist claims to be offering wellness – that could be very damaging to people’s health and wellbeing. By contrast, we take the responsibility very seriously. As a minimum, every ESPA Life has a naturopath, an acupuncturist, an osteopath, a nutritionist, high-level personal trainers and remedial sports masseurs, and we also do functional medical testing, including blood tests, if appropriate.

So far, we’ve launched ESPA Life at Corinthia, London, and ESPA Life at Gleneagles, Scotland, as well as a host of non-branded wellness programmes at Resorts World Sentosa in Singapore. We’re currently putting the concept into a number of other properties, and we’re also in the process of developing a flexible ESPA Life model for clients that only want to offer it in low season.

What’s next for ESPA?
Since the introduction of ESPA Life and our more flexible business model, the growth potential of our business is exceptionally strong. We’ve got lots of new spa developments in progress, including branded accounts, managed accounts and product-only partnerships, and 2013-14 will see us moving into several new countries, including Azerbaijan and Saudi Arabia. We’ve got numerous new products in the pipeline, and we’ve also just launched an in-room product range for hotels, which we believe will further enhance the guest experience.
Ultimately, we’re still one of only a few companies that provide a complete spa offering, and with our constant commitment to evaluation and improvement, you can be sure that we will continue to lead the industry rather than follow.

The Lifestage range harnesses cutting-edge technology previously only used in medicines
ESPA has more than 350 spas worldwide including ESPA at the Joule in Texas
Products are 95-100 per cent natural
The company has more than 350 spa partners in almost 60 countries, including ESPA at Resorts World Sentosa in Singapore (above)
 


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SELECTED ISSUE
Spa Business
2013 issue 4

View issue contents

Leisure Management - ESPA promotion

Company Profile Promotion

ESPA promotion


As ESPA’s 20th anniversary year draws to a close, founder and CEO Sue Harmsworth explains how and why the company is still evolving

CEO Sue Harmsworth
The Lifestage range harnesses cutting-edge technology previously only used in medicines
ESPA has more than 350 spas worldwide including ESPA at the Joule in Texas
Products are 95-100 per cent natural
The company has more than 350 spa partners in almost 60 countries, including ESPA at Resorts World Sentosa in Singapore (above)

In many ways, the trajectory of ESPA encapsulates the history of the spa industry itself, from grass roots movement to global economy. Founded by industry pioneer Sue Harmsworth in 1993, the business has grown from a small UK-based concern offering consultancy services and a modest natural product line to a global spa management and product powerhouse, with more than 350 spas in almost 60 countries and clients ranging from Peninsula Hotels and One & Only Resorts to Ritz-Carlton and Mandarin Oriental.

But although these credentials are impressive, there are others that tell us more about what kind of company ESPA really is. After 20 years, this is still a family-run business, and including Harmsworth and her two sons – Michael, managing director, and Charlie, brand director – every member of the senior management team has been with the company at least 14 years and risen through the ranks. Moreover, all of the company’s 200 employees around the world, from sales people to trainers, have cut their teeth in operations, giving them a unique ability to offer clients rounded solutions to the challenges of running a successful spa business.

While ESPA’s heritage and expertise are enviable, however, the company has never made the mistake of resting on its laurels. Here, Harmsworth explains why the drive to innovate that inspired her to launch the business is just as important today.

How would you sum up your business model?
We’re an authentic, solutions-led spa company that offers its business partners a full range of services, from original concept and customer journey design, commercial business planning and budgeting, pre-opening and brand standards, recruitment, training and treatments right through to ongoing spa management. Our spa heritage and knowledge combined with our natural ingredient intelligence gives us a unique business edge, both commercially and operationally.

However, over the past few years, our business model has become much more flexible, meaning that alongside our spa design/development and management accounts, our portfolio now includes select product-only partnerships with spas and hotels that we feel share our stringent brand standards.

What we can promise is that every experiential encounter with ESPA will provide award-winning treatments, the finest quality natural products and a memorable, luxurious customer journey in a beautiful and relaxing environment.

What makes ESPA products unique?
I developed the ESPA product range while I was working as a spa consultant in the early 1990s for the simple reason that I couldn’t find the products I needed. Instead, I was forced to use a combination of clinical aromatherapy oils, bucket-loads of seaweed and skincare products that were really quite synthetic. So I set out to create a skincare line that was elegant and natural and covered everything needed for spas in a single range – and that’s still the case today.

However, since the launch of our own factory in Somerset, UK, in 2009, our product development has reached a whole new level. The factory is accredited by the Soil Association, Ecocert, the Organic Food Federation and the Fairtrade Foundation and, while our products have always been of extremely high quality, we’re now able to keep even tighter control over quality standards and respond even more quickly to our customers’ needs.

All of our products are made up of 95-100 per cent natural ingredients and are free from synthetic colour and fragrance, parabens, phthalates, DEA, TEA, SLS, SLES, silicone, propylene glycol and petrolatum. Every formula contains exceptionally potent natural actives and has been developed by our in-house chemists using cutting edge technology to deliver unrivalled results.

What kind of testing do you do?
I take an active role in the development process for every new product, working alongside our chemists to ensure that only the most effective products are brought to market. In addition, every product undergoes third-party efficacy testing, and must also pass staff, therapist and client forums. As a result, only 60 per cent of new products ever make it into the range.

Once a product is out there, we pay close attention to every comment that comes back from our spa partners, therapists and consumers. This continual feedback informs both our reformulations and new product introductions, helping us maintain our competitive advantage. Unlike many other spa brands, which make most of their revenue from just 20 per cent of their products, we make 60 per cent of our revenue from 40 per cent of our products, which we believe is partly down to the constant evaluation and reformulation of our range to ensure it’s as effective and results-oriented as it can be.

Can you tell us about your most recent product launches?
One of our most exciting launches this year has been our Lifestage range, which includes the Lifestage NET8 Serum, Lifestage Stage Release Moisturiser and Lifestage Stage Release Eye Moisturiser. Developed for women over the age of 45, Lifestage targets all the most visible signs of ageing in a single formula, using the very latest advances in skincare science – natural encapsulation and stage release technology – to deliver dramatic results.

In all honesty, I developed this range for me. When women reach the menopause, they start to suffer from all sorts of skin problems they haven’t experienced before, from open pores, redness and hyper-pigmentation to wrinkles and loss of elasticity. A few years ago, I started to find that I was using one serum for this and another serum for that, and it became confusing – I wanted everything I needed to be available in just one product.

The Lifestage formula contains 10 natural actives that together tackle all of these age-related issues. But what really makes it unique is the delivery system, known as natural encapsulation technology, which had previously only been used in medicines. The system consists of multiple microspheres, each of which holds a blend of the 10 actives, suspended in a capsule of salicylic acid. When the product is applied to the skin, the capsules punch through the epidermis rather than spreading evenly, and the microspheres burst – but because they’re different sizes they burst at intervals. This is known as stage release technology. The end result is that this very powerful formula is not only delivered deep into the skin but remains active for eight hours.

We’ve also just launched Optimal Skin ProSerum, which combines the benefits of a super-serum with those of an aromatherapy face treatment oil – that’s been so popular that we ran out of stock after three weeks and have had to quadruple our manufacturing quota. Other new products include our ESPA Bath and Body Essentials range and our 100 per cent natural Mandarin Lip Balm.

Your latest concept for managed spas is ESPA Life – can you tell us more about this?
We launched ESPA Life in 2011 in response to the growing demand among consumers for a more wellness-oriented spa experience, incorporating services such as complementary medicine, nutrition, weight loss programmes, sleep health programmes and so on. At the same time, we felt an offering like this could be a good solution for some of our hotel clients, many of who are still struggling with occupancy issues in this economic climate.

Wellness is a big topic in the spa industry at the moment, but it needs to be delivered with integrity. The danger is that the term ‘wellness’, like the word ‘spa’, ends up being over-used and everyone who has a nutritionist claims to be offering wellness – that could be very damaging to people’s health and wellbeing. By contrast, we take the responsibility very seriously. As a minimum, every ESPA Life has a naturopath, an acupuncturist, an osteopath, a nutritionist, high-level personal trainers and remedial sports masseurs, and we also do functional medical testing, including blood tests, if appropriate.

So far, we’ve launched ESPA Life at Corinthia, London, and ESPA Life at Gleneagles, Scotland, as well as a host of non-branded wellness programmes at Resorts World Sentosa in Singapore. We’re currently putting the concept into a number of other properties, and we’re also in the process of developing a flexible ESPA Life model for clients that only want to offer it in low season.

What’s next for ESPA?
Since the introduction of ESPA Life and our more flexible business model, the growth potential of our business is exceptionally strong. We’ve got lots of new spa developments in progress, including branded accounts, managed accounts and product-only partnerships, and 2013-14 will see us moving into several new countries, including Azerbaijan and Saudi Arabia. We’ve got numerous new products in the pipeline, and we’ve also just launched an in-room product range for hotels, which we believe will further enhance the guest experience.
Ultimately, we’re still one of only a few companies that provide a complete spa offering, and with our constant commitment to evaluation and improvement, you can be sure that we will continue to lead the industry rather than follow.


Originally published in Spa Business 2013 issue 4

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