Hospitality Experience
Feasibility Study for Destination Thermal Spa
Horwath provided consulting services consisting of a full market study, financial projections and market valuation of a large urban wellness park that included a destination thermal wellness component, a 60-room hotel, thematic food and beverage outlets, and meeting facilities, among others.
Project Scope
Our team was commissioned to conduct a feasibility study for a proposed destination thermal spa, envisioned as a world-class wellness retreat. The study aimed to assess the project’s viability, providing the client with a comprehensive analysis to guide strategic decision-making.
The process began with an evaluation of the site, focusing on its natural thermal resources, accessibility, and compatibility with the proposed development. This involved on-site visits and geospatial analysis to ensure the location offered the necessary attributes to support a successful spa operation.
Simultaneously, we conducted an in-depth market study, examining trends in the wellness and spa tourism sector. This analysis identified key target demographics, potential competitors, and emerging preferences in health and relaxation-focused travel. We also reviewed regional and international benchmarks to position the proposed spa within a competitive yet differentiated niche.
Our financial modelling was grounded in realistic assumptions, incorporating data on construction costs, operational expenses, and anticipated revenue streams. By projecting multiple scenarios, including best- and worst-case outcomes, we provided the client with a robust understanding of the project’s potential financial performance.
Beyond financial analysis, the study considered the broader strategic implications of the development. We offered insights into branding opportunities, partnerships, and sustainable practices to enhance the project’s market appeal. Recommendations also addressed operational considerations such as service offerings, pricing strategies, and staffing requirements.
The final deliverable was a detailed feasibility report, combining market insights, financial projections, and strategic recommendations. This report equipped the client with the clarity and confidence to proceed with the next stages of development, ensuring the project’s alignment with both market demand and the client’s vision.
By delivering a comprehensive, data-driven assessment, we helped lay the foundation for what promises to be a leading destination in the wellness tourism sector.
