OPINION
Everyone’s talking about…
COVID-19 Leading spa operators, wellness companies and organisations from around the world assess the impact of the coronavirus pandemic – highlighting examples of best practice and looking at what to expect moving forward
Thierry Malleret managing partner, Monthly Barometer
F
rom an economic perspective, we’re facing a ‘demand shock’, meaning people cannot consume at the moment, and a ‘supply shock’ globally. This has never happened before in the history of economic records dating back to the 18th Century. Ever. As explained in my recent webinar for Professional Beauty, the impact on the vast majority of industries, including hospitality, travel and retail, is major and we are, de facto, in a recession. The question is, will governments succeed in preventing a depression with their policies and action? I’m regularly talking to policy makers and heads of state and no one really knows when businesses will start to reopen. But, at the moment, the assumption is being made that with a little bit of luck and if the very harsh containment measures prove to be effective, we hope (not expect) there will be a restart around mid-May, even though this date is
38 spabusiness.com issue 2 2020
The question is, will governments succeed in preventing a depression with their policies and action?
country-dependent. But it won’t be quick. Recovery will take a long time and things will not be the same as before. A partial, wider retreat from globalisation will favour regionalism and localism in travel as people will have less discretionary spend and confidence to venture abroad again, which is one example I highlighted in a Global Wellness Institute briefing. The Alps in Europe and National Parks in the US, for instance, are locations which were already benefitting from the ‘micro-adventure’ trend before COVID-19 and this will now accelerate.
But there are also some positives for the wellness sector. Firstly, governments will incentivise wellness because they will have no other choice when it comes to decreasing healthcare costs – and this is something I predicted years ago based on the escalating number of preventative, chronic diseases. Secondly, when we’re hit with such a big shock, it favours attention and makes us ponder what’s important in our lives. I hope that after the pandemic, many of us will realise that it’s not about consuming as much as we can but about taking greater care of ourselves and that wellness has to be a driving parameter in how we lead our lives. It will also have a considerable impact on
how consumers make their decisions and there will be a new obsession with cleanliness. Anxiety and diffidence about sharing space with complete strangers may be another and many people may decide that it’s preferable to practice yoga or exercise at home rather than going to a club or gym. It goes without saying, whenever possible, have an online presence. In the face of adversity, I’m still full of hope because extreme events force us to be very imaginative, adaptive and resilient and we should never underestimate the power of resiliency of humankind. ■ The Monthly Barometer is a predictive analysis for private investors. Details: www.monthlybarometer.com