Day Spas and Tanning Salons NAICS 812199

Nov 18, 2025 - Online Booking, Social Media Expected by Younger Generations: Survey

• Boulevard’s 2025 consumer survey highlights how Gen Z and Millennials are reshaping the spa and salon industry, with digital engagement now central to client acquisition, according to Salon Today. Some 55% of Gen Z and 47% of Millennials say Instagram or TikTok activity is very or extremely important in deciding where to book, and 20% of Gen Z look to social media first when choosing providers. Convenience is also important: 67% of Gen Z and 64% of Millennials have abandoned spas and salons due to clunky online booking. Loyalty hinges on personalization, with 66% of all respondents citing remembered preferences as essential and 55% expecting tailored add ons or memberships. Service quality remains decisive, as 71% would not return after poor results or negative staff interactions. Communication expectations are also shifting, with 41% of clients expect same day follow ups, and 44% prefer texting. For spa and salon operators, these data points underscore the need to integrate seamless digital booking, personalization, and proactive communication into core business strategy.
• Weaker consumer sentiment and confidence indices in late 2025 highlight mounting challenges for discretionary sectors such as day spas and tanning salons. The University of Michigan’s Index of Consumer Sentiment fell 6.2% month-over-month in November to 50.3, a nearly 30% annual decline, while the Conference Board’s Consumer Confidence Index slipped to 94.6 in October. Rising inflation expectations, 4.7% year-ahead and 5.9% in consumer surveys, combined with concerns over higher interest rates, suggest households are tightening budgets. For day spas, which rely on discretionary wellness spending, these trends point to softer demand, greater price sensitivity, and the need to adapt service offerings to maintain client retention in a more cautious spending environment.

• According to a report in Smart Tan Magazine, McKinsey & Company’s “2025 Future of Wellness” study reveals a transformative shift in the global wellness industry, driven by Gen Z and millennials. These younger consumers now view wellness as an essential lifestyle, not a luxury, and account for over 41% of U.S. wellness spending. Their preferences span physical, emotional, and aesthetic health, with growing interest in functional nutrition, mental well-being, and personalized treatments. Salons are uniquely positioned to capitalize on this evolution by offering integrated services such as red light therapy, skin rejuvenation, and wellness-focused retail. McKinsey identifies five consumer segments, with Maximalist Optimizers and Confident Enthusiasts, which are primarily younger demographics, representing the highest spenders. By aligning with emerging wellness trends and consumer expectations, salons can secure long-term growth and relevance in a $2 trillion industry increasingly shaped by holistic, tech-enabled, and experience-driven wellness solutions.
• US spa revenue, locations, and visits are growing, according to the annual US Spa Industry Study report results in Skin Inc. The study is commissioned by the International SPA Association (ISPA) and conducted by PwC. Overall revenue at US spas increased 5.8% in 2024 to $22.5 billion year over year. Total spa visits rose 3.1%, reaching 187 million in 2024, while the number of spa locations grew year over year 0.6% to 21,980 in 2024. The report noted that 30% of properties surveyed said they’d renovated their retail in 2024, and 25% had improved their treatment rooms. Revenue per visit also grew 2.6% year over year in 2024, reaching $120.30 in 2024. In addition, spa industry employment increased 1.6% year over year in 2024.