Medical Spa Market Size, Share & Trends Analysis Report By Service (Facial Treatment, Body Shaping & Contouring, Hair Removal, Scar Revision, Tattoo Removal), By Age Group, By Gender, By Service Provider, By Region, And Segment Forecasts, 2024 - 2030

Medical Spa Market Summary

The American Med Spa Association (AMSA) reports a significant demand for minimally invasive treatments, encompassing procedures such as chemical peels, non-surgical skin tightening, body sculpting, and tattoo removal. In addition, increase in popularity of wellness-themed vacations, often bundled with wellness packages in hotels, contributes to the swift growth in demand for such services. The medical spa market has been shaped by constantly changing customer demands. With customers becoming more social media savvy, awareness about anti-aging solutions is on the rise. Increasing demand for anti-aging skincare solutions remains the key growth driver. According to the 2022 plastic surgery statistics by the American Society of Plastic Surgeons, people aged 30 to 39 accounted for 16% of cosmetic surgeries in the U.S., with 3,648,798 total cosmetic procedures, including 362,289 surgical procedures and 3,286,509 minimally invasive surgeries.

Rising disposable income, especially in emerging countries, and the expansion of the tourism sector are also boosting the demand for such services. Key companies offer personalized beauty treatments to justify premium prices and aim to leverage their position. An emerging trend in the sector is the incorporation of biophilic design and wellness architecture into the complete structural design of the property.

Rapid growth of the wellness tourism industry is creating potential growth opportunities for new entrants that offer a unique integration of business areas, such as hospitality, travel, beauty treatments, and fitness. Furthermore, the increasing adoption of dermal fillers among women in their late 20s and the rising demand for laser hair removal and facial procedures are likely to fuel the market growth.

Market Concentration & Characteristics

The market is characterized by a low degree of innovation owing to the high investment required to adopt innovative technologies and shortage of research and development efforts in the industry limits the innovation and testing of advanced solutions.

The market is also characterized by a low level of merger and acquisition (M&A) activity by the leading players. For instance, in June 2023, Skin Spirit, a KKR portfolio company, acquired Contempo Aesthetics, a California-based medical spa, and expanded its presence to 32 clinics nationwide.

The market is facing heightened regulatory scrutiny as government authorities overseeing licensing, treatment approvals, and facility standards ensure practitioners comply with established qualifications, provide approved treatments, and uphold a hygienic environment. This increased regulatory oversight is contributing to the market's advancement.

Service providers are adopting various strategies, such as launch of new innovative services and partnerships to strengthen their market presence. For instance, in November 2020, Chic La Vie started offering botox skin rejuvenation treatments for men. The goal was to start a new trend where skin rejuvenation spa treatments were not just meant for women.

Regional expansion by key market players in different regions is expected to increase due to their high capacity, established geographical presence and high customer base. For instance, in October 2023, SHA Wellness Clinicannounced plans for regional expansion, with SHA Emirates set to debut in the UAE, aiming for completion around 2024-25.

Service Insights

The facial treatment segment dominated the market with a revenue share of 54.1% in 2023. The dominant share of the segment is mainly attributed to the increasing demand for anti-aging treatment options such as botox and dermal fillers. According to ISAPS, botulinum toxin and hyaluronic acid injections were among the top non-surgical aesthetic procedures globally. In 2022, a total of over 9 million botulinum toxin and 4.3 million hyaluronic acid procedures were performed worldwide.

The body shaping and contouring segment is anticipated to witness the fastest CAGR from 2024 to 2030. Non-invasive fat reduction procedures are anticipated to surpass surgical methods such as liposuction. According to the Aesthetic Society 2022 report, 54.3% of medical spas in the U.S. offer body contouring services. Advancements in energy-based minimally invasive devices perfectly fit within the medspa model and are anticipated to create new opportunities for aesthetic enhancement.

Gender Insights

The female segment accounted for the largest revenue share of 85.3 % in 2023. Women being the primary customers, various women-oriented services are being increasingly designed, which is positively impacting the segment’s growth. As per The Aesthetic Society 2022, women accounted for approximately 95.0% of all aesthetic procedures.

These services have gained popularity among women to enhance physical appearance and boost self-confidence. Many women want to enhance their facial appearance, which has resulted in an increased number of visits for botox and dermal injections. According to the AmSpa 2022 Medical Spa State of the Industry Report,  around 88.0% of medspa goers were females in U.S.

The male segment is expected to witness lucrative CAGR from 2024 to 2030. The adoption of these services among men has increased as they have realized the advantages of these treatments in wellness and relaxation. As a result, the industry is developing skin care products and services focused on men. An increasing number of male customers and the development of targeted market strategies for males are likely to boost the segment’s growth.

Age Group Insights

The adult segment dominated the market with a revenue share of 70.6 % in 2023 and is projected to witness the highest CAGR from 2024 to 2030. Most med spas customers are in their mid-30s, 40s, and 50s due to the increasing focus of adults on body contouring and anti-aging treatments. Nearly 26.0% of all the female customers in the U.S. belongs to the age group of 35 to 54 years as per the 2022 AmSpa Medical Spa State of the Industry Report. The high spending capacity of people aged 35 to 50 years and increasing demand for dermal fillers among this age group are propelling the segment's growth.

The high influence of social media leads to increase in demand for facial treatments among adolescents. Teenagers are increasingly incorporating anti-aging products and treatments into their beauty regimes. Moreover, they are opting for non-surgical scar revisions to achieve permanent non-pigmented skin.

The geriatric segment is estimated to witness substantial growth during the forecast period. As per the World Health Organization (WHO), the share of people aged above 60 years is expected to progressed to 1.4 billion by 2030. The desire to look young and attractive even in old age is favoring the growth of the geriatric segment. People aged above 60 years are more interested in maintaining a healthy lifestyle, which leads to an increase in the number of med spa visits.

Service Provider Insights

The single ownership segment held the largest revenue share of 36.6% in 2023 and is projected to witness highest growth rate from 2024 to 2030. According to AMSA 2022 report estimates, over 66% of the medical spas were under single ownership, employing eight employees on average. Around 63% of these are owned by non-MDs/surgeons.

This industry is dominated by single-owned, small-sized, and single-location medical spa facilities equipped with the latest technology. In addition, rising burnout rates and decreasing reimbursement rates are driving more physicians to either become medical spa directors or the sole owners or co-owners of the facility.

Medical practice associated spas are offering an integrated, holistic healthcare and wellness approach coupled with the involvement of highly skilled and experienced practitioners. These facilities align their wellness therapies and treatments with other specialties of the hospital, offering integrated care. Hence, such facilities are witnessing increasing demand in recent years.

Regional Insights

North America dominated the market with a revenue share of 41.1% in 2023, due to higher expenditure on wellness tourism (domestic and international traffic) than other regions. The easy availability of different services and products for various aesthetic procedures in the U.S. and Canada is expected to further boost market growth. However, in 2020, the sudden onset of the COVID-19 pandemic led to a decrease in the number of aesthetic procedures.

Asia Pacific is anticipated to register the highest CAGR from 2024 to 2030, due to the increasing awareness about anti-aging treatments, easy availability of high-quality services, and increasing demand of minimally invasive cosmetic treatments. Moreover, the demand for medical spas in countries such as China & India is expected to be driven by a large client pool and rising interest in aesthetic treatments.

The presence of various large and small players and an increasing presence of global players are anticipated to promote the growth of the market in Asia Pacific. In June 2021, Clinique La Prairie launched a new medical menu at its Bangkok Medical Spa & Aesthetics destination. Moreover, in March 2020, the company partnered with St. Regis Bangkok owned by Minor Hotels to open a new medical spa facility.

Key Medical Spa Company Insights

Some of the key players operating in the market include Mandarin Oriental Hotel Group Limited, SHA Wellness Clinic Lanserhof Lans, and Kurotel Longevity Medical Center and Spa.

• Mandarin Oriental Hotel Group Limited owns hotels and wellness spa facilities renowned globally. It has multiple facilities across the globe providing medical spa services. This company offers a holistic, rejuvenating environment. The client at the spa is encouraged toward a journey of optimum wellbeing. Traditional Chinese medicine is followed in Mandarin Oriental, respecting clients’ individuality.

• Lanserhof is involved in innovative medicine and prevention & health regeneration. This company has a holistic approach, combining naturopathy and the latest medical findings to help clients achieve physical, mental, and spiritual regeneration, in addition to weight loss.

The Orchard Wellness Resort, Allure Medspa, and Lisse are the emerging market participants

• The Orchard Wellness Resort provides high-quality services proven to get the best consumer results. The medical spa facility facilitates men & women to have the good experience with health & beauty procedures designed to meet specific individual needs.

• Allure MedSpa is a medical spa center that facilitates various aesthetic treatment procedures. Allure MedSpa has expert healthcare professionals & licensed aestheticians committed to providing customized approaches for enhancing skin & body features using clinically developed advanced skincare services and products.

Recent Developments

• In November 2023, SHA Wellness Clinic launched its first international outpost in Mexico next January. The opening will be the first step in the company’s global expansion plans, followed by an Abu Dhabi location in 2025.

• In January 2023, Chiva Som introduced an online naturopathic and nutritional consultation program designed for children. This initiative aimed to provide specialized holistic health guidance for children, reflecting the commitment to complete wellbeing.

Medical Spa Market Report Scope

Global Medical Spa Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global medical spa market report based on service, gender, age group, service provider, and region:

• Service Outlook (Revenue, USD Million, 2018 - 2030)

  • Facial Treatment

  • Body Shaping & Contouring

  • Hair Removal

  • Scar Revision

  • Tattoo Removal

  • Other Services

• Gender Outlook (Revenue, USD Million, 2018 - 2030)

  • Male

  • Female

• Age Group Outlook (Revenue, USD Million, 2018 - 2030)

  • Adolescent

  • Adult

  • Geriatric

• Service Provider Outlook (Revenue, USD Million, 2018 - 2030)

  • Single Ownership

  • Group Ownership

  • Free-standing

  • Medical Practice Associated Spas

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Spain

    • Italy

    • Denmark

    • Sweden

    • Norway

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

    • Thailand

  • Latin America

    • Brazil

    • Argentina

  • Middle East and Africa (MEA)

    • South Africa

    • Saudi Arabia

    • UAE

    • Kuwait