Wellness Amenities ROI for Hotels and Estates | Practical Guide

Done well, wellness amenities increase rate, occupancy, dwell time and ancillary spend. Build your case with a clear demand thesis, a lean CapEx plan, and programming that drives usage. Track ADR uplift, RevPAR, capture rate and membership or resale impact. Target a 18–36 month payback for compact, high-utilisation amenities.

Who this guide is for:

Hotel owners, GMs, asset managers and estate developers who want a robust financial case for wellness upgrades. Luxe Wellness Spaces designs revenue-positive gyms, saunas, steam rooms, recovery lounges and outdoor pods across South Africa.

1) What actually drives ROI

Revenue levers:

• ADR uplift: premium rooms with access to superior wellness command higher rates

• Occupancy lift: wellness becomes a booking filter and widens shoulder-season demand

• Ancillary spend: spa treatments, retail, healthy F&B, day passes

• Length of stay: more activities justify an extra night

• Memberships or levies (estates): recurring revenue and resale value uplift

Cost levers:

• Focused CapEx with durable finishes and efficient plant

• Smart OpEx: energy recovery, scheduling, and right-sized staffing

• Design that minimises supervision without hurting service

2) Your simple ROI model

Use this structure in your board paper:

• Incremental ADR × rooms × occupied nights

• + Incremental occupancy × ADR × rooms

• + Ancillary revenue net of COGS

• + Memberships or resale uplift attribution (if applicable)

• – Incremental OpEx

• = Annual cash uplift

Payback period: CapEx ÷ annual cash uplift.
IRR/NPV: Model 5–10 years with conservative decay.

3) Illustrative scenarios

These are conservative examples to show the method. Replace with your own numbers.

Boutique hotel, 40 keys

• Add: small premium gym, sauna + cold plunge, recovery lounge

• CapEx: R3.5m

• Incremental ADR: +R250 on 65% occupancy → ~R2.37m per year

• Ancillary net: R80k per month from day passes and F&B → ~R960k per year

• Incremental OpEx: R55k per month → ~R660k per year

• Annual cash uplift: ~R2.67m

• Payback: ~16 months

Coastal estate clubhouse

• Add: members’ fitness studio, sauna, outdoor vitality pool

• CapEx: R5.2m

• Membership and levy uplift net: R180k per month

• Event hire and day guest passes net: R50k per month

• Incremental OpEx: R90k per month

• Annual cash uplift: ~R1.68m

• Payback: ~37 months

4) Design rules that protect ROI

Right place, right size

• Situate near pool, spa or gym for cross-traffic.

• Short, intuitive route from lifts.

• Visible from circulation without feeling exposed.

Operational simplicity

• Clear sightlines for low-touch supervision.

• Durable, non-slip finishes.

• Lockers and showers sized to peak loads.

Energy efficiency

• Heat recovery on HVAC and hot water

• Zoned controls and occupancy sensors

• Insulation and vapour barriers for wet areas

• Load-shedding plan: keep heat and filtration stable

Water stewardship

• Efficient fixtures and backwash scheduling

• Good drainage gradients and slip resistance

• Choice of cold plunge system with robust disinfection

5) Pricing and programming that drive utilisation

Hotels:

• Access included for all guests or tiered by room category

• Day passes for locals in off-peak windows

• Packages: Sauna + cold plunge + recovery 45 min at a bundle price

• Add morning mobility, guided contrast, breathwork or short strength classes

Estates:

• Member access included with levy, with premium slots for coached sessions

• Youth hours and quiet hours

• Community challenges and seasonal programming

Retail add-ons:

• Signature scent, branded towels, electrolyte shots, light snacks

6) Measurement plan

Track weekly and review monthly.

Core KPIs:

• ADR vs comp set

• Occupancy vs comp set and shoulder months

• RevPAR

• Capture rate: guests using wellness spaces

• Ancillary spend per occupied room

• Day pass revenue

• Maintenance downtime and guest feedback scores

Dashboard fields:

• Total usage by hour and amenity

• Energy and water per guest use

• Break-even utilisation threshold

7) 90-day action plan

Days 1–15: Demand thesis

• Analyse current reviews and OTA filters for wellness mentions

• Secret-shop three local competitors

• Survey guests or residents on desired amenities and price tolerance

Days 16–45: Concept and costing

• Choose one hero experience that you can deliver flawlessly

• Block plans with flows, plant and finishes

• CapEx and OpEx model with three pricing scenarios

Days 46–75: Procurement

• Shortlist vendors with service SLAs and local spares

• Specify energy and water-efficient plant

• Lock finishes that can be cleaned fast and repaired locally

Days 76–90: Launch readiness

• Staff training on experience delivery and upsells

• Build booking and waiver flows in PMS or member app

• Soft open with local partners and media for early reviews

8) Risk and compliance

• Electrical compliance certificates for new plant

• Moisture management in steam areas to prevent mould

• Non-slip surfaces and handrails in wet zones

• Water restrictions planning in drought-prone regions

• Clear signage and supervised contrast therapy protocols

9) Case vignette

A 55-key coastal hotel converted a low-use meeting room into a recovery lounge with a 6-seat sauna and a single cold plunge. A small strength studio replaced a storeroom. The team launched 3 short daily classes and a local day pass. ADR rose by R210 on average within two quarters, shoulder months booked earlier, and F&B saw a modest lift from post-session snacks. The build paid back in under 20 months.

FAQs

Is a steam room or sauna better for ROI?
Saunas are simpler to operate and often deliver faster payback. Steam rooms have strong luxury cues but require more maintenance.

We do not have space for a full gym. What now?
A compact recovery lounge with sauna and cold plunge can be a hero experience with strong day pass and upsell potential.

How do we handle load-shedding?
Use well insulated heat rooms, thermal covers, and backup power for circulation pumps and control systems. Offer non-powered experiences during outages.

At Luxe Wellness Spaces, our spa consultancy services help you harness these trends through optimized wellness design, streamlined operations, enhanced guest experience, and maximized ROI.

Further reading on our blog: 'The ROI of Wellness.'

Do you want a numbers-first concept for your property or estate? Book a feasibility session with Luxe Wellness Spaces. We will provide a concept, budget ranges, and a 12-month activation plan aligned to your revenue model.