INDUSTRY ANALYSIS & COMPETITIVE ANALYSIS
The spa and wellness industry in Canada is part of the broader personal care services sector, which includes massage therapy, skincare, beauty treatments, and wellness services. It supports Canadians’ growing focus on health, relaxation, and self-care, and businesses range from small independent boutiques to luxury spas and medical wellness centers.
According to research and Market, in terms of size, the Canadian spa market is valued at approximately CAD 2.6 billion in 2024, with day/club/salon spas making up the largest share of revenues (about 74%).
Official government benchmarks from ISED (NAICS 81219, Other Personal Care Services) show that in 2023 the average revenue per business was around CAD 186,500, and over 84% of firms in this industry were profitable (ised-isde.canada.ca.) These figures provide a reliable reference point for assessing business performance within the sector.
INDUSTRY MAJOR PLAYERS
| Company | Key Feature | Why do they stand out? |
| Massage Addict | A large chain that offers therapeutic massage, acupuncture, reflexology & more. Has ~90+ locations across Canada | Strong brand presence, standardized service model membership model |
| Achieve Wellness spa | Full-service spa & wellness chain with services including facials, body treatments, med spa offerings (laser, skincare etc.). Franchising model. | Combines traditional spa + modern med-esthetic services; helps attract customers who want more than just basic massage. |
| Scandinave Spa | Known for thermal/spa retreats, relaxation-oriented luxury spas in scenic settings. | Premium experiences, strong appeal for wellness and tourism. |
COMPETITORS ANALYSIS
| Competitor | Strengths | Weaknesses | How You Outperform |
| Krystlelee’s Spa Therapy | Personal/mobile service, loyal clients, homey vibe. | Limited hours, solo capacity, less professional booking. | Offer reliable hours, multiple therapists, seamless online booking, stronger brand identity. |
| Balance Beauty & Skincare | Established, skincare expertise, retail products, professional website. | More esthetics than massage; weaker clinical focus. | Combine RMT + spa services, add memberships/subscriptions, capture both beauty + therapeutic clients. |
| Mersana Beauty Bar | Visible storefront, walk-in friendly, wide beauty menu (lashes, waxing, tanning). | Broad but shallow; not massage-focused, limited clinical services. | Specialize in massage therapy, add RMT services (insurance claims), position as “go-to” relaxation + recovery spa. |
INDIRECT & SUBSTITUTE COMPETITORS – TERRACE SPA MARKET
| Competitors | Strengths | Weaknesses | |
| Indirect | physiotherapy, chiropractic clinics, yoga studios, wellness centers | Strong healthcare credibility (some covered by insurance).Established wellness communities (yoga/fitness | Clinical or fitness-focused, not relaxing or indulgent.Limited luxury spa atmosphere. |
| Substitute | at-home massage tools, community centers with saunas/steam rooms | Affordable and convenient.Accessible to anyone, anytime | No professional expertise or personalization.Public, crowded, and lacks privacy. |
POTENTIAL BARRIERS TO ENTRY – SPA & MASSAGE INDUSTRY IN CANADA
Starting a spa in Canada can be a demanding venture. You need licensed RMTs, skilled staff, and enough funds for space and equipment. You’re competing with established spas, gyms, and at-home wellness options, while also building trust and a loyal client base. Since spa services are often considered discretionary, economic changes can affect demand, and finding the right location can be tricky.
In short: success comes from combining expertise, strong branding, and a clear, unique offer that makes clients choose you over the rest.
KEY SUPPLIERS – SPA & MASSAGE INDUSTRY
- Massage & Therapy Equipment Suppliers
Massage tables, chairs, stools, hot stone kits, therapy tools, towels, and linens. Examples:
Master Massage Equipment LifeSpa Supplies.
- Skincare & Beauty Product Suppliers
Oils, lotions, creams, facial masks, aromatherapy oils, and specialty spa products.
Examples: Sothys, Aveda, Elemis.
- Cleaning & Hygiene Suppliers
Sanitizers, disinfectants, cleaning equipment, and disposable items for infection control.
Examples: Staples Professional, VWR, or local janitorial suppliers.
- Technology & Software Providers
Online booking platforms, point-of-sale (POS) systems, and client management software.
Examples: JaneApp, Fresha, Square, Mindbody.
REGULATORY AND ECONOMIC FACTORS
Regulatory:
In Canada, massage therapy is a regulated profession in provinces such as Ontario and BC, requiring businesses to employ licensed Registered Massage Therapists (RMTs). Spas must also meet municipal business licensing and health standards, carry professional and general liability insurance and comply with labour laws. Offering advanced services (e.g., laser, injectables) requires adherence to Health Canada regulations on medical devices and treatments. Advertising is restricted by professional colleges (e.g., CMTO) to avoid unproven medical claims.
Economic:
According to research and Market (https://www.researchandmarkets.com/), The Canadian spa market is valued at about CAD 2.6 billion (2024) with average business revenues around CAD 186,500 and 84% profitability (ISED, NAICS 81219, 2023). Labour is a major cost, with massage therapists earning a median of $31/hour. The sector is highly fragmented, as over 58% of operators have fewer than five employees. Spa services are also sensitive to economic cycles, since they are discretionary spending. Post-pandemic recovery and rising consumer focus on wellness are driving steady growth, though inflation and high operating costs remain challenges
FORECAST FOR FUTURE GROWTH AND DECLINE
Growth:
- The Canadian spa market is currently valued at CAD 2.6B (2024) and is projected to grow steadily at 3–5% annually (researchandmarkets.com)
- Spa products will rise from US$1.38B (2024) to US$1.99B by 2030 (CAGR 6.2% (grandviewresearch.com).
- Luxury and medical spas show strong growth, with medical spas projected to more than double by 2030 (grandviewresearch.com)
- The Global Wellness Institute projects Canada’s wellness economy to keep expanding, fueled by preventive health and self-care demand (globalwellnessinstitute.org)
Decline / Risks:
- Spa services are discretionary, making them vulnerable to economic downturns and reduced consumer spending (statcan.gc.ca)
- Rising labour, rent, and supply costs may squeeze margins, especially for small operators (ised-isde.canada.ca).
- Regulatory changes in medical spa treatments could increase compliance costs (cmto.com).
- Shocks like pandemics or growth of at-home wellness alternatives could reduce demand (globalwellnessinstitute.org).
THE 4PS IN THE LOCAL SPA & WELLNESS INDUSTRY
Product
Local spa and wellness providers typically offer a mix of services including therapeutic and relaxation massage, skincare treatments (facials, peels, masks), beauty services (nails, waxing, brows), and sometimes wellness add-ons like body wraps or tanning. Many combines aesthetics with spa therapies to attract a broad audience.
Pricing
Pricing tends to be mid-range and competitive for the Terrace market. Basic treatments (facials, massages) are priced to be accessible, while specialized services (advanced skincare, premium body treatments) carry higher rates. Some operators use package deals or seasonal promotions to encourage repeat visits.
Place (Location & Accessibility)
Most spas in Terrace are located downtown, making them highly visible and convenient for both residents and newcomers. Their facilities are designed to be welcoming, calming, and aligned with a self-care brand image.
Promotion
Promotion relies heavily on local visibility and word-of-mouth. Businesses use social media (Facebook, Instagram) to showcase treatments, client results, and special offers. Online reviews on platforms like Google and local directories also play a big role in building trust and attracting new customers. Occasional promotions include holiday specials, bundles, and loyalty incentives.
References
Canadian Industry Statistics (2023). Other personal care services (NAICS 81219) – Industry performance. Innovation, Science and Economic Development Canada (ISED). Retrieved from https://ised-isde.canada.ca/app/ixb/cis/performance/rev/81219
College of Massage Therapists of Ontario (CMTO). (2024). Massage therapy regulation and practice requirements in Ontario. Retrieved from https://www.cmto.com
Global Wellness Institute (2023). The Global Wellness Economy: Country Report – Canada. Retrieved from https://globalwellnessinstitute.org
Grand View Research (2024). Canada Spa Products Market Size, Share & Trends Report, 2024–2030. Retrieved from https://www.grandviewresearch.com/horizon/outlook/spa-products-market/canada
Grand View Research (2024). Canada Medical Spa Market Size, Share & Trends Report, 2023–2030. Retrieved from https://www.grandviewresearch.com/horizon/outlook/medical-spa-market/canada
Grand View Research (2024). Canada Luxury Spa Market Outlook, 2024–2030. Retrieved from https://www.grandviewresearch.com/horizon/outlook/luxury-spa-market/canada
Research and Markets (2024). Spa in Canada – Market Summary, Competitive Analysis and Forecast. Retrieved from https://www.researchandmarkets.com/reports/
Statistics Canada (2025, May 21). Household spending on goods and services, 2024. The Daily. Retrieved from https://www150.statcan.gc.ca/n1/daily-quotidien/250521/dq250521a-eng.htm
Visitterrace.com (2024). Fitness Centres and Yoga Studios in Terrace, BC. Retrieved from https://www.visitterrace.com/explore/indoor-recreation/fitness-centres-yoga-studios/
Terrace CDN Companies (2024). Spa Essentials, Terrace, BC. Retrieved from https://terrace.cdncompanies.com/spa/spa-essentials-terrace/
Professionelle.ca (2024). Mersana Beauty Bar, Terrace, BC. Retrieved from https://professionelle.ca/
Birdeye Reviews (2024). Krystlelee’s Spa Therapy Reviews. Retrieved from https://reviews.birdeye.com/krystlelees-spa-therapy-169140483625471
Balance Beauty & Skincare (2024). Services and Information. Retrieved from https://balancebeautyandskin.com
