EVOE

SPRING
SPA:
A
POSITIONING DILEMMA
DECISION REPORT

IIM NAGPUR
LOVISH GARG

P-15013

Executive Summary
EVOE Spring Spa is a first generation entrepreneurial venture aimed at de-stressing
the Indian Consumer at affordable price, and is started by Gopal Raman, Anil Kumar and
Sumit Gupta. The three co-founders are inspired to start a chain of affordable and accessible
spas and now have to decide on the positioning of the EVOE Spring Spa, in the newly
emerging Indian spa market.
The whole Marketing Research was carried out on a four stage sequential process, which
resulted in three distinct positioning concepts. These concepts are , a) Affordable Indulgence;
b) Affordable Health; and c) A Little Vacation.
These positioning concepts were made on the basis of the four Consumer Segments, namely,
a) Snails; b) Climbers; c) Racers; and d) Sprinters.

Situation Analysis
EVOE Spring Spa is an emerging retail chain of affordable and accessible spas in
relatively new Indian Markets aimed at rejuvenating the hectic lifestyles of males and
females, who are not only working in corporates, but also focussing on the segment involved
in household chores, in order to enhance their stature in the society. It was started as a result
of the(removed own) experiences of the stressful corporate jobs of the Co-founders, as even
earning big bucks was insufficient to afford the exorbitant prices charged by the hotel spas
for regular massages. All the co-founders agreed onto a single notion as not to restrict
themselves only to a section of previous spa users, as it would restrict their aim of expanding
the market.
Globally, the wellness market was based on the Illness-Wellness continuums, where
one consumer segment looked at health solutions as reaction to sickness, and other segment
looked at it as proactive well-being, which is the major reason for the inclination of people
towards spas. The global wellness market was estimated at approximately US $2 trillion, out
of which the international spa industry begged around US $60 billion.
Indians have always been the proponents of health and wellness practices, as from the
traditional and well-respected systems of Ayurveda and Yoga, focussing on both Physical and
Mental wellness in tandem. With changing times, people are now moving from reactive to a
more proactive approach, in health and wellness, thus a more self-conscious population is
opening up new doors for the Spa Industry in India. A cause of concern is that major
proportion of this population are still Urban dwellers and residents of the, as proposed, Smart
Cities.
India is expected to emerge as the major player in the Wellness segment, growing
cumulatively at the rate of 20% from previous year reaching 490 billion and is expected to
reach 875 billion, three years down the line. Of the above mentioned figures, Spa segment,
belonging to both curative and physical solutions, is approximated to be about 4-5 billion.

Problem Statement
A decision to be taken on the choice of best possible Positioning for Evoe among the
three equally viable options, generated from Consumer Research, which would resonate with
Consumers and would attract both Spa and Non-Spa users.

Options Available
Three distinct positioning concepts available are:1. Affordable Indulgence.
2. Affordable Health.
3. A Little Vacation.

Criteria for Evaluation

(a) Consumer Segments.
(b) Number of Consumers.
(c) Resonance of Consumers.

Evaluation of the Options

1. Affordable Indulgence.
a. Consumer Segment:Out of the four segments this positioning concept did not
include the Snails (people hesitant to change in lifestyle), remaining were
enthusiastic of trying out new market.
b. Number of Consumers: Increased, as spas which were thought as a privilege
for few, were now brought to everyones reach.
c. Resonance of Consumers: High level of resonance among the consumer
segments, this concept was targeting.
2. Affordable Health.
a. Consumer Segment: Reached out to all the consumer segments that were
resulted from the FGDs.
b. Number of Consumers: Targeted approximately all the consumers, as it had
the benefit of being linked to the wellness or health of the people.
c. Resonance of Consumers: Had majority of resonant consumers, as it had high
stake towards delivering serious benefit of health. Hence, credibility was given
higher priority over affordability.
3. A Little Vacation.
a. Consumer Segment: There is a decrease in the segments that this concept
would be able to reach out to, clearly ignoring Snails.
b. Number of Consumers: Decrease in number of consumers, as the people
mainly being affected from this concept were the people who were on

vacation, i.e. deviated from their normal routine, hence, smaller number of
people.
c. Resonance of Consumers: Least resonant consumers, as, in India, vacation
was taken only at certain times of the year, and thus less frequency of
vacation.
4. Questions to ponder are:
Which routing protocol provides a better performance in Mobile Ad hoc Networks?
What factors influence the performance of these routing protocols?
What are the main differences in the routing protocols?