In recent years, Hyatt Hotels and Resorts have developed somewhat of a pattern of snapping up companies that fall into what Hyatt CEO Mark Hoplamazian has described as “adjacent spaces.” One of these adjacent spaces is wellness. In keeping with this idea, it’s no surprise that Hyatt recently made yet another wellness acquisition by buying Exhale for an undisclosed amount of money.
Exhale, which was first founded back in 2002, has 25 locations that are spread throughout the United States, as well as the Caribbean. What the company brings to the table is something that is increasingly sought after by large hotels: boutique fitness classes and spa services. With all that in mind, then, it’s no surprise that Hyatt Hotels and Resorts would jump at the opportunity to buy Exhale.
Especially given that this is not the first wellness company that Hyatt has purchased this year. In fact, in January Hyatt announced that it was acquiring Miraval Group, which is another wellness resort and spa company. Terms of that deal were disclosed, with Hyatt paying $375 million and subsequently announcing plans to integrate the Miraval brand into its portfolio, bringing the experiences, amenties, and exclusive offerings that Miraval has become known for over the years. In addition, this acquisition also included future development of more Miraval brand resorts.
Industry experts say that Hyatt has similar plans for its latest acquisition, Exhale. In fact, Steve Haggerty, who is Hyatt’s global head of capital strategy, franchising and select service, recently discussed just this.
“The big story is, going forward, what we can do to leverage this brand … ” Haggerty said in a recent interview. “That will be in our hotels and in storefronts. It’s also further strengthening the value of our World of Hyatt [loyalty] proposition.”
Haggerty additionally noted that Hyatt had plans to expand Exhale storefronts in “markets where they will have the most impact to the customer base that we’re referencing. The second way in which we will integrate this is through our existing hotel portfolio. That will be on a case-by-case basis how that actually materializes in each hotel.”
Haggerty went on to say, “It’s really, in our view, quite plausible to deliver certain elements of the Exhale experience within the hotel without necessarily having a full-blown storefront in the hotel environment. We think the strength of the brand and the performance of the brand speaks for itself.”