Because of continuous flow of income, most spa and resorts might not tend to increasing competition in the market, but this competition needs have to be addressed by the companies, as in the long run, it could definitely lead to loss of clientele for the company. The increasing competition leads to the other companies focusing on the differentiation of the services. This invariably leads to more suppression. The companies are not able to sustain in this paradigm. They need to focus on the ways to increase the consumer services by differentiation factor. While bigger brands have some formulations to meet competition, the smaller companies cannot compete with the bigger established brands. The niche consumer base is found to be reduced in this schema. These lead the companies to lose the consumer patronage. The people are confounded with the option that is available. Smaller brands hence have to focus on ways to improve the uniqueness of their services.
There is stagnation of the growth in the industry when newer opportunities are not tapped into. Seasonal spikes are common and companies have to diversify their service offerings across seasons to meet consumer needs in order to reduce the invariable redundancy of the services. The companies and the employees of the company cannot expect to sustain only based on some services offered throughout all seasons. There are a number of factors that are embedded into services design that needs to be considered in this schema. If companies fail to take these differentiated services into consideration for seasonal offerings, they are again impacted in this process as this invariably leads to lesser capital inflow for the companies.
To summarize, the companies are struggling to sustain in the current dynamic markets owing to the market fluctuations. There are a number of intricate elements that are embedded and the companies need to look for ways to be innovative to sustain and focus on the service quality offering to the consumers in this paradigm.