Australia’s largest spa pool brand launches new business in New Zealand

( Following trends in Europe and the US, Vortex Spas, Australia’s leading spa brand has launched in New Zealand with an innovative factory direct model focusing on the web and home shows.

Within the Australian market, Vortex is sold through the Spa World chain. With 25 shop fronts, Spa World has been in the Australian spa market for more than 25 years. But as Andrew Pullen, Spa World’s General Manager, and newly appointed Managing Director of Vortex Spas New Zealand points out, the writing is on the wall for traditional spa retailers.

‘In North America, more than 50% of spa pools are sold online, and at off-site events. Customers are expecting better and better deals and you simply can’t provide these prices whilst maintaining your bricks and mortar overheads.’

Vortex Spas have launched their website using pay per click advertising to get immediate exposure. Whilst they believe the website will generate higher and higher sales as the brand becomes known, they are also participating in more than 20 home shows in the first year in order to get the product in front of prospective customers.

‘For some people, spas are something they would like to view before making a purchasing decision. This is where our home show participation comes in.’ says Mr Pullen. ‘However, once we have a sizable client base, we believe that the ability for customers to refer friends and family to the web, will be a convenient system of purchase.’

The main benefit with their online model is that they can bring the product to market for much less than in other markets. They claim that on average, the product will sell in New Zealand for as much as 30% less than it retails for through their traditional retail base, in the other 16 countries the product is sold.

They have also set their pricing to include delivery to over 90 depots around New Zealand. From there, the client can choose to pick up or they can arrange door to door delivery.

They have also chosen to offer a 60 day money back guarantee to give their customers confidence that they can return their spa pool if it is not suitable. Their product is backed by industry leading warranties including a 10 year warranty on the spas structure.

‘This really is exciting for Vortex Spas, to be sold via a new and exciting business model,’ concludes Mr Pullen. ‘Once we have completed the roll out in New Zealand, we can see that the same model would succeed in many of our other markets as confidence in buying from the web increases. The future of retailers having to load thousands of dollars onto the purchase price to cover unnecessary overhead really is coming to an end. The web provides a vibrant future for spa retail and lower prices mean the product is accessible to far more people.

Media Release on 28 February 2012 by Vortex Spa NZ.

Media Contact:
Vortex Spas NZ
Andrew Pullen