Sun screened: Mounting cynicism toward UV tanning will force operators to diversify their services

Over the past five years, the industry has grown as US consumers have become wealthier due to higher employment, which has precipitated rising per capita disposable income and consumer confidence. Consequently, demand for personal services and other luxury services has risen as consumers increase their spending on discretionary items and services. However, in 2017, health concerns are expected to mitigate improving macroeconomic conditions. The industry is expected to generate more income through sunless tanning beds and merchandise, which will increasingly cater toward consumers looking to make luxury purchases...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
2.6%
Forecast Growth 17-22
Profit
Employment
35,570
Businesses
13,586
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • As health concerns regarding skin cancer rise, industry regulations are expected to tighten
  • Statewide regulations governing adolescent tanning-bed use have been on the rise
  • Rising incomes will encourage consumers to spend on tanning salons
  • Industry Report - Industry Analysis Chapter

    The Tanning Salons industry has experienced growth over the past five years, as rising per capita disposable income encouraged increased spending on discretionary services, such as tanning. Tanning salons are often considered luxury services, as many drug stores sell over-the-counter self-tanning lotions. According to the American Academy of Dermatology (AAD), over 10.0 million Americans use indoor tanning services each year, which consists of using indoor ultraviolet (UV) tanning beds and spray tanning equipment. Additionally, as disposable income increased, consumers had more money available for personal and luxury services, thus increasing demand for tanning salons. Non...purchase to read more.

    Additional Insights for the Tanning Salons Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Tanning Salons Industry are

  • Ability to effectively change community behavior
  • Receiving the benefit of word of mouth recommendations
  • Undertaking technical research and development
  • IBISWorld analysts also discuss how external factors such as Per capita disposable income and Consumer spending in the Tanning Salons industry impact industry performance..

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    What's in this report

    What is the Tanning Salons Industry?

    This industry includes companies that provide indoor tanning services through UV tanning beds and booths, as well as spray-on tanning services.

    Industry Products
  • UV tanning
  • Sunless tanning
  • Merchandise sales
  • Industry Activities
  • Providing UV tanning services
  • Providing spray-on tanning services
  • Providing airbrush tanning services
  • Providing body contour tanning services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Per capita disposable income
  • Consumer spending
  • Number of adults aged 20 to 64
  • Regulation for the Tanning Salons industry

  • Current Performance
  • Industry landscape
  • Consolidating forces
  • Taxing times
  • The move toward sunless
  • Chart: Revenue Growth

  • Industry Outlook
  • Industry structure
  • Sunless days
  • Increasing regulations
  • The rise of the day spa
  • Table: Tanning Salons Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Tanning Salons Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Advertising Agencies
  • Commercial Leasing
  • Cosmetic & Beauty Products Manufacturing
  • Dry Cleaners
  • Printing, Paper, Food, Textile & Other Machinery Manufacturing

  • Products & Services
  • UV tanning
  • Sunless tanning
  • Merchandise sales
  • Chart: Tanning Salons Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged 18 to 29
  • Consumers aged 30 to 39
  • Consumers aged 40 to 49
  • Consumers aged 50 to 64
  • Consumers aged 17 and under
  • Consumers aged 65 and over
  • Chart: Major Market Segmentation for the Tanning Salons Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Tanning Salons

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Tanning Salons Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Tanning Salons Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Tanning Salons Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Consumer Spending (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Dihydroxyacetone (Dha)
  • Chemical used in most self-tanning lotions, creams and sprays. Derived from sugar cane or beets.
  • Erythrulose
  • Chemical which is also used for tanning and coloring purposes, although not approved by the FDA. Extracts derived from raspberries and other berries.
  • Spray Tan
  • Applying skin tanning liquids to the body using a spray booth.
  • Uva
  • Rays that account for 95.0% of UV radiation reaching the Earth's surface. Contributes to and may even initiate the development of skin cancers.
  • Uvb
  • Rays that are the chief cause of skin reddening and sunburn and play a key role in the development of skin cancer.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Industry Market Report on Tanning Salons is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Tanning Salons:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Tanning Salons market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Tanning Salons, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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