The importance of innovation in the Czech and Slovak spa industry: the COVID-19 era and beyond

Abstract

This study aims to analyze the scope, structure, and perceived benefits of innovations implemented by spa businesses in the Czech Republic and the Slovak Republic over a period spanning the pre-COVID-19, pandemic, and post-pandemic phases (2018–2022). The basis of the study was a questionnaire survey, in which spa establishments were approached, including spa owners, general directors, financial managers, marketing managers, innovation/development managers, and customer relations managers. In the results, we show the development of four types of innovation with a cross-country comparison between the Czech Republic and the Slovak Republic. Dynamic innovation changes could be noted in the year of the outbreak of COVID-19 or in the post-pandemic phases. A significant drop in product innovations was observed. Conversely, organizational innovations increased during the COVID-19 outbreak, while marketing innovations experienced  a significant increase after the COVID-19 outbreak. Innovations in the Slovak Republic appear to be more dynamic than in the Czech Republic. The obstacles to the introduction of innovations in spa establishments are financial and economic barriers, but not all establishments use the possibility of subsidies. Although innovations in spa establishments mean higher costs and, surprisingly, do not increase labor productivity, they bring a higher service quality and higher incomes.