The spa industry in Malaysia combines traditional methods alongside modern ones in a designer ambience that offerscustomers a remarkable experience. Malaysia, being a multi-cultural country, has at its disposal a huge range of traditional spa treatments handed down from generation to generation. According to a survey by Intelligent Spas, the number of spas in Malaysia has grown more than 200% since 2002. There are more than 170 spas currently operating and earning an average RM1, 000 ($312) per day in sales (Intelligent Spas, 2011). This number is expected to reach 275 outlets, which is about 49% growth, by 2012, according tostatistics compiled by Ministry of Tourism in Malaysia and Euromonitor International Country Sector Briefing(www.spamore.com). Increased leisure time, personal income, and health consciousness have also contributed to the growth of the spa industry in Malaysia. As the business environment in thespa industry becomes more competitive, managers start to pay special attention todeveloping effective market strategies, particularly for emerging niche markets. In particular, spas and wellness centers need tobe innovative and professional in managing services (i.e., service production and the delivery process). In response to increasing dominance of services within the spa industry, both managers and researchers need to pay attention to the issues of service quality perceptions and satisfaction of customers.