The Real Meaning of Success

When Bob Lauter thinks back over the past 20 years of his company’s existence, he never imagined it would be this successful. With 350 employees, more than 250,000 square feet of manufacturing space and a solid record of growth, Master Spas has far exceeded his expectations. “Never in a million years would I have envisioned this,” says Lauter, Master Spas CEO. “We started with a toothpick and ended up with a forest.”

As the largest swim spa manufacturer in the world and one of the largest portable spa and hot tub manufacturers in the country, Master Spas has come a long way since its early days. Lauter bought the company with a group of investors when a local pool manufacturer spun off its foundering spa division in early 1996. At that time, Master Spas produced just five spas per day, each with only eight jets. The company now makes upward of 70 per day—as many as 90 when operating at peak rates—with 50-60 jets each.

Lauter credits having the right team and the right focus for Master Spas’ achievements. As CEO, Lauter has worked closely with Terry Valmassoi, president, and Sam Badiac, executive vice president, since Master Spas came into existence in 1996. With their unique blend of management styles, they have created a cohesive company culture that keeps people engaged and effective.

“One of our responsibilities as leaders is to foster a culture where people can succeed—giving the kind of support that makes it fun to work together. We value people and we value each other’s skill sets,” explains Lauter. 

The affects have reached beyond the company’s employees and into its dealer network. In a recent brand evaluation, both groups overwhelmingly described the Master Spas atmosphere like “family.”

To round out its formula for success, Master Spas has coupled its positive culture with a reputation for innovative, top quality products which range from recreational hot tubs to therapeutic swim spas. Master Spas continually leads the market with inventive features, such as its patented filtration system and built-in biomagnetic therapy. Some models even include options for built-in WiFi modules and Bluetooth^® systems.

Its fastest growing line, the swim spa, has been particularly successful for the company. Olympic multi-medalist swimmer Michael Phelps uses the Master Spas Michael Phelps Signature Swim Spa as part of his own training regimen, emphasizing its ability to provide the most serious workout. Not just for swimmers, however, the swim spa can be equally effective in providing fitness, therapy and family fun benefits. That kind of versatility affords users unique ways to approach health and wellness.

Water workouts provide buoyancy that reduces pressure on joints, which helps people overcome physical limitations that would normally keep them from exercising. With a swim spa, people can jog, row, train with weights and more. “People can do things in swim spas I couldn’t even think of doing on land,” explains Lauter. “We’ve put a tremendous amount of resources into helping people into fitness with our swim spas,” Lauter explains.

Through its 20 years of growth, Lauter and his team have established a tradition of celebrating success by giving to others. Master Spas provides operational space for the Crossing School of Business & Entrepreneurship’s vocational training and underwrites local swim safety programs from the Michael Phelps Foundation, but perhaps its most ambitious project is the school it built for the NAZ Children’s Centre in Jamaica. 

Lauter wanted to help improve difficult conditions at the existing school, which serves mainstream and special needs children ages 4 to 11. Together with its dealer network and local businesses in Jamaica, Master Spas started a capital campaign to fund a new facility. Through their combined efforts, the new school building opened its doors in 2013.

To Lauter, that’s what success is all about. “We’ve had 20 years of fun,” he reflects. “And I love being able to help others through our success.”

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