Big Opportunities for International Brands in Italy - Horwath HTL Reports
Italy, probably the largest single market for hotel rooms in Europe, still has plenty of room to grow for the major international hotel companies, especially in the midscale and economy markets.
The report, the first to look comprehensively into the Italian hotel market from an international and domestic chain perspective, has been written by respected industry professionals Giorgio Ribaudo and Zoran Bacic. Other key findings include:
- In 2013, Italy had 1.235 chain hotels and over 146 brands. International chains accounted for 510 hotels and over 63.000 rooms, while domestic chains recorded 776 properties and over 82.400 rooms.
- This stock of rooms explains an overall chain penetration of 12,7% in the 2013 Italian hotel market.
- International and domestic chains are concentrated mostly in the Luxury and Upscale segments, where they account for about 16% and 28% respectively of the Italian stock.
- Nearly 3 out of 4 chain rooms are in the Upscale tier.
- Chains focus on big cities that are geared towards Arts & Business: Milan, Rome, Florence, Venice and Bologna are the top 5 locations, altogether totaling almost 170 international and over 200 domestic chain hotels.
- While independent hotels have an average of 33 rooms, chain hotels are much greater, with an of average of 108 rooms, the Upscale supply standing at almost 123.
Zoran Bacic, Managing Partner of Horwath HTL, Italy said." The report is unique, because it gives real clarity to an incredibly complex market. Italy has a reputation of being a diverse and complex mix of small, traditional hotels that are family run and there is certainly a lot of truth in this. However, the industry landscape is changing quickly and we have identified areas that will be exploited by the major players over the coming few years as they look to expand away from the luxury segment and gain critical mass across all market segments. We will continue to update this valuable information annually and provide more transparency for investors, which will benefit the hotel market as a whole."
Global Business Director
About Horwath HTL
Horwath HTL is the world"s largest hospitality consulting brand with 45 offices across the world providing expert local knowledge. Since 1915 we have been providing impartial, specialist advice to our clients and are recognized as the founders of the Uniform System of Accounts which subsequently has become the industry standard for hospitality accounting. We focus one hundred percent on hotels, tourism and leisure consulting and have successfully completed over 16,000 projects. If you have any questions, please contact James Chappell, Global Business Director at email@example.com