Strategic Value and Importance of the Real Estate Sector, the Tourism Sector and the Hospitality Sector
In Italy the Hotel Type Accommodation Sector, the Non Hotel Type Accommodation Sector, the Real Estate Sector and the Tourism Sector are:
- dominant, driving, fundamental, interconnected sectors of the overall economic system
- they are the most important Italian economic sectors, they are safe and stable
- are sectors that are transforming and evolving, and, in general, the tourism industry in Italy is undergoing great change and evolution
- are the subject of important investments
- are sectors for which the expected trend for the next few years is positive
The total real estate assets of Italy is one of the largest real estate assets in the world and its value, conservatively estimated, is equal to tens of billions of euros.
An investment and purchase of real estate in Italy is a great value.
In Italy, the data relating to tourist flows, relating to the number of tourists, relating to the presence of tourists, expressed both in quantity and in value, are constantly and continuously increasing.
In Italy, the tourism sector is very important and ranks among the top for its contribution to the national gross domestic product (GDP).
Heterogeneity and Diversity Are a Unique Value and Resource
In Italy, the companies and businesses that operate in the Hotel Type Accommodation Sector, in the Non Hotel Accommodation Sector, in the Tourism Sector and in the Real Estate Sector are very heterogeneous and different from each other, both in size, both in size, and by type, etc. (and for many other parameters).
The diversity and heterogeneity existing in Italy in the Hotel Type Accommodation Sector and in the Non Hotel Type Accommodation Sector must not be evaluated positively, it must be considered a strength factor because it is one of the main characteristics that make it beautiful and unique.
The diversity and heterogeneity existing in Italy must be valued, it is one of the main key success factors of companies operating in the Hotel Type Accommodation Sector, in the Non Hotel Accommodation Sector and in the Tourism Sector in general, and allows you to fully and always satisfy the multiple needs and all possible customer requests.
In Italy, the many types of companies and businesses existing in the hotel sector and in the non-hotel accommodation sector are divided by ISTAT (Italian National Statistical Institute) into the following categories: hotels (classified from one to five stars), B&B , farmhouses, farms, country residences, manor estates, villas, scattered hotels, ancient and historic villages, apartments, residences, campsites, tourist villages, rented accommodation managed in an entrepreneurial form, youth hostels, holiday homes, shelters mountain and other accommodation facilities nac (not elsewhere classified).
In Italy, Hotels and Non-Hotel Accommodation Facilities are widespread and are present in all geographical areas: sea, mountains, cities, towns, hills, spas, lakes, individual islands and archipelagos of islands, volcanoes, rivers, lagoons , etc..
In Italy it is possible to make investments and buy companies and businesses operating in the Hotel Type Accommodation Sector, in the Non Hotel Accommodation Sector, in the Tourism Sector and in the Real Estate Sector (real estate) which are located in multiple states and conditions, for example:
- in business and operational or closed
- real estate only
- real estate and companies together
- to be restored
- land with approved and non-approved projects
- properties with approved and unapproved projects
Problems relating to the Organizational Structure of Companies and the Delegation of Management and Control Functions
Italian entrepreneurs are creative, they are prepared, they are hard workers, etc. but, in general, they do not possess high-level organizational and managerial skills.
Italian entrepreneurs, therefore, are unable to create and stabilize the initial business model, which is the fundamental prerequisite for the subsequent duplication and multiplication of the model, and for the consequent increase in size of the company, in quantity and value.
Italian entrepreneurs do not want to delegate the control and management functions of their companies and their activities.
In Italy, companies are almost all small, and control and ownership almost always remain within the family.
Demographics, Average Age and Generational Change
The average age of entrepreneurs in the hotel and non-hotel sector in Italy is high, and the generational handover of businesses and real estate properties is often difficult because the children do not want, in general, to do or continue the business and the work of parents.
The statistical and demographic data of the average age of citizens in all the countries of the planet Earth, therefore the seniority index calculated in the countries of the world, indicates that Italy is the second country, after Japan, with the average age of the highest citizens.
The owners of real estate properties and companies operating in the Hotel Type Accommodation Sector, in the Non Hotel Type Accommodation Sector, in the Real Estate Sector and in the Tourism Sector in general, for the great majority produce above average incomes, therefore they earn well .
The main reasons that determine the decision to sell real estate properties and companies, in order of importance, are:
- the very advanced age of the owners, over 65 – 70 years and over
- problems relating to the generational handover of real estate and businesses, as the vast majority of children and grandchildren do not wish to continue the work of their fathers and grandparents
- managerial and organizational problems and deficiencies
- the scarce or almost absent propensity of entrepreneurs to delegate company functions, therefore to use managers and consultants
The critical business factors listed cause errors in management, limit the development of companies, in quantity and economic value produced, and force them to remain small.
In Italians the entrepreneur gene has almost disappeared, in Italy it is necessary to bring new energies, and this historical period represents a great opportunity for Investors and Buyers who have financial resources, managerial and entrepreneurial skills, energy, who want to create value. and wealth, and who are lovers of beauty, the good life, and creativity.
Investments and Quality Standards of the Hospitality Sector in Italy
The quality standards in the hospitality sector in Italy, in general, are on average lower than those of the more developed countries in the sector, but the trend is positive.
In Italy, the hotel industry entrepreneurs who made the necessary investments in their businesses and their businesses, when they needed to be made:
- have achieved high and / or excellent levels of quality and design, both in the Hospitality Sector and in the Non-Hotel Type Accommodation Sector
- the refurbished and redeveloped properties have significantly increased their value
- are able to obtain an adequate return on the capital invested
- the income statement generates positive and interesting results
In Italy, hotel business entrepreneurs who did not make the necessary investments in their businesses and companies when they needed to be made:
- the levels of quality and design have worsened, both in the Hotel Type Accommodation Sector, and in the Non Hotel Type Accommodation Sector
- non-refurbished and non-requalified real estate properties have significantly decreased their value
- are forced to sell the rooms and services offered at lower prices than the average market prices
- often fail to obtain an adequate return on the capital invested
- the income statement generates mediocre or negative results
Current Structure and Evolutionary Trend of the Hospitality Sector in Italy
In Italy there are currently about 33,000 (thirty-three thousand) hotels, classified from one to five stars.
In Italy there are currently approximately 300,000 (three hundred thousand) non-hotel accommodation facilities.
In Italy in the hotel sector:
- chains are present in very limited numbers
- the chains are almost all small in size
- the market has interesting development potential
- the market can be segmented on the basis of different parameters (dimensional, geographical, qualitative, etc.)
- there are currently about 18,000 three-star hotels and, in general, they have lower quality standards and those of the average market
- the market trend shows a slight increase in four-star and five-star hotels
In Italy, only about 4% of hotels are part of hotel chains.
In Italy, the largest hotel chain, Best Western, currently groups around 150 hotels.
In Italy, building the largest Italian hotel chain is simple as it is sufficient to buy 150 hotels.
In Italy, the person who buys or anyone who buys at least 150 hotels can qualify as the owner of the largest Italian hotel chain.
In Italy in the non-hotel accommodation sector:
- the chains are absent
- the market is virgin, therefore, it is in the early stages of its development
- the market can be segmented on the basis of various parameters (dimensional, geographical, qualitative, etc.).
In Italy, for many reasons, it is very difficult, complicated and expensive to build new hotels and new large non-hotel type accommodation facilities and, in general, it is difficult to build new buildings.
In Italy, the redevelopment of existing real estate properties is to be preferred over the construction of new real estate properties.
Currently in Italy there are very favorable conditions for investments in the Real Estate Sector and in the Tourism Sector, and for Investors and Buyers who want to control and / or become market leaders in specific economic sectors and subsectors.
The Average Dimensions, the Evolution of Technologies and the New Organizational and Management Models
In Italy the hotels are not large, the average production capacity is about 35 rooms.
The small average size of the hotels in Italy must be positively evaluated as:
- allow a high operational and managerial flexibility
- allow you to optimize cost management
- make it possible to simplify all management and control activities
Very often small dimensions are the consequence of the narrow and reduced spaces typical of the historic centers of cities and of the approximately 8,000 Italian municipalities, whose construction dates back to the Middle Ages or even earlier periods, which can reach up to the time of the Roman Empire.
The medium and small size of the hotels in Italy should not be negatively evaluated.
The widespread hotel model in Italy is spreading, similarly and in a form related to the increase in non-hotel type accommodation facilities.
Current technologies also allow companies that operate with separate and / or close physical offices to be managed and controlled centrally.
For example, if you want to buy and / or invest in a 150-room hotel you can get the same result by buying and / or investing three 50-room hotels in the same location.
This reasoning can be extended in quantity and value.
Convergences and Evolution of Sectors
The Hotel Type Accommodation Sector and the Non Hotel Type Accommodation Sector are convergent with each other and are naturally complementary.
The Hotel Type Accommodation Sector and the Non Hotel Type Accommodation Sector:
- are no different from each other
- they are not in conflict and they are not in competition with each other
- they are not divergent but are destined to converge in a single sector
- currently the convergence process of the two sectors is intensifying and, in the medium term, there will be a single hotel sector, with different types of structures and real estate properties
Italy, a World Heritage Site and a Humanity Heritage Site and the Huge Unexpressed Potentials to Be Developed
Italy is the most beautiful country in the world and, in any case, one of the most beautiful countries in the world.
Italy has had a great history.
All the history of the world and all the civilizations of the last 2,500 years originated and developed from Italy, and following and as a consequence of what happened in Italy.
The Roman Empire was the first and largest and most true world superpower and the center of the Empire was Rome, defined as Roma Caput Mundi (Rome Capital of the World).
The greatness and importance of Italy on a world level descends from the Roman Empire.
The period of the Italian Renaissance gave rise to the Renaissance of Europe and the world.
In the city of Rome is the Vatican City State, seat of the central government of the Christian Catholic Church, consisting of the Supreme Pontiff and the Bodies that assist him in the exercise of his responsibilities towards the universal Church (Holy See).
In Italy we have had and have everything at the highest levels: culture, art, history, archeology, architecture, traditions, characters, extraordinary and enlightened artists and inventors, places, museums, events, music, food and wine, excellence, design, fashion, sea , sun, climatic conditions, mountains, lakes, natural thermal areas and spas, individual islands and archipelagos of islands, volcanoes, rivers, lagoons, countryside, hills, cities, and many other excellences and wonders almost always unique in the world.
Italy occupies 2% of the surface of the planet Earth and holds about 70% of the cultural, artistic, monumental heritage, etc. overall of humanity.
Italy has had great personalities, architects, engineers, artists, inventors, etc. who have created, over the centuries and millennia, many splendid artistic, cultural, architectural, monumental masterpieces, etc., which are present in all over 8,000 Italian municipalities, from the smallest to the medium and large cities.
In Italy the potential not expressed in the Hotel Type Accommodation Sector, in the Non Hotel Type Accommodation Sector, in the Real Estate Sector and in the Tourist Sector in general, are enormous but Italians do not value this great wealth they possess and do not use a lot of them correctly. resources.
Why choose Italy?
- Italy is chosen by about 58 million tourists every year
- Italy is the fifth country in the world as a tourist destination
- Italy has the largest number of monuments, artistic and gastronomic beauties
- In Italy, the real estate crisis following the 2008 crisis has not yet resolved and the value of properties is at an all-time low, so an investment is now very profitable
- Italy is a safe and welcoming country, where no one will ever be able to take away the heritage, beauty, excellence, etc. that owns
Italy is a stable, safe country, without the phenomena of political and social instability that characterize almost all geographical areas and countries of the world, and also the climate is excellent throughout the year and disastrous weather phenomena never occur such as hurricanes, monsoons and tropical storms, etc ..