Hotels - Italy | Statista Market Forecast

Hotels - Italy

Italy

Highlights

Italy is projected to witness a significant growth in the Hotels market in the coming years.
By 2024, the revenue in this market is expected to reach US$9.18bn, with an anticipated annual growth rate (CAGR 2024-2029) of 2.90%.
This growth is expected to result in a projected market volume of US$10.60bn by 2029.
Moreover, it is expected that the number of users in the Hotels market will increase to 28.87m users by 2029.
The user penetration in this market is expected to grow from 45.3% in 2024 to 50.0% by 2029.
The average revenue per user (ARPU) is also expected to increase and reach US$345.20.
Furthermore, it is anticipated that 84% of the total revenue in the Hotels market will be generated through online sales by 2029.
It is worth noting that in global comparison, United States is expected to generate the most revenue in the Hotels market, with a projected revenue of US$111bn in 2024.
Italy's hotel market is seeing an increasing demand for sustainable and eco-friendly accommodations.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Italy has long been a popular tourist destination, known for its rich history, stunning architecture, and delicious cuisine. As a result, the Hotels market in Italy has seen significant development and growth in recent years.

Customer preferences: Tourists visiting Italy often seek unique and authentic experiences, leading to a growing demand for boutique hotels and bed-and-breakfast accommodations. Many travelers also prioritize eco-friendly and sustainable options, driving the rise of environmentally conscious hotels in the market. Additionally, with the increasing popularity of online booking platforms, customers tend to value convenience, personalized services, and competitive pricing when choosing their accommodations.

Trends in the market: One notable trend in the Hotels market in Italy is the increasing use of technology to enhance the guest experience. From mobile check-ins to smart room features, hotels are integrating innovative solutions to streamline operations and improve customer satisfaction. Another trend is the diversification of hotel offerings, with a rise in themed hotels, wellness retreats, and luxury resorts catering to different traveler preferences. Furthermore, the market has seen a growing interest in experiential travel, leading to an emphasis on unique activities and local immersion opportunities within hotel services.

Local special circumstances: Italy's diverse regions offer distinct cultural and natural attractions, influencing the distribution and types of hotels across the country. For instance, urban areas like Rome, Milan, and Florence have a higher concentration of luxury hotels to accommodate business travelers and high-end tourists. On the other hand, coastal regions such as Amalfi Coast and Sicily feature a mix of beach resorts and boutique hotels catering to leisure travelers seeking relaxation and picturesque views. The historical significance of many Italian cities also drives the demand for heritage hotels located in renovated palaces, monasteries, and historic buildings.

Underlying macroeconomic factors: The Hotels market in Italy is also influenced by macroeconomic factors such as currency exchange rates, government policies, and global economic conditions. Fluctuations in the euro exchange rate can impact international tourist arrivals and affect hotel revenues. Government initiatives to promote tourism, infrastructure development, and sustainability practices play a crucial role in shaping the market landscape. Moreover, economic stability, consumer confidence, and travel trends in key source markets contribute to the overall performance and growth of the Hotels market in Italy.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.