The hotel chains are realizing it, with the continuous launching of ‘unique’ brands by hotel chains, they are working hard to keep up with the success of independent hotels.
We continue to see an even stronger pick up for many of the local and personal independent hotels, hotel development, concepts and investments at Mocinno International Hospitality Group.
Latest reads are focused on people’s wellbeing, staying at home, not meeting people face to face and not traveling is simply not adding to the traveler’s health. From many of the business and industries the exhaustion of sitting in front of video calls, is taking its toll. More time spent in meetings now, result in decreased efficiency and most certainly fun.
With regards to leisure travel, the patience of hanging with the family around the house has long gone. The first episode of recovering travel seems to be national travel Swedes stay in Scandinavia, Brits in the UK, city slickers are choosing the countryside for breaks and countryfolk the big city for the occasional energy kick.
According to the Expedia Group, independent hotels are seeing greater growth in overall revenue and average daily rates, than the large hotel chains. Also we are seeing the growth of brands like @como, Banyan Tree, Rosewood, One&only with their endless focus on guests and experiences.
Simon Sinek says: ‘If you don’t understand people. You don’t understand business’. His view on Millennials, corporate organizations and leadership is revealing a lot of truth in the way people want to work, be treated and for example travel. It is extremely important for investors and hotels to learn from this and apply this directly to the management, the development, the concept.
In short here are some of the reasons why investments in independent hotels or boutique hotels are booking success.
- Superior use of technology, fast adaption, flexibility in use of and selection of technology
- Localize experiences in efficient fast and last minute manner, adjusting to guest demand
- No need to wait for direction from the head office and compliance to standards that perhaps from the start were already irrelevant
- Quick strategic and tactical decisions on pricing and yielding, adjusting to the local activity
- Increased efficiency, less reporting and paperwork
- Increased focus on personnel, use of their ability and flexibility
- Strategic use of OTA’s, with great flexibility and improved input in marketing, even more so selected a new tool that provides bookings AND global marketing at a lower cost
- Great creative freedom, meaning use of the local environment, projecting that in the offering to the guest, and even change design to the local environment to make the environment more attractive and fuller of soul
- Local influencer & marketing opportunity, an entire new world that needs tapping into urgently. Differentiating between real value influencers that can make a serious difference to your establishment and all the pretend influencers is a need.
- Quick adaption to changes in the behavior of the traveler. Ability to offer outstanding personalized communication and service (marketing)
The real value for investors
The value for investors in independent or boutique hotels lies in a combination of strong financial potential and brand differentiation. Unlike standardized chain properties, boutique hotels can capture higher margins by offering curated, experiential stays that resonate with modern travelers. This allows them to achieve premium pricing, strong occupancy rates, and long-term customer loyalty.
At the same time, these properties tend to appreciate in value due to their unique positioning in the market and their ability to adapt quickly to shifting travel trends. For investors, this means a dual benefit: attractive near-term cash flow from operations, and long-term equity growth as the hotel brand strengthens and the property gains prestige.
These are just a pick of many, that will create besides legacies and unique projects a quicker ROI. Many of the investment opportunities in development we receive include residential sales, leading to even better returns.
Mocinno is your partner in
- Concept creation
- Capital raise
- Asset management
- Financial reviews
- Due diligence
- Feasibiliy
We use Six Sigma methodologies and partner on with those relevant project by project.
Available hotel real estate investment development (greenfield) opportunities with large government grants with ROI’s over 22% in Italy, Portugal and Greece. Furthermore, 4 and 5 star city and resorts throughout Europe and the US are within our portfolio.
Mocinno International is a boutique consultancy specializing in hospitality real estate across Europe. With a well-established presence and a strong network of global investors, Mocinno excels at sourcing exclusive, off-market investment opportunities. The firm brings a deep understanding of hospitality dynamics and has a proven track record in asset repositioning and development advisory. By combining local expertise with international reach, Mocinno provides investors with strategic access to high-potential real estate assets across the hospitality and living sectors.
DM me for opportunities or visit mocinno.com
