Business Plan "New Hotel Enterprise"


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The module "Business Plan" of the Master in Tourism Management of IULM university enables participants to elaborate a team entrepreneurial project based on a strategic and economical analysis, applying tools and methodologies learnt during the Master under the supervision of a tutor. The project "New Hotel Enterprise" (MTM IV edition) aims at the creation of a business plan for a new hotel structure located in one of the major Lombard provinces. The hotel will be a part of a Multi-functional Services Center, a new point of reference for the commercial activities and public administration of the city. The tutor of the project is Mr. Sergio Mancuso, Responsible for Tourism in TEH Ambrosetti.

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Business Plan "New Hotel Enterprise"

  1. 1. Business Plan Under the guidance of: Dott. Sergio Mancuso Dott.ssa Simona Fontana Group: Michela Bertella Cristina D’Antoni Serena Fabiano Rossella Fedele Paola Mantovani Francesco Sammartano Hotel Network Enterprise Master in Tourism Management Università IULM Tel. +39 (0)2 891412815 website: Mail:
  2. 2. AGENDA <ul><li>Introduction </li></ul><ul><li>Objectives </li></ul><ul><li>Product </li></ul><ul><li>Logo </li></ul><ul><li>Methodologies </li></ul><ul><li>Description of the Selected Cities </li></ul><ul><li>Economic-financial Plan </li></ul><ul><li>Investment Plan </li></ul><ul><li>Hotel Data </li></ul><ul><li>Income Statement for the Hotel Network </li></ul><ul><li>Conclusion </li></ul>
  3. 3. <ul><li>Introduction </li></ul><ul><li>An international group wants to penetrate the Italian hospitality tourism market with </li></ul><ul><li>the creation of a hotel network consisting of 5 new structures to build in 3 years </li></ul><ul><li>through: </li></ul><ul><li>Analysis and evaluation of the market of reference; </li></ul><ul><li>Analysis and estimation of the hotel’s features (no. of rooms, sq. m. per room, services…); </li></ul><ul><li>Control of coherence between single hotels and the network as a whole; </li></ul><ul><li>Time needed to reach the ‘Established Stage’ of operating activity. </li></ul><ul><li>The group has to choose 5 cities in Italy within 10 proposed: </li></ul><ul><li>Objectives </li></ul><ul><li>The objectives of the group are to create a business plan for the hotel network and </li></ul><ul><li>draw up precise data on investment plans and their managerial sustainability and </li></ul><ul><li>offer reliable forecasts for the different business development possibilities of the </li></ul><ul><li>enterprise. </li></ul>Brescia Bologna Monza Torino Firenze Venezia Verona Vicenza Genova Bergamo
  4. 4. <ul><li>Product </li></ul><ul><li>Economical 3 star hotels </li></ul><ul><li>Target Market: Business (National & International) </li></ul><ul><li>Essential services: breakfast, only standard rooms, wireless, restaurant, bar </li></ul><ul><li>Low price: from € 70.00 to € 75.00 </li></ul><ul><li>Number of rooms: 80 - 120 </li></ul><ul><li>sq. m./room ratio: 33/35 (estimation) </li></ul><ul><li>Logo </li></ul><ul><li>* Network Hotel * </li></ul>
  5. 5. <ul><li>Research on the field (Monza); </li></ul><ul><li>telephone calls to tourist offices and hotels in the proposed cities; </li></ul><ul><li>internet based research (analysis of the existing and potential demand, occupancy rate, analysis of municipalities’ and provinces’ websites); </li></ul><ul><li>collection and elaboration of local economic figures; </li></ul><ul><li>infrastructures; </li></ul><ul><li>economic and production system; </li></ul><ul><li>population and density of habitants; </li></ul><ul><li>presence of a convention bureau/fair area; </li></ul><ul><li>identification of competitors; </li></ul><ul><li>creation of forecasted income statements. </li></ul>METHODOLOGIES
  6. 6. METHODOLOGIES <ul><li>Localization of the proper cities </li></ul><ul><li>The cities chosen are: </li></ul><ul><li>BERGAMO </li></ul><ul><li>MONZA </li></ul><ul><li>VERONA </li></ul><ul><li>GENOVA </li></ul><ul><li>FIRENZE </li></ul><ul><li>Analysis of location: </li></ul><ul><li>The areas chosen inside the cities are close to the main infrastructures and not far from the city center. </li></ul><ul><li>In addition, the identified cities are the most suitable according to the analysis of market/competitors and economic/tourist data (trends). </li></ul>
  7. 7. BERGAMO - P.le Guglielmo Marconi 0.8 Km city center O.O Km train station 5.3 km “Orio al Serio” Airport 12 Km motorway Milano-Brescia Hotel 4 Km Pompiniano bypass
  8. 8. <ul><li>Piazzale Guglielmo Marconi </li></ul><ul><li>Main distances: </li></ul><ul><li>0.0 Km Bergamo train station </li></ul><ul><li>0.8 Km from the city center </li></ul><ul><li>4 Km from Pompiniano bypass </li></ul><ul><li>5.3 km from Orio al Serio Airport </li></ul><ul><li>12 km from the motorway Milano-Brescia </li></ul><ul><li>Analysis of the area: </li></ul><ul><li>Population : 117,072 </li></ul><ul><li>Province inhabitants: 1,021,710 </li></ul><ul><li>Density: 3,025 /km² </li></ul><ul><li>Infrastructures & Transport: </li></ul><ul><li>- “Orio al Serio” airport (BG) </li></ul><ul><li>- A4 motorway Milano-Venezia </li></ul><ul><li>- Train station in the city centre </li></ul><ul><li>Economic - social structure : Bergamo is an industrial city with a relevant structure of small-medium enterprises and a certain number of multinational companies. </li></ul><ul><li>Some of the main firms are: Brembo, Tenaris, Italcementi S.p.a, Gruppo Ubi. </li></ul>BERGAMO
  9. 9. BERGAMO <ul><li>Congress/Fair: </li></ul><ul><li>Bergamo has the ‘Giovanni XXIII’ congress center located in the city centre with 12 </li></ul><ul><li>spaces hosting national and international events, meetings and congresses. </li></ul><ul><li>The new fair of Bergamo is a multifunctional area of 173,000 square metres </li></ul><ul><li>Occupancy rate: </li></ul><ul><li>(Source: Re-elaboration of AICA’s figures) </li></ul><ul><li>Selection of Competitors: </li></ul><ul><li>Best Western Hotel Premier Cappello D’oro (3 star, 89 rooms); </li></ul><ul><li>Jolly Hotel (4 star, 88 rooms); </li></ul><ul><li>Mercuri Palazzo Dolci (4 star, 88 rooms) ; </li></ul><ul><li>Hotel Piemontese (3 star, 55 rooms); </li></ul><ul><li>Hotel Città dei Mille (3 star, 40 rooms); </li></ul>+ 3.02 73.9% 71.7% variation 2007 2006
  10. 10. VERONA - Via Gianfranco Fedrigoni – Via Basso Acquar Hotel 20 Km “Villafranca” Airport 0.9 Km train station 3 Km city center 7 Km Est ring road 6 Km motorway Brescia-Padova
  11. 11. <ul><li>Via Gianfranco Fedrigoni – Via Basso Acquar </li></ul><ul><li>Main distances: </li></ul><ul><li>900 m from Verona train station (Porta Nuova) </li></ul><ul><li>2.5 Km from Verona Fair </li></ul><ul><li>3 Km from the city center </li></ul><ul><li>6 Km from motorway Brescia – Padova </li></ul><ul><li>7 Km from Est ring road </li></ul><ul><li>20 Km from “Villafranca airport” </li></ul><ul><li>Analysis of the area: </li></ul><ul><li>Population: 264,650 </li></ul><ul><li>Province inhabitants : 500,000 </li></ul><ul><li>Density: 1,280.7/km² </li></ul><ul><li>Infrastructures & Transport: </li></ul><ul><li> - Valerio Catullo Airport </li></ul><ul><li> - A4 Highway </li></ul><ul><li> - Verona ‘Porta Nuova’ Railway Station </li></ul><ul><li>Economic - social structure : t he food and pharmaceutical industries are well </li></ul><ul><li>developed and the national bank sector contributes to the economy of the city and </li></ul><ul><li>the province. Some of the main firms are: Bauli, Melegatti, Cattolica Assicurazioni, </li></ul><ul><li>Glaxo. </li></ul>VERONA
  12. 12. Congress/Fair: The city’s exhibition centre “Verona Fiere” hosts 1,100,000 annual visitors, with a significant number of foreign presences. Occupancy Rate: VERONA (Source: Re-elaboration of AICA’s figures) <ul><li>Selection of Competitors: </li></ul><ul><li>Hotel Leon d’Oro (4 star, 206 rooms); </li></ul><ul><li>Best Western Hotel Firenze (4 star, 49 rooms); </li></ul><ul><li>Hotel Giberti (4 star, 80 rooms); </li></ul><ul><li>Hotel San Pietro (4 star, 47 rooms) </li></ul><ul><li>Best Western Hotel De’ Capuleti (4 star, 42 rooms) </li></ul>+ 3.37 59.9% 58% variation 2007 2006
  13. 13. MONZA - Via Gaetana Agnesi – Corso Milano 1.2 Km city center 20 Km motorway Milano-Brescia Hotel 0.5 Km train station
  14. 14. <ul><li>Via Gaetana Agnesi - Corso Milano </li></ul><ul><li>Main distances: </li></ul><ul><li>0.5 km from Monza train station </li></ul><ul><li>1.2 Km from the city center </li></ul><ul><li>20 km from the motorway Milano - Brescia </li></ul><ul><li>25 Km from “Linate” airport (MI) </li></ul><ul><li>41,5 km from “Orio Al Serio” airport (BG) </li></ul><ul><li>58,6 km from “Malpensa” airport (MI) </li></ul><ul><li>Analysis of the Area </li></ul><ul><li>Population : 121,961 </li></ul><ul><li>Province inhabitants: 776,941 </li></ul><ul><li>Density: 2,108 /kmq </li></ul><ul><li>Infrastructure and trasport: </li></ul><ul><li> -Airport: Malpensa, Linate, Orio al Serio </li></ul><ul><li> -Motorways A4 Milano - Venezia </li></ul><ul><li> -Railway stations (Milano, Lecco, Brescia) </li></ul><ul><li>Economic - social structure: Monza is a developed industrial city with a large variety of companies which operate in several sectors. Some of the main firms are: Polo tecnologico della Brianza, A.G.A.M., Candi, Star, Sol Group. </li></ul>MONZA
  15. 15. MONZA <ul><li>Congress/fair: </li></ul><ul><li>Monza Fiere is a 21,000 square metres area. </li></ul><ul><li>Occupancy Rate: </li></ul>(Source: Re-elaboration of AICA’s figures) <ul><li>Selection of Competitors: </li></ul><ul><li>Hotel della Regione (4 star, 90 rooms); </li></ul><ul><li>Hotel de la Ville (4 star, 71 rooms); </li></ul><ul><li>Hotel Motel Monza (4 star, 68 rooms); </li></ul><ul><li>Parco Hotel (4 star, 50 rooms); </li></ul>- 1.27 64.5% 65.3% variation 2007 2006
  16. 16. FIRENZE - Via Masaccio – Via degli Artisti 2.7 Km city center 21 Km motorway ‘Del sole’ Hotel 3 Km train station 9.5 Km “Vespucci” Airport
  17. 17. <ul><li>Via Masaccio– Via degli Artisti </li></ul><ul><li>Main distances : </li></ul><ul><li>2.7 Km from the city center </li></ul><ul><li>3 km from “Santa Maria Novella” railway station </li></ul><ul><li>9,5 km from “Amerigo Vespucci” airport </li></ul><ul><li>21 km from the m otorway “del Sole” </li></ul><ul><li>Analysis of the area : </li></ul><ul><li>Population: 364,052 </li></ul><ul><li>Province inhabitants: 975,218 </li></ul><ul><li>Density: 3,554.9/km² </li></ul><ul><li>Infrastructures and transport: </li></ul><ul><li>- Airport “Amerigo Vespucci” </li></ul><ul><li>- Motorways: “Autostrada del Sole” (A1) </li></ul><ul><li>- “Firenze Mare” (A11) </li></ul><ul><li>- Central railway station “Santa Maria Novella” </li></ul><ul><li>Economic-social structure: Firenze is a developed industrial city with a large variety </li></ul><ul><li>of companies which operate in several sectors. Some of the main firms are: Prada, </li></ul><ul><li>Gucci, Boehringer, Infogroup, Galileo. </li></ul>FIRENZE
  18. 18. <ul><li>Congress/fair: </li></ul><ul><li>Firenze Fiera SpA runs the three main exhibition and congress venues in Florence: </li></ul><ul><li>Fortezza da Basso </li></ul><ul><li>Palazzo dei Congressi (conference centre) </li></ul><ul><li>Palazzo degli Affari (business centre) </li></ul><ul><li>Occupancy rate: </li></ul>FIRENZE (Source: Re-elaboration of AICA’s figures) <ul><li>Selection of competitors: </li></ul><ul><li>Hotel Meridiana (3 star, 67 rooms) </li></ul><ul><li>Hotel Athenaeum (4 star, 60 rooms) </li></ul><ul><li>Hotel Il Granduca (3 star, 21 rooms) </li></ul><ul><li>Hotel De La Pace (3 star, 42 rooms) </li></ul>+ 2.46 67.1% 65.5% variation 2007 2006
  19. 19. GENOVA - Piazza Nicolò Barabino 4.7 Km city center Hotel 6 Km motorway Milano-Genova 2.5 Km train station 4.5 Km “Colombo” Airport
  20. 20. <ul><li>Piazza Nicolò Barabino </li></ul><ul><li>Main distances : </li></ul><ul><li>2.5 Km from train station “Porta Principe” </li></ul><ul><li>4.5 Km from “Cristoforo Colombo” airport </li></ul><ul><li>4.7 km from the city center </li></ul><ul><li>5.5 km from the fair </li></ul><ul><li>6 Km from Milano - Genova motorway </li></ul><ul><li>Analysis of the area : </li></ul><ul><li>Population: 611,949 </li></ul><ul><li>Province inhabitants: 884,632 </li></ul><ul><li>Density: 2,512.10/km² </li></ul><ul><li>Infrastructures and transport: </li></ul><ul><li>- Seaport </li></ul><ul><li>- Airport “Cristoforo Colombo” </li></ul><ul><li>- 4 Motorways: A12, A26, A10 and A7 </li></ul><ul><li>- Railway stations: Genova Principe and Genova Brignole </li></ul>GENOVA
  21. 21. GENOVA <ul><li>Economic-social structure: thanks to the big growth of the last 10 years, tod </li></ul><ul><li>Genova is an industrial city with important multinational companies. Some </li></ul><ul><li>important firms are: Porto di Genova, Finmeccanica, Ansaldo, Cantiere Navale di </li></ul><ul><li>Sestri Levante, Costa Crociere. </li></ul><ul><li>Congress/fair: </li></ul><ul><li>“ Fiera di Genova” is situated very close to the city center. The fairground's overall </li></ul><ul><li>surface exceeds 300 thousand square metres ; </li></ul>
  22. 22. Occupancy rate: GENOVA (Source: Re-elaboration of AICA’s figures) <ul><li>Selection of Competitors: </li></ul><ul><li>Novhotel (3 star, 223 rooms); </li></ul><ul><li>Columbus Sea Hotel (4 star, 80 rooms); </li></ul><ul><li>Hotel Bellevue (3 star, 36 rooms); </li></ul><ul><li>Hotel Vittoria e Orlandini (3 star, 41 rooms); </li></ul><ul><li>Jolly Hotel Genova Plaza (3 star, 143 rooms); </li></ul>+ 4.62 64.1% 61.2% variation 2007 2006
  23. 23. <ul><li>ECONOMIC-FINANCIAL PLAN </li></ul>
  25. 25. HOTEL DATA (Start Up and Established Stage)
  26. 26. INCOME STATEMENT - Revenues 15.372.386 14.997.450 15.042.283 13.865.364 12.854.062 11.819.252 8.851.826 4.271.440 TOT. REV.                 3,0% 3,0% 2,9% 3,1% 3,3% 3,6% 4,0% 4,3% % on Total revenues 465.184 453.838 442.769 433.839 429.240 429.240 352.590 183.960 Parking revenues 22,4% 22,4% 22,4% 22,3% 22,3% 22,2% 22,1% 21,9% % on Total revenues 3.436.732 3.352.909 3.366.793 3.098.068 2.864.999 2.627.487 1.956.595 933.482 Rest/Bar revenues 74,6% 74,6% 74,7% 74,5% 74,4% 74,1% 73,9% 73,8% % on Total revenues 11.470.470 11.190.702 11.232.721 10.333.457 9.559.823 8.762.525 6.542.642 3.153.998 Room revenues         Revenues       BG-FI-GE-MZ-VR BG-FI-GE-MZ-VR BG-FI-GE-MZ-VR BG-FI-GE-MZ-VR BG-FI-GE-MZ-VR BG-FI-GE-MZ-VR BG-FI-GE-MZ BG-FI Total investment 2017 2016 2015 2014 2013 2012 2011 2010
  27. 27. INCOME STATEMENT - Costs
  28. 28. INCOME STATEMENT – Operating Results
  30. 30. CONCLUSIONS After a detailed analysis of the Investment Plan and the Network Income Statement, we can conclude that the implementation of this project is sustainable and that the investment can be remunerated.
  31. 31. References: Comune di Bergamo Provincia di Bergamo Dedalonews Aeroporto di Bergamo Wikipedia Regione Lombardia Provincia di Monza Bergamo Congress Center Aica Comune di Genova Provincia di Verona Fiera di Genova Aerporto di Genova Comune di Verona Aeroporto di Verona Verona Fiere Comune di Firenze Firenze Fiera Monza e Brianza in Rete Brianzabusiness Google Maps Viamichelin Hotelmonza Bestwestern UNA Hotel Regione Veneto Trail Liguria NH Hotels Comune di Monza Regione Liguria
  32. 32. <ul><li>Thank you! </li></ul>CONTACT Master in Tourism Management Università IULM Via Carlo Bo, 1 - 20143 - Milano Tel. +39 (0)2 891412815; Fax +39 (0)2 891412814 website: Mail: