Italian Retail Back in the Sights of Investors

In recent years, the Italian retail sector has gone through many changes and challenges, but 2024 looks to be a year of rebirth and new opportunities. Investors, both domestic and international, are turning their attention back to the Italian market, attracted by positive signs of economic recovery and attractive growth prospects. Let’s examine why Italian retail is back in investors’ sights and what the outlook is for the future.

An Economic Recovery in Progress

The Italian economy is showing signs of recovery, with GDP growth expected to be around 2 percent by 2024. This recovery is supported by a series of structural reforms and an increase in consumer confidence. The stabilization of the labor market and increased purchasing power are helping to boost domestic consumption, a crucial factor for the retail sector.

An Evolving Retail Market

The Italian retail market is rapidly adapting to changes in consumer habits. The pandemic has accelerated the digitization of retail, with a significant increase in online sales. However, the return to normalcy has also seen a resurgence of sales in physical stores, particularly in tourist cities and high-end shopping streets.

Italian consumers, and not only, are increasingly seeking unique and personalized shopping experiences, combining the best of the digital and physical worlds. This trend is leading to the development of new store formats, more flexible and innovative, capable of responding to new customer needs.

Growing Interest of Investors

Investors are showing renewed interest in Italian retail for several reasons:

1. Asset Valuation: Many commercial properties in Italy are undervalued compared to more mature European markets. This offers competitively priced investment opportunities with good prospects for revaluation.
2. Growing Luxury Sector: Italy is a key market for luxury brands because of its history, culture and tourist appeal. Italian cities such as Milan, Rome and Florence continue to be popular destinations for high-end brands.
3. Retail Park Expansion: Retail parks are gaining popularity as an alternative to traditional shopping malls. Investors are betting on this format, which offers a combination of easy access, low operating costs and an open-air shopping experience.
4. Tourism in Recovery: With the return of international tourism, major Italian cities are seeing an increasing influx of visitors. This has a direct impact on retail sales, particularly in the fashion, food and luxury sectors.

Perspectives for the Future

The future of Italian retail looks promising, with several trends that could shape the industry in the coming years:

• Omnichannel Integration: The merging of the online and offline shopping experience will continue to evolve, offering consumers more flexibility and personalization.
• Sustainability: Growing environmental awareness will push retailers to adopt more sustainable practices, both in managing operations and in offering eco-friendly products.
• Technology and Innovation: The use of advanced technologies such as artificial intelligence, augmented reality and blockchain will revolutionize the purchasing experience and supply chain management.

Italian retail is back in the investor spotlight thanks to a combination of economic, cultural and market factors. With an ongoing economic recovery and evolving consumer habits, the sector offers numerous opportunities for growth and investment. For investors, understanding these dynamics and adapting to the changes will be key to capitalizing on the renewed potential of Italian retail.

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For more insights into the Italian retail sector and investment opportunities, contact us at www.edares.it

The Jubilee of 2025 looms on the horizon as an event of historic significance for the Eternal City. Millions of pilgrims and tourists are expected in Rome, creating a unique opportunity for the business sector. Opening a business in the historic center or areas surrounding the Vatican in anticipation of this event may prove to be a strategic and profitable choice.

Why invest in Rome in 2025?

• Unprecedented tourist flow: The Jubilee will bring record numbers of visitors, ensuring a steady flow of potential customers.
• International visibility: Having a business in the heart of Rome means exposing your brand to a global audience.
• Opportunity for growth: Increased tourism can generate more revenue and enable business expansion.
• Increased property value: Commercial properties in strategic areas will see an increase in their value.
• Synergies with other businesses: The presence of numerous other businesses can foster collaborations and create a dynamic environment.

Which activities can benefit most?

• Dining: Restaurants, bars, and eateries offering local products and international menus.
• Retail: Shops selling souvenirs, clothing, accessories and handicrafts.
• Services: Travel agencies, tour guides, bike and car rental, transportation services.
• Accommodation: B&Bs, room rentals and small-scale accommodations.

Challenges and considerations:

• Competition: The market will be highly competitive, especially during peak periods.
• Costs: Rents, licenses and other operating expenses can be high in the historic center.
• Regulations: It is essential to know and comply with local trade and zoning regulations.
• Seasonality: The influx of tourists may be subject to seasonal fluctuations.

Practical advice:

• Strategic planning: Develop a detailed business plan, analyzing the market, the competition and your potential.
• Effective marketing: Invest in a targeted marketing strategy, using online and offline channels to promote your business.
• Quality of products and services: Offer high quality products and services to build customer loyalty.
• Flexibility: Be ready to adapt to market needs and changes in the business environment.

Conclusions

The Jubilee of 2025 represents a unique opportunity for businesses wishing to invest in Rome. However, it is crucial to approach this challenge with careful planning and an effective marketing strategy. With the right preparation, you can reap the benefits of this historic event and consolidate your business in the heart of the Eternal City.

The Jubilee of 2025 represents a unique opportunity for businesses planning to invest in Rome. Not only will the event bring an unprecedented flow of tourists, but the Italian government and local administrations have put in place a series of facilities and incentives to support economic activities and promote the development of the area in view of this important anniversary.

What are the main facilities?

Although specific measures may vary, here are some of the most common facilities that businesses can find:

• Tax credit: Tax credits are provided for investment in capital goods, research and development,personnel training and digitalization.
• Grants: In some cases, businesses can access grants to finance investment projects, especially those related to urban redevelopment or energy efficiency.
• Bureaucratic simplification: Simplified procedures have been introduced for opening new businesses and obtaining necessary permits.
• Support for digitization: Incentives are available for businesses investing in digital technologies and e-commerce.
• Jubilee-specific calls for proposals: Specific calls for proposals are likely to be issued to fund projects related to the event, such as redevelopment of public spaces, tourism promotion, and cultural heritage enhancement.

How to access these benefits?

To access the benefits and incentives is crucial:

• Inform yourself constantly: Measures can change over time, so it is important to consult the websites of the relevant institutions (Lazio Region, Rome Municipality, Revenue Agency) and follow industry news.
• Contact an accountant or employment consultant: An experienced professional can provide individualized advice and help you identify the benefits that best suit your needs.
• Participate in calls for proposals: Grants are often provided through public calls for proposals, so it is crucial to monitor deadlines and submit your application on time.

Why invest in Rome in 2025?

In addition to the benefits, investing in Rome in the run-up to the Jubilee offers numerous advantages:

• Increased property value: Commercial properties in strategic areas will see an increase in their value.
• International visibility: Having a business in the heart of Rome means exposing your brand to a global audience.
• Opportunity for growth: Increased tourism can generate more revenue and enable business expansion.
• Synergies with other businesses: The presence of numerous other businesses can foster collaborations and create a dynamic environment.

Conclusions

The Jubilee of 2025 represents a unique opportunity for businesses wishing to invest in Rome. The facilities and incentives put in place by the government and local governments can make this investment even more beneficial. However, it is essential to plan your project carefully and to constantly inform yourself about new incentives and regulations.