AA+G Hospitality launches in A Perfect Storm
AA+G Hospitality launches offices in London and Milan to provide the expertise to forge unforgettable experiences for guests, while maintaining the perfect operational platform, the financial balance and desired profitability for the hotelier and the investors.
Significant growth over several years had resulted in hotels, traditionally considered as an alternative asset, becoming attractive to institutional investors. In 2020, with hotels struggling to navigate a global pandemic, the financial impact on hotel assets has been direct and for those investors willing to look beyond the short-run impacts of the current crisis, there are remarkable opportunities globally for the acquisition of distressed assets. AA+G’s expertise across key territories including UK, Italy, UAE and Asia will prove critical to investors.
Gianluca Giglio, finance & operations director explains the reason to launch AA+G at this time, ‘when skillfully acquired and actively managed, investments in hotels will generate attractive yields and capital growth. With a combined expertise of more than 75 years in the hospitality sector, my team will deliver operational strategies that combine scale with agility, deploying resources focused on achieving the hotel owners’ short- and longer-term investment goals’.
AA+G will oversee the asset management of hotels, from due diligence to financial accounting, sales and marketing, IT and Human Resources, including managing relationships with the Unions. Initial KPIs will be agreed including operational targets and budgets. Driving efficiencies, eliminating waste and delivering on guest expectations across the entire operation, will drive revenues and achieve optimum results for the investor. New revenue channels will be generated from emerging markets to effectively rebalance the hotel market mix, improving RevPAR and GOP.
Mark Allvey, commercial director recognizes that ‘border controls and government guidelines will determine the short, medium and long-term return on investing sales and marketing budgets in each market’. Allvey adds ‘there is incredible opportunity in the UK over the coming 6 months which will in turn extend to Europe, and beyond, as confidence grows in international travel’.
Jayne Alexander, communications director, formerly of Virgin Management and MD of communications agency Dovetail, explains the reason for brand exposure being critical to re-positioning, ‘re-launching a hotel following investment and subsequently elevating the hotel to capture an entirely new target audience with the aim of increasing the average room rate requires an intelligent communications and partnerships plan’ , Alexander adds ‘a sustainable and philanthropic message is powerful when establishing a new hotel brand’.
Giglio is currently finalizing contracts with a mix of investors and owners, ‘our clients include VC’s that wish to develop and launch a hotel, financial institutions that require an expert management team as well as independent hotel owners needing to regain their market position’.
For further information, visit www.aaghospitality.com
Notes to Editor
Profiles of Senior Management Team
Finance & Operations Director
Gianluca is a senior executive in the hotel industry with over thirty years of experience both nationally and internationally gained at the helm of medium-sized independent hotel groups, including Ragosta Hotels, NERO Hotels, Niquesa Hotels & Resorts, LHP Hotels & Residences. In his career, Gianluca has supported various companies in launching new brands, large-scale reorganisation, product positioning, change management and the buying/selling of a hotel group. He is recognised as one of the most respected industry leaders in Italy and Europe.
Alexander launched The Dovetail Agency in 1997 following 10 years in the hospitality industry working with IHG and managing several launches and mergers during her time with Virgin Management working directly with Richard Branson. Highly respected as an advisor and expert in developing business strategies for clients operating in the luxury lifestyle sector, Alexander is renowned by clients and media alike as being a true professional and perfectionist with an innate understanding of the commercials and communications required to grow a business.
Working in senior roles across several of the most respected hospitality brands in the world, Allvey has developed and delivered impactful marketing strategies in Asia, North America and Europe for hotels, resorts and private estates with turnovers ranging from £10m to £500m. Allvey has extensive experience in hospitality, leisure and retail holding VP Sales and Marketing roles on a regional as well as global level with brands including One & Only, Oberoi and Pan Pacific Hotels.