The Swiss Alps have always been a popular tourist destination, with demand for reservations at ski resorts, restaurants, and other hospitality-oriented businesses in the mountains seeing a sharp increase in recent seasons.
This is great news for industry hospitality professionals who are looking to invest in a related business, as putting money into the thriving ski resort facility arena is a bright investment plan to consider right now.
The increased interest from travelers, combined with the fact that online hospitality related companies like VRBO, Airbnb, and easyJet make the Swiss Alps easier than ever to visit no matter where you are in the world, means a booming business in the future for those in the hospitality industry, as people cannot wait to explore this exciting destination.
Now is the perfect time to invest in Swiss ski resorts and also non-ski-oriented businesses within the domains. Interest is high and the opportunities for success are endless. Here are some key ski industry trends that indicate that investing in the hospitality industry in Switzerland is a bright way to spend your money.
Mimicking ski industry trends in the US, Swiss ski resorts are using key marketing techniques to attract visitors to the various resorts. Many properties are coming together to offer package deals that enable guests to easily access the multiple resorts during their vacation stay. For example, the “Magic Pass” offers skiers a seasonal pass that allows them to visit 30 resorts including Villars, Crans-Montana and Grimentz.
Clever marketing, creative vacation packages and a branded new launch of your ski resort-oriented business will help you reach more potential guests and make your investment a successful one.
Infrastructural investments at Swiss ski resorts including features like new ski trails and high-tech lifts not only improve the experience at local resorts, these smart investments actually go further. The improvements to the infrastructure have a major impact on the area, which ultimately result in rising property values. Here are some smart ways to see an increase in guest visits as well property prices.
Since the pandemic, the number of people who work from home has more than quadrupled, and this trend is expected to continue as the norm for many years to come. The good news for the hospitality industry is that as long as there is a good internet connection, working from home can be done from almost anywhere – even a plush ski resort in Switzerland.
Not only does the option of working from a Swiss ski resort have major appeal to many, but it also allows guests to arrange for longer stays, which increases revenue over the typical weekend getaways.
This new and more flexible working from home situation has also provided people with an opportunity to move away from the crowds in the city to a less populated area in the mountains away from it all. Both Swiss residents as well as those from abroad have been relocating to the mountains and working from 'home'. They are now living in beautiful resorts and ski communities that are expanding their amenities, planning more social events, and offering an active sporting calendar to attract more residents and increase revenue in their resorts in the Swiss Alps.
In fact, ski industry trends have shown an increase across all ski markets over the past six months where second homes in popular mountain ski areas have been reclassified as semi-permanent homes. This, of course, brings higher expectations of accommodation. The space that is being used as their new work from home office must have all of the comforts of the guest’s full-time residence, as well as the perks of their former office or work space. This means faster broadband, a conference room, smart technology, gathering space, entertainment and easy access to food and beverage.
This new increase in demand for long-term work from home opportunities in popular ski resorts, where you can actually hit the slopes once your afternoon Zoom meeting is completed, has really given hospitality investors a myriad of opportunities to explore and at amazing return rates.
The ski resort industry in Switzerland is working hard to upgrade, expand, and develop the ski and non-ski infrastructure needed for a thriving industry as well as other non-ski-oriented entertainment and accommodation options for guests.
With an influx of private investors as well as people wanting to spend more time in the mountains, this investment in upgrades and expansions is critical to meet the new demands of the area. Resources like new ski lifts and snow-making equipment, new residential developments, resorts, hotels, and entertainment opportunities to attract tourists is the key. These upgrades will not only attract guests but will help escalate property values and help the resort areas thrive.
Investors can enjoy the privacy and security of investing in the safe haven of the Swiss franc while also having the opportunity to obtain a ski resort property that can potentially offer a gross yield of around 2.5%. This, combined with the fact that there are substantial shifts in buying power for overseas buyers due to currency movement, means that this is a smart financial decision as well.
The pandemic has started a new push for living a healthier lifestyle, including getting more exercise and reducing stress. In addition, it has spurred a productive new work-from-home environment that is so successful, it is here to stay. Ski industry trends indicate that more people are migrating to the relaxing ski resort communities tucked away in the mountains. Private investors would be smart to take advantage of this opportunity to expand and upgrade the infrastructures needed to meet the new demand of guests and make a substantial profit.