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How a feasibility study can create incremental profits for your hotel or resort


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In today’s evolving hospitality environment, hotel leaders must navigate increasing competition, rising operating costs, and ever-changing guest expectations. A feasibility study, when approached strategically, becomes far more than an early-stage document it becomes a blueprint for profitability.

Taking inspiration from Mocinno Hospitality Group’s philosophy, where deep market intelligence, concept development, and future-oriented strategy drive all project hotel owners gain a powerful lens for controlling cost and improving revenue. But when this approach is combined with the discipline of Six Sigma methodology, the outcome becomes even more compelling: a feasibility study capable of generating measurable, incremental profits through precision, efficiency, and data driven design.


Does a feasibility belong to new projects or developments only?

Absolutely not, a feasibility study is just as valuable for an existing hotel or hospitality asset as it is for a new development. In fact, many of the highest impact feasibility studies are done for operating properties because they reveal improvements and revenue opportunities that ownership may not see from the inside. By measuring our Mocinno client’s success over years 2022-2024 we measured that 78% of the incremental profits came out of revenue generating projects (as opposed to costs), like revenue management, change of concept or use of different technologies.

 

 

Why Six Sigma belongs in hotel feasibility studies

Six Sigma, commonly known through DMAIC (Define, Measure, Analyze, Improve, Control), is designed to eliminate waste, reduce variation, and optimize performance. In hospitality, where margins are thin and operations are complex, this methodology provides the clarity and structure needed to make profitable decisions.

When integrated into the feasibility process, Six Sigma strengthens decision making:  Examples:

- Defining the true goals of a development or renovation

- Measuring market demand, cost structures, and guest expectations (market segmentation)

- Analyzing revenue scenarios and operational inefficiencies

- Improving concept direction, amenity design, and investment priorities

- Controlling long-term performance through measurable frameworks

 

Aligning concept or offering 

Mocinno excels at aligning hotel concepts and brands with emerging market demand. When Six Sigma is layered into this process, demand analysis becomes even more targeted and objective.

Through the Measure and Analyze phases, a feasibility study evaluates:

- Business vs. leisure segmentation

- ADR sensitivity and rate ceilings

- Weekend vs. weekday demand patterns

- Niche segments such as wellness, experiential travel, or remote work

- Revenue per square metre across various amenity spaces

 

The expanding value of wellness in feasibility studies

The rise of wellness travel has fundamentally reshaped how hotels generate revenue, and a feasibility study must now evaluate wellness or wellbeing as a core profit driver, not an optional amenity. Inspired by Mocinno’s deep experience in spa-hotel development and wellness concept creation, feasibility analysis can quantify the true market potential of offerings such as thermal circuits, spa suites, vitality pools, nature-based therapies, and integrated fitness programming.

 

Improving ROI on amenities and expansion, driven by data

Inspired by Mocinno’s investment modelling and concept expertise, Six Sigma provides the analytical discipline needed to validate expansion opportunities.

A Six Sigma enhanced feasibility study can uncover inefficiencies in workflows, guest friction points, procurement waste, and operational bottlenecks or simply defining the segment paying the highest price for the optimal value all of which can significantly impact profitability.

 

Mitigating risk and maximizing returns in new property development

For new hotel or mixed use developments, like resort & residences, a feasibility study provides the strategic foundation on which the entire project is built. Six Sigma enhances this by enabling developers to Define, Measure, Analyze, and Improve project and design decisions.


Securing investor confidence through evidence, not assumptions

A feasibility study shaped by Mocinno’s strategic insight and Six Sigma’s discipline builds investor trust, reduces risk, and improves project approval rates.

Mocinno currently has mandates on feasibility development projects in Portugal, Italy and Greece. Government and Tourism grants and subsidies are large in these countries.

 

About Mocinno

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, investments or visit www.mocinno.com.

 

 

 

 
 
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