Overview
The leisure and hospitality sector focuses on creating a carefully crafted community experience that depends on creativity, quality of service, and perpetual flexibility. From global resort chains and fine-dining restaurants to casinos and education service providers, the sector has undergone extensive evolution and growth due to technological adoption, changing behaviors of customers, and sustainability conversations.
Capital Expert Services provides economic analysis, valuation, and advisory services to hospitality groups and also to investors, operators, and counsel in the leisure and hospitality industry. We assist clients in managing uncertainty and improving value chain performance, decision-making, and value management. Capital Expert Services equips customers with the ability to integrate strategy and capital with the customer journey, leading to growth and profitability in increasingly aggressive marketplaces.
Challenges in the Hospitality and Leisure Sector
Economic Volatility and Changing Consumer Spending
Changes in disposable income, inflation, and travel patterns can impact occupancy levels and, therefore, impact operating margins, necessitating flexible and responsive pricing, as well as changes to capital allocation.
Regulation and Licensing
Casinos, resorts, and food and beverage management companies are inherently part of a web of regulations, including time- and site-specific regulations. Operating in compliance with these laws is necessary to maintain the brand image and its sense of legal integrity.
Digital transformation and experience innovations
The emergence of extensive digitally connected booking, an advancement in personalized social experiences, and robust guest experience analytics related to hospitality demand significant planning and investment in technology, data infrastructure, and a workforce to retain competitive advantage.
Sustainability and ESG expectations
The concept of sustainability has shifted focus from consumer-driven practices like energy efficiency and waste reduction to broader systemic and operational frameworks. Operators now need to respond and adapt to ESG compliance frameworks that institute and measure social impact and environmental sustainability in industry processes.
Segments of the Leisure and Hospitality Sector
Resorts
Resorts fall at the intersection of hospitality, real estate, and experiential commercial business, often existing across multiple jurisdictions. Capital Expert Services supports the business of resorts with:
- Conducting feasibility studies and project modeling for resort development and expansions.
- Valuing intangible and tangible assets, including brand value and management agreements/advisory agreements.
- Advisory related to the deployment of ESG, sustainability certification, and stakeholder alignment.
Casinos
Casinos and integrated gaming and entertainment resorts require an ongoing level of regulatory, operational, and financial oversight in a complex operational environment. Capital Expert Services supports clients by:
- Conducting economic and financial modeling for gaming operations and capital investments.
- Performing valuation of gaming licenses, intangible assets, and development projects.
- Advising on regulatory compliance, risk mitigation, and ESG implementation in responsible gaming.
- Providing dispute advisory and expert witness services in commercial and contractual matters.
Restaurants
The restaurant sector is an interdisciplinary collaboration built around culinary invention, brand development, and productive operations. Capital Expert Services supports food and beverage businesses through:
- Economic and market analysis for the purpose of pricing, expansion, or franchising.
- Valuing restaurant groups, licensing rights, and the intangible components of a brand.
- Consulting on supply chain management, cost analysis, or assessing consumer demand for a product.
- Litigation and expert witness support in relation to agreements, partnerships, or brand rights.
Education Services
Skills and workforce development are critical for the education services sector within the hospitality workforce. Institutions and corporate academies alike are broadening educational learning technologies and integrating global standards. Capital Expert Services carries out:
- Economic modeling and feasibility studies to design and expand education programs.
- Financial and impact analysis of public-private partnerships for vocational and higher education.
- Advisory on the digital learning transformation, ROI measurement, and sustainability for educational delivery.
- Expert valuation and consulting support for dispute resolution or rationalization for strategic restructuring.
Conclusion
Corporations within the leisure and hospitality industry must be nimble and think strategically while operating in a complex global environment to sustain a competitive advantage. Capital Expert Services works with its clients to reposition volatility into opportunities.
Contact us to learn how we use our economic expertise to help guide our clients’ next growth phase for casinos, resorts, restaurants, and education services.