The marriage market - Italy

1.2 A market with future growth prospects

According to Allied Market Research 's report, the size of the global marriage services market has been estimated at $*** billion in **** and $*** billion in ****. It is also expected to reach $*** billionby ****, registering a CAGR of *.* percent from **** to ****, and to maintain its dominance throughout the forecast period.

Global wedding services market World, ****-*****, in billions of dollars Source: ****

Regarding the value of the market in the pre-pandamenia period, there are several estimates. For example, HuffPost estimated the total size of the market at $*** billion in ****, and Fashionunited also estimated the total size of the wedding services market at $*** billion in ****. In ****, the projection is very close; it is estimated at $*** billion(***). So, we can see the strong impact of the pandemic that has collapsed the value of the market to almost half.

1.3 Analysis of the Italian market

Based on Istat data, the number of marriages in Italy always hovered around ***,*** in the pre-Covid period(***). However, the pandemic negatively impacted the sector, dropping the number of marriages to just **,*** in ****. In **** there was a strong recovery, some ***,*** marriages were celebrated

Number of marriages in Italy Italy, ****-****, in thousands Source: ****

Federmep, the federation that brings together businesses and professionals in the wedding industry states that ****, for the wedding industry, saw a drop of about ** percent in turnover compared to the previous year: from ** billion euros in **** to only nearly * billion euros in ****.

There are about **,*** companies involved in the Wedding business and * million workers in the supply chain(***).

An analysis of Istat data shows how civil weddings are becoming increasingly common, as their percentage of total weddings is growing year by year. In particular, in **** there was a huge growth in the percentage of civil marriages(***).

Growth of civil marriages in Italy Italy, ****-****, in % Source: ****

1.4 Covid Impact

the Covid was a blow to the wedding industry. AsIstat reported, **,*** weddingswere celebrated in ****, **,*** fewer than in ****. A reduction of almost ** percent that also affected receptions. On the contrary, very often the inability or difficulties in being able to celebrate with relatives and friends caused the yeses in front of the altar or in the commune to be postponed. In **** there was a strong recovery, about ***,*** marriages were celebrated: compared to **** this is a doubling, although this increase is still not enough to make up for what was lost in the previous year (***).

Contributing to this crisis was the collapse, during the pandemic, of wedding tourism that brought brides and grooms from all over the world to the most beautiful locations in the country: on Lake Como, in Venice, Rome, Tuscany, the Amalfi Coast or Apulia. A tourism that was registering extraordinary numbers: * million *** thousand presences in **** generated by the organization of * . *** weddings of foreigners in Italy, for a turnover of *** million euros(***) In particular, ANSA 's survey shows that in **** this segment of the market unfortunately marked -**.* percent in attendance and an even more significant -**.* percent in turnover compared to the previous year's figures, thus settling at **.* million ...

2.1 Demand analysis

Average age

The average age at which Italians marry has been increasing over the last period. For men it went froman average value of **.* in **** to a value of **.* in **** while for women it went from **.* (***).This trend indicates a change in Italian society, where marriage is postponed to a later stage of life [***].

Average age of grooms and brides at marriage

Italy, ****-****, in units Source: ****

Average expenditure

According to the Wedding White Paper, published by Matrimonio.com in collaboration with Google and ESADE Business School, the average cost of marriage in Italy before the pandemic outbreak was **,*** euros. In detail, the average figures were around **,*** euros in the North, **,*** euros in the Center and **,*** euros in the South (***).

Average wedding cost by geographic area Italy, ****, in euros Source: ****

What do people give up?

According to the Wedding White Paper, if it is necessary to cut some expenses, the first to lose out are the guests(***). It is the 'wedding dress with **.*% that receives the least responses among the expenses on which one might be inclined to save.

What expenses would you save on when planning a wedding? Italy, ****, in % Source: ****

2.2 Demand trends

The graph below represents the proportion of searches for the term "marriage" in Italy in a given time period (***). Thus, a value of ** means that the keyword was used less often in the relevant region, and a value of * means that there is not enough data for this keyword.

Interest in weddings in Italy is cyclical; as can be seen in the graph below, interest increases in the summer months and then decreases in the winter. This follows a logical pattern, as weddings are often associated with outdoor venues. In ****, the spike in interest in wedding research is explained by the royal wedding in the United Kingdom between Prince Harry and Meghan Markle. The cyclical trend of interest on weddings stops in ****; this is likely due to the pandemic as the government banned weddings and as a result people stopped looking for wedding plans. In ****, with the end of the ban on marriages, the search for marriages grew again, returning to its usual cyclical pattern.

Search for marriage interest over time Italy, ****-****, in units Source: ****

This cyclical trend is confirmed by Istat data : in the summer months, the number of marriages made is significantly greater than in the winter ...

2.3 Geographic Distribution

The regiono with the highest number of marriages is clearly Lombardy (***). In general, Northern Italy sees a greater number of marriages: ** percent of marriages take place in the North.

2.4 The related areas

First and foremost, location and catering. Most respondents say they spent between *** -*** euros per guest on catering. If we calculate that, the average number of guests at a wedding in Italy is ***, the total amount of catering would be around **,*** euros.

In second place, the 'wedding dress. The vast majority of brides and grooms say they spent between *.* and * thousand euros on the dress, with the average price being around *,*** euros.

Third, the photographer is one of the most requested services by couples, because for the bride and groom it is vital to capture, in a professional manner, the big day. For this reason, couples prefer not to take risks and as many as **% rely on a professional photographer. For this service, newlyweds spend between *** and * thousand euros, for an average expenditure of *,*** euros.

Where do newlyweds spend the most? Italy, ****, in euros

3.1 Market structure

According to the Marriage White Paper, companies in the industry attrevarsano a good time: about half of the companies equips a growth phase (***) and **% are stable. Only the remaining **% attrevars a decreasing phase.

Turnover trends of companies operating in the sector Italy, ****, in % Source: ****

Seventy percent of those operating in the wedding industry are small and medium-sized businesses, often organized exclusively to meet regional demands. They are operators who like direct contact with the customer by offering attentive and quality service. For the promotion of their activities they prefer fairs and local magazines, thematic sites, promotions and discounts . They rarely have an updated and complete data base and even more rarely use in-house professional figures to design performing advertising campaigns. (***) .

The most considerable growth has been recorded in wedding planning companies, which now total about *,*** businesses, for a growth of *.* percent. In contrast, however, the figure of the wedding planner is unfortunately still perceived by Italian brides as a cost item they can do without: only * percent of couples rely on a wedding planner. The wedding planner is the professional who accompanies the couple from start to finish in the realization of the wedding, helping the couple manage budget, time, choices ...

3.2 The main actors

In addition to the wedding planners we have already mentioned in the previous paragraph, the main players in the wedding market are wedding dress manufacturers and event catering companies.

Manufacturers of wedding dresses

As far as wedding dresses are concerned, the main manufacturers are ateliers, workshops that offer dress design and tailoring services. The products sold are partly the result of the tailoring skills of the workshops, and partly made by national and international designers. On the basis of ISTAT data, a broader analysis can be made of the distribution of the made-to-measure clothing sector (***), of which wedding dresses/clothing is one category. when analyzing the turnover and production value of this sector, it shows how they have remained constant over the years: in the period of ****-**** there was an increase in turnover of only *** million euros and an increase in production value of only *** million euros.

[***] Turnover and value of production enterprises in the tailoring and made-to-measure clothing sector Italy, **** - ****, in billion euros Source: ****

As can be seen from the graphs below, both the number of enterprises and the number of employed in the made-to-measure clothing sector have grown over the years, with a slight decline in ...

3.3 Wedding tourism

Wedding tourism is the name used to define all those weddings in which the bride and groom choose to organize the wedding in a country other than their own, consequently also moving all the guests and turning them into a real vacation. In ****, Tuscany recorded the highest market share of the wedding tourism sector in Italy(***).

Market share of wedding tourism, by region Italy, ****, in % Source: ****

4.1 Product analysis

Weddings include many services and goods to consider, such as the venue, catering, clothing (***), and indirect services that are purchased in connection with the wedding, such as honeymoons.

Location

Below is an overview of the most popular wedding venues on offer in Italy.

What are the preferred reception locations in Italy? Italy, ****, in % Source: ****

In addition, most brides and grooms rely on the more' flexible formula "location + catering"(***).

Wedding Dresses

In the chart below, we highlight the most common wedding dresses in Italy. As we can see from the chart below, **% of brides rely on a specialist as they do not want to take risks. only *% rely on non-specialized signatures or family seamstresses. The average cost for a specialized signature is ****€ while for the family seamstress is ***€.

Which type of wedding dress is most popular? Italy, ****, in % Source: ****

4.2 Price analysis

Source: ****

4.3 Price trends

Most companies keep prices stable (***). Most companies also do not feel compelled to lower their prices to avoid losing customers: only *% feel compelled to do so often.

Price trends for companies in the wedding industry Italy, ****, in %

5.1 Regulatory Context

Administrative aspects

First, it is believed that the owner of the leased property does not have to apply for any administrative authorization, in order to Law ***/****, as long as he or she is not engaged in the business of serving food.

Therefore, in the event that the activity is limited to only the rental of space without the provision of any service, it is believed that the owner must fulfill, exclusively, the tax obligations for the issuance of the receipt or eventual invoice for the rental of the property.

Obviously, if a catering service is carried out, i.e., administration at the consumer's domicile (***), the company providing the service, will have to be in possession of the authorization issued by the municipality where the company is based for the activity of administering food and beverages at the consumer's domicile pursuant to Art. *, paragraph * of Law ***/****.

Wedding Dresses

it is necessary to introduce and understand the law governing the labeling process of textile products. The labeling and presentation of textile products is regulated by EU Regulation No. ****/****. Specifically, the term "textile products" refers to all products that, in their raw, semi-finished, finished or made-up state, are composed exclusively of textile fibers, whatever ...

5.2 Wedding bonus

The wedding bonus is a non-refundable grant aimed at businesses in the wedding, entertainment, party and ceremony planning and Horeca (***) sectors. The beneficiaries are companies that suffered a ** percent reduction in turnover in **** compared to **** due to restrictions caused by the pandemic.

The facility was introduced by the Support Bis Conversion Law(***), which made available an allocation of ** million euros for the measure.

specifically, the resources are divided as follows:

** million euros to businesses in the Horeca sector ** millioneuros to businesses in the entertainment, parties, ceremonies and miscellaneous wedding sector ** million euros to the wedding sector.

6.1 Segmentation

• LORETTA ITALIA S.R.L.
• Max Mara Fashion Group
• LE TROI CHEF S.R.L.
• ENZO MICCIO S.R.L.
• Anna Frascisco S.R.L