The German term is Beletage (meaning "beautiful storey", from the French bel étage).
The reasons were so that the rooms above the ground floor would have finer views and to avoid the dampness and odours of the street level.
That is especially true in Venice, where the piano nobile of the many palazzi is especially obvious from the exterior by virtue of its larger windows and balconies and open loggias.
Kedleston Hall is an example of this in England, as is Villa Capra "La Rotonda" in Italy.
In Italy, especially in Venetian palazzi, the floor above the piano nobile is sometimes referred to as the "secondo piano nobile" (second principal floor), especially if the loggias and balconies reflect those below on a slightly smaller scale.