I know some people who use it as a first name and others who use it as a last name. There is also a place in Italy called Castell'Alfero which I understand to mean "The castle of Alfero".
It is a variant form of Alfiero, a name of Germanic origin deriving from athala, "nobility", and faraz, "who guides"; so, all in all, something like “noble guide”. See https://it.wikipedia.org/wiki/Alfiero
I'd like to suggest "Alfiere" as a possible derivation for such name. As of the above claim of Germanic origin, according to "Wiktionary" (source: http://it.wiktionary.org/wiki/alfiere), the word comes from the Spanish alférez, which in turns comes from the Arabic al-faris (knight).