Category Archives: Hotels

In an exclusive interview to Tourism Breaking News, JB Singh, President & CEO, says, “We are currently up to 19 hotels and we have exhibited strong growth. We have a committed pipeline of 5-6 hotels. In another 3 years, we will cross 4000 rooms. We continue to look at Tier-1 markets very aggressively. We have also started to look at strong Tier-2 markets as well.”

According to a report titled ‘Hospitality insights from the Indian CEO’s desk’ by CII and PwC, the biggest driver in the growth of domestic travel in India is high disposable income. With the buoyant growth in the Indian economy, the Indian middle class has higher disposable income. This has been identified, by about 94 per cent of the respondents as a key factor for the increased domestic travel across the country. Over 40 per cent of the respondents believed that the increased demand would come from new locations largely due to better access and improved infrastructure. Therefore, a significant supply is being developed and likely to develop at such locations. Higher disposable income is driving domestic tourism. In terms of promotion, all the options available today can be seen online and it is very convenient for customers to access the available options. This has made a huge difference to the industry. Growth in the domestic travel has also accentuated the demand for different categories of hotels. Affordability and quality of experience are key factors in defining this shift away from five star to more budget category hotels. Although travellers value loyalty programmes and promotional schemes, the survey participants do not see it as a key determinant in selecting their accommodation. Other factors that are contributing to the growth in domestic tourism include access to online travel and hotel bookings.

Hans Hotels is looking at opening new properties in Rajasthan and Goa. Rita Shah, CEO, Hans Hotels, said, “We are currently in the planning stages and want to expand the company further. We are deciding on the destinations and are looking at Rajasthan and Goa for opening new properties. Things need to coordinate and combine with the hotel company profile. Currently, our three hotels are running and doing well, and that’s why we are looking to go further. The new properties will be either build by us or will be acquired. The company believes in owning their own properties and running it, and not go for management contracts.”

Trulyy India Hotels & Resorts has announced the opening of- The Maharana Bagh in Udaipur. This luxurious resort hotel set in the lap of mountains of Aravalli range to provide a perfect retreat and holiday experience to those who are seeking for some retreat from city life. Ideally located a few kilometers away from the hustle-bustle of the main city of Udaipur, The Maharana Bagh comes across as a gorgeous looking property inside out. While there is abundance of nature all around, the hotel houses comprehensive range of amenities, regal hospitality and a highly pampering stay that will make you want to come back again.

Located in the heart of the city, Mövenpick Hotel Colombo has been in operation for two years. It’s also the first international five-star property to open in the city in 25 years, a milestone that reflects the country’s new-found energy and optimism. With 219 stunning rooms and suites offering panoramic views of the city or Indian ocean, this cool urban hotel offers unparalleled charm and beautiful spaces. The rooms are spacious, ranging from 33 sqm to a whopping 254 sqm. Furnished in contemporary style, the rooms allow guests to rejuvenate and unwind. All guests enjoy complimentary access to the infinity pool and Jacuzzi located on the roof top to soak up the sunshine or just laze around with a good book and watch the sun go down. The Presidential Suite of the Mövenpick Hotel Colombo is one of a kind with two elegant bedrooms, 1 King and 1 Twin, a comfortable living room, large bathroom with a Jacuzzi and a fully equipped pantry. The large 254 sqm offer the perfect space for up to 4 adults.

As a part of the expansion of its luxury portfolio, Accor will open its second Fairmont hotel in India. Though the timeline has not been disclosed by the group, the hotel is said to be under construction. The property will have 646 luxury rooms. Earlier this year, Accor has also announced the entrant of its new luxury brand- Raffles in the Indian market which will make its debut in 2020 in Udaipur. India’s first Fairmont in Jaipur is an ode to the pink city through awe inspiring architecture and decor, inspired by the Mughal dynasty and Royal Rajputs of yore.

According to a report titled ‘Demystifying the Indian Online Traveller’ commissioned by BCG and Google, the Indian hospitality space is expected to accelerate to $13bn worth of gross bookings in 2020, $10bn of which constitutes hotel bookings and the remaining is constituted by bookings of short-term rentals and other lodgings. Players in these alternate spaces have the potential to innovate as travellers, both domestic and foreign, become more open to alternate stay options. In 2020, budget and luxury hotels are expected to be areas of growth. The former is expected to grow at 13.5 per cent driven by the growth of the Aspirers segment on the demand front and the consolidation, standardisation and branding of currently upbranded properties through aggregator-based start-ups on the supply front. Mid-scale hotels or the two-and three-star properties will continue to maintain their dominance.

Discover the World has announced that it now represents Deutsche Hospitality in India alongside the other countries of France, United Kingdom, Ireland, United States and Russia. Deutsche Hospitality’s Vice President of Group Sales, Daniela Lindner said, “We have great experience with Discover the World representing us in other countries.  We wanted a trusted partner to enable us to expand our corporate and MICE opportunities.” “We are pleased Deutsche Hospitality has put their trust in us once again and this time in India,” said Ian Murray, Discover the World’s Executive Vice President.  “With us being so familiar with all of the hotel brands under the operation of Deutsche Hospitality, it will make it very easy to set up and begin selling and marketing their five well-known hotel brands—Steigenberger Hotels & Resorts, MAXX by Steigenberger, Jaz in the City and IntercityHotel and Zleep Hotels—in India.”

Despite registering a decline in occupancy rates, two-star hotels witnessed maximum growth in average room rates (ARR) and increased by about 8.5 per cent y-o-y during FY18, according to a report by Hotelivate. This was followed by three-star hotels that registered a growth of about 5% y-o-y in FY18. 4 star and 5 star D hotels recorded a growth of 3 per cent y-o-y each in average room rates. Five-star hotels, however, registered the lowest growth about 1.8 per cent y-o-y in the group during the year. This may be attributed to the gradual escalation of commercial activity in Tier II and Tier III cities as well as increased domestic travel.

Revenues from business travellers will grow significantly over the next few years, according to a CII-PwC report. Although MiCE has not been a significant contributor to the Indian hospitality sector so far, this trend is likely to change with better planning as well as improved infrastructure. On the other hand, few CEOs believe that leisure travel will keep pace with growth seen in business travel and MiCE. A large section of leisure travellers continue to perceive hotels as a luxury.