News: Hotels tap Indian tourist boom, ARRs up 35%
(TNN 31/08/2006) New Delhi - With India top on agenda of globe-trotting CEOs, managers, deal makers and sundry other tourists, it’s the hotels which are seeing an unusually busy rush through the year.
But they aren’t complaining. The average room rates (ARR) witnessed almost 35% jump and hotels saw higher than usual room occupancy during April-August, traditionally thought to be the lean season for the hospitality industry.
And the post-August period, the busy season, is likely to be better than any in the past. With tourists pouring in and a growing demand for rooms, ARRs may go up by around 15% in the coming busy season.
Hospitality experts believe that the Indian hotel industry will witness higher than usual growth in the coming peak season. According to the Ernst & Young estimates, premium hotels in top commercial cities reported an increase of over 35% while the resort cities of around 25% in their ARRs in the first quarter of ’06 over the corresponding period last year.
The good times for the Indian hospitality industry are here to stay, with top end hotels experiencing high room occupancy rates even in the lean season. “The lean season has been exceptionally good for us. Our room occupancy rate has been around 89% and we are looking at over 95% occupancy for the period September to December,” says Mr Kapil Chopra, general manager, Trident Hilton, Gurgaon.
Five star hotels across metros are looking at high ARRs this peak season. “We will be increasing our ARR by 12% to 15% in the peak season, this year as compared to the corresponding period last year, across all the properties (Bangalore, Mumbai, Goa and Kerala).
The increase in the number of inbound arrivals has added to the growth,” a spokesperson of The Leela Palaces and Resorts told ET.
The number of international tourist arrivals increases post August giving a boost to the tourism industry. There was an increase of 15% in the number of international tourist arrivals in India and 14% in the forex earnings in the first quarter of ’06 as compared to the same period last year.
But they aren’t complaining. The average room rates (ARR) witnessed almost 35% jump and hotels saw higher than usual room occupancy during April-August, traditionally thought to be the lean season for the hospitality industry.
And the post-August period, the busy season, is likely to be better than any in the past. With tourists pouring in and a growing demand for rooms, ARRs may go up by around 15% in the coming busy season.
Hospitality experts believe that the Indian hotel industry will witness higher than usual growth in the coming peak season. According to the Ernst & Young estimates, premium hotels in top commercial cities reported an increase of over 35% while the resort cities of around 25% in their ARRs in the first quarter of ’06 over the corresponding period last year.
The good times for the Indian hospitality industry are here to stay, with top end hotels experiencing high room occupancy rates even in the lean season. “The lean season has been exceptionally good for us. Our room occupancy rate has been around 89% and we are looking at over 95% occupancy for the period September to December,” says Mr Kapil Chopra, general manager, Trident Hilton, Gurgaon.
Five star hotels across metros are looking at high ARRs this peak season. “We will be increasing our ARR by 12% to 15% in the peak season, this year as compared to the corresponding period last year, across all the properties (Bangalore, Mumbai, Goa and Kerala).
The increase in the number of inbound arrivals has added to the growth,” a spokesperson of The Leela Palaces and Resorts told ET.
The number of international tourist arrivals increases post August giving a boost to the tourism industry. There was an increase of 15% in the number of international tourist arrivals in India and 14% in the forex earnings in the first quarter of ’06 as compared to the same period last year.
posted by InCar Group Press Room at 21:00
0 Comments:
Post a Comment
<< Home