Indian Hospitality Industry Market Expected to Grow 13% CACR in 2018-2023 –


DUBLIN – (COMMERCIAL THREAD) – The report “Hotel industry in India (2018-2023)” has been added to offer.

The hospitality industry in India is expected to reach a value of INR 1,210.87 billion by the end of 2023, with a compound annual growth rate (CAGR) of around 13% during the period 2018-2023 , due to the high rate of arrival of foreigners. tourists and business delegates.

The Indian hotel industry, the spearhead of the hotel market, has become one of the main driving sectors of the country’s economic growth. In India, hotels are categorized according to their location (city hotels, airport motels, resorts, etc.), level of service (high-end, mid-range and economy) and themes (hotels- boutiques, heritage hotels, etc.).

Market Snapshot:

The occupancy rate (percentage of days for which rooms are reserved in a given period) of major hotels in India increased at a rate of approximately 65% ​​between fiscal 2017 and fiscal 2018, in due to increased demand from business and leisure travelers, and a slowdown in the addition of new hotel rooms across the country.

Overview of market segments:

Kerala is expected to be the country’s main hotel service provider, with a total of 440 licensed hotels. Maharashtra, Gujarat, Rajasthan, and Tamil Nadu are the other states that make up the top five list for hospitality services.

In terms of revenue sources for hotels, rooms have so far had the largest share. In fiscal 2017, on average, around 53.6% of total Indian hotel revenue came from rooms, followed by food and beverage and banqueting services. The demand for hotel rooms is high across the country, due to the increase in business and leisure travel.

Market trends:

  • Hotel owners are adopting the latest social media marketing practices, which are proven to be effective in driving exposure and higher bookings.

  • Hotel reservation apps are increasingly used by consumers because they are easy to handle and provide users with the most suitable options according to their needs.

Main market growth drivers:

  • In the year 2017, the total number of foreign tourist arrivals to India stood at 10.04 million and reached 6.75 million in January-August 2018, registering an annual growth rate of 7.5 %. The increase in the number of foreign tourists and international business travelers looking for business opportunities in the country is boosting the growth of the hotel industry in India.

  • The Indian government has allowed 100% foreign direct investment (FDI) in tourism construction projects, development of hotels, resorts and leisure facilities. This will act as a driving force for the development of new hotels across the country.

Main obstacles to market growth:

The implementation of the Goods and Services Tax (GST) has helped hotel industry customers reduce their expenses, harmonize taxes and reduce business transaction costs. However, this has turned out to be a disadvantage for hotel owners as the final cost borne by end users has decreased, thus reducing their profit margins.

Main topics covered:

Chapter 1: Executive summary

Chapter 2: Socio-economic indicators

Chapter 3: Presentation

3.1. Indian hotel industry – definition and structure

3.2. Hospitality industry distribution channels

3.3. Operating models of the hospitality industry

Chapter 4: The Hospitality Industry in India

4.1. Market Snapshot

4.2. Hospitality market size and growth forecast – in terms of value (2015-2023e)

4.2.1. Major hotel brands in India based on room inventory (2018)

  • Marriott International

  • The Indian Hotels Company Limited (including the Ginger brand)

  • Radisson Hotel Group

  • Others

4.2.2. GST rate for hotels based on room rate

Chapter 5: Segmentation of India Hospitality Industry

5.1. Occupancy rate and average rent of hotel rooms (fiscal year 2014-fiscal year 2017)

5.2. Hotel segmentation by state in India – based on number of hotels approved (2018)

5.3. Contribution to total turnover – hotel industry

5.3.1. Source of income from various segments (FY 2013-FY 2017)

  • Rooms

  • Food and drinks and banquets

  • Others

5.3.2. Expenditure by department (fiscal year 2013-fiscal year 2017)

  • Rooms

  • Food and drink

  • Others

Chapter 6: Key Market Trends

Chapter 7: Main Market Growth Drivers

Chapter 8: Major Constraints to Market Growth

Chapter 9: Competitive Landscape

9.1. Bharat Hotels Limited (Le Lalit)

  • Company Information

  • activity Descrition

  • Products and services

  • Key people

  • Financial overview (total income, net income)

  • Key ratios

  • Sectors of activity, geographic sectors

9.2. Hyatt Hotels & Resorts

9.3. ITC Hotels

9.4. Lemon Tree Hotels Limited

9.5. Marriott Hotels India Private Limited

9.6. Mayfair Hotels and Resorts Limited

9.7. The Indian Hotels Company Limited

9.8. La Leela

9.9. The Oberoi group

9.10. Park hotels

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