NEW DELHI : Indian hotel companies booked record profits in the just concluded financial year riding the long tail of revenge tourism. But this summer’s delivered a reality check. Large hotel chains including Hyatt, Marriott and Taj face a double whammy this year as they navigate a scorching summer as well as seasonal lulls amid the ongoing Lok Sabha election.
Demand at domestic hotels typically wanes during summers as Indians opt to vacation with their families—with most schools and colleges on their annual holidays—at cooler international destinations instead. Besides, travellers have been complaining about a surge in domestic hotel rates, in some cases by 25-50% in recent years. It’s not uncommon for hotel chains to announce summer offers.
But the ongoing season presents an additional disadvantage apart from the creeping weariness of domestic travel—a lack of high-profile international events such as the G20 or the cricket World Cup. “This summer and autumn will be challenging," said Rattan Keswani, veteran hotelier and author of ‘Check-In, Never Check Out’. “Outbound travel has started in real earnest and as a result internal travel is shifting towards outbound as it was in the past, prior to Covid," said Keswani, who has previously held senior positions at both domestic and international hotel chains, including Lemon Tree Hotels and Oberoi Hotels and Resorts.
Besides, “hotels in visa-free countries are sometimes available at lesser cost. So more needs to be done to protect the share of domestic leisure business," he said. Large hotel chains including ITC, Oberoi, Radisson, Lemon Tree, and Sarovar have now slashed their prices by 15-50% for the summer and beyond, offering steep discount packages for stays between
. Read more on livemint.com