The Indian hospitality industry is growing exponentially and has shown double digit growth of 10-15% despite a slump in the world economy. This makes India one of the attractive destinations for Holidaying revelers.
According to a research by World Travel and Tourism Council, India, ranks 18th in business travel, and experts forecast it will be among the top 5 in the next few years. In 2011, the Indian tourism industry has seen 8.9 % growth in Foreign Tourist Arrival and this number is expected to grow at a much faster pace in coming years.
Small cities and towns are metamorphosing into mini metropolis and growth opportunities coupled with increasing domestic travel are bolstering the hospitality industry, finds a survey conducted jointly by industry body CII and consultancy firm PwC.
What’s spurring growth in the hospitality sector?
Industry experts attribute this high growth in the hospitality industry to factors such as emerging high disposable income groups. The only point of concern for the hospitality sector however is high cost of developing properties, talent management and licensing polices which requires hotel to procure 80-100 licenses before starting operations. However, things seem to be changing fast as India offers lucrative investment opportunities.
Robust growth in the hospitality sector is also facilitated by technology solution providers like IDS NEXT. With 25 years of experience, the company offers a diverse set of hardware, software and manpower solutions. With solutions implemented across 3000 properties in 40 countries, the software solution offered by IDS NEXT enables hotels to optimize use of manpower and hotel operations, access business intelligence for better business decisions and increase overall profit margins.
Some of the big investments in the hospitality sector in India:
Swiss International Hotels & resorts plan to launch hotels in India
Pride Group of Hotels is set to launch its first property of 153 rooms in Eastern India. The company has invested Rs100 Cr.
There is growing investment in Spa services across hospitality industry as demand for these services are growing
Small towns like Visakapatnam are attracting attention of investors. Hotels like Taj, ITC, The Park, Marriott and Hyatt are developing properties there already.