India’s hospitality sector continues on the road to recovery

NEW DELHI: The recovery in India’s hotel sector is back on track with a marginal increase in hotel occupancy in June 2022 compared to May 2022, while average rates remained stable, according to a new report from the hotel consulting firm HVS.

The report, Hotels and Hospitality Overview, says hotel occupancy, average daily rates and revenue per available room were all above their pre-pandemic levels for the month.

Average daily rates across the country were between 5750-5950 a night which is up 8-10% compared to the same period in 2019. Occupancy varied between 64-66%, up slightly compared to the same month in 2019, by 1-3%.

The largest increase in room occupancy rate was seen in New Delhi, Pune, Goa, Kochi and Kolkata, ranging from 6 to 9 percent. These cities were followed by Bengaluru and Chennai. Branded hotel supply this year in the first half of the calendar year was 100 new hotels compared to 49 in CY21.

In June 2022, Chandigarh and Pune had the highest occupancy rates of around 75-77%, followed by Bangalore (74-76%). During the month, Goa recorded the highest average rate ( 8,500 – 10,500) in the country, followed by Mumbai ( 7,500 – 9,500).

Domestic air traffic in India decreased by 8% in June 2022 compared to the previous month, mainly due to the seasonality factor.

Mandeep S Lamba, the company’s president for South Asia, said all-inclusive resorts had also regained popularity post-pandemic and were recovering at a much faster pace than expected due to a change in traveler preferences over the past two years.

“To meet travelers’ changing demand for authentic local experiences, resorts have revamped their offerings by creating higher quality packages that include activities that encourage guests to leave the resort and explore local culture,” it said. -he declares.

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Christina A. Kroll