Tourism, hospitality sector to reach US$400 bn by 2022 : Anurag More, Head, Southwest Asia, Shantha de Silva
Updated on: 12 Jun 2016
IHG (InterContinental Hotels Group) is a global organisation with a broad portfolio of hotel brands. IHG franchises, leases, manages or owns more than 4,900 hotels and 724,000 guest rooms in nearly 100 countries, with almost 1,300 hotels in its development pipeline. They currently have 25 hotels operating across four brands in 14 cities in India, including InterContinental, Crowne Plaza, Holiday Inn, and Holiday Inn Express with a further 46 hotels in the development pipeline. In an email interaction with Anurag More, Shantha de Silva, head, southwest Asia, IHG, spoke about the growth in the Indian hospitality sector and more. Excerpts:
How has the hotel industry in India evolved over the years? By 2020, how do you see hotel industry going?
The Indian market has seen growth in recent years and is projected to become the world's third-largest economy by 2020. Similarly, we have observed that travel and tourism trends for the country are highly positive. As per industry reports, total market size of India's tourism and hospitality industry is anticipated to reach US$400 bn by 2022. We feel that much of this growth will be driven by urbanisation, India's expanding middle-class and rising incomes.
In recent years, we have seen a shift in the Indian hospitality landscape to focus on quality midscale hotels. This is largely in response to the rising middle-class and a significant increase in domestic travel in India. In responding to market needs, we have ambitious growth plans for our midscale brands, Holiday Inn and Holiday Inn Express. We currently have 10 Holiday Inn hotels and three Holiday Inn Express hotels open across major metros and secondary cities, and close to 85 per cent of our development pipeline (by number of hotels) in the country are Holiday Inn and Holiday Inn Express hotels which are expected to open in the next three to five years.
Government initiatives for the hospitality sector. Comment.