Growth of Hotel Industry in India & Its Expansion Beyond Metro Cities

Millions of tourists visit India every year from across the world and the number is going to soar in the next couple of years. Shortage of hotel rooms fuel rates of hotel rooms across the country. With fantastic pull of opportunity, India is an ideal destination for any hotel chain looking for growth. Such huge potential is making several global chains like Marriott International, Hilton, Accor, Cabana Hotels and more to make major investment in the country. The Government's move to announce hotel and tourism industry as one with high priority, has added momentum in attracting more investments to this sector.

The boon in overall economy of the country and huge growth in sectors like IT, telecom, real estate and retail have led to the increase in demand for hotel rooms. New business opportunities and rise in stock market are seizing attention of foreign investors as well as international corporate travelers. India is a big name today in the world travel map. The increase in the demand for hotels is boosting up the hospitality sector of India, particularly the hotel industry.

Hotel industry in India is expanding beyond metro cities:

While many business establishments and industries are focussing on tier II and tier III cities of India with good infrastructure and connectivity; there is huge demand for hospitality projects and hotels. This is a prime reason that more star hotels and eying these cities rather than being limited to only the Metros and tier I cities. Star hotels are choosing these cities for future expansion and reputed hotel chains have already started operations and the rest are planning to start operations in these subsidiary cities of the country.

There is increasing income levels and spending capacity of a section of younger people in the country who love to venture into uncharted territories. Not only the mid budget hotels but also the luxury hotels are targeting the off-route holiday destinations. Many of these travellers are keen to get five-star facilities by spending extra and this has made Indian hospitality industry establish star facilities in these not-so-routine holiday destinations. Travellers in India are opting for unconventional destinations and these are likely to increase in the years to come.

Increase in disposable incomes is leading to the rise in consumption of luxury services in tier II and III cities of India. As many IT honchos and other businesses are shifting base to tier II and III cities, there has been a significant increase in the demand for hotel rooms and trained professionals in hotel management.

Contact Hotel Management College in India: www.nipsgroup.in