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Indian hotel sector continues on the path of recovery


The recovery in the Indian hotel sector is back on course with a marginal increase in hotel occupancy in June 2022 compared to May 2022, while average rates remained stable, found a new report by hospitality consultancy HVS.

The report, Hotels and Hospitality Overview said the occupancy in hotels, average daily rates, and revenue per available room were all higher than their pre-pandemic levels for the month.

The average daily rates across the country were between ₹5750-5950 a night which is up between 8-10% over the same period in 2019. Occupancies ranged between 64-66%, up marginally from the same month in 2019, by 1-3%.

The highest rise in room occupancies was seen in New Delhi, Pune, Goa, Kochi and Kolkata, ranging between 6-9%. These cities were followed by Bengaluru and Chennai. The supply of branded hotels this year in the first half of the calendar year was 100 new hotels versus 49 in CY21.

In June 2022, Chandigarh and Pune had the highest occupancy rates in the range of 75-77%, followed by Bengaluru (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 fell by 8% in Jun 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 too have regained popularity following the pandemic and are recovering at a much faster rate than expected due to a shift in traveller preferences in the last two years.

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


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