HospitalityBiz India
Hotels FoodService Operations Ministry Associations Equipment Editorial HR Technology Technology Advisory Board Community
Follow us on Facebook
    Home > Analysis
ANALYSIS

STR Global, Horwath HTL analyse hotel performance in India from Jan-June 2012

Sunday, September 23, 2012, 17:00 Hrs  [IST]
By HBI Staff | Mumbai

STR Global and Horwath HTL in their latest India Market Hotel Review presented the analysis of hotel performance in India from Jan to June 2012. The dry business sentiments (monsoon included) affecting India have carried through to the hotel sector in the first six months of 2012 (H1 2012). Although 2012 occupancies at the mid-year level are higher than 59.9 per cent achieved in calendar year 2011, the H1 2012 Average Daily Rate (ADR) and Revenue PerAvailable Room (RevPAR) are lower than calendar year 2011 by 4.4 per cent and 3.8 per cent respectively.

Some of the standout features from the performance in H1 2012 stated that Kolkata is the only city (among leading markets) reporting growth in occupancy, ADR and RevPAR in H1 2012, compared to H1 2011; Pune has reported sharp improvement in occupancy by 8.2 pts; while ADR declined by 11.1 per cent, Pune is only one of the three major markets that enjoyed RevPAR growth in H1 2012 compared to H1 2011; Goa enjoyed occupancy growth of 1.5 pts, which was somewhat diluted due to 0.8 per cent ADR decline leading to a nominal RevPAR growth of 1.1 per cent; Delhi NCR and Mumbai suffered 9.4 per cent and 6 per cent RevPAR decline respectively, due to decline in both occupancy and ADR.

According to the report, however, Mumbai is the only city in India with H1 2012 ADR above Rs 8,000 and RevPAR above Rs 5,000. Bengaluru has suffered severely with occupancy drop of 6.3 pts and RevPAR decline of 20.4 per cent in the relevant comparable periods. Clearly, the absorption of new supply is slow and city centre hotels are hurting due to newer and more efficiently priced products in business area micro markets. However, it must also be recognised that Bengaluru has the widest spread of hotels across segments, including mid-market and budget products.

Other findings explained that Chennai is the only other market that has suffered double digit decline in RevPAR in H1 2012; with substantial supply still to come on line the present hurt would likely become more painful. On the other hand, Jaipur and Hyderabad witnessed nominal occupancy growth in H1 2012, compared to H1 2011; while RevPAR declined in these markets; the extent of decline was lower than the national average.

 
Print News Email News Back
Bookmark to Add to NewsvineNewsvine Bookmark with del.icio.usdel.icio.us Digg ItDigg
Add RSS to Add to Google Add to My Yahoo! Subscribe with Bloglines Subscribe
 POST A COMMENT
* Name :    
* Email :    
* Message :  
   
CoverStory
Analysis
 
  Panasonic unveils Sky Series air-conditioners with in-built airpurifying system
  "Bathroom Of Your Dreams" campaign launch by Somany Ceramics, India
 
weekly
Receive the best of Hospitality content in your mailbox.
Weekly e-Newsletter
Events Calendar
Global Hospitality Conclave
January 7, 2017,
Leela Ambience Hotel Gurgaon


SATTE 2017
February 15 to 17, 2017,
Pragati Maidan, New Delhi


Incredible India Heritage Festival & Mart by IHHA
April 8 to 22, 2017
(Jaipur, Jodhpur, Udaipur, Baroda, Kochi)


AAHAR
March 7-11, 2017
Events
 
 
people
interview
newappoint
expert
© Copyright 2013 Saffron Synergies Pvt Ltd
HOME   |   ABOUT US   |   CONTACT US   |   FEEDBACK   |   DISCLAIMER   |   SITE MAP   |   ARCHIVES