The Daily Brief India’s Hotels are playing the long game
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Jun 3, 2025 Discover how Indian hotel chains are strategically navigating the challenges of an evolving market. Learn about their innovative business models and responses to fluctuating demand and high costs. The discussion also touches on the potential impact of new TRAI plans on accelerating 5G rollout across the country. These insights provide a glimpse into the future of hospitality and technology in India.
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Hotels' Long-Term Bets and Strategies
- Indian hotel chains take diverse long-term bets on the future amid unpredictable short-term shocks.
- Strategies differ by focus on luxury, premium, mid-market, and asset ownership models to capture evolving demand.
Business vs Leisure Hotel Dynamics
- Business hotels are large with lower cost per room while leisure hotels are smaller but can charge higher prices.
- Hotel construction aligns with target customers: business-heavy cities vs. tourist destinations.
Building Hotels for Future Demand
- Hotel companies build for demand 5-20 years ahead, not just current demand.
- Different firms bet on growing middle class, premium global travelers, and under-penetrated smaller cities.