SKYE Hospitality releases its maiden hospitality market analysis report for H1 2024

SKYE Hospitality has released its maiden market analysis on the pulse of the Indian hotel industry for H1 2024. The analysis shared interesting insights and perspectives on the Indian hospitality sector. As per the analysis, 2,706 rooms have entered the market in the first half of the year, out of which 994 rooms (37 per cent) consisted of upscale rooms while the remaining 63 per cent consisted of premium inventories. H1 2024 saw a total of 22 new projects being opened from major hospitality brands such as IHCL, ITC, Radisson, Hyatt, ROHL, Bharat Hospitality, Wyndham, etc.  The report also suggested that 34 per cent of the new supplies were located in the West, followed by East with 28 per cent while North and South contributed to 26 and 12 per cent respectively.
 
Ankit Kansal, Managing Director, SKYE Hospitality, stated, “Indian hospitality industry is on a strong footing marked by a rise in occupancy, new projects opening, and a bullish pipeline for the future. In the first half, Average occupancy in major hotels ranged between 70-75 per cent. Occupancy has risen by around 15-20 per cent, compared to the same period, previous year. The Indian hotel industry is witnessing a robust rebound backed by rise in business events, leisure travels, wedding season, etc. Other factors such as growing trend of staycations, surge in experiential travel trends amongst millennials & Gen-Z, and rise in wellness tourism packages are also fuelling demand for hospitality business in India. The concept of revenge travel is also there, as most of the hotels operate at 100 per cent occupancy during extended weekends.”
  
As per the report, around 243,000 sq ft of hotel-based meeting and banquet space entered the market. Eastern parts of India accounted for the highest supplies with 47 per cent followed by the North with 25 per cent. The Indian event and meeting industry is growing at a steady rate of 8 - 10 per cent and the country is becoming a reputed MICE destination internationally stemmed by growth in infrastructure, rise in economy, and rich cultural heritage.

Commenting on the future outlook of the industry, Kansal added, "The next three to five years will see aggressive expansion in the industry, as both domestic and international brands will extend their footprint across segments.”