The InterContinental Hotels Group (IHG), one of many world’s largest hospitality firms, is well-positioned to faucet into rising alternatives within the Indian and South Asian markets because the journey and tourism {industry} continues its strong restoration post-pandemic, in response to the corporate’s Managing Director for South West Asia.
In a current interview with ETTravelWorld, Sudeep Jain, Managing Director for South West Asia at IHG Hotels & Resorts shared insights into the corporate’s spectacular post-pandemic restoration and its bold development plans within the Indian and South Asian hospitality sector. IHG is gearing as much as harness the burgeoning alternatives offered by the colourful journey and tourism {industry} within the area.
IHG has seen enterprise exceed pre-Covid ranges in 2019 throughout its lodges within the area, led by elevated leisure journey in addition to the return of company journey and occasions
Rising above pre-Covid ranges
Jain mentioned that IHG’s efficiency within the South Asian market has been nothing in need of distinctive, with enterprise and lodges performing above expectations. He expressed the importance of face-to-face interactions and highlighted the pivotal function they play in enterprise and private connections which in the end resulting in extra enterprise for lodges in India and round South Asia. “Confidence is again available in the market with individuals as soon as once more experiencing the significance of face-to-face interactions,” he famous.
Whereas in Q1 2022, IHG’s efficiency within the South West Asia area was under 2019 ranges, this has circled in Q2, and firm’s whole income has exceeded 2019 ranges. IHG hotels’ occupancy jumped from 60 per cent in Q1 to 74 per cent in Q2, demonstrating a 26 per cent leap YoY for H1, which is 2 per cent forward of 2019 ranges.
Going ahead, continued lodge improvement supported by a worthwhile working setting would gas additional development.
IHG, identified for its in depth portfolio of famend manufacturers like Holiday Inn, Holiday Inn Express, and Crowne Plaza, goals to cater to the various and evolving preferences of Indian travellers. Jain revealed that his firm is dedicated to introducing extra of its world manufacturers within the luxurious and premium segments, catering to the discerning tastes of Indian shoppers.
Lauding the vastness and variety of the Indian hospitality sector, Jain highlighted the distinctive segmentation and substantial market dimension of India through the dialog whereas mentioning that IHG has grown considerably within the nation in final decade. “In a formidable feat, IHG has tripled its portfolio in India over the past six to eight years,” he mentioned.
IHG’s India portfolio has elevated 173 per cent within the final 6-8 years (2013-2021) from 15 lodges (2,843 rooms) to 41 lodges (7,136 rooms) now.
Unleashing the potential of South West Asia
In line with Jain, the South West Asia area, encompassing India, Sri Lanka, Nepal, and Bhutan, holds immense untapped potential within the hospitality section, because of its sizable inhabitants and numerous traveler preferences. He knowledgeable that HG has set its sights on increasing its presence throughout this area to capitalise on the escalating demand for journey and hospitality providers.
“As lodges earn money, individuals wish to construct extra lodges, you already know, as they construct extra lodges, the alternatives for us are there,” he talked about.
The pandemic-induced alteration in work tradition has not solely reconfigured the dynamics of journey however has additionally prompted a profound reconsideration of the standard urban-centric hospitality mannequin. Concurrently, the digital realm of luxurious hospitality is witnessing a formidable surge in choices of impeccable high quality. Worldwide chains are establishing strategic alliances with Indian belongings throughout the nation, signalling a burgeoning curiosity in India’s luxurious hospitality sector.
Expertise & sustainability initiatives
Jain said that IHG is devoted to embracing expertise and sustainability initiatives to boost each visitor experiences and proprietor satisfaction. Initiatives round AI, mobility, and carbon discount stay on the forefront of the corporate’s priorities because it strives to supply a seamless and eco-conscious hospitality expertise.
Jain famous the introduction of IG Concerto, a cloud-based system offering real-time information and transparency to lodge homeowners, for instance of IHG’s dedication to technological development. IHG Concerto is the expertise spine to the businesses visitor reservation system, loyalty program, visitor providers, and inner Merlin platform.
“The corporate is attempting to be forward of the sport by way of creating the enabling expertise, whether or not it’s the property administration system, working techniques on the property or the visitor expertise,” he talked about.
Whereas IHG is equipped for exponential development, Jain acknowledged the persistent problem of securing expert workers. The {industry} is collectively addressing this concern, recognising the necessity for basic adjustments in workforce improvement.
Imaginative and prescient for future
With the robust restoration developments, an expansive model portfolio, and strategic regional enlargement plans, IHG stands well-positioned to grab a considerable share of the forthcoming alternatives inside the quickly rising Indian and South Asian hospitality sector.
On IHG’s model in India, Jain mentioned that its greatest model platform in India will all the time be Vacation Inn whereas Vacation Inn Categorical may be positioned in just about all of the markets within the nation. “It’s a very dependable, industry-statistical model.” He additional added that want for manufacturers like Voco and Six Senses and Indigo can also be on rise with altering shopper preferences and rising urge for food on spend extra on lodge experiences.
Presently, InterContinental Inns (IHG) has 41 lodges in India with 44 lodges in South West Asia working below 5 core manufacturers – Vacation Inn, Vacation Inn Categorical, Crowne Plaza, Intercontinental Inns & Resorts (Mumbai & Chennai) and the Six Senses model in Fort Bharwara, Rajasthan.
Earlier this yr, IHG introduced the introduction of its Voco model in India after it signed three properties throughout India in Gurugram, Jim Corbett and Goa. Jain mentioned they’ll develop by roughly 112 per cent (by variety of rooms) within the coming 3 to five years as IHG provides 53 lodges (8,550) in its pipeline in South West Asia.
Companies within the journey and hospitality sector can profit from CX applied sciences that leverage AI to ship personalised and agile experiences from begin to end regardless of which platform clients attain out on. And when these options are constructed on CX-specific information units, it could actually assist companies obtain essential enterprise objectives.
