As per statistical reports the hospitality industry continued to witness strong year-on-year growth in business in the October-December quarter, driven by corporate travel, weddings, winter vacations, and festivities. Calendar year 2022 ended with a 90% YoY growth in revenue per available room (RevPAR). RevPAR is used as a metric to gauge a hotel’s performance.
Demand for hotel rooms across business and leisure destinations remained strong during Q3, FY22 primarily driven by Meetings, Incentives, Conferences and Exhibitions (MICE), weddings and other business-related travel. Despite the year-end holidays, most business cities performed well with occupancy levels– 65%–and witnessed a strong growth in the Average Daily Occupancy (ADR) levels. The momentum is expected to continue into the last quarter of FY23, led by weddings and recommencement of business travel.
A total of 81 hotels comprising 6,663 keys were signed in the third quarter. Additionally, 25 hotels were signed that were conversions of other hotels. The conversions constituted 27% of the inventory signed in the quarter.
It added that all six key markets in India witnessed strong YoY growth in RevPAR in the third quarter due to a comparable low corporate travel base of last year. Bengaluru led the market, with a 110.6% growth in Q3, followed by Mumbai and Delhi with a YoY growth of 105.3% and 94.3%, respectively.
One of the leading hotels in this industry, the Taj parent Indian Hotels Company Ltd (IHCL) has reported its highest every quarterly profit and revenue in the bumper travel October-December, 2022, period.
