IHG Hotels & Resorts plans to double its presence in India in the next five years, aiming to have 100 operating hotels by then.
In 2023, the company reported robust signing performance, sealing 13 deals across its luxury, premium, and essentials brands. It notably expanded its presence in key markets like Gurgaon, Jim Corbett, Mumbai, Amritsar, and Goa.
The chain reported that nearly 70% of the signings occurred within the midscale and upper midscale segments, which remain pivotal growth drivers for the company in India, with premium and luxury segments following suit.
IHG’s development pipeline encompasses a variety of brands, including InterContinental Hotels and Resorts, Crowne Plaza, voco, Holiday Inn, Holiday Inn Express, and Staybridge Suites. The chain expressed its intention to not only focus on established destinations but also to target rapidly growing secondary markets like Amritsar, Lucknow, Zirakpur, Kasauli, and Katra, while also revitalizing its presence in popular tourist destinations.
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Over the past year, IHG has also announced the debut of its premium conversion brand, voco, in India with a signing in Gurgaon. Subsequently, the brand has seen four additional signings in 2023 across key leisure and business destinations such as Jim Corbett, Mumbai, Amritsar, and Goa, IHG reported.
Haitham Mattar, Managing Director for India, Middle East, and Africa at IHG Hotels & Resorts, emphasized the chain’s enduring history in India and reiterated its dedication to expanding its presence throughout the country.
“India’s hospitality industry is experiencing a dynamic transition driven by a number of factors including higher spending power, a growing middle class that enjoys travelling, and the opening of new tourist destinations,” he said. In addition to allowing us to satisfy this growing demand, our strategic development plan places IHG in a key position to influence the direction of hospitality in India.”
He added, “Through harnessing our diverse brand portfolio and unwavering dedication to guest satisfaction, we aim to provide travelers with an expanded array of lodging choices, thereby fostering the growth and liveliness of the Indian tourism scene.”
Sudeep Jain, Managing Director for South-West Asia at the chain, expressed pride in IHG’s robust signing performance last year and affirmed the company’s trajectory towards another prosperous year.
He remarked, “The ongoing trust of our owners in IHG’s varied portfolio, spanning from the cherished Holiday Inn brand family to our luxurious and lifestyle selections, places us ideally to meet the changing preferences of both local and global travelers.”
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“We harbor ambitious expansion strategies aimed at bolstering our portfolio across all brand segments in India. Our Essentials portfolio has proven highly successful in this market, primarily fueled by domestic tourism. Additionally, we hold a positive outlook for our growth in the luxury and lifestyle segment. We firmly believe that laying a robust foundation and platform is pivotal for advancing our luxury brands further. This approach enables us to meticulously choose the right partners in the right locales, ensuring the delivery of extraordinary experiences that resonate with the discerning expectations of luxury travelers,” he elaborated.
In 2023, IHG reported that hotel occupancy rates surpassed pre-pandemic levels by a considerable margin. Additionally, revenue per available room experienced a notable increase of over 30% compared to figures from both 2019 and 2022.
IHG operates in India through six of its key brands, spanning various market segments: Six Senses and InterContinental Hotels and Resorts cater to the luxury and lifestyle segment, Crowne Plaza Hotels & Resorts and voco serve the premium segment, while Holiday Inn and Holiday Inn Express target the midscale and upper midscale segments.
At present, the group boasts 51 hotels in South West Asia, totaling over 8,500 rooms, with India hosting 46 of these hotels, offering over 7,800 rooms.