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IndustrIndian Hotely Survey 20102011

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is accredited to the FHRAI and HVS Hospitality Services.

of ContentsTable
FHRAI............................................................................................................ 1 the
President,from Foreword

Services................................................................................................
................................ 2 HVS Hospitality
the
Survey...................................................................................................
.. 4 Highlights of Key Synopsis &
Trends...................................................................................................
................................Country 6
Focus....................................................................................................
..................................... In The 8
City
Trends...................................................................................................
........................................ 11
1. IndianStar
Category...............................................................................................
18 by Hotel Industry
2. IndianAffiliation................................................................... and
Chain Inventory Hotel Industry 27
3. IndianMajor
Cities.......................................................................................... 35
Seven Hotel Industry
4. IndianOther
Cities......................................................................................... 46
Twelve Hotel Industry

Foreword
edition fourteenth annual present the pleased to India is Associations of & Restaurant of Hotel The
Federation

includes in- This survey Hospitality Services. with HVS in cooperation


Survey,Industry Indian Hotel of the
provides several positioning and cities and across various of hotelsperformance
about the depth information
all hotels for the participating to thank would like We in India.performance
comparing hotel benchmarks for
this research. quality of improve the helping to provided, therefore they
haveinformation the detailed
The Indian Hotel Industry Survey analyses the performance of the Indian
hospitality industry across
is information trends. The and marketingoperational performance manpower, as
facilities, parameters such
a in providing helps us this data authenticity of and the hotel members from
FHRAI data received based on
our member hotels, from our Data collected hospitality sector. of India's
operating statistics of the clear picture
tool a preferred this report make have helped our research credibility of and the
historic database extensive
for hotel professionals, consultants, investors, bankers, researchers,
government officials in the tourism
industry. Indian hotel studying the interested in all those persons and department,
media
The current edition includes an analysis of seven major cities for which we
have received detailed
in though not some hotels, us for available with where information was other
cities informationand twelve
earnestly request all our members to be more forthcoming sufficient numbers for
all the star categories. We
with sharing the required information as this helps us all. Therefore, while we have
basic data for 1,318
of for all not available data is the financial last year), responses received the
1,200 increase from members (an
information the required not sharing members for of those each one
apprehension of the major them. Though
is complete that there rest assured members should their data, confidentiality of
be the report might for this
HVS. data by security of
We each year. improve it us to to enable this report content of presentation and

on the encourage feedback We

ECOTEL well as project as (part for this continued support for their Hospitality Services to HVS are
thankful

edition.current sponsored the for having Sustainability Services) of HVS

Kamlesh Barot

FHRAI President,
www.fhrai.com

1Page

About HVS
HVS Hospitality Services is the world's leading consulting and services organization focused on the
hotel,

restaurant, shared ownership, gaming, and leisure industries. Founded in


1980 in the United States by
Stephen Rushmore, the company has 31 offices across the globe and more than
18,000 assignments to its
respected as the to HVSturn companies all and management lenders, banks,
owners, operators, credit. Hotel
hospitality. authority on
in firm dedicated hospitality-consulting the only to be has risen 1997 and
established in Delhi was HVS New
South Asian in the with interests to clientsservices Valuation Consulting and
offers its It currently this region.
Region covering India, Sri Lanka, Bangladesh, Pakistan, Nepal, Bhutan and
the Maldives. The different
below: are mentioned Delhi Office the New offered byservices on the verticals
based
ALUATION AND VCONSULTING
The team comprises experienced and qualified hotel professionals
undertaking feasibility studies,
entryservices, strategies, investmentand market area analyses, valuations,
market development strategies,
combined with operator search & management contract negotiations. HVS's
database of hotel information,
broad insight and extensive experience,enables us to produce well-documented
studies that contain fully
supported value conclusions. Each report is customized to meet client
requirements based on mutually
agreed upon parameters. The HVS approach on hotel and real estate
appraisal is widely used by hotel
management companies, financial institutions, equity investors and
developers of hotels in making
hospitality industry. South Asian in the investment decisions
through Services, Audit providing Operations also includesservices of consulting
our portfolio Additionally,
expert, independent assessments and unbiased reviews of various processes
affecting the operational
hotel assets. efficiency of
EXECUTIVE SEARCH

2001 and subcontinent in the Indian offered, entered of services the base vertical
to Search, another Executive
currently manages diverse portfolios across varied sectors. HVS Executive Search
has offices in New Delhi
services advisory It provides Search practice. retained Executive Asia's first
among South and is and Mumbai
to leaders of the hotel, restaurant, real-estate, manufacturing, retail,
telecom, energy and education
industries. Practice areas include senior-level executive search, midmanagement recruitment and
compensation consulting.
MARKETING AND COMMUNICATIONS
only is the and Communications HVS Marketing HVS India, division of and
creative marketing The strategic
marketing combined hospitality years of over 40 With country. in the hospitality
marketing shop for one stop
and creative experience, HVS MC excels in offering viable and strong
research based marketing and
communication solutions to its clients. Services include pre-opening, opening and
promotional marketing
of Our list branding strategies. support and planning, creative advertising, media
ROI based campaigns with
clients include leading hospitality brands in the country such as Pullman,
Accor, Novotel, Mercure, Ibis,
Hotels. and Peppermint Inn, Sheraton Plaza, Premier Park Radisson Blu, Crowne
Plaza, Fortune,
2Page

VICES SERSUSTAINABILITY
HVS Sustainability Services provides a range of business-driven consulting
services that enable hospitality
firms to identify cost saving opportunities, enhance operational efficiency,
and demonstrate a positive
Sustainability Services commitment to the environment, guests, investors, and
other relevant stakeholders.
in and reduction water, energy and like of resources efficient consumption
reductions through quantifies cost
using key environmental solutions through these the reductions it describes
Furthermore, waste generation.
financial metrics.
capital case for the business to evaluate and operators with owners works
directlyServices HVS Sustainability
investment into environmental technologies; we further promote accessibility
to conventional and
nonconventional financing mechanisms for technology-drivenretrofit projects. Our
industry intelligence
that improve critical decisions to make and toolsinformation the best you with
presence provide and global
owners. value for higher asset translating into operating income

ONFERENCE - SOUTH ASIA CTEL INVESTMENTth8 HOA

confluence of hotel industry stakeholders, visions

and

ideas, industry news and networking, HICSA has


successfully created an interactive platform in the South

2012Asian

HICSA

region. For enquiries regarding the eighth annual


2012APRILAI MUMBATT 3-4, GRAND HYc o n f e r e n c e , H I C S A 2 0 1 2 p l e a s e v i s i t
www.hicsaconference.com

www.hicsaconference.comhicsa@hvs.com us at or email

easy servesas an statistics and industry'skey together the SurveyHotel


Industry2010/11 brings The Indian
look forwardto same and towards the have contributed those who to all are
grateful We reference volume.
come. years to in the increased participation

Kaushik VardharajanAnirudh KatreTulika Das

Managing DirectorSenior AssociateResearch Associate

3Page

HighlightsSynopsis and Key


Introduction

services of the the growth industries driving key of the as one has
emergedhospitality industry The Indian
The FHRAI economy. the Indian thereby, sector and, the most to provide 2010/11
aimsSurvey Indian Hotel
Results of the survey will empower comprehensive guide to all-India performance
trends for this industry.
industry stakeholders such as owners, investors, operators, business analysts
and researchers with
the performance owners benchmark also help It will industry. of the operational
aspects on theinformation
operations. of their
Data Collection
The data for the FHRAI Indian Hotel Survey 2010/11 Report has been contributed
by the member hotels of
1

FHRAI. The FHRAI sends out a questionnaire to each of its members (currently numbering 2,396
member

culled edition is the current presented in The data this report. presented in
analyzed and is then hotels) which
responses. from 1,318
Methodology
of the objectives according to and filtered is sortedsurvey in the hotels
participating received from The data
the survey. The data is then processed and analysed to extract important
information pertaining to the
performance of the Indian hospitality sector across crucial parameters.
These parameters, such as guest
segmentation, hotel finances, marketing, sources of reservations, and
seasonality,among others, are then
categories: the following presented under
Star: are hotels (which with Other hotels along and One-Star Three, Two Four, Five, Deluxe, FiveStar

star rating). under any not classified


Inventory: and More 50-150 Rooms, 50 Rooms, Less than categorized as hotels are rooms in
Number of

Rooms. Than 150

Affiliation: The two types of affiliations used to categorize hotels are Affiliated to chain,

and

Independent.
Primary Markets: : The seven major cities described in this report are Bengaluru,
Chennai, Goa,

and Pune. Mumbai, Delhi-NCR, Kolkata,


Secondary secondary cities described Markets: Twelvein this report are Ahmedabad,
Bhubaneswar,

Hyderabad, Indore, Jaipur, Kochi, Kottayam, Mysore, Shimla,


Thiruvananthapuram, Udaipur, and
Vadodara.
1

2011As of September,

4Page

ConditionsQualifying
While from the data received by the are limited India, we cities in all the to represent our
endeavour it is

for those categories for only present data relevant, we the study to make In order
participating hotels.
hotels. four participating minimum of have a which we
Hotels the same combined under have been similar characteristics categories showing across
different

category.
Topresented statements are the financial comparable groups, data across evaluation of facilitate
better

hotel/owner specific. which are and interest, of depreciation any deduction


Income, before through Net
Limiting Condition
In to the be attributed data may in the this noise data and in the large fluctuations there are
some cases,

performance. market representation of an accurate not be and maysurvey in the


changing participation
Data Financial Presentation of
Percentage of Revenue are Departmental expenses of revenue. a percentage costs as
assessment of is an

portions of individual revenue heads while Operating and FixedExpenses are


deducted from Gross
accounting guidelines.international following the Hotel Revenue
Amount is the financial performance of a single room and is(PAR) Roombased on the per
Available

total inventory.

Amount(POR) is Room per Occupied room. single occupied of a the performance

All amounts presented in this report have been rounded to the nearest whole
number and are in Indian
provided as amounts are statements, rupee the financial (April-March). In year
2010/11 the fiscal (`) forrupees
size in the eliminate differences order to (POR) in occupied room and per (PAR)
available room amounts per
surveyed. of hotels

5Page

Trends Key
first subsection, In the Trends. and City Focus, In the Trends, parts: Country into three is divided
This section

an overview is provided of the broad trends that have been observed in the
country in the The past year.
survey presents the generation, and and income to revenue trends related
highlights the second subsection
findings related to Key Operating Statistics. This is followed by the City
Trends, which reflect HVS's
future performance. to its with regard expectations as our as well each city,
perception for

TrendsCountry
The Performance: The Overall hotel industry. the Indian consolidation for period of was a year
2010/11

preceding years witnessed the effects of the global financial crisis as well as the
impact of the terror
attacks in Mumbai that led to a dip in overall occupancies and average
rates. However, 2010/11
occupancies with overall the industry levels for improved performance but
marginally witnessed slow
10.0% approximately grew by rates also 62.1%. Average 59.9% to average of a
nationwide growing from
from `4,149 in 2009/10 to 4,567 in 2010/11. Strong domestic demand, coupled
with increased global `
average rates. occupancies and in improving India helped environment in the
business confidence in
The improved performance levels, however, did not translate into an overall
improvement in
profitability for hotels across the industry.Rising inflation levels meant increased
overhead costs for
hotels resulting in lower margins. An overall increase in departmental and
fixed expenses as a
percentage of revenue led to a decline in net income percentage of
approximately4.0% in 2010/11 as
increase in property operations and maintenance costs, along with the compared
to 2009/10. The PAR
reduction for the are responsible expenses beverage (F&B) food and division and
in rooms POR increase
lines. in bottom
Increased visitation from Asian countries: The results of the survey reveal an
increase of

an approximate year and the last that in countries over from ASEAN hotel guests

17% in approximately
increase of 5% in hotel guests from Japan. The increase in travel from Asia may be
attributed to the
increasing presence of Asian companies in India, which has led to the creation of a
fairly developed
in an increase also affirmed with have has interacted that HVS Most hoteliers
market. corporate travel
the number of bookings received from travellers from South Asian countries over
the last two years.
Asian of Southeast the introduction attributed to also be tourists may in Asian the
increase Additionally,
far from India to and made travel which has Air, and SilkAirways Tiger as AirAsia,
airlines such low-cost
III) in Tier II and cities (Tier of smaller the linking Going forward recent past. than
the more economical
India like Calicut and (along withKochi Thiruvananthapuram) to Dubai by the
homegrown IndiGo,
xpected to is ewhich also commenced operations to Southeast Asian countries in
September this year,
demand. in hotel augment growth
Telephone Department: The telephone department has, over the years, become more of a cost
centre

percentage of departmental expense year's surveyreveals a hotel. This for a


revenue generator than a
104% which is indicative of this trend. With increased use of mobile telephony
coupled with much
increasingly used to be (VoIP) Protocol over Internet Voice have enabled speeds
that improved Internet
by business and leisure travellers, has meant lower revenues being
generated by this department.
guests from discouraging hotel priced thereby exorbitantly hotels are at most call
charges Additionally,
annual maintenance well as companies as to phone line rentals to pay Hotels
continueservice. using the
charges for sophisticated Call Accounting Systems without realising sufficient
revenues from hotel
operations. cost of cover the guests to
Social Media Marketing and Technology:The overall improvements in technology over the
last five

years have been significant and have impacted the hotel industry as well. Internet
access on perhaps
in smart huge advancements with the 3G, coupled introduction of device, the
everypossible personal

6Page

time. Social all theInternet to the are connected more people has meant tablet
technology, phones and
increase of users their database have seen these advancements benefitted
through that have Media sites
Facebook, the world. most around life for way of becoming a sites almost in these
significantly resulting
in 2008 million users from 100 base grow its user has seen Media sites of Social
most popular perhaps the
2

bandwagon of joined the too, have the country,September 2011 . Hotels acrossas of million
users to 800

Social Media Marketing and have benefitted immensely from its strong
reach at almost no cost of
accounts to reach out to a large number of page andhotels have Twittera
Facebookoperation. Today,
their target audience and promote several events in their hotels resulting in
increased footfalls and
and for smartphones (Apps) developed had applications have also companies
today patronage. Hotel
websites like party travel while third the go bookings on enable hotel tablets that
Expedia andMakeMycountry. across the reviewing hotels recommending and itineraries by planning
travel help with Trip
The Domestic Traveller: impact of the global economic crisis in 2009/10 resulted in the pricesensitive

demand for increased domestic leading tocountry within the leisure trips settling
for domestic traveller
hotels. This trend of strong domestic demand has continued to grow in 2010/11 as
well. This year's
approximate and an FIT segment the Domestic 8.1% in increase of an
approximate has witnessedsurvey
increase of 14.2% in the Domestic Groups segment over that of last year.
Going further, the
improvement of overall connectivity facilitated by additional destinations in the
portfolio of low-cost
airline carriers like GoAir, Spicejet and Indigo, is further expected to
increase domestic tourist
the country. movement within
EmployeeRatio: Efficient Room to Hotel concernfor area of be an continues to manpower
utilization

1.6, much stands at room ratio to hotel total employee average of The all-India
Hotel Industry. the Indian
the ratio is this high attributed to can be reason that A major the globe. hotels
across that in higher than
performance of four and three-star hotels as far as manpower utilization is
concerned. The all-India
the three- that for room while per hotel 1.8 employees stands atcategory the
four-star year for ratio this

hotel to Indian maybe attributed being high these ratios reasons for 1.6. Primary
stands at star category
more expansive India offer hotels in and budget Midmarket their hotels. to
'overspec' owners tending
number of a large therefore require hotel and in a F&B offerings to the with
respect facilities especially
globally. to hotels as compared manage operations personnel to
Energy: percentage as a energy costs 3.3% in of approximately overall drop reveals ansurvey
This year's

Several hotels previous year. in the hotels than levels among better efficiency
revenue indicating of hotel
across the country have employed various Greeninitiatives translating to a
contribution towards a
more eco-friendly environment and improved marketability for the property by
being certified as a
Green Hotel. Additionally, employing these initiatives have also resulted in
more efficiently run
operations, that have consequently resulted in better efficiency levels with
respect managing rising
energy costs. Going forward, companies likeHVS Sustainability Services will
further enable hotels to
performance. and social financial, environmental improve their

Social Bakers

7Page

Focus In the
HVS estimates approximately102,348 new hotel rooms are to enter the Indian hotel market by
2015/16, of 3
which approximately 60% are expectedto be actively under development. A significant number of
these

hotels are to beexpected affiliated with global brands and be of international


quality and service offerings.
Hotel operators across the country would need to prepare themselves for
this expected competition by
following exhibits offerings. Theand service their product and also operational
efficiencies improving their
emerging trends. key highlight some
from the As evident five years. the last hotels over revenue for sources of trends
for highlights the Exhibit 1
Exhibit, F&B has been fairly steady with respect to its overall contribution to hotel
revenues. F&B revenues
that of factors largely independent they are lines since support top continue to in
India (including banquets)
F&B revenue we expect going forward However, local market. by the more driven
demand and affect room
Several term. to long the medium pressure in come under hotel to of a revenue
pie the overall contributions to
to include are expected few years, next over the the market to enter are
estimated hotels that branded budget
minimal F&B facilities and in some cases lease out the F&B outlet of the
hotel to a third-party vendor.
the increasing number of stand-alone dining options across several cities, which
include both Additionally,
restaurants visiting hotel of locals the number to affect expected is also casualdining options, fine-dining and
Exhibit 1: Sourceevenue 2006/07 to 2010/11 of R
6.23%5.32%5.05%5.82%6.23%100%

90%
34.11% 33.48% 34.46% 37.52% 36.62%80%
70%
60%
50%

40%
59.66% 61.20% 60.49% 56.66% 57.16%30%
20%
10%
0%
2006-07 2007-08 2008-09 2009-10 2010-11
RoomsF&BtsOther and Banque
Exhibit 2 illustrates the PAR trends in revenue and net income over the past five years.
While revenue

the revenue over percentage of as a of 4.0% a decline income showed 13.0%, net
approximately increased by
over last expenses and operating in departmental POR increase to a be attributed
This could previous year.
in POR 2010/11 resulted inflation in The growing 10.5% respectively. 2.8% and
grew by of which year; both
POR expenses Additionally, respectively. and 1.0% by 4.0% to grow and F&B
rooms division for the expenses
16.0% saw a maintenance also operations and and property general (A&G)
administrative and pertaining to
year. over last rise respectively and 15.0%

and Opportunities Report 2011 HVS Trends

8Page

and Net Income 2006/07 to 2010/11Exhibit 2: Revenue


45.0%2,000

40.0%1,800
35.0%1,600
t Income (%)
30.0%1,400Ne
1,200
25.0%
1,000
20.0%
800
15.0%
600
10.0%
400
AR Revenue and Net Income, ` 000's
5.0%200P
0.0%0
2006-07 2007-08 2008-09 2009-10 2010-11
AR) Net (PRevenueome (PAR) Net Income % Inc
Exhibit 3 illustrates the earlier mentioned trend of the year 2010/11 being one of consolidation
wherein all-

India occupancies grew by approximately 4% over the previous year and


average rates grew by
10%. approximately

Rate 2006/07 to 2010/11Exhibit 3: Occupancy and Average


5,000 72.0%

4,500 70.0%
4,000
68.0%
verage Rate (`)
3,500 A
66.0%

3,000
64.0%
2,500
2,000 62.0%
(%)1,500 60.0%Occupancy
1,000 58.0%
500 56.0%
-54.0%
2006-07 2007-08 2008-09 2009-10 2010-11
te Occupancy RaAverage

9Page

COMPOSITION2006-07All India Average2007-08All India Average2008-09All India


Average2009-10All India Average2010-11All India Average2006-07All India
Average2007-08All India Average2008-09All India Average2009-10All India
Average2010-11All India Average2006-07All India Average2007-08All India
Average2008-09All India Average2009-10All India Average2010-11All India
AverageNumber of responses:488 453 474 526 544 488453 474526 544 488 453 474
526 544Average Total Rooms Per Hotel:64686972 72 64686972 72 64 68 69 72
72Average Occupied Rooms Per Hotel:15,459 16,732 15,143 15,174 15,768 15,459
16,732 15,143 15,174 15,768 15,459 16,732 15,143 15,174 15,768Average Occupancy
Per Hotel:66.9% 69.4% 63.1% 59.9% 62.1% 66.9% 69.4% 63.1% 59.9% 62.1% 66.9%
69.4% 63.1% 59.9% 62.1%Average Rate Per Hotel (`):3,742 4,605 4,487 4,149 4,578
3,742 4,605 4,487 4,149 4,578 3,742 4,605 4,487 4,149 4,578REVENUERooms59.7%
61.2% 60.5% 56.7% 57.2% 903,228
1,140,130 985,310
876,919
997,815
3,742
4,605 4,487 4,149 4,578Food & Beverage25.6 25.4 25.9 28.7 27.0 387,728
472,834
417,248
443,367
471,013
1,606 1,910 1,900 2,098 2,161Banquets &
Conferences8.58.18.68.9 9.6 128,696
150,827
144,054
137,353
168,253
533 609
656 650 772Telephone & Other0.80.60.60.6 0.5 12,192
10,919
9,154
8,618
8,600
51 44 42 41 39Minor Operated*2.92.62.22.8 2.6 43,077
48,325
36,360
43,594
45,825
178 195 166 206 210Rental & Other Income2.62.12.32.5 3.1 39,092
39,921
36,743
37,885
54,294
162 161 167 179 249 Total100.0 100.0 100.0 100.0
100.0 1,514,010 1,862,950 1,628,870 1,547,737 1,745,800 6,272 7,525 7,418 7,322
8,009DEPARTMENTAL EXPENSESRooms14.7 16.1 14.8 17.1 16.1 132,661
183,116
146,192
149,683
160,980 550 740 666 708 739Food & Beverage57.7 51.7 55.3 56.1 52.9
297,860
322,623
310,165
325,793
337,840
1,234 1,303 1,412 1,541
1,550Telephone & Other90.7 109.1 79.7 90.2 104.0 11,058
11,907
7,291
7,776
8,945
46 48 33 37 41Minor Operated*56.6 60.5 70.3 65.5 70.4 24,390
29,233
25,554
28,555
32,254
101 118 116 135 148Rental & Other Income15.6 15.09.78.7 11.3 6,113
6,002
3,553
3,285
6,124
25 24 16 16 28 Total31.2 29.7 30.3 33.3 31.3
472,082
552,881
492,755
515,092
546,142
1,956 2,233 2,244 2,437
2,506DEPARTMENTAL INCOME68.8 70.3 69.8 66.7 68.7 1,041,930 1,310,070 1,136,110
1,032,645 1,199,660 4,316 5,292 5,174 4,885 5,504OPERATING EXPENSESAdministrative &
General7.07.48.79.1 9.6 105,894
138,316
141,121
140,057
167,965
439 559 643
663 771Management Fee2.12.52.72.6 2.8 31,288
45,572
44,133
40,243
49,008
130 184 201 190 225Marketing3.02.92.72.6 3.7 45,620
54,727
44,439
39,920
65,375
189 221 202 189 300Franchise Fees0.40.40.50.5 0.3 6,588
8,074
8,496
7,795
5,317
27 33 39 37 24Property Operations & Maintenance5.44.95.45.7 6.0 81,778
90,665
87,780
88,550
105,099
339 366 400 419 482Energy7.87.38.58.9 8.5
118,763
135,077
138,749
138,097
147,899
492 546 632 653 679 Total25.8 25.4
28.5 29.4 31.0 389,932
472,431
464,717
454,661
540,662
1,615 1,908 2,116
2,151 2,480HOUSE PROFIT43.1 45.0 41.2 37.4 37.8 651,998
837,642
671,396
577,985
658,996
2,701 3,384 3,058 2,734 3,023FIXED EXPENSESProperty Taxes0.70.60.60.8 0.9
10,520
11,217
10,031
11,819
15,310
44 45 46 56 70Insurance0.60.30.30.4 0.3
8,256
5,933
4,522
5,355
5,727
34 24 21 25 26Other Fixed
Expenses1.40.91.11.4 2.8 21,831
17,027
18,365
21,935
48,282
90 69 84 104
222Rent1.41.21.31.0 1.4 20,670
22,464
21,784
15,392
24,044
86 91 99 73
110 Total4.13.03.43.5 5.4 61,277
56,640
54,702
54,500
93,363
254 229 249
258 428NET INCOME**39.0% 41.9% 37.9% 33.8% 32.4% 590,721
781,001
616,694
523,484
565,633
2,447 3,155 2,808 2,477 2,595* Minor operated departments include:
laundry, gift shop, business centre, news stand, sports, health club, garage, parking and so forth**
Net Income is before depreciation, interest payments and taxesPercentage of RevenueAmount
Per Available Room (`)Amount Per Occupied Room (`)

TABLE 1: Trends in Key Operating Statistics

10Page

City Trends
which over 2009/10industry Indian hotel for the levels improvesaw performance 2010/11
steadily The year

saw improvedcountry across the hotel markets crisis. Most global economic of
the the effects had witnessed
occupancy levels and average rates with an increase in international leisure
demand (up 11.7% from the
previous year), strong growth in domestic leisure demand (up 9.7% from the
previous year) and a double
17.3% up approximately Events (MICE) Conventions and Meetings, Incentives,
emanating from digit growth
previous year. from the
It should be noted that the country average is not representative of the trends
seen in certain keyhotel
markets in India as it includes the results of lower star category hotels
across several cities which,
and rate average occupancy 2 illustrates Table operating environment. more
restrained have a comparatively,
the viewpoint on by HVS's is followed years, which last five over the the country
cities/regions across for 32
in-house research. based on hotel markets 19 identified of the and performance
demand-supply scenario
2: TABLE Room Rate: 32 Cities/Regions in Indiaverage Occupancy and Average A
OccupancyAverage Room Rate(`)

City2006/07 2007/08 2008/09 2009/10 2010/11 2006/07 2007/08 2008/09


2009/10 2010/11
All India 66.8% 69.3% 63.1% 61.3% 62.1%4,5564,4874,8424,5783,741
Agra58.9% 62.8% 54.8% 57.0% 63.2%2,3613,3074,2112,4823,968
Ahmedabad 69.6% 74.9% 63.7% 65.7% 67.6%2,1084,1384,0393,3673,234
Aurangabad 52.9% ID 56.5% 57.9% 59.5%2,160ID 2,2892,8502,612
Bengaluru 67.9% 73.1% 56.5% 52.6% 53.8%8,5199,6799,7576,7665,838
Bhopal74.7% 70.3% 72.2% 66.1% ID2,0282,6472,6393,110ID
Chandigarh 88.7% 79.6% 79.6% 69.1% 70.4%1,1034,0573,7164,7804,544
Chennai 78.7% 77.4% 64.6% 65.6% 64.8%3,3403,0764,6784,0835,508
Coimbatore 72.9% 77.8% 72.1% 75.5% 72.8%2,3222,6343,2553,2363,989
Darjeeling 56.3% 57.8% ID 47.2% ID2,0901,719ID 3,193ID

Goa71.3% 70.1% 61.7% 63.1% 64.4%4,5154,3685,3784,7577,807

Hyderabad 71.6% 63.7% 56.3% 58.8% 53.3%4,6605,6434,7305,1374,152


Indore69.8% 72.9% 68.7% 65.2% 65.4%9921,4861,9331,8141,869
Jaipur69.2% 63.0% 61.4% 57.7% 64.0%2,7435,4604,4724,0593,071
Jodhpur 50.7% 53.6% 51.0% 43.2% 49.2%4,0665,4683,9644,5525,519
Kochi75.4% 75.2% 67.4% 64.4% 74.2%1,2371,4862,0622,8061,528
Kolkata75.6% 72.5% 69.6% 64.5% 65.4%3,5675,1385,3424,8804,788
Kullu-Manali 46.9% 48.1% 50.9% ID ID2,3341,6883,716ID ID
Lucknow 70.8% 71.6% 63.0% 58.7% 59.8%1,9882,2082,4915,1092,393
Mount Abu 56.6% 57.0% 69.4% 67.5% 63.0%1,5581,8251,8232,1592,821
Mumbai 79.2% 80.1% 71.2% 67.2% 69.0%4,9966,6656,8225,8335,087
Mussoorie 50.9% ID 48.0% 45.9% 52.5%1,454ID 4,0996,0785,817
Mysore 46.4% 66.3% 67.7% 67.7% 71.4%3,3001,2542,3402,6374,634
Nagpur69.4% ID ID 61.5% 76.6%1,144ID ID 3,1322,314
New Delhi - NCR 82.2% 78.0% 64.8% 64.6% 59.0%7,4599,7286,0876,9856,763
Pune80.7% 76.5% 65.5% 53.2% 53.3%3,2324,9274,9513,9213,140
Raipur74.1% 52.7% 64.3% 39.0% ID2,5501,0551,0871,521ID
Shimla52.2% 64.6% 52.7% 48.0% 42.7%1,5541,0331,7661,7902,267

Thiruvananthapuram62.4% 65.1% 57.9% 55.3%


61.8%3,9592,2211,5701,4221,380
Ootacamund 48.5% 58.3% 58.1% ID ID1,5271,2581,956ID ID
Udaipur 57.8% 58.2% 51.6% 47.0% 55.2%3,7006,3207,3193,5437,406
Vadodara 71.9% ID 77.9% 65.6% 77.8%1,730 ID 2,779 4,360 3,703
Visakhapatnam 71.4% 75.9% 69.0% 62.1% 76.3%2,495 3,169 3,687 2,809 5,431
ID: Insufficient Data

11Page

Cities Seven Major


Bengaluru
Bengaluru witnessed a steady increase in both occupancy and average rate in 2010/11.
The average rate

lower average presents a and, therefore, unbranded hotels percentage of a large


2 includes Table reflected in
a considerable city saw that the hotels reveals on branded HVS's research year.
the previous that in rate than
slowdown of the economic travel post increased corporate result of as a hotel
rooms demand for increase in
Central i.e. the three micromarkets divided into is broadly in Bengaluru hotel
market years. The the previous
Business District (CBD), the Whitefield area and the Electronic City area.
The city is expected to further
segregate into two additional micromarkets i.e. the Northern (Devanhalli)
and Western (Yashwantpur)
While the CBD comprises mostly first class/luxurmarkets.y hotels that cater to
mid-management or higher
corporate clients, Electronic City and Whitefield largely consist of
midmarkrankedet to budget hotels with
of a few firstthe exception class hotels. The city relies heavily on Commercial
demand emanating from the
various micromarkets highlighted above. The year 2010/11 witnessed growth in
Extended Stay demand in
areas like The city'sWhitefield and MICE demandORR-Sarjapur. continues
topotential, however, remain
untapped owing to a lack of significant meeting spaces. The delay in the
development of a proposed
3

12,500 approximately rooms we expect forward, back. Going further set is a in Devanhalli
convention centre

to enter the Bengaluru marketwith a 67-percent probability factor of these rooms


actually commissioning.
This addition of inventory is expected to result in occupancy and average rate
pressures especially in the
areas. Electronic City Whitefield and
Chennai
a marginal 2010/11 and occupancy in increase in a steady also witnessed cities, Chennai most
major Similar to

growth in average rate as well. The city saw a resurgence of demand from
the IT Sector as well as the
4

-on-year volume growth of 26.0% which witnessed a record yearautomobile sector, in total units
produced

demand cater to continue to however, City hotels, of financing. easy availability


demand and revival in due to
finance. banking and like traditional sectors emanating from
Going forward,significant investments into hotelsas the primarily in city
expandsfurther,the budget and
converting to these areas result in estimated to areas is and OMR the
Sriperumbudur segments in midmarket
along with Sriperumbudur, city and of thecorridor the IT OMR is within Chennai.
individual micromarkets
role. key playing a automotive sectors manufacturing and hub with an industrial
fast becoming Oragadam, is
As these areas continue to witness additions of major companies, HVS
expects hotels to benefit from
increased demand from the Commercial and Extended Stay segments.
Additionally, new hotels that are
2,500 rooms total of well. A MICE as demand for to increase expected facilities
are large meeting planned with
are expected in the next three years in the upscale and luxury segments,
adding to an existing base of
to is bound the market supply entering amount of The large same segments. in
the 2,000 rooms approximately
to is expected average rate city-wide term,but the to medium the short levels in
on occupancy put pressure
the market. products entering and upscale the luxury due to witness growth
Goa
Goa, which is among the most popular leisure destinations of the country, saw a marginal
increase in

occupancy inmarketwide 2010/11. The survey results reveal a significant jump in


average rates, which can
largely be attributed to the recovery of average rate among upscale hotels across
Goa post the effects of the
downward pressure faced in 2009/10 as a result of the global economic crisis. The
city continues to witness
airport current at the the facilities would require this growth However, demand
growth. steady year-on-year
to be further developed to handle passenger movement round-the-clock. The
proposed development of a
new airport in North Goa has also shown no signs of progress. other issues such
as lack ofAdditionally, a
4

ManufacturersSociety of Indian Automobile

12Page

the clarity regarding lack of and clearances, obtaining approvals obstacles in policy,
comprehensive tourism

latest CRZ norms and frequent disputes over land use and ownership have
resulted in a relatively slow
increase in supply within the Goa hotel market.In the short to medium term, MICE
demand for the city is
remains the city outlook for Overall, the Grand Hyatt. of the recent opening with
the a fillip to get expected
that the opinion are of Weterm. to long the medium gradually in to grow
expected average rates positive with
-on-year that will witness yearGoa will continue to remain a lucrative market
growth in tourist arrivals. We
expect the proposed supply of new hotel rooms to therefore be successfully
absorbed by the market in
levels. overall occupancy increase in an in addition to
Kolkata
2009/10. rates from in averagecorrection a slight occupancy but improvements in witnessed
marginal Kolkata,

last two in the segment, although and MICE the Commercial mainly from to
demand hotels cater The city's
limited has seen the city growth. Although seen significant has also Leisure
segment from the years demand
an Rajarhat promise like developing areas areas, new old CBD of theinfrastructure
the civic improvements in
3

the market, developed in to be3,600 expectedApproximately Kolkata.rooms are outlook for


overall positive

of which we estimate 58% room inventory to be developed over the next five
years. A large percentage of
the will strengthen segments which and midmarket the upscale positioned in to
be are expected these hotels
this short termIndia. In thelocations in other metro to the it comparable make
offering and overall product
will result in overall average rates to remain at their current levels, however with
the entry of new supply,
occupancy levels are expected to correct in the short term and retain their
current levels once the new
levels. stabilized performance properties achieve
Mumbai
Mumbai has maintained its 2009/10 occupancy levels with a slight decline in average rates. Still
recovering

from the significant drop in marketwide performance following the economic


downturn in 2008 and 2009
coupled with the addition of new growth forsupply, the overall marketremains
slow paced. The future

outlook for remains positive;Mumbai, however, being the financial hub of the it
willcountry, continue to
and consulting, insuranceservices, comprising financial sector, the services
demand from attract commercial
of lower on account commercial hub a major develop into continues to North
Mumbai banking companies.
office rentals and the majority of the city's working population residing
here. From an infrastructure
is Rail Project Mumbai Metro and the expansion continuing its Airport is
Chhatrapati Shivaji standpoint, the
expectedto start partial operations of Phase intra-city roadsI in and the2012.
However, burgeoning traffic
in airport developmentinternational A new the city. commuters in point for a sore
to be conditions continue
in the development sometime to commence is expected 2010 and clearance in
finally received Navi Mumbai
months. twenty four next
(NCR) Region Delhi-National Capital
Supply pressures Faridabad. Ghaziabad and Noida, Gurgaon, in Delhi, hotels located comprises of
The NCR

in the NCR saw the city occupancy and average rates drop from those in
the previous year. The
Commonwealth Games which was hosted in Delhi during October 2010, did
not result in the expected
lead up in the up business anticipated fill provide the did it Delhi, neither demand
for room night increase in
although, micromarkets strong individual themselves as have established and
Noida event. Gurgaon to the
only Gurgaon, continues to add new hotel roomsThe abundance year-on-year.of
Grade A office space at
these Delhi to and South from Central shifting base several companies resulted in
rentals have relatively low
Additionally, micromarkets. the various demand across affecting Commercial
thereby significantly areas and
infrastructure developments such as improved Metro connectivity to Gurgaon
and Noida have further
improved overall development of the area. poor publicHowever, road transport,
civic infrastructure and
On the looking regions.forward otherwise dampen the continue to management
solutions inadequate traffic

13Page

other hand, the main areas of Central Delhi have seen much improved
infrastructure on account of
of construction Delhi Metro, of the expansion include the Games. These the
Commonwealth preparations for
have helped others that (T3) among TerminalInternational the new development
of and the intra-city roads
travellers. investors and for both more attractive the city in making
has of Noida-Greater Noida many areas implementation in and project land
acquisition supply side, On the
Formula concluded Indian the recently like class events hosting world this area
spite of slowdown in seen a
One Grand Prixin October 2011. Other identified growth areas in Delhi like the
DIAL Aerocity(about 15
hotels under planning and development), Gurgaon, Dwarka, Westand East Delhi
continue to see active
hospitality focused developments. Gurgaon, alone is to doubleexpected its supply
over the five yearsnext
and has had the highest completion ratio of announced projects in the NCR. In the
short term, the NCR
with 2012 coupled from late DIAL hotels of the phased introduction and the
strong market be a continues to
the addition of proposed commercial developments in Gurgaon, Noida and
Faridabadand a convention
short term, In the years ahead. in the night demand augment room estimated to
area is the Aerocity centre in
in thecorrection see a Delhi will and East Noida, Faridabad Ghaziabad, Greater
like markets individual micro
in the However, these markets. supply into of new of entry the rate reflective of
will be occupancy; this market
allow occupancy and will in demand significant growth will see these markets
each of long term medium to
a will see of NCR most locations rates in wide average the market two years, the
next strengthen. In levels to
hotels. DIAL Aerocity of the the opening especially withcorrection
Pune
increase of a supply With in 2010/11. under pressure rates come and average occupancy levels
saw both, Pune
3

market Commercial-demand driven largely a which was the city in 2010/11,2,000


approximatelyhotel rooms

meeting total indoor support a hotels today The city west India. destination in a
MICE developing as is also
space area of approximately 8,500 square metres. Micromarkets likeHinjewadi,
Chakan, Ranjangaon, and
traditional of a the lack created by the void hotels, filling the city generators for

main demand are the Talegaon


new of this each micromarket; supply in influx of a large to see expected is still
the cityforward, CBD. Going
growth in hotel market for the bodes well share that a largeform hotels now and
budget midmarket supply,
the identified industrial areas. In the short term, we believe that market
occupancies will improve from
current levels while average rates will continue to see correction. In the
medium to long-term, as MICE
of performance. stable levels to reach the market we estimate to grow demand
continues

Other Cities Twelve


Ahmedabad
The Ahmedabad hotel market saw a steady increase in occupancy in 2010/11 with a very marginal
dip in

average rates. Under the current government's investor-friendlyregime, an


increasingly large number of
companies are moving to Ahmedabad and are looking to make major investments
into the state. Though
Ahmedabad is considered a business friendly destination with transparent
government policies, some
projects such as the Gujarat International Financial Tec-City (GIFT) and the
Sabarmati Riverfront
3

2,300 rooms, of approximately supply pipeline hotel room delays. A have encountered
Development Project

in the hotel investors nature of the bullish testament to developed, is being


actively 73% is we believe of which
area. The strong demand growth in the marketis expected to support the
proposed and wenew supply,
of the sensitive nature the price owing to However, long term. medium to in the
to continue this trend expect
near future. in the rate increases only moderate expect pressures, we and supply
Ahmedabad market
Bhubaneswar
Bhubaneswar is the capital city of Orissa and is also City ofpopularly known India'. Itas the is
an'Temple

14Page

also It is the city. landscape of dot the temples that hundreds of and has
pilgrimage centre important Hindu
an important centre for handicrafts that include stone and wood carvings,
Patta paintings, tie and dye
textiles, brass and bell metal work among many others. The city primarily
has hotels in the unbranded
in nature primarily Leisure city is for the brands. Demand class hotel and first
midmarket a few segment with
Rourkela. Cuttack and Puri, like in Odisha other cities gateway to as a city acts
wherein the
Hyderabad
result, occupancy As a in 2009/10. the city travel to for reduced was responsible in
Hyderabadturmoil Political

resolve, situation to the political waiting for tired of However, city suffered. for
the average rates levels and
in Commercial the increase led to This has sector. Hyderabad's corporate again in
commenced once travel has
2010/11. hotels in levels of overall performance marginally improving companies
and existing demand from
concern for cause of is a Hyderabad, which moving to investments are companies
are/or no new However,
the hotels in between more getting divided will keep hotel rooms demand for
existing as the hotel operators
years to come. The Hyderabad International Convention Centre (HICC),
which should have reached a
to sustain social functions weddings and heavily upon to rely has had by now, of
performance stabilized level
international domestic and only high-profile of hosting initial strategy from the
major deviation operations, a
7.0% increase in supply conventions and groups. The muted demand growth
coupled with approximately
Going forward, occupancy levels. to raising giving precedence hotel operators
rates with to eroding has led
few years. next over the to continue this trend we expect
Indore
had been business activity Historically, Madhya Pradesh. capital of and commercial the economic
Indore is

limited to textile production and domestic trade. These production houses,


factories and mills are
in infrastructure the IT to improvetrying is nowgovernment The state city. of the
the heart concentrated in
from received approval airport hasinternational the proposed SEZ near an IT set
up plan to and the the city
the state government. The city is also now becoming a keymanufacturing centre

for automobile units like


and Eicher Motors. The Motors, Bajajhotel market Force consists ofTempo budget
and midmarkethotels,
Hotel saw Radisson Blu of the recent opening years. The past five performancein
the shown stable and has
sized of medium the addition we expect Going forward, the city. added to hotel
being five-star deluxe the first
and the expansion segments. With independent hotel branded and in the hotels
both midmarket budget and
development of automobile units and the development of multi-use SEZs in the
we expectcity, a stable
few years. next in the for Indoreperformance
Jaipur
and cultural heritage its rich owing tocountry of the leisure destinations the top one of to be
Jaipur continues

presence in the Golden-Triangle itinerary together with Delhi and Agra.


Commercial demand, which is
gems and of garments, large base from its historically emanated area, has city
centre to the restricted mainly
jewelry traders. In the recent past, Commercial demand has been
supplemented by the addition of the
business process outsourcing (BPO) sector, specifically, Infosys and Genpact
and telecommunication
both technical set up companies have Telecommunication Reliance etc. Vodafone,
as Airtel, companies such
leisure to other state. Similar in theservices out 3G of rolling the purpose Jaipur
with offices in as sales as well
beginning to is also The city in 2010/11. improved performances Jaipur witnessed
the country, destinations in
open soon to and the the Marriott like hotel openings back of on the MICE
demand amounts of generate large
by centre planned a convention Additionally, on offer. meeting spaces with
substantial which come Fairmont,
the state government in Sanganer is further expected to boost MICE
demand in the city. The year also
witnessed much improved domestic leisure travel movement and this trend is
expectedto continue in the
against segment as Jaipur's Leisure 40% of contributes to traveller now The
domestic medium term. short to
3

the earlier 30%. A supply pipeline of approximately 4,800 rooms, of which 45% are
expected to see

15Page

completion, is expected to result in occupancy and rate pressures across


the city. Additionally, a large
for thedeterrent as a may act segment, which first class in the expected supply
is the proposed percentage of
segment. the leisure portion of a significant now comprises traveller who priceconscious domestic
Kochi
its portfolio tourism to now added and has for Kerala financial hub trade and been the has
historically Kochi

by becoming the gateway to some of the country's most popular tourist


destinations and likeKumarakom
the comprises of hotel accommodation demand for portion of the major others.
Although Thekkady amongst
The International as well. Leisure demand and Individual large MICE caters to
Kochi Commercial segment,
the city to see is expected in India,terminal first transshipment (ICCT), the
Terminal Container Transshipment
grow into an international sea port. Forthe hotel industry,this will augment the
growth of Commercial
Also the year. vessels each large container 5.5 million to handle port positioned
with the the city demand for
room fillip to a major to provide is expected the city, team of cricket the IPL
Tuskers, the Kochi introduction of
be continues to from Kochi to and air travel However, the city. held in matches
are when IPL night demand
expensiveand overall connectivity will also need to improve to enable the city to
further capitalize on its
Leisure demand. MICE and
Kottayam
Kottayam,which is located in Kerala,is famous for its panoramic backwater stretches, lush paddy
fields,

trading spices centre for an important city is rubberplantations. The extensive


hillocks and highlands, hills,
in 1989. literacy back achieve 100% India to town of the first It was rubber. crops,
especially and commercial
The city is primarily a leisure destination and forms a parttourism itineraries of
severalthat include Kerala
the hotels in Madurai. Most city, the temple Ernakulam and Thekkady, Munnar,
Peermade, like other places
nature of the steady resorts. Given Class branded First few select with a
unbranded segment in the area are
Leisure demand that the city receives, we expect the Kottayam hotel market to be
relatively stable in the
long term. medium to

Mysore
tourist destination, a popular to be allows it climatic conditions and excellent to Bengaluru
Mysore's proximity

receiving over two million visitors annually.The city's growth and expansionis
managed by the Mysore
Urban Development Authority(MUDA).Mysore is well connected to Bengaluru,
Coorg, KozhikodeOoty,
industries in Mysore compriseand Coimbatore. of weaving,Traditional sandalwood
carving, bronze work
tourism, engineering, comprise of Mysore also industries in salt. Additionally, lime
and production of and the
facilities that and research several education also houses The city ITeS. IT and silk
production, auto ancillaries,
comprises ofcurrently market The hotel science colleges. engineering and dental,
pharmacy, include medical,
small unbranded hotels in the budget and midmarket segments. Future supply
indicates the addition of
branded medium-sized midmarket hotels to this current supply. The
Bengaluru-Mysore Infrastructure
are the airport operations of and improved in tourism developments, growth
planned commercial corridor,
airport at of the The commencement in Mysore. market the hotel growth of the
further to facilitate expected
Mandakalli is expectedto stimulate the development of a peripheral area and we
expectit to emerge as a
run. the long generator in major demand
Shimla
Shimla, the capital city of Himachal Pradesh, has historically been the summer getaway
for domestic

see tends to the city market As a and Haryana. Uttar Pradesh Punjab, from DelhiNCR, travellers emanating
peak occupancies in the summer months (April to September) and lower
occupancies in the winter ones
Nalderah Kasauli, Chail, like include locations Shimla, which surroundingareas of
March). The (October to

16Page

and Kufri have witnessed increased visitation with the opening of several
small unbranded midmarket
resorts resulting in occupancy pressures in the city.rapid
commercializationAdditionally, of the city has
As the city. demand to eroding Leisure resulting in the area fauna of flora and of
thedestruction affected the
smaller independent resorts continue to open in the area, we expecthotel
occupancies and rates to come
few years. the next pressure in under some
Thiruvananthapuram
erala, is fairly dissimilar to other cities in the state in that Leisure Thiruvananthapuram, the capital
city of K

travel is not the main demand segment for hotels in the area. Room night demand
in the city primarily
emanates from the Commercial and Government segments. Kovalam, which is
located approximately 16
with quality hotels of its by way Leisure demand that generates only area is the
city, of the kilometers south
private beach access. A lack of any significant new commercial
development has resulted in declining
occupancy and average rates for Thiruvananthapuram. Although the government
is trying to encourage
growth ofsector withcampus, these the ITthe expansion developments have of
the and ITeS Technopark
been slow in taking shape and are not helping generate new demand for the city
hotels. As this trend is
the hotel future supply, addition to a limited coupled with medium term short to
in the to continue expected
few years. next for the limited growth to see expected city is in the market
Udaipur
Udaipur, in the state of Rajasthan, is a popular tourist destination famous for its forts,
palaces, havelis,

Jaipur Delhi via city to connects the NH-8, which location along The city's and
culture. architecture, heritage
a benefits from The city an advantage. acts as the west, Ahmedabad in Mumbai
via India and north of in the
luxury properties number of of the by virtue and internationaltourists and of
domestic significant number
throughout moderate climate Udaipur has rates. Though high average hotels
attract here, Udaipur that exist
the peak to be is considered to March from September the period the state, rest
of to the as compared the year
been fairly city has overall performanceof the verypleasant. The temperatures
are as the the city season in
of the a result tourists as in foreign a decline owing to in 2009/10 slight dip with a

five years the past stable for


global economic crisis. The year 2010/11 saw a revival of sorts, albeit at a
slow rate. Considering the
relatively performanceto be the city's we expect for tourists, popular destination
as a the city importance of
term. to long the medium stable in
Vadodara
the industrial Most of industrial hub. an important emerged as Gujarat, has city in the third-largest
Vadodara,

activity is based out of industrial estates established by the Gujarat Industrial


development Corporation
(L&T) set Tourbo Larsen & In 2009, and Makarpura. Waghodia Savli, Halol, areas
of the peripheral (GIDC) in
we expect Going forward, its companies. three of headquarters of as the
Waghodia City near up Knowledge
local pressures of due to corporation limits the municipal place outside take
developments to the new most of
and has highly congested city is of the business district the central Moreover,
land availability. taxation and
potential. limited growth
Unbranded hotels positioned predominantly in the budget and midmarket
segments constitute a large
of the city, operational in branded hotels only five there are Presently, hotel
market. the Vadodara portion of
et, the has been a stable markwhich, two have commenced operations in 2011.
While historically Vadodara
and across branded 825 rooms approximately addition of with the to change
expected dynamics are market
are expected average rates occupancy and The marketwide few years. next over
the independent segments
of the proposed expansion considering the however, three years; two to next for
the under pressure to come
anticipated. city is for the steady growth an overall industrial estates,surrounding

17Page

1. Indian Hotel Industry by Star


Category
Introduction

classification the star according to hotels analyzed of the the performance results
of presents the This section
for 2010/11. the survey participated in 1,318 hotels total of An overall survey. in
the hotels participating of the
the results 1-10 present 1-1 to Table in India. categories applicable the eight
classified into have been The hotels
year 2010/11. for the star classification to their hotels according of
Indianperformance of the
Each star categories. across all India Totals for All a column have included
comparisons, we provide further To
section includes the total number of respondents forallowing the each
componentreader to of the survey,
received. the data validity of judge the
document. All the entire consistency throughout to enable each section
standardized in has been The layout
(`). rupees in Indian figures aremonetary (April-March), and to 2010/11 figures
pertain
Trends
Employeeoom Ratio: The to R survey results reveal the difference between five-star deluxe
and four

star hotels as far as the employee to room ratio is concerned as not that
significant. While the former
the period. Globally, the same 1.8 for was at the latter in 2010/11, hotel room
employees per averaged 2.0
if one In fact to 1.0. or equal lower than to be below tend hotels and for four-star
employee ratios room to
in hotel room employee per below 1.0 none were as well, of hotels lower
positioning analyze the were to
categories. their respective
Market While domestic in 2010/11. distinct changes saw some segments, overall,
Segmentation: Market

previous in the from that traveller dropped domestic business of the the
contribution travel dominated,
and 13.0%, by 8.0% movement grew foreign FIT domestic and hand, both the
other 16.0%. On year by

respectively in line with the overall economic growth MICE asin India. a
segment,Additionally, has
grown steadily over the last two years to form 11.5% of approximatelythe overall
segmentation. This
and room meeting spaces with large the market added to of properties a number
attributed to may be
five-star five-star deluxe, to by largely catered to be segment, continues as a
inventories. Airline Crew,
hotels. and four-star
Country of Origin: that ofmirror continues to of guests of origin the country composition of
The overall

the previous years' i.e. the UK, USA, followed by other European countries
dominate the overall
visitations. The warmer climate in India as compared to the sub-freezing
temperatures in Europe is a
primary driver of the European-led tourism. This year also witnessed increased
visitation from the
the led to India, has companies in of Asian increasing presence Japan. The China
and ASEAN countries,
market corporate travel fairly developed of a .creation

18Page

1-1: Indian Hotel Industracilities Analysis and Staffingy by Star Category: FTABLE
Room Profile of an Average HotelTypical
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star Two-Star One-Star


Heritage OthersIndia Average
Number of Responses4766 103473 295 9745 1931,318
Air-Conditioned Single 43.4 24.0 12.74.6 3.0 1.5 1.4 1.56.4
Double 136.0 99.2 65.5 41.7 23.6 14.9 21.4 19.339.8
Suites 20.6 10.2 9.45.4 3.3 1.6 6.2 2.45.3
Non-Air-Conditioned Single 0.0 0.0 0.30.7 1.3 1.6 0.3 0.60.8
Double 0.0 1.9 3.74.3 6.9 7.2 5.5 7.85.3
Suites 0.0 0.1 1.20.5 0.7 0.3 1.2 0.60.6
average roomsTotal199.9 135.5 92.7 57.2 38.9 27.0 36.0 32.358.2
par rooms in lower star categortly because many are located * The number of non-air-conditionedy hotels appears to be
higher,

-conditioning is not provided in hotels in hill stations where air


er Hotel & Beverage Outlets PAverage Number of Food
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star Two-Star One-Star


Heritage OthersIndia Average
Number of Responses4761 96426 239 7040 1391,121
Restaurant3.3 2.9 2.11.6 1.3 1.2 1.5 1.41.7
Bars1.5 0.9 1.10.9 0.6 0.5 0.7 0.60.8
Others0.8 1.1 1.51.0 0.5 0.3 0.4 0.30.8
Total5.6 5.0 4.73.4 2.5 2.1 2.6 2.23.2
Time)ull Time / Part / Contract / Fer Hotel (Permanent Employees PAverage Number of Total
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star Two-Star One-Star


Heritage OthersIndia Average
Number of Responses4657 91419 266 8839 1351,144
ManagersMale 50.9 26.9 15.36.7 2.8 1.9 4.9 2.48.3
Female 13.9 5.8 2.70.9 0.5 0.3 0.5 0.21.5
SupervisorsMale 53.2 30.8 19.19.5 4.0 2.7 7.4 3.210.4
Female 9.5 5.0 3.11.4 0.7 0.4 0.6 0.41.7
StaffMale 250.2 151.5 114.0 62.6 32.0 19.7 47.1 25.363.2
Female 33.1 17.6 10.97.0 3.2 3.0 3.6 1.97.0
Total410.8 237.5 165.1 88.0 43.1 27.9 63.9 33.492.0

oom2.1 1.7 1.81.5 1.1 1.1 1.8 1.11.6 Employees / RAvg.


Hotelrained Employees Per of TAverage Percentage
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star


Heritage OthersIndia Average
Number of Responses3852 80293 151 5229 53751

Two-Star One-Star

Managers91.7 85.8 91.0 86.0 87.2 93.9 90.2 86.187.8


Supervisors85.1 78.5 86.0 81.4 75.0 83.3 84.7 82.681.0
Staff74.1 67.2 86.0 64.0 58.7 68.8 67.0 64.666.5
rained Employees* 83.6 77.2 87.7 77.1 73.6 82.0 80.6 77.878.4 Avg.
TTotal
EmployeesTrained Avg. Un-Total 16.4 22.9 12.3 22.9 26.4 18.0 19.4
22.221.6
Employees includes those with a minimum one-year cer* Trainedtificate coursefrom a hotel management or equivalent
institution;

, some hotels may have included those with short ter howeverm (in-house)
training

19Page

COMPOSITIONFive-Star Deluxe Five-Star Four-Star Three-Star Two-Star One-Star


Heritage Others2010-2011 All India AverageNumber of Responses394765200
11154199544Average Total Rooms Per Hotel:19214193613928342672Average Occupied
Rooms Per Hotel: 43,853 30,665 20,125 13,633 8,782 6,103 6,735 4,68115,768Average
Occupancy Per Hotel:66.2% 61.4% 60.3% 61.8% 64.6% 68.0% 50.5%
48.7%62.1%Average Rate Per Hotel (`):8,045
6,516
4,311
2,775
2,188
866
3,257
1,772
4,578REVENUERooms56.9% 58.7%
61.5% 55.8% 50.7% 47.7% 48.4% 56.1%57.2%Food & Beverage23.324.8 25.331.6 42.3 34.4 36.3
34.327.0Banquets & Conferences12.19.89.77.93.22.01.8 8.69.6Telephone &
Other0.60.40.40.50.70.30.1 0.00.5Minor Operated*3.03.81.71.71.40.22.4 0.62.6Rental & Other
Income4.12.51.52.61.7 15.4 11.0 0.43.1Total100.0100.0 100.0 100.0 100.0 100.0 100.0
100.0100.0DEPARTMENTAL EXPENSESRooms18.312.7 16.016.5 18.0 38.6 19.3 20.016.1Food &
Beverage54.237.8 56.461.6 69.0 72.7 53.6 73.852.9Telephone & Other48.5134.8 32.0 253.3 83.0
270.0 120.0 110.0104.0Minor Operated*51.640.6 135.9 155.4 95.7 160.0 117.8 167.970.4Rental
& Other Income1.62.69.839.7 71.59.17.5 75.011.3Total31.522.732.138.3 43.6 50.8 33.6
45.931.3DEPARTMENTAL INCOME49.228.7 61.767.9 56.4 68.5 66.3 54.168.7OPERATING
EXPENSESAdministrative & General9.610.8 10.99.46.17.88.8 5.89.6Management
Fee3.72.92.11.83.11.70.4 0.72.8Marketing4.85.12.62.21.74.30.9 1.83.7Franchise
Fees0.10.50.40.50.00.10.30.10.3Property Operations & Maintenance5.25.77.95.87.27.8 10.5
6.76.0Energy7.87.39.311.29.89.88.0 9.98.5Total31.232.2 33.330.9 27.9 31.5 28.9
24.931.0HOUSE PROFIT37.345.1 34.630.8 28.5 17.7 37.5 29.237.8FIXED EXPENSESProperty
Taxes1.10.60.60.81.52.00.2 0.60.9Insurance0.30.30.30.40.50.30.2 0.90.3Other Fixed
Charges6.51.00.50.70.51.10.2 0.72.8Rent 1.51.50.81.31.40.84.6 0.31.4Total9.43.32.23.33.94.25.2
2.55.4NET INCOME**27.7% 41.8% 32.3% 27.6% 24.6% 13.5% 32.3% 26.7%32.4%* Minor
operated departments include: laundry, gift shop, business centre, news stand, sports, health club,
garage, parking and so forth** Net Income is before depreciation, interest payments and taxesID:
Insufficient Data

TABLE 1-2: Indian Hotel Industry by Star Category: Financial Report Percentage
of Revenue (2010-11)
20Page

8,945
4,578
8,6005,3175,727
6,124
45,82565,375
49,008
15,310
48,282
93,363
54,29432,25424,044
105,099147,899
997,815167,965
160,980337,840
658,996
546,142540,662
471,013168,253565,633
1,745,8001,199,660

65
432
5,231
3,865
3,1822,3139,4421,513
2,7445,3443,3773,947
1,772
49,611
10,11938,409
57,15014,068
64,534
33,026
196,935167,715
322,642143,002
264,030
574,747310,717153,647
181,966
876
2,223
4,669
3,4142,0873,154
4,286
3,257
12,111

24,76369,952
11,18462,487
32,20637,926
453,381388,501
275,035141,525107,235504,815
148,313125,823434,863
652,208488,330
893,316118,676
1,346,700
745
428
866
6,771
7,9521,362
1,309
8,1383,198
3,534
5,6264,456
17,031
53,975
31,00270,943
16,969
61,60014,68831,33839,328
73,527
400,221196,841
190,730137,698203,380125,898
106,004
261
4,3115,031
5,618
6,766
2,188
11,37169,471
13,925
59,01392,492
31,03988,03930,139
12,73014,410
13,30415,99437,677
15,906
408,625420,975
490,003965,643
544,668267,370277,298239,620
303,217

4,9739,333
7,429
5,207
4,746
2,775
28,83164,771
11,27919,74914,589
87,54018,54828,420
12,59424,64436,097
685,785308,275
620,473104,692341,413344,372
102,479425,639122,349
351,470
270,456
1,111,420

4,311
1,7425,8836,883
9,639
2,178
4,777
5,446
39,981
22,125
25,64234,84233,733
32,490
12,434
146,651501,951
137,462
120,669
149,760299,818488,340
384,717165,467495,864
935,306529,596
1,519,8901,031,550

6,512
1,587
9,926
6,516
23,45179,771
13,375
11,29335,772

92,42961,399
37,50069,360
14,037
315,481
599,132236,182180,203175,492
261,169137,999778,439
123,127
548,146
1,419,1202,418,1801,870,0401,091,6001,011,830

Total3,223,220Total1,014,840Total1,005,700Total301,207
COMPOSITIONFive-Star Deluxe Five-Star Four-Star Three-Star Two-Star
One-Star Heritage Others2010-2011 All India AverageNumber of
Responses394765200 111 54 199544Average Total Rooms Per
Hotel:1921419361 3928 34 2672Average Occupied Rooms Per Hotel:
43,853 30,665 20,125 13,633 8,782 6,103 6,735 4,68115,768Average
Occupancy Per Hotel:66.2% 61.4% 60.3% 61.8%64.6%68.0% 50.5%
48.7%62.1%Average Rate Per Hotel (`):8,045REVENUE
(`)Rooms1,833,760Food & Beverage749,307Banquets &
Conferences390,741Telephone & Other19,628Minor Operated*97,361Rental &
Other Income132,425DEPARTMENTAL EXPENSES (`)Rooms334,890Food &
Beverage618,131Telephone & Other9,519Minor Operated*50,243Rental & Other
Income2,052DEPARTMENTAL INCOME (`)2,208,380OPERATING EXPENSES
(`)Administrative & General309,987Management
Fee117,985Marketing153,535Franchise Fees4,465Property Operations &
Maintenance 167,536Energy252,192HOUSE PROFIT (`)1,202,680FIXED
EXPENSES(`)Property Taxes34,704Insurance9,584Other Fixed
Charges210,314Rent 46,605NET INCOME(`)**901,473
* Minor operated departments include: laundry, gift shop, business centre, news
stand, sports, health club, garage, parking and so forth** Net Income is before
depreciation, interest payments and taxesID: Insufficient Data
TABLE 1-3: Indian Hotel Industry by Star Category: Financial Report Amount Per
Available Room (2010-11)

21Page

COMPOSITIONFive-Star Deluxe Five-Star Four-Star Three-Star Two-Star


One-Star Heritage Others2010-2011 All India AverageNumber of
Responses39476520011154199544Average Total Rooms Per
Hotel:19214193613928342672Average Occupied Rooms Per Hotel:
43,853 30,665 20,125 13,633 8,782 6,103 6,735 4,68115,768Average
Occupancy Per Hotel:66.2%61.4% 60.3% 61.8% 64.6% 68.0% 50.5%
48.7%62.1%Average Rate Per Hotel (`):8,045
6,516
4,311
2,775
2,188
866
3,257
1,772
4,578REVENUE (`)Rooms8,045
6,516
4,311
2,775
2,188
866
3,257
1,772
4,578Food &
Beverage3,287
2,751
1,773
1,572
1,825
625
2,439
1,081
2,161Banquets & Conferences1,714
1,085
676
392
139
37
124
272
772Telephone & Other86
46
25
22
30
6
4
0
39Minor Operated*427
424
118
83
59
3
161
17
210Rental & Other Income581
282
102
127
71
280
741
13
249Total14,140
11,104
7,006
4,971
4,313
1,816
6,726
3,156
8,009DEPARTMENTAL EXPENSES (`)Rooms1,469
827
690
458
393
334
628
354
739Food &
Beverage2,712
1,449
1,382
1,210
1,354
481
1,374
999
1,550Telephone & Other42
61
8
56
25
16
17
15
41Minor
Operated*220
172
161
129
57
67
189
29
148Rental & Other Income9
7
10
50
51
26
56
52
28Total4,452
2,517
2,251
1,904
1,880
923
2,264
1,450
2,506DEPARTMENTAL INCOME (`)9,688
8,587
4,755
3,067
2,433
893
4,462
1,706
5,504OPERATING EXPENSES (`)Administrative & General1,360
1,199
763
468
264
142
593
181
771Management Fee518
319
150
88
135
31
23
21
225Marketing674
565
184
110
71
77
60
56
300Franchise Fees20
52
27
23
1
2
21
2
24Property Operations & Maintenance735
634
556
290
310
141
707
211
482Energy1,106
806
634
547
413
178
536
314
679Total4,412
3,575
2,314
1,527
1,194
571
1,940
785
2,480HOUSE
PROFIT (`)5,276
5,013
2,441
1,540
1,238
322
2,521
921
3,023FIXED EXPENSES(`)Property
Taxes152
64
44
42
64
36
10
19
70Insurance42
30
22
21196112926Other Fixed Charges923108323322201622222Rent
204164576562153128110Total1,321366155161 1687734977428NET
INCOME(`)**3,9554,646 2,2861,379 1,070245 2,172 8442,595* Minor operated

departments include: laundry, gift shop, business centre, news stand, sports,
health club, garage, parking and so forth** Net Income is before depreciation,
interest payments and taxesID: Insufficient Data
TABLE 1-4: Indian Hotel Industry by Star Category: Financial Report Amount Per
Occupied Room (2010-11)
22Page

1-5: Indian Hotel Industry by Star Category:et Data MarkTABLE


Market Segmentation
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses38 52 77 338 208 65 30 53 861

Two-Star One-Star

Airline Crew5.2 3.2 1.6 1.0 0.7 0.7 0.0 0.21.2


raveller - Domestic18.3 18.6 32.4 32.8 35.2 38.1 6.8 36.231.5 Business T
raveller - Foreign23.8 21.0 13.5 10.5 6.2 6.8 9.6 8.710.5 Business T
Complimentary Rooms2.5 1.7 2.1 1.9 1.6 2.1 2.5 1.21.8
ourists/Leisure FIT13.2 13.5 14.7 18.0 24.2 21.8 26.7 26.319.8 Domestic - T
FIToreign - Tourists/Leisure F10.0 9.2 8.3 8.1 7.5 6.6 27.4 6.38.6
articipants Meeting P (Less than 100 Attendees) 3.1 4.0 4.3 4.3 4.3 3.4 3.6 3.44.1
articipants Meeting P (Over 100 Attendees) 8.1 10.3 8.2 8.3 6.2 5.1 3.5 6.57.4
our Groups - Domestic4.1 4.2 5.4 7.6 8.6 9.2 4.2 6.77.2 T
our Groups - Foreign3.5 9.0 5.7 4.7 2.8 2.8 14.7 3.44.7 T
Other8.1 5.4 3.8 2.9 2.6 3.7 1.1 1.13.2
Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
Guest Analysis
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses44 57 91 373 233 67 35 62 962

Two-Star One-Star

Domestic Guests47.1 54.5 70.1 76.8 82.2 79.1 40.7 85.374.0


GuestsForeign52.9 45.5 29.9 23.2 17.8 19.3 59.3 14.726.0
Total100.0 100.0 100.0 100.0 100.0 98.4 100.0 100.0 100.0
Business GuestsTotal67.5 55.5 66.2 60.6 59.5 63.1 24.4 58.060.0
Leisure GuestsTotal32.5 44.5 33.8 38.3 40.5 36.9 75.6 42.040.0
Total100.0 100.0 100.0 98.9 100.0 100.0 100.0 100.0 100.0
oreign Guests (Days)3.2 4.3 3.1 3.7 2.9 2.1 3.1 3.03.4 Stay of FAvg.
Stay of Domestic Guests (Days)Avg.2.1 2.3 2.6 3.1 2.7 2.1 2.4 2.82.8
Stay of Business Guests (Days)Avg.2.1 2.3 2.1 3.9 2.6 2.0 1.7 2.83.0
Stay of Leisure Guests (Days)Avg.2.4 2.3 1.9 2.5 2.3 2.3 2.2 2.12.3
epeat Guests40.0 32.7 41.3 47.4 46.8 47.4 24.9 52.945.1 of RPercentage
Country of Origin of Guests
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses29 44 51 188 95 21 25 10 463

Two-Star One-Star

ASEAN*4.6 3.9 4.0 6.1 5.1 16.7 0.4 3.05.5


Australia3.1 2.9 4.3 3.4 3.4 4.1 4.4 1.13.5
Canada2.9 1.7 4.2 4.1 5.2 3.9 3.4 6.64.1
Caribbean1.3 0.5 2.9 1.3 0.5 1.9 0.2 0.91.2
China2.7 3.4 5.0 6.0 4.5 4.6 1.5 0.84.7
France3.2 4.2 4.8 5.1 4.8 4.3 15.1 5.85.3
Germany6.0 6.6 7.3 7.4 5.4 5.5 13.2 6.77.0
Japan4.3 6.1 5.9 5.6 3.2 2.5 1.7 6.94.8
Middle East2.6 2.7 5.2 4.6 5.5 8.1 1.1 2.24.5
Other European8.6 14.2 9.8 9.1 11.4 5.0 13.2 4.910.0
Russia6.3 7.6 4.2 4.3 3.4 3.5 1.6 6.04.4
**SAARC3.1 3.4 5.3 5.1 9.0 8.9 1.4 11.75.8
South Africa1.9 1.6 2.8 2.8 1.4 5.1 0.6 3.02.3
UK16.0 14.3 10.6 12.5 16.8 9.4 21.3 21.714.1
USA18.2 10.8 11.0 12.0 11.4 8.7 9.1 12.611.7
Other15.3 16.3 12.9 10.7 9.1 7.8 11.8 6.111.2
Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
* ASEAN: Association of South East Asian Nations

Bangladesh, Sri Lanka, Nepal, Bhutan, Maldivesegional Co-operation - India,


Pakistan, South Asian Association for R** SAARC:

23Page

1-6: Indian Hotel Industry by Star Category: Monthly and Daily OccupancyTABLE
Average Monthly Occupancy
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star


Heritage OthersIndia Average
Number of Responses43 56 87 344 231 65 35 49910

Two-Star One-Star

January69.0 68.5 66.6 63.3 64.0 68.3 56.8 65.064.6


February77.5 74.4 71.4 66.3 63.4 66.5 62.1 80.967.7
March67.8 67.8 62.9 59.6 60.2 61.8 56.7 61.561.1
April65.0 62.1 57.8 59.8 61.0 62.5 47.3 63.960.2
May60.0 57.5 56.3 74.8 63.2 64.7 40.7 74.866.3
June59.2 57.4 54.9 57.8 60.8 65.2 41.2 64.858.6
July59.7 54.3 55.4 54.8 55.7 63.4 38.1 58.055.4
August74.5 67.0 55.9 69.2 55.9 61.6 46.8 57.862.7
September65.7 56.2 56.5 57.4 57.6 61.6 43.7 60.157.6
October65.0 65.0 61.6 61.6 64.4 68.1 58.2 66.063.2
November68.0 70.8 68.5 65.5 65.9 71.0 66.4 70.367.0
December66.7 68.3 68.9 68.8 69.4 74.6 63.1 75.169.4
Average Daily Occupancy
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star


Heritage OthersIndia Average
Number of Responses40 49 81 325 201 60 23 49828

Two-Star One-Star

Monday68.3 63.8 60.4 57.2 55.1 60.4 37.8 58.757.7


Tuesday69.8 65.9 71.5 57.6 56.6 61.9 37.4 59.859.7
Wednesday69.5 67.4 64.2 59.6 58.4 64.7 37.8 60.760.6
Thursday67.5 65.9 61.3 60.2 58.6 63.6 38.5 62.760.4
Friday62.2 60.8 60.0 60.3 61.8 68.3 47.6 65.561.3
Saturday59.2 57.7 55.5 55.6 58.8 64.6 54.6 59.457.5
Sunday60.9 54.7 52.4 49.1 50.6 53.3 43.3 49.850.9

1-7: Indian Hotel Industry by Star Category: Sources of ReservationsTABLE


Source of Advance Reservations
Five-Star 2010-2011 All

COMPOSITIONDeluxe Five-Star Four-Star Three-Star


Heritage OthersIndia Average
Number of Responses39 54 86 344 203 61 29 53869

Two-Star One-Star

Chain CRS (Central Reservation System) 11.5 6.7 6.0 3.9 2.9 1.3 6.7 0.84.1
Direct Enquiryepresentation 45.7 42.0 46.1 50.6 53.4 61.4 25.8 51.350.0 / Hotel R
Global Distribution System (GDS) 11.0 7.0 3.9 1.9 0.7 0.5 0.7 0.72.4
Hotel / Chain Website6.3 4.8 6.4 7.6 8.8 4.5 10.7 10.67.6
our Operator 13.5 22.1 18.6 20.4 19.6 17.5 44.6 19.920.4 Agent and TTravel
Other Online Reservation Systems 5.8 5.6 6.8 3.4 2.3 0.8 4.3 3.43.6
Other Website2.7 3.7 5.7 6.0 5.5 3.7 4.6 4.85.3
Other3.5 8.0 6.6 6.3 6.8 10.3 2.6 8.66.7
Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0

24Page

1-8: Indian Hotel Industry by Star Category:eting Media MarkTABLE


of Hotels Using Each MediaMarketing Media - Percentage
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses45 56 87 357 209 61 34 55904

Two-Star One-Star

Direct Mail80.0 87.5 86.2 83.8 77.0 78.7 76.5 60.080.4


Hotel Website100.0 100.0 96.6 88.2 79.4 70.5 91.2 67.386.0
Loyalty Card program88.9 73.2 60.9 31.9 22.0 14.8 29.4 14.635.5
Merchandising33.3 26.8 39.1 21.6 17.2 18.0 17.7 9.122.0
Other Internet Site71.1 76.8 73.6 63.6 57.4 54.1 70.6 32.762.1
Outdoor Advertising53.3 76.8 71.3 59.1 49.3 49.2 52.9 32.756.3
AdverPrinttising95.6 96.4 90.8 86.6 80.4 73.8 88.2 74.685.1
Promotions93.3 87.5 88.5 65.8 49.8 49.2 79.4 40.064.8
AdverRadiotising37.8 39.3 39.1 19.9 9.6 4.9 5.9 9.119.3
Telemarketing57.8 69.6 59.8 56.9 38.8 27.9 35.3 36.449.8
TV Advertising20.0 28.6 29.9 26.1 19.1 18.0 17.7 16.423.2
ayment Methods 1-9: Indian Hotel Industry by Star Category: PTABLE
Methods UsedPayment
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses34 49 73 314 201 64 29 42806

Two-Star One-Star

Cash Sales15.6% 19.4% 25.9% 39.1% 51.2% 63.8% 30.5% 53.3%41.1%


Credit Card Sales51.5 42.2 39.9 35.3 30.0 23.8 29.1 27.633.9
Credit Sales (other than cards) 28.5 32.9 28.9 19.1 14.0 8.8 33.1 11.619.3
ransfer4.4 5.5 5.3 6.6 4.8 3.6 7.3 7.65.7 TElectronic Fund
Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
Credit Cards Used
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses34 48 67 288 170 50 24 29710

Two-Star One-Star

American Express35.0% 20.5% 14.2% 9.2% 4.6% 1.9% 5.7% 5.4%9.8%

Diners Club2.7 2.2 2.8 2.7 1.9 2.3 0.7 1.52.3


Mastercard / Eurocard26.8 36.0 36.6 37.4 41.2 43.6 34.7 44.238.2
Visa32.6 37.4 44.2 45.9 49.1 48.5 55.3 37.245.5

Other2.9 4.0 2.3 4.8 3.2 3.6 3.7 11.74.2


Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
Average Credit Card Commission
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses36 46 60 239 135 33 24 20593

Two-Star One-Star

American Express3.1% 3.8% 3.2% 2.5% 1.9% 1.1% 2.9% 1.6%2.5%


Diners Club1.9 1.1 0.7 0.6 0.5 0.3 0.5 0.50.7
Mastercard / Eurocard1.1 1.2 1.5 1.6 1.7 3.1 3.8 1.91.8
Visa1.1 3.0 1.5 1.6 1.8 3.7 3.1 2.01.9
Other0.1 0.2 0.2 0.3 0.3 0.4 0.1 0.20.3

25Page

echnology Management Practices 1-10: Indian Hotel Industry by Star Category:


TTABLE
ercentage of Hotels Using Each Technology in Hotels - PTechnology
2010-2011

Five-Star All India


COMPOSITIONDeluxe Five-Star Four-Star Three-Star
Heritage OthersAverage
Number of Responses37 47 77 328 199 58 30 37 813

Two-Star One-Star

Accounting System94.6% 93.6% 90.9% 90.9% 84.9% 89.7% 86.7% 86.5%89.3%


Call Accounting System78.4 91.5 76.6 58.5 44.2 41.4 40.0 48.757.2
Central Reservation System (CRS)70.3 55.3 57.1 31.7 22.1 8.6 33.3 10.832.4
Electronic Keycard83.8 74.5 75.3 42.4 18.6 19.0 10.0 13.539.2
Energy Management System46.0 40.4 36.4 26.8 14.6 8.6 13.3 10.823.9
Internet / E-Mail97.3 91.5 98.7 95.4 92.5 82.8 100.0 94.694.1
ebsite94.6 95.7 97.4 89.0 78.4 67.2 93.3 86.586.4Internet / W
Intranet System81.1 57.5 66.2 48.5 32.2 22.4 53.3 35.145.9
Local Area Network (LAN)94.6 95.7 94.8 84.2 62.8 53.5 73.3 56.877.2
Management Information System75.7 78.7 81.8 61.0 40.7 24.1 70.0 43.256.6
ood and Beverage 100.0 93.6 90.9 79.3 56.8 39.7 73.3 56.872.6 of Sale System
for FPoint
Property Management System94.6 89.4 84.4 52.7 28.1 12.1 40.0 24.349.1
Yield Management System59.5 27.7 45.5 24.7 13.1 0.0 10.0 5.422.4
Other18.9 17.0 20.8 10.7 4.5 0.0 6.7 0.09.5

26Page

2. Indian Hotel Industry Inventory and


ffiliation

Chain A

Introduction

to the participants according the survey data for and other operating statistics
present key section, we In this
'50 50 rooms', 'less than three categories: classified into have been participating
hotels rooms. The number of
to 150have also rooms', anddrawn a 'more thancomparison between 150
rooms'.Chain Affiliatedand We
Independent hotels.
Trends
Marketing for hotels were maximum marketing and outdoor that TVsurvey results revealMedia:
The

site, other Internet program, merchandising, loyalty card web site, mail, hotel
rooms. Direct with 50-150
print advertising, promotions and radio advertising all increase with the size of the
inventory, being
and Chain Affiliated trends that analyzed key The survey 150 rooms. more than
hotels with maximum in
properties. The their respective tools for for marketing the mediumterms use in
of Independent hotels
are Advertising and TV Advertising Mailing, Outdoor of Direct the use show that
the analysis results of
hotels are able to , Chain Affiliated and Independent hotels. Howevercommon to
both Chain Affiliated
Hotel Website, tools like usage of enabling greater further reach, names and their
brand better leverage
the increased note is aspect to An important Telemarketing. Merchandising and
Programs, Loyalty Card
use of Radio Advertising,which is far more economical than TV advertising and
also captive to a local
market.
Technology: today's accounting hotel. Given for a in operations vital role play a continues to
Technology

have Accounting or Independent Affiliated whether Chain most hotels mostly


online, procedures being
Software Systems in place. Property Management Systems, Call Accounting
Systems, Energy
larger hotels with number for greater in to be Systems continue of Sale and Point

Management Systems
Affiliation. and Chaininventory
Market Segmentation: An analysis of the market segmentation of hotels based on the
stipulated

domestic more from to benefit rooms tend below 50 with inventories that
properties parameters reveals
(including business demand, beand FIT) it for business or leisure. Airline Crew
andTravellers Foreign
that and those 150 rooms) (greater than larger inventories hotels with demand
for generate more tend to
Affiliated. are Chain
Overall Performance: inventories properties with hotels and Chain Affiliated percentages of
Net income

greater than 150 rooms tend to be higher than their counterparts as they are able
to leverage better
operating efficiency through trained staff, the availability of standard
operating procedures and
operations. scale in economies of

27Page

Analysis 2-1: Indian Hotel Industry Inventoryffiliation: Facilities and Chain


ATABLE
and Staffing
Room Profile of an Average HotelTypical
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses805 44370 248 1070
Air-ConditionedSingle2.1 8.3 44.3 19.13.5
Double20.2 57.1 155.5 69.1 33.0
Suites2.97.3 20.69.84.3
Non-Air-ConditionedSingle0.61.20.20.20.9
Double4.86.1 5.74.1 5.6
Suites0.50.51.40.90.5
Average Rooms31.180.6 227.8 103.1 47.7Total
er Hotel & Beverage Outlets PAverage Number of Food
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses652 40066 228 890
Restaurant1.41.93.12.1 1.6
Bars0.70.91.41.10.8
Others0.51.01.21.00.7
Total2.73.95.74.33.0
Time)ull Time / Part / Contract / Fer Hotel (Permanent Employees PAverage
Number of Total
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses692 38663 228 913
ManagersMale3.411.6 42.2 19.05.7
Female0.51.7 12.04.10.9
SupervisorsMale4.514.6 49.8 21.37.7
Female0.72.38.83.51.2
StaffMale33.089.9 234.0 115.3 50.0
Female3.110.2 29.6 13.55.3
Total42.5130.0 376.5 176.7 70.8
oom1.41.61.71.71.4 Number of Employees per RAverage
Hotelrained Employees Per of TAverage Percentage

Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses413 28649 189 559
Managers87.3% 87.9%89.8% 92.5% 86.1%
Supervisors80.1 81.981.4 88.7 78.2
Staff62.8 71.368.3 70.2 65.1
Employees*vg. Trained ATotal76.7 80.479.8 83.8 76.5
Employeesvg. Un-Trained ATotal23.3 19.620.2 16.2 23.5
some hotels may Employees includes those with a minimum one-year cer* Trainedtificate course from a hotel
management or equivalent institution; however,

have included those with short term (in-house) training


28Page

41

39
28
70
26
24
771
249739679
225
148428
210300110
772482222
2,161
8,009
2,595
4,578
1,5502,480
2,506
3,023
5,504
72Average Occupied Rooms Per Hotel:26,146
4,578
15,769Average Occupancy Per Hotel:61.1%62.5%62.1%Average Rate Per
Hotel (`):6,267
3.1 54,294
0.9 15,310
0.5 8,6008.5 147,899
2.8 49,0082.8 48,282
3.7 65,3756.0 105,099
9.6 168,2532.6 45,8259.6 167,965
0.3 5,3170.3 5,727
1.4 24,0445.4 93,363
16.1 160,980
52.9 337,840
37.8 658,996
27.0 471,01368.7 1,199,66031.0 540,662
11.3 6,12431.3 546,142
70.4 32,254
32% 565,633
100.0 1,745,800104.0 8,945
57.2% 997,815

254515
43
8939
1870
57
185
199
408118530
577107504144
406
3,605
3,1721,8332,1521,732
1,3801,688
5,7571,917

55
3,172
11,854
7.1 88,8032.1 25,6037.1 88,385
3.5 43,3611.5 19,3182.5 31,219
0.3 3,1979.2 115,3130.3 3,9061.2 15,2573.2 40,147
8.8 109,5781.0 12,428
0.4 5,5430.7 8,557
30% 376,715
22.5 9,740
18.2 125,50529.3 367,01033.3 416,862
31.9 398,697
91.0 23,293
37.4 467,975
61.6 300,17562.6 783,872
167.1 9,262
100.0 1,251,850
55.1% 689,841

8
39
56368636

321
932573
309
388488440158720
197857
1,091
3,4324,3533,633
1,209
2,930
6,2672,5541,754
7,786
10,716

Total100.0 2,342,530Total27.4 640,567Total32.0 750,308Total6.7 157,398


Number of Responses149395544Average Total Rooms Per
Hotel:120COMPOSITION Percentage of Revenue Amount per Available
Room(`) Amount per Occupied Room(`) Percentage of Revenue Amount
per Available Room(`)Amount per Occupied Room(`) Percentage of
Revenue Amount per Available Room(`)Amount per Occupied
Room(`)REVENUERooms58.5% 1,369,870Food & Beverage23.8
558,372Banquets & Conferences11.3 264,236Telephone & Other0.5 12,293Minor
Operated*3.0 70,256Rental & Other Income2.9 67,500DEPARTMENTAL
EXPENSESRooms14.9 203,834Food & Beverage46.6 383,337Telephone &
Other69.6 8,561Minor Operated*61.3 43,080Rental & Other Income2.6
1,755DEPARTMENTAL INCOME72.7 1,701,960OPERATING
EXPENSESAdministrative & General10.2 238,502Management Fee3.6
84,736Marketing4.6 106,638Franchise Fees0.3 7,877Property Operations &
Maintenance5.4 125,290Energy8.0 187,265HOUSE PROFIT40.6 951,655FIXED

EXPENSESProperty Taxes0.8 18,768Insurance0.3 7,916Other Fixed Charges4.1


96,106Rent 1.5 34,609NET INCOME**34% 794,257
* Minor operated departments include: laundry, gift shop, business centre, news
stand, sports, health club, garage, parking and so forth** Net Income is before
depreciation, interest payments and taxesChain AffiliatedIndependent20102011 All India Average
TABLE 2-2: Indian Hotel Industry Chain Affiliated vs. Independent: Financial
Report (2010-11)
29Page

1128Total42.4 32.5 27.731.3438,124


7339Minor Operated*1.5 2.03.62.615,4443341Minor Operated*94.2 119.4
42.570.414,544
2724Property Operations & Maintenance 6.7 6.75.26.068,732
3626Other Fixed Charges0.7 5.20.92.87,316 80,531 23,73148,28235
358107222Rent 1.0 1.31.51.410,572 20,682 40,80224,04450 92184110Total3.5
7.63.65.436,593 116,837 97,30293,363174 519439428NET INCOME**24.7%
24.7% 39.9%32.4%260,782 388,967 1,079,340565,6331,238 1,727
4,8712,595* Minor operated departments include: laundry, gift shop, business
centre, news stand, sports, health club, garage, parking and so forth** Net Income
is before depreciation, interest payments and taxesPercentage of
RevenueAmount per Available Room (`)Amount per Occupied Room (`)
441210Rental & Other Income2.6 3.52.93.126,411901679Total29.4 35.3
28.731.0298,196
11270Insurance0.6 0.30.30.36,463
628482Energy9.5 9.57.48.597,738
187148Rental & Other Income43.2 11.23.211.311,412
346249Total100.0 100.0 100.0100.01,033,700316225Marketing1.8
3.94.33.718,929516300Franchise Fees0.4 0.40.20.33,590
2,9222,161Banquets & Conferences4.5 10.0 10.89.646,7202,0521,550Telephone
& Other137.2 194.5 44.6104.09,5798,7535,504OPERATING
EXPENSESAdministrative & General7.8 11.48.79.680,6853,4432,480HOUSE
PROFIT28.3
7,0194,578Food & Beverage40.8 25.724.127.0421,6131,309772Telephone &
Other0.7 0.30.60.56,981
5,3103,023FIXED EXPENSESProperty Taxes1.2 0.70.90.912,242
1,074739Food & Beverage64.1 54.5
48.552.9300,3783,3572,506DEPARTMENTAL INCOME57.6 67.6
72.368.7595,5711,054771Management Fee3.3 3.52.92.828,521
7,019 4,578REVENUERooms50.0% 58.5% 58.0%57.2%516,527
12,1108,009DEPARTMENTAL EXPENSESRooms19.8 16.5 15.316.1102,211

51
23
19
4427
26
161271
135
242662783653
207457
686
2,231
6,8734,643

4,0191,769
1,3372,397
2,246
4,019
31
45
3373
69
9058
5417
125485135
222383
464
326
2,4532,0021,412
4,9082,0802,828
1,4261,416
2,453

8,945
4,578
8,6005,3175,727
6,124
45,82565,375
49,008
15,310
54,29432,254
105,099147,899
997,815167,965
160,980337,840
658,996
546,142540,662
471,013168,253
1,745,8001,199,660
2,4416,061
8,015
7,234
7,019
16,211
76,72341,53224,753
97,76870,048

114,391
743,842199,702
290,109237,979
647,407233,517139,167
454,656762,886
1,555,1602,683,3701,939,5301,176,650

5,875
9,9296,119
4,167
5,106
4,019
46,531
30,30260,983
54,47011,458
36,167
176,445505,805
154,583103,012
905,308398,460301,170502,428147,150
149,044
539,996
1,548,2301,045,800
2,453
297,375
37.8
4,578

43.6
7,019

32.2
4,019

Less Than 50 Rooms 50 to 150 RoomsMore Than 150 Rooms 2010-11


All India AverageLess Than 50 Rooms 50 to 150 RoomsMore Than 150
Rooms2010-2011 All India AverageLess Than 50 Rooms 50 to 150
RoomsMore Than 150 Rooms2010-2011 All India AverageNumber of
Responses267 22849 544267 22849544267 22849 544Average Total
Rooms Per Hotel: 32 862257232 862257232 8622572Average Occupied
Rooms Per Hotel: 6,750 19,287 49,937 15,769 6,750 19,287 49,937
15,769 6,750 19,287 49,937 15,769Average Occupancy Per Hotel: 61.6%
63.3% 63.5% 62.1% 61.6%63.3% 63.5% 62.1% 61.6% 63.3% 63.5%
62.1%Average Rate Per Hotel (`)2,453

TABLE 2-3: Indian Hotel Industry Inventory: Financial Report (2010-11)


30Page

2-4: Indian Hotel Industr Datay Inventoryffiliation: Market & Chain ATABLE
Market Segmentation
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses49631151 188670
Airline Crew0.6%1.5% 4.6% 2.4% 0.8%
- DomesticBusiness Traveller33.530.2 20.3 24.1 33.6
oreign7.613.0 24.7 15.39.2 - FBusiness Traveller
Complimentaryooms1.81.92.6 1.81.9 R
/ Leisure FITDomestic - Tourists23.415.98.7 20.0 19.8
ourists / Leisure FIT8.97.89.9 9.88.2 - TForeign
Meeting Participants (Less than 100 Attendees)3.94.25.2 3.94.1
Meeting Participants (Over 100 Attendees)6.29.27.6 8.47.1
Groups - DomesticTour7.67.14.9 5.77.7
oreign4.05.74.7 5.54.4 Groups - FTour
Other2.73.56.8 3.23.2
Total100.0100.0 100.0 100.0 100.0
Guest Analysis
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses34414760 412139
Domestic Guests78.9%70.2% 51.2% 64.4% 76.8%
GuestsForeign20.929.8 82.0 35.723.1
Total100.0100.0 100.0 100.0 100.0
businessTotal56.9%61.7% 70.3% 61.3% 59.3%
leisureTotal42.637.8 29.7 38.1 40.3
Total100.0100.0 100.0 100.0 100.0
oreign Guests (Days)3.03.73.7 2.42.9 Stay of FAvg.
Stay of Domestic Guests (Days)Avg.3.02.62.2 3.72.9
Stay of Business Guests (Days)Avg.2.73.42.1 3.33.4
Stay of Leisure Guests (Days)Avg.2.42.32.1 2.12.4
epeat Guests46.542.8 45.9 36.5 47.3 of RPercentage
Country of Origin of Guests
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses23019238 113347
ASEAN*5.7%5.4% 4.6% 4.4% 5.8%
Australia3.73.33.0 3.63.4

Canada4.93.42.3 3.24.3
Caribbean0.91.61.2 2.00.9
China4.35.62.6 4.94.6
rance6.04.83.1 5.85.1 F
Germany7.16.96.9 5.87.4
Japan4.15.74.3 5.84.5
Middle East4.74.52.5 2.65.1
Other european10.39.3 12.4 10.4 10.0
ussia3.05.48.1 3.44.8 R
C **5.85.84.9 4.06.2 SAAR
South Africa2.32.51.5 1.82.5
UK15.312.6 14.8 13.6 14.3
USA11.911.0 14.8 12.9 11.4
Other10.012.4 13.4 15.99.8
Total100.0100.0 100.0 100.0 100.0
* ASEAN: Association of South East Asian Nations

Bangladesh, Sri Lanka, Nepal, Bhutan, Maldivesegional Co-operation - India,


Pakistan, South Asian Association for R** SAARC:
31Page

2-5: Indian Hotel Industry Inventoryffiliation: Monthly and Daily and Chain
ATABLE
Occupancy
Average Monthly Occupancy
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses517 33158 203 703
January63.0% 66.5% 68.2% 64.9% 64.5%
February65.5 69.677.1 70.6 66.9
March59.4 62.669.1 63.9 60.4
April59.8 60.6 62.8 59.3 60.6
May61.6 74.1 57.9 57.8 68.3
June59.6 57.7 55.9 57.0 59.1
July55.0 56.2 55.8 55.2 55.6
August64.7 58.8 67.6 62.0 63.0
September56.5 58.4 63.5 57.8 57.6
October63.0 63.1 66.5 63.2 63.3
November66.3 67.5 70.8 68.7 66.6
December69.5 69.7 67.8 66.2 70.4
Average Daily Occupancy
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses459 31651 179 647
Monday54.0% 61.0% 69.5% 60.6% 56.8%
Tuesday55.7 63.4 71.7 65.6 58.0
Wednesday57.5 63.2 71.8 63.6 59.7
Thursday57.7 62.9 69.7 62.1 59.9
Friday61.1 61.6 61.2 59.4 61.8
Saturday58.0 56.7 57.6 56.2 57.8
Sunday49.0 51.9 60.5 53.1 50.2
2-6: Indian Hotel Industry Inventoryffiliation: and Chain ATABLE
Sources of Reservation
Sources of Advance Reservations

Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses486 32556 201 666
Chain CRS (Central Reservation System)3.5%4.4% 8.0% 11.2% 2.0%
Direct Enquiryepresentative51.348.8 46.4 42.9 52.2 / Hotel R
Global Distribution System (GDS)1.22.99.55.41.5
Hotel / Chain Website8.95.86.06.87.8
our Operator20.021.3 18.6 17.7 21.2 Agent & TTravel
Other Online Reservation Systems2.74.74.86.62.7
Other Websites5.35.43.64.25.5
Other7.26.63.25.27.2
Total100.0 100.0100.0 100.0 100.0

32Page

2-7: Indian Hotel Industr Mediay Inventoryffiliation: Marketing and Chain ATABLE
of Hotels Using Each MediaMarketing Media - Percentage
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses50033961 195 705
Direct Mail78.8

81.7

86.9

80.0

80.6

siteHotel Web81.0 90.9 98.4 95.4 83.3

Loyalty Card Program24.6


27.2

43.1

82.0

65.1

Merchandising17.6 25.736.1 36.4 17.9

Other Internet Site55.669.075.473.358.9


Outdoor Advertising51.6 62.8 59.0 66.7 53.5

AdverPrinttising81.887.995.189.283.8
Promotions57.0 72.3 86.9 84.1 59.4

AdverRadiotising13.224.839.329.216.6
Telemarketing42.2 59.9 59.0 61.0 47.0

TV Advertising22.225.418.024.122.8

Methods 2-8: Indian Hotel Industry Inventoryffiliation: Payment and Chain


ATABLE
Methods UsedPayment
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses46229150 162 641
Cash Sales48.8% 33.5% 16.1% 23.5% 45.7%
Credit Card Sales30.037.549.144.231.3
Credit Sales (Other Than Cards)15.223.729.627.617.1
ransfer5.95.35.24.65.9 TElectronic Fund
Total100.0100.0100.0100.0100.0

Credit Cards Used


Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses39326648 152 555
American Express5.6% 12.7% 28.7% 20.6% 6.8%
Diners club2.22.62.13.2 2.1
Mastercard/Eurocard40.935.333.334.2 39.4

Visa46.845.534.039.2 47.1
Other4.64.02.02.8 4.6
Total100.0100.0100.0100.0100.0

Average Credit Card Commission


Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses30823745 144 446
American Express2.02.93.0 3.3 2.2
Diners club0.50.81.4 1.1 0.5
Mastercard/Eurocard1.81.81.2 1.3 1.9
Visa1.92.01.2 1.9 1.9
Other0.30.30.1 0.2 0.3

33Page

2-9: Indian Hotel Industry Inventoryffiliation: Technology and Chain ATABLE


ercentage of Hotels Using Each Technology in Hotels - PTechnology
Than 50 Less 50 to 150 More Than Chain

COMPOSITIONRoomsRooms150 RoomsAffiliated Independent


Number of Responses456 30251 186623
Accounting System88.8% 90.1% 94.1% 93.0% 88.6%
Call Accounting System47.4 68.5 80.4 71.053.3
Central Reservation System (CRS)24.6 40.7 52.9 66.122.3
Electronic Keycard24.3 54.3 86.3 61.832.7
Energy Management System18.2 28.8 47.1 37.120.1
Internet / E-Mail92.5 95.7 98.0 94.194.1
ebsite80.9 92.7 96.1 88.785.6Internet / W
Intranet System37.9 53.0 72.6 62.940.6
Local Area Network (LAN)68.2 87.8 94.1 85.574.6
Management Information System45.6 71.2 70.6 72.652.0
ood and Beverage62.3 84.4 94.1 85.068.9 of Sale System for FPoint
Property Management System35.1 62.6 98.0 75.341.6
Yield Management System14.7 28.8 54.9 40.917.0
Other4.8 14.6 21.6 18.86.7

34Page

3. Indian Hotel Industry Seven Major


Cities
Introduction

in seven of hotels different categories data for and financial operating profiles
present the section, we In this
the will provide This section and Pune. Mumbai, Delhi-NCR Kolkata, Chennai,
Goa,Bengaluru, major cities:
cities. in these hotel performance understanding of reader an
Trends
below. are presented participating cities seven major across the 2010/11 survey
in the trends noted The key
GuestAnalysis: Goa, length of to the with respect of days highest number witnessed the as
expected,

stay in the international traveller segment. The length of stay was relatively lower
among domestic
travellers, highlighting a trend wherein domestic travellers visit Goa for
short weekend getaways.
of the shortest, indicative remain the continue to and Mumbai in Delhi-NCR stay
durations Length of
from. cities benefit demand these high Commercial
Market Segmentation: A distinct change from the previous year's survey is seen across the
market

segmentation for the seven major cities. While the overall contribution of the
business traveller has
dropped slightly across all cities, the percentage contribution of the Leisure
segment has grown over
in the digit growth a double have seen of Bengaluru the exception cities with
Almost all last year. that in
Leisure segment.
MonthlyOccupancy: Occupancy Goa market of the seasonal nature reveal the the year trends
during

tends to Goa and season in is monsoon August June to Leisure demand. benefits
from which primarily
witness low occupancy levels owing to lower tourist movement during that time.
Occupancy levels
from resulting cities benefit demand the nature of the Commercial cities indicate
other major across the
round. all year stable occupancies in fairly

OperatingCosts: Energy Chennai, Mumbai high in to be are observed of revenue a percentage


costs as

compared cities when across all and F&B in Rooms (POR) expenses Occupied
Room The Per and Pune.
of hotels. operating costs pressures oninflationary effects of indicate the last year
to those

35Page

Typical Room Profile of an Average HotelPuneCOMPOSITIONFive-Star


Deluxe, Five-Star Four- Star,Three-Star & Two-StarFive-Star Deluxe,
Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarFive-Star Deluxe, Five-Star & Four-Star ThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwoStar & One-StarFive-Star Deluxe & Five-Star Four star &Three-Star TwoStar & One-StarFour Star,Three-Star & Two-StarNumber of Responses11
43 10 25 11 219 26 19 53 569 28 17 37Air-ConditionedSingle 21.2 12.3 36.8
8.7 8.0 5.0 34.2 3.2 61.0 8.5 5.0 45.2 12.3 4.5 11.2Double 144.0 48.4 113.0 49.9
144.6 52.7 112.2 23.7 139.7 50.9 24.4 81.8 72.6 22.0 30.7Suites 16.1 7.6 17.0
6.0 11.4 10.1 12.1 3.7 21.3 6.2 3.2 12.2 7.6 0.8 2.5Non-Air-Conditioned Single0.0
2.1 0.0 1.0 0.0 0.1 0.0 1.9 0.0 0.1 0.2 0.0 0.0 3.9 1.2Double 0.0 13.0 0.0 4.0 0.0
2.1 0.0 4.7 0.0 1.8 0.5 0.0 0.0 2.2 4.4Suites0.0 0.7 0.0 0.1 0.0 0.0 0.0 0.2 0.0 2.0
0.0 0.0 0.0 0.1 1.3Total Average Rooms181.3 84.1 166.8 69.6 164.0 70.1
158.6 37.4 221.9 69.4 33.2 139.2 92.5 33.6 51.5Average Number of Food
& Beverage Outlets Per HotelPuneCOMPOSITIONFive-Star Deluxe, FiveStar Four- Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star & ThreeStarFive-Star Deluxe, Five-Star & Four-Star Three-Star & Two-StarFiveStar Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFiveStar Deluxe & Five-Star Four star &Three-Star Two-Star & One-StarFour
Star,Three-Star & Two-StarNumber of Responses10 36 9 23 11 209 19 18
51 369 258 29Restaurant3.1 1.8 3.4 1.7 3.8 2.1 3.1 1.2 4.0 1.4 1.1 2.7 1.6 1.0
1.5Bars1.0 0.9 1.2 1.0 2.5 1.6 1.6 0.8 1.3 0.8 0.7 1.2 1.00.120.7Others0.1 0.7 0.3
1.4 0.7 0.4 0.9 0.6 0.7 0.9 0.3 1.8 0.7 0.0 0.7Total4.2 3.4 5.0 4.0 7.0 4.1 5.6
2.6 6.0 3.1 2.1 5.7 3.2 1.1 2.9Guest AnalysisPuneCOMPOSITIONFive-Star
Deluxe, Five-Star Four- Star,Three-Star & Two-StarFive-Star Deluxe,
Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarFive-Star Deluxe, Five-Star & Four-Star ThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwoStar & One-StarFive-Star Deluxe & Five-Star Four star &Three-Star TwoStar & One-StarFour Star,Three-Star & Two-StarNumber of Responses11
31 8 21 11 179 22 17 42 459 259 28Domestic Guests40.6% 72.1% 48.2%
74.4% 57.0% 54.1% 67.8% 85.0% 50.9% 70.5% 73.1% 31.0% 61.6% 75.1%
79.4%Foreign Guests59.4 27.9 51.8 25.6 43.0 45.9 32.3 15.2 49.1 29.3 26.9 69.0
38.4 24.9 20.6Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0 100.0 100.0 100.0 100.0Total Business90.3% 76.6% 77.4% 75.8%
24.8% 30.6% 74.7% 77.6% 79.2% 65.3% 70.3% 62.7% 70.8% 70.4% 79.3%Total
Leisure9.7 19.9 22.6 24.2 75.2 62.2 25.3 22.4 20.8 34.8 29.7 37.3 29.2 29.6
20.7Total100.0 96.6 100.0 100.0 100.0 92.9 100.0 100.0 100.0 100.0
100.0 100.0 100.0 100.0 100.0Avg. Stay of Foreign Guests (Days)5.5 4.2 4.0
3.3 7.8 7.8 2.1 3.6 2.5 3.4 2.2 1.9 2.4 2.0 5.5Avg. Stay of Domestic Guests (Days)
3.0 2.4 2.2 3.3 2.9 3.3 1.8 2.9 1.9 4.3 2.3 1.5 2.0 1.3 2.7Avg. Stay of Business
Guests (Days) 2.9 2.6 2.6 4.1 2.1 2.6 2.1 3.5 2.2 3.2 2.4 1.9 2.1 2.0 3.3Avg. Stay
of Leisure Guests (Days)2.4 2.3 1.5 2.4 4.0 3.4 2.3 2.2 2.3 3.3 2.2 1.4 1.6 2.0
2.6Percentage of Repeat Guests31.7 39.3 50.0 55.0 24.4 34.1 51.3 45.1 40.0 44.1
51.2 37.4 43.6 57.850.4MumbaiBengaluruChennaiMumbaiMumbaiNew
Delhi-NCRNew Delhi-NCRNew Delhi-

NCRBengaluruChennaiGoaKolkataGoaKolkataBengaluruChennaiGoaKolka
ta
TABLE 3-1: Indian Hotel Industry Seven Major Cities: Facilities and Guest Analysis
36Page

Average Number of Total Employees Per Hotel (Permanent / Contract /


Full Time / Part Time)PuneCOMPOSITIONFive-Star Deluxe, Five-Star Four
Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star & Four-StarThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarFiveStar Deluxe, Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe
& Five-StarFour-Star & Three-StarTwo-Star & One-StarFive-Star Deluxe &
Five-Star Four Star & Three-Star Two Star & One StarFour Star ThreeStar & Two-StarNumber of Responses11 35 10 24 11 19 8 21 17 47 52 8
26 13 33ManagersMale35.8 10.7 35.3 13.0 37.7 6.636.9 2.7 57.7 8.9 2.4 48.9
14.9 1.7 4.0Female 11.0 1.7 7.0 1.6 9.6 1.1 11.0 0.3 17.5 1.5 0.3 11.3 3.3 0.7
0.9Supervisors Male35.9 14.0 41.2 14.3 35.9 9.0 43.9 6.5 60.6 12.0 2.7 64.5 14.5
1.4 5.4Female 5.9 2.1 4.3 1.5 6.5 2.2 9.3 0.8 11.8 2.6 0.7 12.9 3.1 0.2
1.0StaffMale 212.6 84.1 217.2 88.4 202.6 87.2 195.8 37.0 228.3 77.3 25.2 174.1
102.2 14.0 29.1Female 25.8 7.4 25.8 10.5 31.6 8.8 37.1 1.5 33.1 5.5 1.6 16.1 9.2
0.9 2.9Total327.1 120.0 330.8 129.1 324.0 114.8 333.9 48.7 409.0 107.8
32.9 327.8 147.0 18.8 43.4Average Number of Employees per Room 1.9 1.7 2.1
1.9 2.0 1.8 2.0 1.3 1.9 1.9 1.1 2.6 1.7 0.5 1.0Average Percentage of Trained
Employees Per HotelPuneCOMPOSITIONFive-Star Deluxe, Five-Star Four
Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star & Four-StarThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarFiveStar Deluxe, Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe
& Five-StarFour-Star & Three-StarTwo-Star & One-StarFive-Star Deluxe &
Five-Star Four Star & Three-Star Two Star & One StarFour Star ThreeStar & Two-StarNumber of Responses9 21 8 18 10 12 8 11 13 34 18 8 23
9 17Managers83.2% 87.5% 97.2% 82.4% 76.9% 88.1% 90.6% 94.6% 89.0%
89.6% 100.0% 86.5% 93.9% 98.2% 95.1%Supervisors81.1 80.8 94.9 82.5 63.4
83.5 77.4 83.0 87.1 66.1 70.2 74.2 129.3 88.9 85.8Staff66.4 67.2 80.7 69.7 59.2
63.9 72.2 53.8 69.9 55.4 55.4 71.8 79.7 91.9 83.0Total Avg. Trained Employees*
76.9 78.5 90.9 78.2 66.5 78.5 80.1 77.1 82.0 70.4 75.2 77.5 101.0 93.0 88.0Total
Avg. Un-Trained Employees 23.1 21.5 9.1 21.8 33.5 21.5 19.9 22.9 18.0 29.7 24.8
22.5 10.0 7.0 12.0* Trained Employees includes those with a minimum one-year
certificate course from a hotel management or equivalent institution; however,
some hotels may have included those with short term (in-house)
trainingBengaluruChennaiGoaKolkataMumbaiBengaluruChennaiGoaKolkat
aMumbaiNew Delhi-NCRNew Delhi-NCR
TABLE 3-2: Indian Hotel Industry Seven Major Cities: Staffing
37Page

5,252 907 3,370REVENUERooms62.8% 65.4% 54.2% 52.0% 61.6% 62.3%


49.2% 59.8% 60.6% 66.6% 73.2% 53.8% 68.1% 87.3% 73.4%Food &
Beverage19.5 24.8 26.6 36.9 27.1 29.5 24.8 29.0 22.3 23.8 24.2 25.2 23.4 7.8
20.7Banquets & Conferences11.0 7.1 14.8 8.5 2.9 3.9 18.8 6.9 10.7 7.3 1.0 9.8
5.0 0.0 1.7Telephone & Other1.1 0.4 0.8 0.1 0.3 0.2 0.2 0.5 0.5 0.3 0.3 0.7 0.5 0.2
0.8Minor Operated*3.4 1.2 2.8 1.2 5.8 2.2 3.4 1.9 2.9 0.8 0.4 3.3 2.1 0.2 2.0Rental
& Other Income2.3 1.0 0.8 1.3 2.3 2.0 3.6 1.9 3.1 1.2 0.9 7.3 0.9 4.6 1.3Total100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0DEPARTMENTAL EXPENSESRooms16.6 11.3 15.0 16.4 10.3 17.7 18.2 8.7
16.4 14.4 16.6 20.4 13.0 18.6 15.5Food & Beverage71.4 56.9 45.9 53.4 35.1 71.4
49.3 50.5 48.1 64.6 84.3 52.4 57.1 66.0 51.9Telephone & Other68.0 17.9 29.3
47.9 19.1 255.7 30.7 248.5 51.6 128.5 170.1 37.6 37.3 280.7 88.5Minor
Operated*66.1 55.6 48.4 49.4 16.3 49.2 15.3 106.1 35.1 235.4 59.9 71.7 34.3 4.3
76.6Rental & Other Income15.2 8.2 3.6 35.4 1.5 16.6 0.0 70.9 1.1 29.2 46.9 0.3
8.8 23.9 35.3Total35.5 26.4 28.8 33.9 17.9 36.7 31.0 27.9 27.1 32.2 34.5 32.0
26.1 23.0 25.7DEPARTMENTAL INCOME64.5 73.6 71.3 66.1 82.1 63.3 69.0 72.1
72.9 67.8 65.5 68.0 73.9 77.0 74.3OPERATING EXPENSESAdministrative &
General10.9 7.9 10.5 6.6 6.4 12.6 8.1 6.1 8.4 15.2 17.8 8.7 9.4 5.1
8.8Management Fee2.4 3.7 4.9 0.5 0.4 1.0 4.0 2.1 2.1 1.1 0.7 1.2 2.4 0.8
2.4Marketing8.2 1.6 7.0 2.2 2.1 3.0 2.9 2.2 3.4 2.6 2.5 2.9 2.0 1.0 3.4Franchise
Fees0.3 0.2 0.1 0.7 0.5 0.6 0.1 0.0 0.1 0.5 0.1 0.2 0.2 0.0 0.3Property Operations
& Maintenance 6.8 4.4 3.5 4.9 5.1 9.6 6.3 4.0 5.7 7.2 3.8 2.9 5.8 20.8
5.1Energy9.6 6.5 8.9 11.4 4.4 7.9 8.0 5.8 7.7 11.1 10.9 6.8 6.8 15.9 10.8Total38.1
24.4 35.0 26.3 18.8 34.8 29.3 20.1 27.4 37.7 35.8 22.5 26.5 43.6 30.8HOUSE
PROFIT26.5 49.2 36.3 39.8 63.3 28.5 39.8 52.0 45.5 30.2 29.7 45.5 47.5 33.5
43.5FIXED EXPENSESProperty Taxes2.0 1.0 1.0 1.4 0.1 0.3 0.5 0.7 1.7 0.8 0.6
0.2 0.4 0.4 0.4Insurance0.6 0.2 0.3 0.3 0.2 0.3 0.3 0.2 0.3 0.2 0.7 0.0 0.3 0.2
0.4Other Fixed Charges1.8 0.5 2.4 0.8 0.1 0.7 1.0 1.4 1.2 0.6 0.8 35.2 0.2 6.7
1.2Rent 8.5 0.8 0.6 0.2 0.1 0.4 0.4 0.2 1.5 0.3 0.3 0.0 2.5 0.4 0.0Total12.9 2.6 4.3
2.7 0.5 1.7 2.1 2.4 4.6 1.9 2.4 35.4 3.4 7.7 2.0NET INCOME**13.6% 46.7% 32.0%
37.1% 62.8% 26.8% 37.6% 49.6% 40.9% 28.3% 27.3% 10.1% 44.1% 25.8%
41.6%* Minor operated departments include: laundry, gift shop, business centre,
news stand, sports, health club, garage, parking and so forth** Net Income is
before depreciation, interest payments and taxesID: Insufficient Data

10,304

2,131
4,341
8,159
62

6,046

2,140
11,722
3,159

7,461
PuneBengaluruChennaiGoaKolkataMumbaiNew Delhi-NCR
5,228

COMPOSITIONFive-Star Deluxe, Five-Star Four-Star & Three-Star Deluxe,


Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarDeluxe, Five- Star & Four -StarThree-Star &
Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwo-Star &
One-StarFive-Star Deluxe & Five-Star Four-Star & Three-Star Two-Star &

One-StarThree-Star & Two-StarNumber of Responses10 188 11 9 137 11


14 25 255 15 5 15Average Total Rooms Per Hotel: 183 92 178 101 162 73
141 37 222 62 33 153 108 27 51Average Occupied Rooms Per Hotel:
39,422 15,491 38,570 24,248 38,502 16,750 34,824 9,300 49,850 16,187
8,679 36,247 22,029 4,847 9,132Average Occupancy Per Hotel: 60.0%
50.1% 62.7% 65.8% 73.3% 62.2% 65.4% 61.0% 70.6% 75.6% 73.6%
67.5% 57.9% 53.9% 52.5%Average Rate Per Hotel (`):6,400
TABLE 3-3: Indian Hotel Industry Seven Major Cities: Financial Report
Percentage of Revenue (2010-11)
38Page

PuneCOMPOSITIONFive-Star Deluxe & Five-StarFour-Star, Three-Star &


Two-StarFive-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarFive-Star Deluxe & Five-StarFour-Star & Three-StarFive-Star Deluxe,
Five-Star & Four-Star Three-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarTwo-Star & One-StarFive-Star Deluxe, FiveStar Four-Star & Three-StarTwo-Star & One-StarFour-StarThree-Star &
Two-StarNumber of Responses10188119137 1114 25 255 15 5 15Average
Total Rooms Per Hotel: 1839217885 16273141 37 22262 33153 108 27
51Average Occupied Rooms Per Hotel: 39,422 15,491 38,570 18,247
38,502 16,750 34,824 9,300 49,850 16,187 8,679 36,247 22,029 4,847
9,132Average Occupancy Per Hotel: 60.0% 50.1% 62.7% 70.4% 73.3%
62.2% 65.4% 61.7% 70.6% 75.6% 73.6% 67.5% 57.9% 53.9%
52.5%Average Rate Per Hotel (`):6,400

890 7,819 2,579 - 1,866Property Operations & Maintenance 147,816


3,391913 1,185 2,105 3,415Total777,473
2,131 10,304 5,252 907 3,370REVENUE (`)Rooms1,375,630
4,013 11,283 2,819 886 5,108Minor Operated*48,615
5,519 54,121 38,106 1,579 17,551Marketing179,155
7,510 444,335 78,797 - 12,625Telephone & Other23,8102,360 29,980 7,559 316
5,773Minor Operated*73,5472,880 151,046 33,666 278 14,875Rental & Other
Income50,733
7,236 329,244 13,481 8,797 9,686Total2,191,4301,726 108,330 11,540 12
11,399Rental & Other Income7,730
93,445 497,670 139,849 30,787 83,168Food & Beverage476,392
19,463 130,254 30,895 1,827 25,182Franchise Fees5,88983,642 305,893 106,572
30,075 78,844Total834,345
29,070 130,415 91,317 39,323 37,414Energy210,635
186,315 1,140,830 369,460 14,753 151,603Banquets &
Conferences240,103770,905 4,530,180 1,578,130 189,498
732,471DEPARTMENTAL EXPENSES (`)Rooms228,553163,445 830,197 255,938
9,741 85,226Telephone & Other16,183504,885 3,081,790 1,166,800 145,967
544,154OPERATING EXPENSES (`)Administrative & General239,164275,805
1,020,310 417,532 82,543 225,274HOUSE PROFIT (`)579,614

564,603 2,434,750 1,075,170 165,355 537,909Food & Beverage427,611137,222


391,804 148,063 9,738 64,417Management Fee51,686
266,020 1,448,390 411,330 43,532 188,316DEPARTMENTAL INCOME
(`)1,413,960229,080 2,061,480 749,267 63,424 318,880FIXED
EXPENSES(`)Property Taxes43,576 13,819 28,627 16,597 4,904 2,542 13,877
7,221 50,836 14,729 4,681 7,737 6,334 752 2,680Insurance12,354 2,741 8,728
3,981 8,301 2,576 9,365 1,639 8,507 5,098 5,247 1,758 4,443 278 3,165Other
Fixed Charges39,823 7,019 72,435 8,843 3,434 5,560 30,672 13,991 36,064
9,793 6,155 1,593,572 3,041 12,729 8,398Rent 187,037 11,166 17,563 2,448
5,843 2,830 10,896 2,336 44,252 8,870 2,271668 39,853 812 48Total282,789
34,744 127,354 31,869 22,483 13,508 64,810 25,187 139,658 38,490 18,354
1,603,734 53,671 14,571 14,291NET INCOME(`)**296,825 629,546 954,061
438,306 2,843,600 210,018 1,139,430 515,786 1,238,310 374,499 210,726
457,750695,59548,853 304,589* Minor operated departments include: laundry,
gift shop, business centre, news stand, sports, health club, garage, parking and so
forth** Net Income is before depreciation, interest payments and taxesID:
Insufficient DataNew Delhi-NCRBengaluruChennaiGoaKolkataMumbai
4,341
2,360
9,597
15,225
35,99233,80332,87313,47287,242
39,549
18,804
81,666
295,991182,221
910,432497,443
924,019412,989
494,318
329,044152,567142,087
1,404,750
8,0291,0532,396
8,159
15,54986,51594,21830,36162,709
674,137323,652300,538479,577819,558254,300103,942172,702233,815829,863
1,833,3203,027,3902,207,8301,377,960
79
4,773
2,486
19,291
71,80541,545
19,73211,86262,88221,523
13,668
54,38422,444

20,92660,466
749,911
188,745289,585
622,083301,813540,973
208,938
1,039,500
8
6,865
1,790
2,104
6,046
86,629
15,787
120,465
567,953103,033938,713885,783
650,369
190,188
751,527109,057245,594241,117
270,446
1,490,3003,028,7402,090,0201,204,240

1,4263,6478,3922,5317,8324,915
2,140
30,21717,07315,26586,30498,60823,74275,59262,080
488,472231,474783,926186,758287,631496,295272,770223,526
2,7071,511
14,16942,86019,25494,00121,806
11,722
132,114263,453102,922286,074475,918809,070288,026231,774197,132851,992
2,789,7501,224,7404,527,1503,718,0802,866,090
588
5,375
6,9528,473
6,078
1,226
2,852
78,071
26,023
57,839

14,06715,167
310,831
100,345781,005470,175
614,072100,682
436,279
400,150
286,554
134,346
1,181,160
897
7,461
3,572
6,979
23,82124,961
82,36539,825
566,483105,362
209,279
857,300145,630
794,134439,874243,117312,707266,564
2,981,8302,124,5301,043,1101,081,410
z1,616,670
2,125
5,6839,322
1,0141,144
5,228
95,335
22,149
50,30887,590
13,91799,99759,854
16,756
245,065
882,462356,543106,392
664,290
335,097992,707328,417
1,349,250

TABLE 3-4: Indian Hotel Industry Seven Major Cities: Financial Report Amount
Per Available Room (2010-11)
39Page

PuneCOMPOSITIONFive-Star Deluxe & Five-StarFour-Star, Three-Star &


Two-StarFive-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarFive-Star Deluxe & Five-StarFour-Star & Three-StarFive-Star Deluxe,
Five-Star & Four-StarThree-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarTwo-Star & One-StarFive-Star Deluxe, FiveStar Three-Star & Two-StarTwo-Star & One-StarFour-StarThree-Star &
Two-StarNumber of Responses10 18 8 11 9 117 1114 25 255 155
15Average Total Rooms Per Hotel: 183 92 178 178 162 73 141 37 222 62
33 153 108 27 51Average Occupied Rooms Per Hotel: 39,422 15,491
38,570 38,570 38,502 16,750 34,824 9,300 49,850 16,187 8,679 36,247
22,029 4,847 9,132Average Occupancy Per Hotel: 60.0% 50.1% 62.7%
62.7% 73.3% 62.2% 65.4% 61.7% 70.6% 75.6% 73.6% 67.5% 57.9%
53.9% 52.5%Average Rate Per Hotel (`):6,400

9 127 372 32Minor Operated*342


7 458 560 64Rental & Other Income36
11 639 1642 83Rental & Other Income23621 229 1869 98Marketing833
15 48 145 29Minor Operated*226
1346 12 19Total3,61773 551 151 10 141Franchise Fees27
28 1,880 385- 71Telephone & Other111
27 1,393 66 48 54Total10,195
703 4,828 1,805 81 850Banquets & Conferences1,117353 2,106 683 169 466Food
& Beverage2,216
518 1,658 723 53 361Management Fee240
617 3,513 1,250 53 478Telephone & Other75
2,131 10,304 5,252 907 3,015Food & Beverage1,989
2,131 10,304 5,252 907 3,370REVENUE (`)Rooms6,400
1,905 13,042 5,699 801 3,050OPERATING EXPENSES (`)Administrative &
General1,113
2,909 19,172 7,708 1,040 4,105DEPARTMENTAL EXPENSES (`)Rooms1,063
1,004 6,130 2,009 239 1,055DEPARTMENTAL INCOME (`)6,578
21
2372
5078
16
119989
477624

166
4,3411,311
4,341
1,553
6,5142,0974,417
5
69
36
385135
463
419279
1,132
8,159
3,0001,4401,3383,648
2,134
9,826
8,159
13,474
9
0
28
64
351
442
489
418
996
3,0492,6393,809
8,480
2,3041,097
6,046
2,486
12,288
5
6860
203203403
409
320
2,4938,533
6,329
1,160
3,2471,2142,734
4,216

6,046
12,749
6
11
75
673734
16
132432
378818
104
2,1401,260
1,0143,4342,174
2,140
6
1181
60
555395
432
180
1,202
2,0003,4001,210
1,107
5,146
11,72219,02215,623
11,722
3
6
6525
32
39 92 221 711 34 3 33 13- 10Property Operations & Maintenance 688 355 486
269 974 331 645 772 769 472 110 552 446 216 210Energy980 519 1,230 624
828 272 934 978 1,041 721 316 1,295 521 165 442Total3,882 1,946 4,814 1,443
3,580 1,195 3,464 3,594 3,693 2,454 1,041 4,318 2,039 453 1,263HOUSE
PROFIT (`)2,697 3,936 4,991 2,183 12,043 979 5,069 4,886 6,133 1,963 864
8,724 3,660 348 1,787FIXED EXPENSES(`)Property Taxes203 82 132 77 21 1197
56 226 52 18 33 31 4 15Insurance57 16 40 18 35 1143 3838 13 207 222 18Other
Fixed Charges185 42 334 41 14 2463 124 161 38 23 6,744 15 70 47Rent 870 66
81 11 25 12 186 44 197 22 93 1954 0Total1,316 206 588 148 94 59 389 263 622
124 69 6,787 262 80 80NET INCOME(`)**1,381 3,730 4,403 2,035 11,948 920
4,680 4,623 5,511 1,839 795 1,937 3,398 268 1,707* Minor operated
departments include: laundry, gift shop, business centre, news stand, sports,
health club, garage, parking and so forth** Net Income is before depreciation,

interest payments and taxesID: Insufficient


DataBengaluruChennaiGoaKolkataMumbaiNew Delhi-NCR
7028
121
363
468
466
1,331
7,461
5,485
2,852
1,858
3,627
2,026
4
32
16
115
672
110380
184
966
7,461
7,461
3,6659,805
1,1221,443
2,030
2,614
3,956
13,761
7
6
55
8213
99
34
131
565
592
630298
1,985
1,4522,112
5,228
7,994

3,736
5,228

TABLE 3-5: Indian Hotel Industry Seven Major Cities: Financial Report Amount
Per Occupied Room (2010-11)
40Page

Market SegmentationPuneCOMPOSITIONFive-Star Deluxe, Five-Star


Four- Star,Three-Star & Two-StarFive-Star Deluxe , Five-Star & FourStarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star & ThreeStarFive-Star Deluxe, Five-Star& Four-StarThree-Star & Two-StarFiveStar Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFiveStar Deluxe & Five-Star Four-Star & Three-Star Two-Star & One-StarFour
Star Three-Star & Two-StarNumber of Responses9 297 20 11 158 18 16
40 358 22 8 22Airline Crew4.6% 2.2% 6.4% 0.4% 0.6% 0.9% 8.5% 0.6% 4.0%
1.1% 76.0% 4.3% 2.1% 0.6% 0.7%Business Traveller - Domestic22.3 32.3 23.8
34.9 6.9 14.8 41.6 55.5 21.8 34.9 42.3 12.0 24.9 38.6 49.3Business Traveller Foreign53.6 19.8 28.8 14.4 2.5 6.9 13.0 9.2 27.2 16.3 12.7 22.4 20.9 6.0
16.0Complimentary Rooms0.6 1.4 2.8 2.1 3.0 1.3 3.3 0.3 1.7 1.5 1.0 2.0 1.3 1.5
1.5Domestic - Tourists / Leisure FIT2.3 13.0 8.3 11.9 26.4 18.7 7.3 8.8 9.2 11.7
15.4 12.1 9.9 22.0 11.6Foreign - Tourists / Leisure FIT1.3 5.0 8.9 5.6 25.4 34.01.5
6.3 8.8 7.7 8.3 11.5 12.5 6.9 3.1Meeting Participants (Less than 100 Attendees)
2.3 5.9 1.9 2.9 8.0 3.4 1.4 3.1 2.0 2.5 3.9 2.6 5.6 2.5 2.8Meeting Participants
(Over 100 Attendees) 6.1 9.1 4.4 10.1 10.8 4.7 11.0 10.3 8.5 5.7 5.2 11.5 7.0 2.9
10.2Tour Groups - Domestic2.2 4.8 3.1 8.0 8.6 12.2 4.9 3.7 2.6 5.6 5.3 3.9 4.4 6.4
3.1Tour Groups - Foreign1.2 2.9 3.1 4.1 4.8 2.0 1.6 1.7 1.3 6.9 2.1 7.4 7.1 3.3
1.1Other3.5 3.9 8.4 5.5 3.2 1.1 5.9 0.6 13.0 6.1 3.1 10.4 4.5 9.4 0.7Total100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0 100.0Country of Origin of GuestsPuneCOMPOSITIONFiveStar Deluxe, Five-Star Four- Star,Three-Star & Two-StarFive-Star Deluxe ,
Five-Star & Four- StarThree-Star & Two-StarFive-Star Deluxe & FiveStarFour-Star & Three-StarFive-Star Deluxe, Five-Star& Four-StarThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwoStar & One-StarFive-Star Deluxe & Five-Star Four-Star & Three-Star TwoStar & One-StarFour Star Three-Star & Two-StarNumber of Responses8
20 7 118 165 12 14 25 318 15 3 11 ASEAN*5.0% 5.4% 3.2% 9.9% 1.4% 1.1%
2.3% 5.8% 5.1% 5.5% 7.4% 4.1% 3.4% 7.3% 4.5% Australia6.6 3.6 3.1 3.2 1.6 3.0
1.2 3.8 2.5 4.0 4.6 5.3 5.5 6.7 2.5 Canada3.1 3.4 2.4 1.5 0.9 3.0 0.8 3.5 2.0 4.7
3.1 2.5 1.7 4.0 4.2 Caribbean3.6 1.3 1.1 1.0 0.2 0.7 0.0 0.8 0.7 1.5 1.0 0.3 4.3 0.0
0.5 China2.4 5.5 2.6 4.1 1.3 3.1 1.1 6.4 2.2 4.7 3.3 7.0 5.4 2.5 7.4 France5.1 4.8
4.1 6.2 1.2 1.3 0.9 3.0 2.2 6.8 3.5 2.8 4.1 5.7 6.2 Germany4.3 8.1 7.2 2.6 5.9 2.8
10.8 5.7 6.4 4.4 4.3 4.6 6.5 8.2 8.0 Japan3.1 14.0 8.9 5.1 0.9 3.8 2.4 6.9 2.5 4.1
1.9 9.2 8.2 2.5 7.1 Middle East3.0 3.7 2.3 1.6 2.3 2.5 0.5 2.0 3.5 9.2 10.2 2.9 3.9
1.7 5.6 Other European10.0 7.3 17.0 5.9 12.7 11.9 11.2 8.5 12.4 6.4 9.9 10.5 11.6
12.2 5.7 Russia3.0 1.6 0.6 0.8 37.2 24.3 4.5 2.0 2.3 4.9 2.2 1.4 4.3 3.0 5.6 SAARC
**3.9 2.9 2.7 14.5 1.2 1.7 1.4 17.7 5.5 6.7 10.3 1.9 4.5 19.0 2.1 South Africa1.2
1.4 1.9 3.5 0.8 3.1 0.7 1.4 2.1 5.2 3.3 2.4 1.7 0.2 8.4 UK11.0 9.8 11.8 5.0 24.8
29.7 6.2 13.0 17.4 10.3 16.1 10.6 8.8 14.3 9.3 USA24.0 18.5 19.4 5.9 4.9 3.8 7.7
11.8 14.6 12.6 10.8 14.1 11.6 8.7 17.3Other10.8 9.0 11.7 29.1 2.8 4.3 48.4 7.8
18.6 9.2 8.1 20.7 14.7 4.1 5.8Total100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0* ASEAN:
Association of South East Asian Nations** SAARC: South Asian Association for
Regional Co-operation - India, Pakistan, Bangladesh, Sri Lanka, Nepal, Bhutan,
MaldivesChennaiGoaNew Delhi-NCRNew DelhiNCRKolkataMumbaiBengaluruBengaluruChennaiGoaKolkataMumbai

TABLE 3-6: Indian Hotel Industry Seven Major Cities: Market Data (2010-11)
41Page

Average Monthly OccupancyPuneCOMPOSITIONFive-Star Deluxe, FiveStar Four-Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star & ThreeStarFive-Star Deluxe, Five- Star & Four -StarThree-Star & Two-StarFiveStar Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFiveStar Deluxe & Five-Star Four-Star & Three-StarTwo-Star & One -StarFour
Star Three-Star & Two-StarNumber of Responses11 28 8 21 11 18 8 22
16 39 489 239 24January64.3% 55.2% 67.8% 67.3% 84.4% 75.9% 76.9% 72.1%
76.3% 79.9% 75.5% 68.6% 65.3% 61.1% 58.3%February74.2 59.0 74.6 68.3 86.6
80.1 83.0 71.7 83.8 83.4 76.3 85.4 79.5 60.3 61.3March70.7 52.0 70.3 62.9 84.6
71.5 76.2 63.7 67.9 74.1 70.4 75.5 68.7 53.1 51.5April66.5 50.8 61.5 63.2 75.6
60.0 71.4 66.4 70.0 66.5 65.4 74.6 57.6 50.7 56.3May66.7 56.3 58.5 60.7 68.0
48.6 68.4 64.5 66.1 66.3 64.2 60.6 51.9 46.7 57.7June67.0 55.5 61.1 65.6 64.2
37.0 67.2 62.6 65.8 70.3 66.1 58.9 50.1 43.5 60.2July64.2 54.1 58.1 63.7 55.8
38.5 69.2 63.5 63.2 67.7 68.6 64.8 56.9 46.8 59.5August58.6 54.1 63.3 66.4 55.5
40.3 68.1 63.7 59.4 68.1 67.8 71.5 56.2 45.8 56.0September65.4 55.0 64.8 69.2
74.9 47.6 67.8 82.1 63.6 70.1 65.1 71.4 61.8 52.4 55.4October72.6 55.1 69.9 65.8
69.0 59.1 69.8 61.0 67.2 74.9 71.4 75.4 68.4 57.3 54.3November68.9 58.6 68.8
64.0 78.4 71.9 77.4 72.1 66.1 75.2 72.6 73.6 74.6 60.3 63.5December61.4 56.3
62.5 69.8 74.5 77.2 75.7 77.6 70.9 81.4 79.7 76.6 63.3 57.0 67.8Average Daily
OccupancyPuneCOMPOSITIONFive-Star Deluxe, Five-Star FourStar,Three-Star & Two-StarFive-Star Deluxe, Five-Star & Four-StarThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarFiveStar Deluxe, Five- Star & Four -StarThree-Star & Two-StarFive-Star
Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFive-Star
Deluxe & Five-Star Four-Star & Three-StarTwo-Star & One -StarFour Star
Three-Star & Two-StarNumber of Responses11 29 9 19 10 17 9 22 15 39
428 258 23Monday79.7% 55.0% 62.9% 61.1% 67.2% 56.0% 78.6% 63.9% 75.0%
69.6% 69.6% 73.1% 65.9% 45.6% 57.0%Tuesday79.7 58.8 66.7 63.7 68.4 56.9
79.9 64.1 76.9 72.0 69.8 76.1 96.7 49.9 61.3Wednesday79.5 60.3 69.6 66.1 68.4
57.1 80.9 61.9 76.4 72.8 73.9 75.0 69.5 52.4 61.3Thursday73.6 60.2 63.0 67.7
77.5 57.5 78.1 62.3 72.2 72.3 72.9 70.9 67.0 45.0 61.2Friday57.9 51.8 50.0 61.5
86.6 66.4 71.9 58.1 61.4 67.2 72.1 65.0 58.0 44.0 58.4Saturday54.9 44.3 44.4
57.5 86.0 63.8 57.2 54.4 55.3 55.4 60.6 62.3 49.6 32.6 50.6Sunday63.4 38.9 51.2
56.2 74.4 60.1 55.9 49.3 60.2 54.2 61.6 65.5 49.3 32.4 45.2ChennaiGoaNew
Delhi-NCRNew DelhiNCRKolkataMumbaiBengaluruBengaluruChennaiGoaKolkataMumbai
TABLE 3-7: Indian Hotel Industry Seven Major Cities: Monthly and Daily
Occupancy
42Page

Source of Advance ReservationsPuneCOMPOSITIONFive-Star Deluxe &


Five-StarFour-Star, Three-Star & Two-StarFive-Star Deluxe, Five-Star &
Four-StarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star &
Three-StarFive-Star Deluxe, Five- Star & Four -StarThree-Star & TwoStarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwo-Star & OneStarFive-Star Deluxe & Five-Star Four-Star & Three-Star Two-Star &
One-StarFour Star Three-Star & Two-StarNumber of Responses10 319 20
10 18 9 20 15 41 409 23 6 20Chain CRS (Central Reservation System) 2.1%
6.0% 11.0% 2.7% 9.4% 1.9% 8.7% 1.5% 14.1% 3.2% 1.2% 2.1% 3.3% 0.2%
3.2%Direct Enquiry / Hotel Representative 56.5 49.5 44.2 60.1 26.1 29.8 50.7 62.4
41.9 52.5 58.1 36.5 45.8 57.2 57.5Global Distribution System (GDS)25.0 5.5 15.3
2.6 1.3 1.8 5.0 1.8 6.9 4.1 0.8 6.7 4.7 0.2 2.9Hotel / Chain Website4.1 7.3 5.3 7.5
5.3 5.1 5.1 5.8 8.8 7.5 5.2 7.4 6.9 9.2 8.9Travel Agent & Tour Operator3.2 10.4 5.4
12.3 49.3 39.1 5.3 15.0 6.9 15.0 18.5 18.5 18.0 15.8 11.4Other Online
Reservation Systems5.0 6.7 6.0 3.4 0.7 3.2 8.6 5.8 12.7 3.5 1.1 0.8 8.0 0.2
1.4Other Websites2.2 8.1 3.7 7.6 1.8 9.9 4.4 3.8 4.6 7.5 6.7 6.1 5.4 5.8
5.8Other1.9 6.6 9.0 3.9 6.0 9.2 12.3 4.0 4.2 6.8 8.6 21.8 7.9 11.5 9.1Total100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0 100.0New DelhiNCRBengaluruChennaiGoaKolkataMumbaiMarketing Media - Percentage
of Hotels Using Each MediaPuneCOMPOSITIONFive-Star Deluxe & FiveStarFour-Star, Three-Star & Two-StarFive-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star & ThreeStarFive-Star Deluxe, Five- Star & Four -StarThree-Star & Two-StarFiveStar Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFiveStar Deluxe & Five-Star Four-Star & Three-Star Two-Star & One-StarFour
Star Three-Star & Two-StarNumber of Responses11 319 17 11 20 8 8 19
41 419 22 7 25Direct Mail81.8 71.0 55.6 88.2 72.7 85.0 75.0 87.5 94.7 78.1 78.1
88.9 86.4 85.7 96.0Hotel Web Site100.0 93.6 100.0 76.5 100.0 95.0 100.0 87.5
100.0 85.4 68.3 100.0 100.0 71.4 100.0Loyalty card program81.8 58.1 88.9 23.5
63.6 15.0 75.0 25.0 89.5 36.6 12.2 77.8 59.1 28.6 40.0Merchandising27.3 25.8
11.1 29.4 18.2 25.0 37.5 25.0 36.8 14.6 4.9 0.0 40.9 0.0 28.0Other Internet
site81.8 61.3 66.7 64.7 63.6 70.0 75.0 50.0 73.7 63.4 56.1 100.0 100.0 57.1
80.0Outdoor Advertising63.6 61.3 33.3 64.7 81.8 40.0 75.0 50.0 57.9 39.0 26.8
66.7 45.5 0.0 48.0Print Advertising100.0 77.4 88.9 64.7 100.0 80.0 87.5 87.5
100.0 82.9 68.3 88.9 68.2 57.1 92.0Promotions72.7 71.0 88.9 70.6 90.9 65.0 87.5
62.5 94.7 53.7 46.3 77.8 90.9 42.9 72.0Radio Advertising45.5 12.9 22.2 5.9 18.2
25.0 50.0 37.5 42.1 14.6 4.9 44.4 9.1 0.0 24.0Telemarketing45.5 64.5 77.8 58.8
63.6 45.0 37.5 50.0 68.4 48.8 43.9 55.6 72.7 14.3 56.0TV Advertising9.1 9.7
22.223.545.5 5.0 0.025.021.1 12.22.422.2 9.1 0.0 8.0ChennaiGoaNew DelhiNCRKolkataMumbaiBengaluru
TABLE 3-9: Indian Hotel Industry Seven Major Cities: Marketing Media
TABLE 3-8: Indian Hotel Industry Seven Major Cities: Sources of Reservation

43Page

6.0 0.2 2.3Mastercard/Eurocard 22.7


4.4 5.0 1.2Total100.0
6.6 2.5 6.6Total100.0
43.5 31.4 42.9Credit Sales (Other Than Cards) 19.1
34.0 54.0 44.2Other3.0
24.4 8.6 21.1Electronic Fund Transfer 7.135.4 35.6 40.1Visa30.4
100.0 100.0 100.0Credit Cards UsedPuneCOMPOSITIONFive-Star Deluxe,
Five-Star Four-Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star &
Four-StarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star &
Three-StarFive-Star Deluxe, Five- Star & Four -StarThree-Star & TwoStarFive-Star Deluxe & Five-StarFour-Star & Three-StarTwo-Star & OneStarFive-Star Deluxe & Five-Star Four-Star & Three-Star Two-Star &
One-StarFour Star Three-Star & Two-StarNumber of Responses 11 226 19
8 158 12 14 32 40 4 18 5 22American Express42.2% 21.4% 26.5% 11.3%
17.0% 61.0% 28.7% 4.0% 30.7% 14.1% 6.1% 32.5% 20.3% 5.2% 12.2%Diners
club1.8100.0 100.0 100.0Average Credit Card
CommissionPuneCOMPOSITIONFive-Star Deluxe, Five-Star FourStar,Three-Star & Two-StarFive-Star Deluxe, Five-Star & Four-StarThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarFiveStar Deluxe, Five- Star & Four -StarThree-Star & Two-StarFive-Star
Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFive-Star
Deluxe, Five-Star Four-Star & Three-Star Two-Star&0ne-StarFour Star
Three-Star & Two-StarNumber of Responses9 219 10 11 127 13 15 27 32
4 19 218American Express3.3 3.2 2.4 3.1 3.3 2.1 3.1 1.4 4.4 3.4 2.7 3.2 3.5 3.7
2.6Diners club1.4 0.7 1.6 0.7 1.0 0.1 2.0 0.7 1.6 0.7 0.8 1.40.880.9
0.4Mastercard/Eurocard1.0 1.4 1.3 1.3 1.2 1.6 1.1 1.4 1.2 1.5 1.7 0.9 1.4 1.7
1.8Visa1.2 1.5 1.3 1.4 1.2 1.6 1.1 1.6 6.5 1.5 1.8 0.91. Delhi-NCRNew DelhiNCRNew DelhiNCRBengaluruChennaiGoaKolkataGoaKolkataBengaluruChennaiGoaKolka
ta271.7 1.6Other0.2 0.1 0.0 0.1 0.0 0.0 0.00.30.2 0.1 0.3 0.0 0.3 1.1
0.2MumbaiBengaluruChennaiMumbaiMumbaiNew
3.83.05.0
33.325.334.3
49.0
100.0100.0
3.1

2.3
3.8
51.2
31.012.835.8
100.0100.0
2.12.1
6.3
34.1
30.536.5
45.2
100.0100.0
2.5
3.4
3.6
35.328.2
22.9
53.6
100.0100.0
3.32.2
1.8
39.552.5
16.9
37.0
100.0100.0
3.1
0.9
2.4
37.1
36.5
30.3
46.8
100.0100.0

2.5
0.7
42.1
27.3
27.0

12.7
48.6
100.0100.0
8.10.1
0.6
39.2
42.9
35.8
33.7
100.0100.0
4.5
4.3
4.8
41.1
38.317.238.3
100.0100.0
7.1
3.5
3.0
26.2
60.9
36.8
25.4
100.0100.0

5.5
2.9
3.0
41.2
49.819.0
31.6
100.0100.0

Payment Methods UsedPuneCOMPOSITIONFive-Star Deluxe, Five-Star


Four-Star,Three-Star & Two-StarFive-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarFive-Star Deluxe & Five-StarFour-Star & ThreeStarFive-Star Deluxe, Five- Star & Four -StarThree-Star & Two-StarFiveStar Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFiveStar Deluxe & Five-Star Four-Star & Three-Star Two-Star & One-StarFour
Star Three-Star & Two-StarNumber of Responses 11 238 20 8 158 17 14
37 41 4 19 8 25Cash Sales8.2% 25.7% 10.7% 40.2% 22.4% 33.0% 14.4% 42.8%
19.9% 29.2% 53.9% 14.0% 25.4% 57.5% 29.4%Credit Card Sales65.7
TABLE 3-10: Indian Hotel Industry Seven Major Cities: Payment Methods
44Page

Technology in Hotels - Percentage of Hotels Using Each


TechnologyPuneCOMPOSITIONFive-Star Deluxe & Five-Star FourStar,Three-Star & Two-StarFive-Star Deluxe, Five-Star & Four-Star ThreeStar & Two-StarFive-Star Deluxe & Five-StarFour-Star & Three-StarFiveStar Deluxe, Five- Star & Four -StarThree-Star & Two-StarFive-Star
Deluxe & Five-StarFour-Star & Three-StarTwo-Star & One-StarFive-Star
Deluxe & Five-Star Four-Star & Three-Star Two-Star & One-StarFour
Star Three-Star & Two-StarNumber of Responses10 23717 10 19 7 14 14
33 41 4 21 8 27Accounting System90.0% 95.7% 100.0% 88.2% 90.0% 89.5%
100.0% 79.0% 92.9% 81.8% 95.1% 75.0% 95.2% 87.5% 88.9%Call Accounting
System60.0 65.2 100.0 58.8 100.0 36.8 85.7 57.1 85.7 57.6 48.8 100.0 85.7 50.0
51.9Central Reservation System (CRS)60.0 21.7 57.1 29.4 50.0 26.3 71.4 21.4
57.1 12.1 9.8 0.0 66.7 12.5 22.2Electronic Keycard90.0 47.8 100.0 47.1 80.0 26.3
85.7 42.9 85.7 69.7 22.0 100.0 57.1 12.5 48.2Energy Management System50.0
26.1 71.4 29.4 20.0 15.8 42.9 7.1 35.7 18.2 14.6 0.0 33.3 25.0 22.2Internet / EMail90.0 95.7 100.0 100.0 90.0 94.7 100.0 100.0 100.0 100.0 90.2 100.0 90.5
87.5 92.6Internet / Website100.0 78.3 100.0 88.2 90.0 89.5 100.0 71.4 100.0 87.9
73.2 100.0 95.2 87.5 85.2Intranet System60.0 52.2 85.7 52.9 60.0 42.1 100.0
42.9 71.4 30.3 34.2 25.0 66.7 37.5 37.0Local Area Network (LAN)90.0 82.6 100.0
76.5 100.0 73.7 100.0 64.3 100.0 84.9 63.4 100.0 90.5 25.0 77.8Management
Information System70.0 65.2 100.0 47.1 70.0 47.4 71.4 42.9 85.7 57.6 19.5 50.0
71.4 12.5 44.4Point of Sale System for Food and Beverage 90.0 78.3 100.0 82.4
100.0 52.6 100.0 50.0 100.0 87.9 31.7 100.0 90.5 37.5 74.1Property Management
System90.0 47.8 100.0 47.1 80.0 36.8 100.0 35.7 92.9 42.4 24.4 100.0 71.4 12.5
55.6Yield Management System40.0 21.7 42.9 23.5 30.0 15.8 57.1 7.1 42.9 21.2
7.3 0.0 47.6 12.5 22.2Other20.0 13.0 42.9 5.9 0.0 10.5 14.3 0.0 21.4 15.2 0.0 0.0
9.5 0.0 18.5BengaluruChennaiGoaKolkataMumbaiNew Delhi-NCR
TABLE 3-11: Indian Hotel Industry Seven Major Cities: Technology
45Page

welve Other Cities4. Indian Hotel


Industry T
Introduction

other in twelve of hotels different categories data for and financial operating
profiles presents the This section
cities. These cities are Ahmedabad, Bhubaneswar, Hyderabad, Indore,
Jaipur, Kochi, Kottayam, Mysore,
Shimla, Thiruvananthapuram, Udaipur, and Vadodara. This section will
provide the reader an
understanding of the trends related to customer segmentation,operating
performance, use of technology,
etc.
ConditionQualifying
in each four hotels minimum of of a data requirement the minimum to fulfil were
unable cities, we In certain
data). 'ID' (insufficient this as have reflected representation and
Trends
cities. 12 participating across these 2010/11 survey in the trends noted are some
Highlighted below
RepeatGuests: The and Bhubaneswar. of Indore the cities seen in guests is of repeat highest
percentage

While Bhubaneswar on account of its religious significance sees a lot of repeat


guests at their hotels,
leisure highly from which benefits units. Jaipur, of industrial large number to its so
owing Indore does
foreign tourists. percentage of the highest demand witnessed
Average Room: Employees per with in line room ratio employee to revealed ansurvey in the
Most cities

in to hotels be attributed This may at 2.8. which was of Indore the exception
average, with the national
the city employing a large number of F&B personnel given the heavy banquet
operations the city is
accustomed to.
Food and Beverage Costs: F&B costs across hotels in the survey set are seen to be
high. Cities like

Mysore and Shimla sell all inclusiveUdaipur, room packages that include meals

resulting in the F&B


department only receiving transfers from the rooms sales, which very often is only
credited at cost.
resulted in pressures alsoinflationary owing to over 2009/10 F&B expenses
increase in a POR Moreover,
percentages. increased cost

46Page

Typical Room Profile of an Average HotelAhm'bad


BhubaneswarIndoreKochi Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star, Four-Star &Three-Star Four-Star &
Three-Star Five-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & HeritageFourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,TwoStar&HeritageFour-Star,Three-Star,Two-Star & Heritage Two-Star,OneStar & Heritage Three-Star & Two-StarThree-Star, Two-Star &One-Star
Four-Star,Three-Star & Two-StarNumber of Responses107614128111568
108109Air-ConditionedSingle 10.34.3 56.74.11.88.50.2 5.40.00.0 0.00.0 1.9
8.7Double 55.7 66.0 89.7 63.3 40.2 61.4 67.2 35.537.8 44.6 1.748.8 30.5
50.3Suites5.66.7 43.34.53.9 17.36.6 11.03.85.5 0.05.8 4.3 3.7Non-Air-Conditioned
Single0.04.3 0.01.40.00.01.4 0.30.00.0 4.70.1 0.0 0.0Double0.0 66.0
0.09.20.00.00.7 5.62.8 11.6 22.93.9 3.6 0.0Suites0.06.7 0.00.30.00.00.0
0.00.00.5 5.30.0 0.0 0.0Total Average Rooms71.6 77.6 189.7 82.8 45.8 87.1
76.0 57.844.5 62.3 34.658.5 40.3 62.7Average Number of Food &
Beverage Outlets Per HotelAhm'bad BhubaneswarIndoreKochi Kottayam
Mysore Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFive-Star,
Four-Star &Three-Star Four-Star & Three-Star Five-Star Deluxe, Five-Star
& Four-StarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe,
Five-Star & Heritage Four-Star& Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star&HeritageFour-Star,Three-Star,Two-Star &
Heritage Two-Star,One-Star & Heritage Three-Star & Two-StarThree-Star,
Two-Star &One-Star Four-Star,Three-Star & Two-StarNumber of
Responses965121281015479698Restaurant1.63.2 2.41.31.92.41.7 2.41.81.6
1.02.3 1.7 1.4Bars0.31.3 1.40.70.81.41.21.10.51.1 0.80.7 0.8 0.0Others0.41.7
1.03.00.90.91.8 2.31.00.7 0.60.7 0.2 1.5Total2.36.2 4.84.93.74.64.7 5.73.33.4
2.33.7 2.6 2.9Guest AnalysisAhm'bad BhubaneswarIndoreKochi
Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star, Four-Star &Three-Star Four-Star &
Three-Star Five-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar& Three-Star Four-Star & Three-StarFour-Star,Three-Star,TwoStar&HeritageFour-Star,Three-Star,Two-Star & Heritage Two-Star,OneStar & Heritage Three-Star & Two-StarThree-Star, Two-Star &One-Star
Four-Star,Three-Star & Two-StarNumber of
Responses67410127914568798Domestic Guests77.7% 83.4% 71.0% 93.4%
94.4% 26.4% 60.4% 74.3%66.0% 79.0% 91.5% 55.4% 67.0% 75.0%Foreign
Guests22.3 16.6 29.06.65.6 73.6 39.6 25.734.0 20.8 8.544.6 33.0 25.0Total100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0100.0 100.0 100.0 100.0 100.0
100.0Total business89.6 73.9 92.5 83.1 71.7 32.3 53.7 56.714.1 37.5 28.243.1
46.4 73.0Total leisure10.526.1 7.5 16.9 28.3 67.8 46.3 43.485.962.5 71.856.9
53.6 17.0Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0100.0
100.0 100.0 100.0 100.0 100.0Avg. Stay of Foreign Guests (Days)2.55.8
2.03.02.51.81.8 3.02.71.8 2.06.0 1.9 4.1Avg. Stay of Domestic Guests (Days)
1.03.6 1.03.62.02.52.0 4.03.02.0 2.52.7 1.9 2.6Avg. Stay of Business Guests
(Days) 2.07.6 1.0 17.62.92.32.0 3.21.03.4 1.32.0 1.7 3.0Avg. Stay of Leisure
Guests (Days)2.07.0 2.03.21.52.01.52.11.71.6 2.33.0 2.0 1.9Percentage of Repeat

Guests36.3 62.8 40.0 55.0 64.1 25.0 36.0 38.39.745.0 18.345.8 25.5
51.3HyderabadJaipurHyderabadJaipurHyderabadJaipur
TABLE 4-1: Indian Hotel Industry Twelve Other Cities: Facilities and Guest
Analysis
47Page

Average Number of Total Employees Per Hotel (Permanent / Contract /


Full Time / Part Time)Ahm'bad BhubaneswarIndoreKochi Kottayam
Mysore Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFiveStar,Four-Star & Three-Star Four-Star & Three-Star Five-Star Deluxe,
Five-Star & Four-StarThree-Star & Two-StarThree-Star & Two-StarFiveStar Deluxe, Five-Star & Heritage Four-Star & Three-Star Four-Star &
Three-StarFour-Star,Three-Star,Two-Star & HeritageFour-Star,ThreeStar,Two-Star & Heritage Two-Star,One-Star & Heritage Three-Star &
Two-StarThree-Star, Two-Star & One-Star Four-Star,Three-Star & TwoStarNumber of Responses95513127 111468 97 98ManagersMale9.8 12.2
38.86.5 9.5 13.9 10.2 9.4 10.29.5 2.68.9 2.97.0Female1.61.0 11.40.6 3.32.0 0.7
1.5 1.7 1.9 0.70.1 0.01.4SupervisorsMale13.8 17.2 28.8 20.2 11.3 14.7 10.1 11.0
9.8 9.8 2.35.3 3.4 12.9Female2.10.4 6.82.1 1.91.1 2.0 1.9 2.01.1 0.12.3
0.62.4StaffMale68.0 106.4 257.0 75.9 82.6 108.9 68.8 47.9 58.0 76.4 28.8 52.4
25.6 81.5Female3.33.6 28.0 15.2 3.25.0 4.8 10.6 11.7 8.6 0.9 18.7
1.93.8Total98.6 140.8 370.8 120.5 111.8 145.6 96.6 82.3 93.3 107.3 35.3
87.7 34.3 108.9Average Number of Employees per Room 1.42.1 1.81.4 2.81.7
1.2 1.72.1 1.6 1.11.5 0.81.7Average Percentage of Trained Employees Per
HotelAhm'bad BhubaneswarIndoreKochi Kottayam Mysore Shimla
Thiruv'puram Udaipur VadodaraCOMPOSITIONFive-Star,Four-Star &
Three-Star Four-Star & Three-Star Five-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe, FiveStar & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star & HeritageFour-Star,Three-Star,Two-Star &
Heritage Two-Star,One-Star & Heritage Three-Star & Two-StarThree-Star,
Two-Star & One-Star Four-Star,Three-Star & Two-StarNumber of
Responses643967 111365 55 86Managers74.9% 97.1% 75.0% 90.0% 49.0%
98.8% 98.0% 79.1% 100.0% 100.0% 100.0% 80.0% 92.5%
91.2%Supervisors67.697.5 69.5 62.7 44.6 97.6 78.8 89.0 100.0 89.1 60.0 74.6
80.2 85.4Staff49.3 68.9 50.8 49.9 31.3 89.7 76.7 79.3 91.4 200.7 44.2 68.9 61.7
78.3Total Avg. Trained Employees*64.0 87.9 65.1 67.5 41.6 95.4 84.5 82.5 97.1
129.9 68.1 74.5 78.1 84.9Total Avg. Un-Trained Employees36.1 12.2 34.9 32.5
58.44.6 15.5 17.5 2.9 -29.9 31.9 25.5 21.9 15.1* Trained Employees includes
those with a minimum one year certificate course in an educational institute;
however, some hotels may have included those with short term (in-house)
trainingJaipurHyderabadJaipurHyderabad
TABLE 4-2: Indian Hotel Industry Twelve Other Cities: Staffing
48Page

17,212 2,175 1,302 2,967REVENUERooms64.2% 53.7% 47.6% 52.8%


38.3%65.1% 58.6% 36.4%13.5% 64.5% 49.6% 57.9% 47.8% 49.7%Food &
Beverage31.9 20.0 18.8 28.7 45.920.7 24.4 53.180.624.0 49.8 32.4 20.1
24.2Banquet & Conferences2.6 24.2 25.83.6 12.111.0 14.1 8.95.03.5 0.17.2 1.2
22.4Telephone & Other0.30.20.40.20.10.5 0.20.10.10.1 0.00.5 0.3 0.6Minor
Operated*0.61.03.06.80.20.8 1.4 0.40.26.3 0.10.3 0.3 0.9Rental & Other
Income0.50.94.47.93.52.0 1.3 1.20.71.7 0.31.7 30.3 2.1Total100.0 100.0 100.0
100.0 100.0100.0 100.0 100.0100.0100.0 100.0 100.0 100.0
100.0DEPARTMENTAL EXPENSESRooms13.8 11.4ID 19.6 32.25.7 13.9
12.27.212.9 20.317.1 37.0 6.9Food & Beverage53.0 59.6ID 78.5 78.036.6 69.6
60.013.648.7 92.1 69.5 85.6 49.3Telephone & Other52.98.5ID 51.7 205.711.6
126.9 171.4101.1 178.2 ID 140.0 276.3 91.2Minor Operated*136.6 38.3 42.51.7
649.048.5 34.9 107.243.956.0 14.0 95.7 244.3 58.8Rental & Other Income15.8
33.50.01.95.82.9 11.0 27.7146.12.6 0.07.1 1.8 1.5Total28.2 33.21.3 36.0 58.915.8
35.8 42.613.825.4 57.5 38.5 38.1 27.5DEPARTMENTAL INCOME71.8 66.8 98.7
64.0 41.184.2 64.2 57.486.374.6 42.5 61.5 61.9 72.5OPERATING
EXPENSESAdministrative & General12.78.8 12.16.55.519.6 7.0 10.02.86.1 2.4
16.0 2.5 4.5Management Fee3.90.09.30.30.90.7 1.2 2.40.54.8 0.01.7 0.4
3.2Marketing2.15.33.90.61.20.3 3.7 1.90.51.3 1.52.9 2.0 2.1Franchise
Fees0.00.00.60.80.10.0 1.1 0.00.00.0 0.03.9 0.4 0.0Property Operations &
Maintenance 11.03.74.8 19.13.25.6 8.1 8.91.56.0 17.77.4 0.8
2.6Energy9.59.98.18.0 11.48.6 9.8 9.63.47.8 12.68.2 6.7 9.6Total39.2 27.7 38.8
35.3 22.234.8 30.9 32.98.726.0 34.1 40.0 12.8 21.9HOUSE PROFIT32.639.1 60.0
28.7 18.949.5 33.3 24.677.548.6 8.4 21.5 49.1 50.5FIXED EXPENSESProperty
Taxes0.80.50.30.50.90.0 0.3 0.30.21.3 0.00.4 0.8 0.6Insurance0.30.10.20.30.40.0
0.2 0.20.10.7 0.80.9 0.5 0.2Other Fixed Charges0.30.01.00.90.40.0 0.9 1.70.40.7
0.02.4 0.2 0.5Rent 0.01.10.21.21.10.1 2.6 0.40.03.4 6.10.5 0.0
0.4Total1.41.71.72.92.80.1 4.0 2.60.86.1 7.04.2 1.5 1.7NET INCOME**31.3%
37.4% 58.3% 25.6% 16.1%49.3% 29.3% 22.0%76.8% 42.5% 11.4% 17.4% 47.6%
48.8%* Minor operated departments include: laundry, gift shop, business centre,
news stand, sports, health club, garage, parking and so forth** Net Income is
before depreciation, interest payments and taxesHyderabadJaipur
4,634

2,396

1,878

2,392

6,614

1,694
3,060

5,169
3,211

Ahm'bad BhubaneswarIndoreKochi Kottayam Mysore Shimla


Thiruv'puram Udaipur VadodaraCOMPOSITIONFour-Star, Three-Star &
Two-StarFour-Star, Three-Star Five-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe, FiveStar & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star & HeritageFour-Star,Three-Star,Two-Star
&Heritage Two-Star,One-Star & Heritage Three-Star & Two-StarThreeStar, Two-Star & One-Star Four-Star,Three-Star & Two-StarNumber of
Responses54461037544 5545Average Total Rooms Per Hotel:8291
15394498481554368 3357 33 70Average Occupied Rooms Per Hotel:
18,019 16,186 35,783 14,407 9,296 18,462 19,113 12,0896,521 15,443
4,751 13,233 6,462 19,270Average Occupancy Per Hotel:63.4% 53.2%

54.5% 46.6% 62.3%56.5% 63.3% 69.5%38.5% 71.4% 45.6% 63.4% 60.6%


80.4%Average Rate Per Hotel (`):3,453

TABLE 4-3: Indian Hotel Industry Twelve Other Cities: Financial Report
Percentage of Revenue (2010-11)
49Page

- 1,045 2,931 531Total331,661- 14,470 2,229 52,588Marketing25,182- 33,450


2,290 526Property Operations & Maintenance 129,667
427 3,990 1,641 10,401Minor Operated*6,774744 2,735 4,344 9,043Rental &
Other Income864
5,329 2,857 1,779 15,392Rental & Other Income5,475
7,104 62,108 6,427 366,955Telephone & Other3,183
69,641 5,585 4,534 9,483Minor Operated*9,255
16,390 14,704 162,702 35,029Total1,176,910
75,617 25,446 10,534 33,603Franchise Fees170
17,212 2,175 1,302 2,967REVENUE (`)Rooms755,122
887,005 64,094 4,344 41,666Energy111,274
506,883 85,631 94,970 55,904Food & Beverage215,432
118,127 138,331 13,229 72,897Management Fee45,294
2,493,270 501,512 256,855 812,263Food & Beverage375,2382,499,700 281,031
107,756 395,512Banquet & Conferences31,1195,022,210 866,202 537,160
1,635,550DEPARTMENTAL EXPENSES (`)Rooms104,4262,309,880 238,314
97,786 375,509Telephone & Other1,6832,887,150 333,310 204,566
450,469DEPARTMENTAL INCOME (`)845,2502,135,060 532,892 332,595
1,185,080OPERATING EXPENSES (`)Administrative & General149,543
699
1,871
1,050
4,634
57,62978,02998,379
27,36021,500
56,217
99,526
218,165
391,430135,320
413,684
102,956
1,052,4001,631,4101,217,730
2,3332,232

2,308
5,084
2,396
12,223
75,86941,209
18,46825,92813,078
26,987
309,219366,699
360,547132,017
2,149,3002,667,7302,301,030
2,331
4,073
1,360
4,364
3,636
1,878
13,11327,27322,022
50,400
101,025
412,702100,582422,233
651,949
603,084482,964113,327
1,134,910
4,869
1,620
1,327
2,056
2,392
67,881
78,595
12,11235,413
10,418
13,93478,024
11,806
235,751
566,432345,953
136,420
966,267620,314
259,106
39
1,265
8,382

1,199
6,467
6,614
17,281
43,875
15,890
10,36482,404
123,641
245,172435,353
460,429
257,884351,134
1,448,0102,225,1401,874,000
992
647
1,255
8,1421,702
9,809
2,0407,310
1,694
29,461
96,219 192,043 95,092 109,135 90,689 127,335 633,499 70,592 36,137
157,457Total461,129
46,80026,650
497,865187,435 773,434 298,634 372,782 233,068 424,768 1,714,250 346,383
68,763 358,737HOUSE PROFIT (`)384,1211,519,280 256,264 159,407
1,100,570 321,681 279,167 2,067,960 792,962 420,814 186,509 263,831
826,345FIXED EXPENSES(`)Property Taxes9,8476,977 4,663 7,682- 2,882 3,738
5,794 21,379 555 3,411 4,206 8,963Insurance3,0954,837 2,882 3,682- 2,117
2,575 2,716 11,489 41,546 7,909 2,550 3,635Other Fixed Charges2,97825,325
8,016 3,32933 8,452 18,909 11,539 10,742 1,646 20,505 1,115 8,121Rent
3354,556 10,588 8,830 2,846 25,550 4,269- 55,691 306,524 4,139 176
6,656Total16,25541,695 26,150 23,522 2,879 39,000 29,491 20,049 99,301
350,272 35,965 8,046 27,374NET INCOME(`)**367,8661,477,590 230,114
135,885 1,097,690 282,680 249,676 2,047,910 693,661 70,542 150,544 255,785
798,971* Minor operated departments include: laundry, gift shop, business
centre, news stand, sports, health club, garage, parking and so forth** Net Income
is before depreciation, interest payments and taxesHyderabadJaipur
387,702346,843
323,308101,990844,708
103,964382,017

834
2,701
1,615
1,0591,3696,909
5,508
3,060
31,79571,485
92,17357,923
60,79770,777
321,225
571,063170,273
314,799
255,848892,288225,790
471,457
---9,321
5,169
76,25132,38132,381
98,925
13,866
110,551
235,405
654,462206,292981,852
476,100306,560
120,804
1,206,8302,533,5202,501,140
-160
4,2313,041
3,211
9,075
1,898
39,995105,699296,323417,9795,3761,38727611,52218,561399,418
11,05356,533
65,340
94,097
258,611
714,302
574,329354,469
213,807
281,696
1,068,770
BhubaneswarFour-Star, Three-Star 49116,18653.2%

Ahm'badIndoreKochi Kottayam Mysore Shimla Thiruv'puram Udaipur


VadodaraCOMPOSITIONFour-Star, Three-Star & Two-StarFive-Star
Deluxe, Five-Star & Four-StarThree-Star & Two-StarThree-Star & TwoStarFive-Star Deluxe, Five-Star & Heritage Four-Star & Three-Star FourStar & Three-StarFour-Star,Three-Star,Two-Star & HeritageFourStar,Three-Star,Two-Star &Heritage Two-Star,One-Star & Heritage ThreeStar & Two-StarThree-Star, Two-Star & One-Star Four-Star,Three-Star &
Two-StarNumber of Responses5461037544 5545Average Total Rooms Per
Hotel:82153944984 81 55 43 68 33 5733 70Average Occupied Rooms Per
Hotel: 18,01935,783 14,407 9,296 18,462 19,113 12,089 6,521 15,443
4,751 13,233 6,462 19,270Average Occupancy Per Hotel: 63.4%54.5%
46.6% 62.3% 56.5% 63.3% 69.5% 38.5% 71.4% 45.6% 63.4% 60.6%
80.4%Average Rate Per Hotel (`):3,453

TABLE 4-4: Indian Hotel Industry Twelve Other Cities: Financial Report Amount
Per Available Room (2010-11)
50Page

-5 152Total1,517-63 11 192Marketing115- 145 122Property Operations &


Maintenance 593
512 22 33Rental & Other Income4
3178 38Minor Operated*31
49 269 33 1,341Telephone & Other15
37129 56Rental & Other Income25
48124 23 35Minor Operated*42
11364 825 128Total5,382522 110 53 123Franchise Fees1
816 600 67 266Management Fee207
3,499371 481 204Food & Beverage985
34,671 3,757 2,723 5,975DEPARTMENTAL EXPENSES (`)Rooms478
17,212 2,175 1,302 2,967Food & Beverage1,71619,932 1,446 1,037
1,646DEPARTMENTAL INCOME (`)3,865
14,740 2,312 1,686 4,330OPERATING EXPENSES (`)Administrative &
General684
17,257 1,219 546 1,445Banquet & Conferences142
15,946 1,034 496 1,372Telephone & Other8
17,212 2,175 1,302 2,967REVENUE (`)Rooms3,453
5
3
8
95
961
453
248120438
254344
596
1,8225,362
4,6341,7247,184
4,634
81
1515
3487
16

123172
179
877504
2,055
2,437
2,396
2,396
14,281
15,290
17,726
6
11
19
6020
17
229
458100
124
516
1,921
5,163
1,878
2,7442,197
2,966
2,610
9
7
6
5121
59
50
44
332
150
287
996576
1,461
2,392
4,0802,620
1,094
2,392
5

0
6
73
79
3830
47
200
376
2,103
1,989
1,1201,1788,560
6,6141,604
6,614
10,164
5
3
9
7
1151
43
38
545245
140565 329 460 274 433 6,123 278 22 152Energy509
534154
2,0312,001
4,425
2,608
1,6941,817
1,694
5
9
7
45
1018
36
395
459
598
464 504877 402 497 603 561 4,373 306 183 575Total2,109 1,657 4,205 2,043
982 3,533 1,261 1,696 1,549 1,870 11,834 1,503 349 1,311HOUSE PROFIT
(`)1,757 2,337 6,507 1,663 835 5,027 1,358 1,270 13,741 3,492 2,905 809 1,337
3,019FIXED EXPENSES(`)Property Taxes4530303040- 121739 94 415 21
33Insurance148211919-9121851 28734 13 13Other Fixed Charges142 10852170

368677 47 11896 30Rent 26420694613 10819- 245 2,116181 24Total74104 179


170 12313 165 134 133 437 2,418 156 41 100NET INCOME(`)**1,682 2,233
6,328 1,493 712 5,014 1,194 1,136 13,608 3,054 487 653 1,296 2,919* Minor
operated departments include: laundry, gift shop, business centre, news stand,
sports, health club, garage, parking and so forth** Net Income is before
depreciation, interest payments and taxesHyderabadJaipur
206376
5,791
1,4652,0851,105
3,0601,660
3,706
3,060
---59
40
473
139139
327424517884
2,8031,313
5,1692,039
1,008
5,169
10,851
10,712
-1
1151
62
2417
591
365
224
526316
3,211
1,1951,575
1,982
3,994
1,4465,976

Ahm'bad BhubaneswarIndoreKochi Kottayam Mysore Shimla


Thiruv'puram Udaipur VadodaraCOMPOSITIONFour-Star, Three-Star &

Two-StarFour-Star, Three-Star Five-Star Deluxe, Five-Star & FourStarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe, FiveStar & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star & HeritageFour-Star,Three-Star,Two-Star
&Heritage Two-Star,One-Star & Heritage Three-Star & Two-StarThreeStar, Two-Star & One-Star Four-Star,Three-Star & Two-StarNumber of
Responses54461037844 5545Average Total Rooms Per Hotel:8291
153944984 816443 68 3357 33 70Average Occupied Rooms Per Hotel:
18,019 16,186 35,783 14,407 9,296 18,462 19,113 13,237 6,521 15,443
4,751 13,233 6,462 19,270Average Occupancy Per Hotel:63% 53.2%
54.5% 46.6% 62.3% 56.5% 63.3% 60.4% 38.5% 71.4% 45.6% 63.4%
60.6% 80.4%Average Rate Per Hotel (`):3,453 3,211

TABLE 4-5: Indian Hotel Industry Twelve Other Cities: Financial Report Amount
Per Occupied Room (2010-11)

51Page

Market SegmentationAhm'bad BhubaneswarKochi Kottayam Mysore


Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFive-Star,Four-Star
& Three-Star Four-Star & Three-Star Five Star Deluxe, Five-Star & FourStarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe, FiveStar & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star & HeritageFour-Star,Three-Star,Two-Star &
Heritage Two-Star,One-Star & Heritage Three-Star & Two-StarThree-Star,
Two-Star & One-Star Four-Star,Three-Star & Two-StarNumber of
Responses664710681364 8788Airline Crew2.5% 2.6% 9.3% 3.0% 0.3% 0.2%
0.4% 0.1% 0.0% 0.0% 2.3% 0.6% 25.0% 38.0%Business Traveller - Domestic59.3
49.9 44.3 33.1 49.43.6 35.8 38.6 6.3 27.5 6.5 24.6 15.0 51.6Business Traveller Foreign17.0 12.2 20.3 5.31.8 19.8 8.3 7.7 6.0 14.8 1.34.2 9.6 12.3Complimentary
Rooms0.41.1 2.3 5.13.51.6 2.1 2.4 1.0 1.0 1.32.7 1.4 1.3Domestic - Tourists /
Leisure FIT3.4 11.3 2.9 12.7 17.3 15.2 11.9 13.4 22.0 36.8 51.8 18.6 29.4
5.0Foreign - Tourists / Leisure FIT2.42.9 2.4 3.92.3 14.8 7.4 6.8 37.8 6.5 4.5 15.6
15.6 3.3Meeting Participants (Less than 100 Attendees) 1.24.4 0.6 2.92.06.3 4.9
4.5 6.8 1.0 4.55.6 5.0 7.3Meeting Participants (Over 100 Attendees) 8.04.0 8.3
12.7 16.22.8 6.38.1 1.7 2.5 4.62.1 5.6 12.1Tour Groups - Domestic1.57.1 0.3
11.63.35.2 5.8 13.0 12.7 3.8 20.0 13.4 13.1 2.6Tour Groups - Foreign1.42.6 0.6
2.02.3 29.5 13.4 4.8 5.7 5.5 2.4 11.4 5.0 1.5Other2.92.0 9.0 7.71.61.0 3.9 0.7 0.0
0.8 1.01.2 0.0 2.8Total100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0 100.0 100.0 100.0 100.0Country of Origin of GuestsAhm'bad
BhubaneswarKochi Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star,Four-Star & Three-Star Four-Star &
Three-Star Five Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,Two-Star
& HeritageFour-Star,Three-Star,Two-Star & Heritage Two-Star,One-Star &
Heritage Three-Star & Two-StarThree-Star, Two-Star & One-Star FourStar,Three-Star & Two-StarNumber of Responses4447424954 5444
ASEAN*3.0% 3.7% 0.5% 5.6% 3.3% 1.0% 2.8% 10.0% 1.0% 7.0% 0.0% 0.3% 2.2%
4.3% Australia1.93.4 3.5 2.02.05.2 2.8 8.3 4.3 4.0 4.36.3 1.3 1.5 Canada2.82.7
4.0 1.84.71.9 3.5 2.3 5.0 4.0 5.32.3 4.6 1.0 Caribbean0.00.3 0.0 0.80.00.5 0.8 1.4
0.0 0.0 0.70.0 1.7 0.5 China10.5 11.2 3.5 4.29.00.6 2.3 2.8 0.2 0.7 15.76.3 0.6 7.5
France1.23.5 3.5 4.23.3 17.8 8.3 4.4 13.8 7.0 4.74.0 5.9 3.5 Germany12.1 17.7
8.5 6.82.0 12.6 10.0 5.6 11.8 13.3 5.04.5 33.3 9.5 Japan2.67.9 3.5 1.0 25.00.9 5.3
4.5 0.0 2.8 1.01.0 3.0 3.8 Middle east3.46.3 2.5 1.00.32.0 5.0 11.6 12.2 2.7 0.30.8
1.3 6.5 Other European2.24.1 2.5 17.83.7 13.2 14.07.1 12.4 6.7 1.3 22.0 19.5
12.5 Russia0.12.7 1.0 4.89.00.5 0.5 1.2 2.2 1.0 4.7 10.0 2.0 2.0 SAARC **42.01.5
1.0 3.21.01.0 2.06.1 0.0 1.7 1.32.8 0.1 5.3 South Africa1.05.5 1.0 7.60.01.1 0.89.1
1.0 0.8 1.00.1 0.0 2.0 UK8.67.3 9.0 11.65.3 16.8 10.0 12.7 22.0 15.7 38.0 22.0 3.8
10.0 USA9.0 11.0 15.5 19.47.77.6 17.87.1 13.0 15.0 9.0 14.3 10.6 9.0Other0.0
11.3 40.5 8.2 23.7 17.3 14.5 5.7 1.2 17.7 7.73.6 10.2 21.3Total100.0 100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0* ASEAN: Association of South East Asian Nations** SAARC: South Asian
Association for Regional Co-operation - India, Pakistan, Bangladesh, Sri Lanka,
Nepal, Bhutan, MaldivesHyderabadIndoreJaipurHyderabadIndoreJaipur
TABLE 4-6: Indian Hotel Industry Twelve Other Cities: Market Data

52Page

Average Monthly OccupancyAhm'badBhubaneswarIndoreKochi Kottayam


Mysore Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFiveStar,Four-Star & Three-Star Four-Star, Three-Star & Two-StarFive-Star
Deluxe, Five-Star & Four-StarThree-Star & Two-StarThree-Star & TwoStarFive-Star Deluxe, Five-Star & Heritage Four-Star & Three-Star FourStar & Three-StarFour-Star,Three-Star,Two-Star & HeritageFourStar,Three-Star,Two-Star & Heritage Two-Star,One-Star & Heritage ThreeStar & Two-StarThree-Star, Two-Star & One-Star Four-Star,Three-Star &
Two-StarNumber of Responses6741210781166 77 7 8January66.7%69.2%
47.6% 50.9% 68.3% 73.3% 70.4%71.0% 73.2% 65.3% 32.9% 73.2% 59.3%
76.0%February72.967.257.1 50.1 67.887.1 71.369.2 75.2 48.3 28.0 70.9 59.0
79.8March65.155.851.6 45.0 60.077.0 62.560.0 55.2 45.5 69.9 62.1 49.6
74.1April59.154.346.7 51.2 62.156.6 48.859.5 47.7 62.3 51.3 56.4 41.1
74.3May58.454.149.5 49.6 67.832.6 40.958.6 48.0 77.8 72.6 40.7 38.9
75.9June59.946.154.4 49.2 66.129.1 40.354.5 45.0 61.0 82.9 33.6 30.1
73.1July59.244.055.6 45.0 57.238.3 47.356.1 51.4 51.3 48.7 33.9 36.1
74.8August58.742.958.4 48.7 55.452.3 51.658.8 61.1 56.8 39.4 46.0 41.7
73.9September61.945.445.8 48.7 56.153.3 55.661.7 60.7 60.0 34.9 49.4 48.7
76.8October63.646.854.3 50.5 66.262.6 62.162.8 61.5 75.8 45.3 55.4 63.7
77.6November60.263.759.3 56.8 69.083.4 72.974.1 63.2 71.5 43.3 67.1 73.0
75.1December66.373.258.4 60.4 72.177.4 72.676.5 74.3 75.5 51.3 74.9 68.1
77.7Average Daily OccupancyAhm'badBhubaneswarIndoreKochi
Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star,Four-Star & Three-Star Four-Star, ThreeStar & Two-StarFive-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,Two-Star
& HeritageFour-Star,Three-Star,Two-Star & Heritage Two-Star,One-Star &
Heritage Three-Star & Two-StarThree-Star, Two-Star & One-Star FourStar,Three-Star & Two-StarNumber of Responses5731012261065 76 5
6Monday56.0%44.9% 59.7% 50.4% 57.9% 64.0% 51.2%54.2% 42.3% 55.0%
36.4% 45.0% 42.0% 77.0%Tuesday65.657.165.0 51.2 61.165.5 49.757.3 39.2
51.2 34.1 68.8 41.0 84.0Wednesday62.661.066.3 51.3 62.566.5 44.859.7 40.7
56.2 34.9 71.7 41.0 85.7Thursday65.857.064.7 57.6 63.267.0 46.059.9 42.5 59.8
36.7 68.3 40.0 81.7Friday55.849.455.3 51.3 63.566.0 48.759.6 46.2 74.0 60.4
65.0 49.0 69.4Saturday39.439.937.3 54.9 51.265.5 47.054.3 57.5 81.4 76.6 57.5
55.0 63.3Sunday39.432.942.0 54.6 36.861.0 41.852.9 45.4 73.4 52.3 52.5 50.0
57.2HyderabadJaipurHyderabadJaipur
TABLE 4-7: Indian Hotel Industry Twelve Other Cities: Monthly and Daily
Occupancy
53Page

Source of Advance ReservationsAhm'bad BhubaneswarIndoreKochi


Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star,Four-Star & Three-Star Four-Star, ThreeStar & Two-StarFive-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,Two-Star
& HeritageFour-Star,Three-Star,Two-Star & HeritageTwo-Star, One-Star &
Heritage Three-Star & Two-StarThree-Star, Two-Star & One-Star FourStar,Three-Star & Two-StarNumber of Responses57281267 1344 86
108Chain CRS (Central Reservation System) 0.9% 2.4% 1.0% 2.5% 0.0%7.7%
9.3% 1.2% 6.0% 8.8% 3.4% 0.0% 0.5% 3.1%Direct Enquiry / Hotel
Representative65.0 45.2 71.5 62.8 70.719.3 49.0 39.3 31.0 44.8 29.1 42.0 39.0
57.1Global Distribution System (GDS)1.81.36.5 1.40.41.4 0.3 0.2 0.3 0.0 0.40.0
0.5 3.3Hotel / Chain Website13.98.02.0 2.07.53.2 6.7 5.5 3.3 6.3 15.1 11.3 4.0
5.9Travel Agent & Tour Operator6.7 11.41.0 18.3 10.457.7 21.4 33.4 50.8 35.8
31.1 35.0 42.6 8.0Other Online Reservation Systems7.2 15.4 12.0 0.90.82.3 4.7
3.5 0.0 1.3 2.05.0 5.0 7.6Other Websites1.64.83.0 3.63.85.1 3.1 7.7 6.3 3.3 8.13.3
6.4 4.1Other3.0 11.43.0 8.66.43.3 5.4 9.4 2.5 0.0 10.83.3 2.0 10.8Total100.0
100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0
100.0 100.0HyderabadJaipurMarketing Media - Percentage of Hotels
Using Each MediaAhm'bad BhubaneswarIndoreKochi Kottayam Mysore
Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFive-Star,Four-Star
& Three-Star Four-Star, Three-Star & Two-StarFive-Star Deluxe, Five-Star
& Four-StarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe,
Five-Star & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star,Two-Star & HeritageFour-Star,Three-Star,Two-Star &
HeritageTwo-Star, One-Star & Heritage Three-Star & Two-StarThree-Star,
Two-Star & One-Star Four-Star,Three-Star & Two-StarNumber of
Responses67391169 1256 77 98Direct Mail83.3 71.4 66.7 100.0 81.8 100.0
66.7 91.7 40.0 66.7 71.4 85.7 66.7 100.0Hotel Web Site100.0 85.7 100.0 66.7
81.8 100.0 88.9 91.7 100.0 100.0 100.0 85.7 88.9 100.0Loyalty card program50.0
42.9 100.0 44.4 27.366.7 55.6 33.3 40.0 33.3 28.6 14.3 0.0
62.5Merchandising16.7 14.30.0 22.2 36.450.0 44.4 25.0 20.0 33.3 42.90.0 11.1
37.5Other Internet site66.7 71.4 100.0 44.4 45.550.0 77.8 91.7 60.0 83.3 85.7
57.1 100.0 62.5Outdoor Advertising66.757.1 66.7 55.6 36.466.7 44.4 83.3 80.0
83.3 57.1 85.7 44.4 62.5Print Advertising66.7 100.0 100.0 77.8 90.9 100.0 77.8
100.0 80.0 100.0 85.7 100.0 88.9 100.0Promotions83.3 100.0 100.0 33.3 90.9
100.0 100.0 66.7 60.0 83.3 71.4 85.7 22.2 75.0Radio Advertising66.7 71.4 33.3
22.2 72.733.3 77.8 41.7 0.0 16.7 14.30.0 0.0 37.5Telemarketing83.3 85.7 66.7
55.6 27.366.7 55.6 66.7 60.0 50.0 57.1 28.6 33.3 75.0TV Advertising16.7 71.40.0
22.2 27.30.0 11.1 16.7 40.0 16.7 0.0 42.9 0.0 62.5HyderabadJaipur
TABLE 4-8: Indian Hotel Industry Twelve Other Cities: Sources of
ReservationTABLE 4-9: Indian Hotel Industry Twelve Other Cities: Marketing
Media
54Page

3.0 26.33.8 6.7 6.2Total100.04.0 3.31.3- 6.3Mastercard/Eurocard48.33.8 1.86.3


2.9 3.0Total100.0
31.0 42.032.5 40.7 29.5Visa34.453.8 51.253.0 54.3 50.8Other3.0
18.4 12.27.5 10.2 32.3Electronic Fund Transfer5.0
36.6 19.825.5 23.7 34.5Credit Sales (Other Than Cards) 27.3
100.0 100.0100.0 100.0 100.0Credit Cards UsedAhm'bad
BhubaneswarIndoreKochi Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star,Four-Star & Three-Star Four-Star &
Three-Star Five-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,Two-Star
& HeritageFour-Star,Three-Star,Two-Star & HeritageTwo-Star, One-Star &
Heritage Three-Star & Two-StarThree-Star, Two-Star & One-StarFourStar,Three-Star & Two-StarNumber of Responses5538105
1011556474American Express14.3% 9.8% 25.7% 7.5% 2.8% 15.8% 8.1% 8.1%
11.4% 7.4% 1.7%7.0% 21.1% 10.5%Diners club-100.0 100.0100.0 100.0
100.0Average Credit Card CommissionAhm'bad BhubaneswarIndoreKochi
Kottayam Mysore Shimla Thiruv'puram Udaipur
VadodaraCOMPOSITIONFive-Star,Four-Star & Three-Star Four-Star &
Three-Star Five-Star Deluxe, Five-Star & Four-StarThree-Star & TwoStarThree-Star & Two-StarFive-Star Deluxe, Five-Star & Heritage FourStar & Three-Star Four-Star & Three-StarFour-Star,Three-Star,Two-Star
& HeritageFour-Star,Three-Star,Two-Star & HeritageTwo-Star, One-Star &
Heritage Three-Star & Two-StarThree-Star, Two-Star & One-StarFourStar,Three-Star & Two-StarNumber of Responses344894
812645545American Express4.23.43.3 2.82.53.9 3.72.91.81.9 0.62.3 0.8
3.4Diners club0.01.90.5 0.70.50.7 0.5 0.50.80.8 0.41.6 0.5
1.3Mastercard/Eurocard1.31.61.1 1.81.71.3 1.4 1.61.41.5 1.83.4 2.3
1.8Visa1.31.61.1 1.71.71.3 1.41.51.41.5 1.83.1 2.3 1.5Other0.01.30.0 0.50.20.0
0.1 0.60.50.7 0.20.4 0.0
0.0HyderabadJaipurHyderabadJaipurHyderabadJaipur

6.1
1.0
3.4
33.2

36.9
14.0
44.6
100.0100.0

8.21.2
4.6
37.350.2
35.9
30.0
100.0100.0
4.5
0.4
1.6
60.2
25.9
34.729.7
100.0100.0
2.01.0
26.2
53.7
45.637.6
100.0100.0

3.2
0.6
14.1
11.3
37.8
41.4
47.6
100.0100.0

6.9
2.8
3.7
41.5

34.023.8
41.4
100.0100.0
3.5
3.0
0.7
42.5
43.038.0
32.7
100.0100.0
3.5
1.8
40.3
43.015.8
22.7
29.6
100.0100.0

Payment Methods UsedAhm'bad BhubaneswarIndoreKochi Kottayam


Mysore Shimla Thiruv'puram Udaipur VadodaraCOMPOSITIONFiveStar,Four-Star & Three-Star Four-Star & Three-Star Five-Star Deluxe,
Five-Star & Four-StarThree-Star & Two-StarThree-Star & Two-StarFiveStar Deluxe, Five-Star & Heritage Four-Star & Three-Star Four-Star &
Three-StarFour-Star,Three-Star,Two-Star & HeritageFour-Star,ThreeStar,Two-Star & HeritageTwo-Star, One-Star & Heritage Three-Star &
Two-Star Three-Star, Two-Star & One-StarFour-Star,Three-Star & TwoStarNumber of Responses3549116 1011556496Cash Sales36.0% 33.5%
11.0% 38.6% 41.4% 18.2% 34.9% 24.6% 49.4% 42.0% 41.7% 63.3% 59.4%
27.0%Credit Card Sales31.7
TABLE 4-10: Indian Hotel Industry Twelve Other Cities: Payment Methods
55Page

Technology in Hotels - Percentage of Hotels Using Each


TechnologyAhm'bad BhubneshwarIndoreKochi Kottayam Mysore Shimla
Thiruv'puram Udaipur VadodaraCOMPOSITIONFive-Star, Four-Star &
Three-Star Four-Star, Three-Star & Two-StarFive-Star Deluxe, Five-Star &
Four-StarThree-Star & Two-StarThree-Star & Two-StarFive-Star Deluxe,
Five-Star & Heritage Four-Star & Three-Star Four-Star & Three-StarFourStar,Three-Star, Two-Star & HeritageFour-Star,Three-Star,Two-Star &
HeritageTwo-Star, One-Star & Heritage Three-Star & Two-StarThree-Star,
Two-Star & One-Star Four-Star,Three-Star & Two-Star Number of
Responses65381158135 57688Accounting System83.3% 80.0% 100.0% 87.5%
100.0% 100.0% 87.5% 100.0% 80.0% 100.0% 57.1% 83.3% 87.5% 87.5%Call
Accounting System100.0 60.0 33.3 75.0 72.7 60.0 75.0 53.9 40.0 60.0 28.666.7
37.5 87.5Central Reservation System (CRS)66.7 20.0 66.7 37.5 27.3 60.0 50.0
15.4 40.0 60.0 14.316.7 25.0 75.0Electronic Keycard66.7 40.0 100.0 75.0 36.4
60.0 50.0 61.50.0 20.0 14.316.7 25.0 62.5Energy Management System33.3 20.0
66.7 50.0 18.2 80.0 25.0 15.40.0 0.0 28.60.0 0.0 75.0Internet / E-Mail100.0 100.0
33.3 100.0 90.9 100.0 100.0 100.0 100.0 100.0 100.0 100.0 75.0 100.0Internet /
Website100.0 100.0 66.7 87.5 81.8 100.0 75.0 100.0 100.0 80.0 100.0 100.0 75.0
100.0Intranet System66.70.0 33.3 62.5 54.6 100.0 50.0 46.2 40.0 40.0 71.450.0
62.5 75.0Local Area Network (LAN)100.0 100.0 66.7 87.5 90.9 60.0 87.5 92.3
100.0 100.0 71.483.3 62.5 75.0Management Information System83.3 80.0 33.3
87.5 54.6 80.0 75.0 84.6 100.0 100.0 85.766.7 62.5 75.0Point of Sale System for
Food and Beverage 100.0 60.0 66.7 87.5 72.7 80.0 62.5 76.9 100.0 100.0
71.466.7 50.0 87.5Property Management System100.0 60.0 66.7 87.5 45.5 60.0
62.5 69.2 40.0 100.0 42.950.0 50.0 50.0Yield Management System100.00.0 66.7
37.5 27.3 60.0 12.5 30.80.0 0.0 42.916.7 37.5 25.0Other16.7 0.0 66.7 37.5 18.2
20.0 0.0 0.00.0 0.0 14.30.0 0.0 25.0HyderabadJaipur
TABLE 4-11: Indian Hotel Industry Twelve Other Cities: Technology
56Page