Hospitality players are cashing in on the New Year festivities as the high spirits of celebrations are leading to a surge in dining out and bookings in resort destinations, with the news of the COVID-19 resurgence not denting the festive sentiment.
Some players said they have witnessed room for revenue growth of 19 per cent in the year-end compared to the same period last year
Hospitality players are cashing in on the New Year festivities as the high spirits of celebrations are leading to a surge in dining out and bookings in resort destinations, with the news of the COVID-19 resurgence not denting the festive sentiment.
Some players said they have witnessed room for revenue growth of 19 per cent in the year-end compared to the same period last year.
"The news of COVID resurgence has not dented the festive sentiment, and besides, hospitality establishments adhere to stringent safety protocols. Overall, there is positivity and merriness in the air," Federation of Hotel & Restaurant Associations of India (FHRAI) president-elect Pradeep Shetty told PTI.
He was responding to a query on whether the resurgence of COVID-19 has impacted year-end and New Year bookings.
In fact, he said, "The festive fervour is ablaze across all major metropolitan cities, reflecting the high spirits of celebrations. Dining out experiences are witnessing a remarkable surge, paralleled by the promising scenario in resort destinations, where bookings have soared, exceeding 80 per cent".
Domestic travel has also surged significantly, buoyed by ongoing weddings and festive engagements. The palpable enthusiasm within domestic travel is evident, showcasing a notable uptick, with hotels registering robust year-end occupancies, Shetty added.
"Resort locations stand out as beacons of promise, while urban centres are witnessing substantial momentum in both celebratory events and dining experiences," he added.
Expressing similar views, Hotel Association of India vice president KB Kachru said, "Talking about New Year's booking, we anticipate it to grow at the same level. We expect an equally better room growth".
When asked about room revenue growth, Regenta & Royal Orchid Hotels Chairman and Managing Director Chander K Baljee said, "...our room revenue has experienced a robust growth of 19 per cent compared to the same period last year, accompanied by an average room rate (ARR) increase of 5 per cent until November year-to-date".
Kachru, also the Chairman Emeritus and Principal Advisor, South Asia Radisson Hotel Group, said the ADR (average daily rate) growth is likely to continue "but may level down in the next year due to probable geopolitical considerations".