India Luxury Hotel Market Analysis and Forecast (2023-2029)

India Luxury Hotel Market was worth US$ 28.1 Bn. in 2022 and total revenue is expected to grow at a rate of 8.92% CAGR from 2023 to 2029, reaching almost US$ 51.11 Bn. in 2029.
India Luxury Hotel Market Overview:
The rising tourism and travel business is the key aspect of the growth in the market profits of Luxury Hotel & the growing disposable income, growing standard of living of individuals, & increase in preference for leisure tourism will raise market development. The Indian Luxury Hotel Market report delivers a complete assessment of the market.

The rise in purchasing power & standard of living are several of the significant constituents responsible for appealing consumers toward luxury resorts. Sports players & audiences traveling from various destinations for the competition, tend to reserve their stays in hotels, thus leading to a rise in the number of reservations. Leading companies in the market are capitalizing intensely in infrastructure & upgrading their property with the modern decorations to improve aesthetics & total comfort offered to consumers. There are definite restraints & challenges tackled which will hamper the market development. High costs of invention & development is one of the expected restraining influences for the market.To know about the Research Methodology :- Request Free Sample Report

On the basis of Type. The Business hotels sector accounts for the major market share. The resorts & spas sector is expected to show major growth during the forecast period. With a growing preference for leisure tourism, there is a prominent rise in demand for holiday resorts & spas which are particularly designed to support visitors relax & take a break from daily schedules.

The luxury hotel sector, which presently accounts for about 11 percent of India’s entire quality hotel supply, has recovered developer attention in recent years owing to its marvellous potential on account of partial supply. Local hotel brands like IHCL, Oberoi, & ITC usually ruled the luxury segment in the country. But, in current years, numerous global hotel chains, counting Marriott, Accor, Hilton, & Hyatt, have come into the luxury & ultra-luxury hotel classes in India, making the sector more competitive. As an outcome, luxury belongings donated 11 percent of complete brand signings by key in the year 2020, up from 9 percent in the year 2018.

The luxury sector earlier catered mainly to worldwide tourists & high-income local travelers. But, there has been a change in this trend in new times owing to the developing market dynamics & shifting customer inclinations in the country. In their mission for distinctive & high-end notable experiences, a growing number of ambitious, affluent, & discerning Indians are now eager to splurge on hotel stays through their holidays. This is particularly obvious in the aftermath of corona virus pandemic, as luxury travel has recovered faster than the other classes, with the ironic opting for local leisure holidays in the absence of world-wide travel.

After a year of WFH & video calls, Indians with high disposable pay are now eager to pamper & overspend on their long-awaited post-pandemic holidays, expecting to make up for the lost time & get away from it all. As an effect, reservations poured at luxury properties – from palaces & beach hotels to boutique wildlife cottages – within driving distance through the nation as soon as the travel restrictions & lockdown were reduced after the 1st & 2nd waves of the corona virus pandemic.

Also, as traveler emphasis switched to security, luxury properties which were supposed to be safer were chosen as individuals were ready to pay more for improved safety, separation, & exclusivity.

The other huge change is that owing to the global travel limitations, the outbound Indian luxury traveler is now travelling Indian destinations & pampering in holidays at high-class properties within the nation. Demand for luxury properties is also being compelled by the ‘big fat Indian wedding’ sector. Numerous couples who wanted destination weddings in photo-perfect foreign places but couldn't go owing to COVID restrictions have curved to Indian luxury hotels & resorts for wedding functions. Moreover, owing to the restricted gathering as of pandemic-related limitations, wedding funds are now spreading to luxury resort destinations for smaller, more exclusive weddings.

The Indian luxury sector has marvellous untapped potential as most of the growth so far has been centered nearby popular destinations like Goa & Rajasthan. However, proprietors are now estimating some under-explored destinations with the Andaman’s, Lakshadweep, & northeast India for luxury hotel & resort growths in the same way as Maldives & Bali. In adding, the luxury resorts sector has efficiently exploited on the growing demand for wellness tourism in the nation in recent years.

Corona Virus & Hotels:

With the Covid pandemic spreading out revenues, the hotel business in India has been left in a phase of entire confusion. It will take years for the segment to improve, MMR analyst say. The hotel & restaurant sector in the country has been among the segments hit toughest by the Covid pandemic, with the causing lockdowns & financial slowdown destroying revenues & profits. When the 2nd wave of the Covid was at its highest in April & May, The Indian FHRAI, the apex business body, sought instant support from the government of PM. It was a despairing appeal for government assistance to except the hospitality segment from imminent collapse. The FHRAI wished a moratorium on loan & interest expenses & insisted that, without the help, the segment would collapse.

Hospitality segment is bleeding:

Without killing any more time, the Indian government should make essential special supplies to surrender constitutional charges for the hospitality segment. Hotel managers & experts stress that refund of loans with interest has been problematic under the existing harsh financial environment. According to MMR report study, the Indian hotel business took a hit of above USD 17.4 Bn in income for the fiscal year 2020-21 as there are some 150,000 exclusive hotels in the country & around 20-25 percent of them face the risk of enduring closure.

Jobs at risk:

Numerous hotel chains have taken events like freezing new employment, moderately closing hotel floors & shutting down hotels. In some circumstances, they have also instigated job cuts. For example, the Indian Hotels Company Limited, South Asia's major hospitality group, stated a loss of around 7.2 Bn rupees in the Covid pandemic-stricken in the year 2020-21, as opposite to a revenue of 3.54 Bn rupees in the last fiscal year. In March, Marriott put out a declaration saying it would soon initiate furloughing tens of thousands of staffs globally.

The objective of the report is to present a comprehensive analysis of the India Luxury Hotel Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The report also helps in understanding the India Luxury Hotel Market dynamics, structure by analyzing the market segments and project the India Luxury Hotel Market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the India Luxury Hotel Market make the report investor’s guide.
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India Luxury Hotel Market


Report Coverage
Details


Base Year:
2022
Forecast Period:
2023-2029


Historical Data:
2018 to 2022
Market Size in 2022:
US $ 28.1 Bn.


Forecast Period 2023 to 2029 CAGR:
8.92%
Market Size in 2029:
US $ 51.11 Bn.


 Segments Covered:
by Type
Business
Airport
Resorts
Others


by Category
Chain
Independent



India Luxury Hotel Market, by Region
North India
South India
East India
West India
India Luxury Hotel Market key player
1. OYO
2. Lemon Tree Hotel
3. Treebo
4. Hyatt Hotels Corporation
5. InterContinental Hotel Groups
6. Marriott International
7. Radisson Blue Hotels
8. Shangri La Hotels & Resorts
9. Taj Hotels Resorts & Places
10. The Lalit Hotels
11. The Leela Palace
12. The Oberoi Group
13. The Park Hotels
14. Bharat Hotels Limited
15. Hotel Leela venture Limited
16. ITC Hotels Limited
17. The Indian Hotels Company Limited
18. Sarovar Hotels Private Limited
19. Marriott Hotels India Private Limited.
Frequently Asked Questions:
1) What was the market size of India Luxury Hotel Market markets in 2022?
Ans - India Luxury Hotel Market was worth US$ 28.1 Bn. in 2022.

2) What is the market segment of India Luxury Hotel Market markets?
Ans -The market segments are based on Location, Theme & Region.

3) What is forecast period consider for India Luxury Hotel Market?
Ans -The forecast period for India Luxury Hotel Market is 2023 to 2029.

4) Which are the worldwide major key players covered for India Luxury Hotel Market report?
Ans – OYO, Lemon Tree Hotel, Treebo, Hyatt Hotels Corporation, InterContinental Hotel Groups, Marriott International, Radisson Blue Hotels, Shangri La Hotels & Resorts, Taj Hotels Resorts & Places, The Lalit Hotels, The Leela Palace, The Oberoi Group, The Park Hotels, Bharat Hotels Limited, Hotel Leela venture Limited, ITC Hotels Limited, The Indian Hotels Company Limited, Sarovar Hotels Private Limited, Marriott Hotels India Private Limited.

5) Which region is dominated in India Luxury Hotel Market?
Ans -In 2022, South region dominated the India Luxury Hotel Market