The Indian hotel sector is entering a stable phase; Goa hotels outperform rest of India, Hospitality News, ET HospitalityWorld
The Indian hotel market is on a rapid recovery trajectory, with the hospitality sector in key markets showing growth across all major performance indicators month-over-month. The Monthly Indian Hotel Performance Summary Report for the month of June 2022 by HVS Anarock shows that the Indian hotel sector is on a steady growth trajectory in terms of all performance indicators – Occupancy, Average Daily Revenue (ADR) and revenue per available room (RevPAR) month after month.
While on a monthly basis, the hotel sector is either in a stabilized growth phase or in a marginal growth phase, the results for the month of June 2022 show that Indian hotels have started to outperform compared to the same month of June 2019, the pre-pandemic period.
The ADR for the month of June 2022 is stable compared to the previous month of May. However, there was marginal growth ranging from 1 to 3 percentage points in both occupancy rates and RevPAR nationally between the two months.
The pan-India occupancy of 64-66% in June 2022 was nearly 1-3 percentage points higher than the occupancy recorded in the same month of 2019, the report said. Although occupancy growth was marginal, its ADR reflectance (between INR 5750 and INR 5950 in June 2022) was 8-10% higher than in the pre-pandemic period of June 2019. even, it also reflected more than proportionally the 11-13% increase in RevPAR compared to June 2019.
According to the monthly HVS Anarock report, the pan-India RevPAR of hotels in June 2022 ranged between INR 3680-3927.
Among the micromarkets, Goa continued its progress on the other markets of the country. Goa hotel occupancy increased by 6 to 9 percentage points compared to June 2019. The change in ADR for Goa hotels was the highest recorded in the country, between 30 and 40% in June 2022.
During the month, Goa recorded the highest average rate (INR 8,500 – 10,500) in the country, followed by Mumbai (INR 7,500 – 9,500).
Other markets that showed promising growth in terms of occupancy in June 2022 are New Delhi, Kochi, Pune and Kolkata. Hyderabad, on the other hand, saw an occupancy decline of 6% (-6) in the month of June 2022 compared to the same period in 2019.
In June 2022, Chandigarh and Pune had the highest occupancy rates of around 75-77%, followed by Bengaluru (74-76%).