Radisson Hotel Group Eyes mid-scale, Upscale Segments for Growth
The group to expand the portfolio of hotels in India to increase to 200 by 2022
Radisson Hotel Group plans to double India portfolio by 2022. Global hospitality firm Radisson Hotel Group on Wednesday said it is planning to double its portfolio of hotels in India to 200 by 2022. It has 94 properties operational with 49 in the pipeline at present.
"India is a very important market for us. It is the biggest single country within our portfolio... There is a lot of growth in India. It is a very high growth potential market," Radisson Hotel Group president Asia Pacific Katerina Giannouka told reporters here. Radisson Hotel Group plans to double India portfolio of hotels to 200 by 2022; eyes mid-scale, upscale segments for growth.
The company, which enjoys an occupancy rate of over 67 percent, said it signs 12-15 hotels every year and opens around 7-10 hotels each year. She added that the company is on track to have 100 hotels operational by later this year. The company's mid and upscale brands include Country Inn and Suites by Radisson, Park Inn by Radisson and recently launched Radisson Collection. Other brands operated by the group are Radisson Blu, Radisson Red and Park Plaza.
In India, it has 5 brands and will be launching its first Radisson Red hotel targeted at the millennials, in the next 12 months. The 160-room hotel is under construction at Mohali which will be its flagship Radisson Red and will later add a 350-room hotel in Noida under the same brand. The company sees a potential for the brand in Mumbai, Bengaluru, Hyderabad, and Delhi NCR.
Radisson Hotel Group South Asia managing director and vice president of operations Zubin Saxena said that India is a mid-market growth story and the company is focusing on mid-scale and upscale segments. He added that the company would look at logical extensions, hub and spoke model, synergizing its portfolio.
The company is present in more than 60 locations, with over 10,500 keys in operation and another 6,000 in the pipeline, which they aim to double by 2022. Half of the properties are in tier II and tier III cities.
The fundamentals are strong in India. The demand is always trying to outpace supply and the demand will continue to grow, he said.