INDIAN HOTEL INDUSTRY

November 2011

CREDIT ANALYSIS & RESEARCH LTD. 4th Floor, Godrej Coliseum, Somaiya Hospital Road, Off Eastern Express Highway, Sion (East), Mumbai 400 022

INDIAN HOTEL INDUSTRY

Table of Contents
Executive Summary Global Tourism Industry Outlook
Outlook: Market Size (Midscale and Upscale) Outlook: Segment-wise revenue break-up Outlook: Foreign Tourist Arrivals (FTA) Outlook: Domestic Tourist Arrivals (DTA) Outlook: Room Inventory o Overall upcoming inventory o City-wise upcoming inventory o Player-wise upcoming inventory Outlook: Average Room Rate (ARR) Outlook: Occupancy Rate (OR) Outlook: Revenue per Available Room (RevPAR)

Cities Overview Ahmedabad

o o o o o o o Ahmedabad: City Overview Ahmedabad: Review: OR, ARR, RevPAR (Mid Market & Upscale) Ahmedabad: Review: Monthly ARR, OR and RevPAR (Upscale) Ahmedabad: Outlook: Inventory Upcoming & Existing (Upscale) Ahmedabad: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) Ahmedabad: Demand Drivers Ahmedabad: SWOT Analysis

Bengaluru o Bengaluru: City Overview o Bengaluru: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Bengaluru: Review: Monthly ARR, OR and RevPAR (Upscale) o Bengaluru: Outlook: Inventory Upcoming & Existing (Upscale) o Bengaluru: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Bengaluru: Demand Drivers o Bengaluru: SWOT Analysis Chennai o Chennai: City Overview o Chennai: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Chennai: Review: Monthly ARR, OR and RevPAR (Upscale) o Chennai: Outlook: Inventory Upcoming & Existing (Upscale) o Chennai: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Chennai: Demand Drivers o Chennai: SWOT Analysis

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Goa o Goa: City Overview o Goa: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Goa: Review: Monthly ARR, OR and RevPAR (Upscale) o Goa: Outlook: Inventory Upcoming & Existing (Upscale) o Goa: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Goa: Demand Drivers o Goa: SWOT Analysis Hyderabad o Hyderabad: City Overview o Hyderabad: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Hyderabad: Review: Monthly ARR, OR and RevPAR (Upscale) o Hyderabad: Outlook: Inventory Upcoming & Existing (Upscale) o Hyderabad: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Hyderabad: Demand Drivers o Hyderabad: SWOT Analysis Jaipur o Jaipur: City Overview o Jaipur: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Jaipur: Review: Monthly ARR, OR and RevPAR (Upscale) o Jaipur: Outlook: Inventory Upcoming & Existing (Upscale) o Jaipur: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Jaipur: Demand Drivers o Jaipur: SWOT Analysis Kolkata o Kolkata: City Overview o Kolkata: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Kolkata: Review: Monthly ARR, OR and RevPAR (Upscale) o Kolkata: Outlook: Inventory Upcoming & Existing (Upscale) o Kolkata: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Kolkata: Demand Drivers o Kolkata: SWOT Analysis Mumbai o Mumbai: City Overview o Mumbai: Review: OR, ARR, RevPAR (Mid Market & Upscale) o Mumbai: Review: Monthly ARR, OR and RevPAR (Upscale) South Mumbai North Mumbai o Mumbai: Outlook: Inventory Upcoming & Existing (Upscale) South Mumbai North Mumbai Navi Mumbai o Mumbai: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) o Mumbai: Demand Drivers o Mumbai: SWOT Analysis

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NCR o o o o NCR: City Overview NCR: Review: OR, ARR, RevPAR (Mid Market & Upscale) NCR: Review: Monthly ARR, OR and RevPAR (Upscale) NCR: Outlook: Inventory Upcoming & Existing (Upscale) Delhi Gurgaon Noida NCR: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) NCR: Demand Drivers NCR: SWOT Analysis Pune: City Overview Pune: Review: OR, ARR, RevPAR (Mid Market & Upscale) Pune: Review: Monthly ARR, OR and RevPAR (Upscale) Pune: Outlook: Inventory Upcoming & Existing (Upscale) Pune: Outlook: OR, ARR, RevPAR (Mid Market & Upscale) Pune: Demand Drivers Pune: SWOT Analysis

o o o Pune o o o o o o o

Overview
Snapshot Market-size (Mid-market & Upscale) Existing Inventory (Upscale) o City-wise o Player-wise Tourist Arrivals o DTA o FTA Segment-wise revenue break-up

Industry Characteristics
Key consumer segments Seasonality Risks from operations Regulatory framework Licenses required FSI Government policies & initiative

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Hotels Classification
Classification based on ownership structure Classification segment-wise (leisure & business) Classification category-wise Hotel Concept classification o Ecotel o Motel o Boutique hotels o Serviced apartments o Resorts o Floatels o Time sharing industry o Ginger hotels

Tourism Concepts
Rural Tourism Golf Tourism o Cruise tourism o Ocean tourism o River cruise Adventure tourism Medical tourism Wellness tourism Eco tourism

Key Success Factors

Site & location Positioning & guest profile Brand recognition Yield management Differential pricing Quality of service repeat customer & word of mouth

Issues and Challenges

Changing labor conditions Increasing operating costs Natural disaster Militant attacks Lack of infrastructure

SWOT Analysis

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Company Scan
Indian Hotels EIH LeelaVenture Kamat Hotels

Regulations
The National Tourism Policy Hospitality Development & Promotion Board (HDPB) Foreign Direct Investment Norms for the hotel industry in India Luxury Tax Service Tax Other Taxes Applicable Funds Allocated During the 11th five year plan Allocation in the 12th Plan

Annexure

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The report elucidates facts on the Indian Hotel Industry, supplemented by the latest available data. Emphasis is laid on the following topics to accomplish the report.

Evolution and the current state of the industry. Demand-supply scenario and discussion on demand drivers Hotel industry classification based on ownership structure, starred categories, customer
segments and products offered

Industry characteristics Key success factors Issues and challenges faced by the hotel industry in India Extensive coverage on Foreign tourists and domestic tourists Revenue analysis A brief note on government regulations in the industry. SWOT analysis A brief on the key hotel groups in India Indian Hotels, E I H, LeelaVenture, Kamat Hotels City-wise outlook on supply, average room rates and occupancy levels on nine cities
Ahmedabad, Bengaluru, Chennai, Goa, Kolkata, Mumbai, NCR, Jaipur and Pune

Outlook on the Indian hotel industry

For an in-depth analysis and CARE Researchs view on the outlook of this sector, please refer to the exhaustive report on the Hotel Industry in India by CARE Research. The subscription to this report includes 12 monthly updates on the industry from the date of subscription. To subscribe to this report please click on the purchase link: http://www.careratings.com/content/ResourceCenter/IndustryReport.aspx For any queries regarding the content and scope of the report kindly reach us at careresearch@careratings.com

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Contacts
Ms. Revati Kasture Head CARE Research (D): +91-22-6754 3465 Mr. Chaitanya Raut Sr. Manager (D): +91-22-6754 3410 Ms. Swati Kashimpuria Analyst (D): +91-22-6754 3537 swati.kashimpuria@careratings.com chaitanya.raut@careratings.com revati.kasture@careratings.com

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