India’s G-20 presidency has truly started from December this year, and it brings back miles of smiles to the restaurant and hospitality industry that got crippled in the last two years due to the pandemic.
As President, India will host delegates from the 20 participating nations and will hold 200 meetings across the country that delegates will attend along with government officials, event managers, media, and private sector representatives.
As the hospitality sector is fully geared up for G-20, SURFACES REPORTER takes note of what industry experts and leading hospitality architects say about how this event will bolster the fortunes of the nations hospitality sector and what it holds for the architecture, design and building materials industry.
Jaison Chacko, secretary general, FHRAI, responded that this might also pique the interest of tourists to travel to India. He mentions, “After two years of absolute stalling, this has come as a golden opportunity for the tourism and hospitality industry.
This is the time that the government should go full throttle to promote tourism under the ‘Incredible India’ banner. The hospitality industry is ready to showcase its world-class standards and facilities to the world while celebrating the country’s rich and varied heritage and diversity,”
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Photo Courtesy: Ar. Khozema Chitalwala | Designers Group
An increase in domestic travel, especially the leisure segment, had already given wings to the industry this year and industry experts believe that with G20, the global arrivals will rise, which will further boost the sector so the outlook for 2023 is bright and optimistic.
More than 30 chiefs of state and government from the G20 nations are expected to come, apart from those invited, to the summit.
Further, all major meetings of G20 under India’s presidentship will take place in the big hotels of the city. The industry
executives inform about the spike in demand for hotel rooms. According to them,” All major hotels are almost booked, and this is quite apart from normal tourist influx.”
Hotel Association of India vice president KB Kachru and the chairman emeritus and principal advisor of South Asia Radisson Hotel Group also said, “I think its really safe to say that we have overcome the real difficult period. Im really happy to state that post-COVID, we have really bounced back. Our occupancy rates, average rates and the bottom line is all looking up."
The hotel industry has seen an upsurge in hotel bookings, average rates and revenue per available room. According to industry estimates, hotel occupancy, especially in the leisure category, is back to 70 per cent levels, while the average daily rates have risen to Rs 7,260 against Rs 6,540 in the same period in FY20. Further, the RevPAR (revenue per available room) has increased to Rs 5,085 as compared to Rs 4,499 in Q3FY20. Leisure bookings and MICE (Meetings, Incentives, Conferences and Exhibitions) events have also pushed the recovery.
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Photo Courtesy: Prem Nath & Associates
Nikhil Shah, Director, Hospitality, Capital Markets & Investment Services, Colliers India tells Surfaces Reporter, “Indian hospitality sector’s current ARR and Occupancy for most hotels at various locations have crossed the high of pre-pandemic and the inclusion of the G20 Summit will further boast the revenues. This will not only increase the ROCE (return on capital employed) but also elevate the hotel real estate price derived by the income method, (DCF, EV/EBIDTA).”
Sarbendra Sarkar, Founder & MD, Cygnett Hotels and Resorts expects a V-shape recovery for the
hotel industry. He shares, “We see a rise in ARR (average room rate) as well as occupancy percentage this year. At the moment, the bookings are standing at 70-75 per cent and we expect 80 per cent recovery of pre-Covid times," he comments.
Indian hospitality sector’s current ARR and Occupancy for most hotels at various locations have crossed the high of pre-pandemic and the inclusion of the G20 Summit will further boast the revenues.
This will not only increase the ROCE (return on capital employed) but also elevate the hotel real estate price derived by the income method, (DCF, EV/EBIDTA),” elaborates Nikhil Shah.
Some industry experts also say that the industry is currently thriving on domestic demand and the increase in the numbers of international travellers will add further growth to it.
So, the hospitality industry is poised for a major boom next year. What does it hold for the architecture, design and building materials industry? Do we see any new constructions happening for this purpose?
Photo Courtesy: Prem Nath & Associates
"Hotels cannot probably think of creating a new property for the G20 purpose rather the hotels will be spruced up to meet the security requirements…more so, more focus there will be on the tourism part,” shares Ar. Prem Nath, Principal Architect, Prem Nath and Associates, Mumbai with Surfaces Reporter.
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Photo Courtesy: Ar. Khozema Chitalwala | Designers Group
In agreement with this, Nikhil Shah says “Delegates from different countries will experience local traditions and imbibe the incredible cultural heritage and carry it back with them as memories of an Incredible India.
The wide array of venues will showcase diversity, choice, variety, culture, tradition, and cuisine - the foundational factors of Indian tourism.”
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Photo Courtesy: Prem Nath & Associates
Pointing out the upgradation work happening in the cities, Ar. Prem Nath explains, “Delegates will not only stay in one city but will visit other parts of the country. They will explore and visit the cultural and heritage sites of India. So, more focus will be there on beautifying these tourist destinations. Hence, new materials will be used that can be quickly layered over there and that basically show more of an Indian flavour."
As a new wave of covid appears to be spreading in China, Brazil, Japan, and other countries, the ripples of it continue to be felt in India. Since leaders from across the globe are visiting India during this mega event, what new trends, technology and safety procedures we can see in the hotels to combat the virus resurgence?
Ar. Prem Nath mentions, “Now, we are incorporating blue light in the hotel rooms, which is an ultraviolet ray that works on a nano kind of wavelength. It is an eco-friendly light that does not cause any harm to the skin…it is germicidal and kills all kinds of viruses."
Photo Courtesy: Prem Nath & Associates
“It is being used in workplaces, corporate offices, public spaces, hotels, and hospitals for disinfection purposes We are introducing it in all our new constructions.
In big properties, we are using virus scan booths that will detect the viruses your body carries and kill them. Also, masks, use of sanitizers and other hygienic protocols will be there to keep the virus at bay, “he further adds.
Talking about the post-pandemic hotel design, Khozema Chitalwala, Principal Architect, Designers Group comments" With the rise of new technologies and the changing needs of travellers, hotels are being forced to adapt and change the way they look and operate. In recent years, weve seen a trend toward more minimalist, clean-lined design. Hotels are also increasingly incorporating biophilic design into their projects to create more sustainable and healthy environments for guests."
"Layered lighting is another major aspect these days. By using a combination of overhead, accent, and task lighting, hotels can create a warm and inviting space that feels both luxurious and functional. As it is, leisure is the latest trend that has taken over the corporate world." he continues.
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Photo Courtesy: Ar. Khozema Chitalwala | Designers Group
"Correspondingly, a travel section for hotels called the business leisure segment has been introduced that will cater to the patrons who travel for business and look for an extended stay for leisure. Lastly, smart technology, and not to mention virtual and augmented reality is predominantly revolutionizing the hospitality industry," he further says.
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Photo Courtesy: Prem Nath & Associates
Ar Prem Nath tells that new trend for interiors is whirling white using linen and smart lighting for smart rooms. The concept of using dark shades is long gone. More focus is on providing well-lit, clean and hygienic environment to the people..jpg)
Photo Courtesy: Prem Nath & Associates
Summing up to this, SURFACES REPORTER (SR) observes that the hospitality industry will see a welcome boost cashing in on Indias G20 presidency. There is a rise in hotel bookings, average rates and revenue per available room. Needless to mention the direct and apparent impact of the cash flow of spending on other areas such as food, transport, leisure, shopping, etc. Successful hosting of this event will increase the possibility of attracting more international mega events in the future that will positively impact the economy of the country. This will also encourage the government and multilateral cooperation for facilitating investment in quality infrastructure.
Note: Some quotes and photos were randomly picked from the web
Source: https://www.deccanherald.com/,
https://www.zeebiz.com/,
https://www.financialexpress.com/
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