India Daily: Hotel Occupancy to Improve to 66 Percent in 2023
Photo Credit: Some 166 new hotels with 14,885 rooms were signed in 2022. An Indian Hotels Company Limited Selections property in Raajkutir, Kolkata. Source: IHCL IHCL
Skift Take
Strong leisure travel demand and resumption of international flights have been instrumental in reshaping the fortunes of the hospitality sector. But will the trend continue?
Occupancy in Indian hotels is expected to improve to 66 percent in 2023, according to hospitality research firm HVS Anarock’s latest report. India’s hospitality sector ended 2022 with occupancy in the 59-61 percent range, up 15-17 percentage points from the previous year, the report said. Average room rates recovered fully in 2022, crossing 2021 levels by 37-39 percent and revenue per available room in 2022 increased by 89-91 percent over the previous year. Some 166 new hotels with 14,885 rooms were signed in 2022, indicating a 33 percent increase in brand signings by keys over the previous year. “We expect India-wide occupancy to improve to 66 percent in 2023, which coupled with a 16-17 percent increase in average room rates will push revenue per available room to $57 during the year, almost 18 percent higher than the pre-pandemic level recorded in 2019,” said Mandeep Singh Lamba president of South Asia at HVS Anarock.
Over 1.4 million medical tourists visited In
