Marriott International Targets Double-Digit Growth and Expansion in Tier 2 and 3 Cities
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Marriott International, celebrating 25 years of operations in India, has achieved a turnover exceeding ₹9,000 crore and a remarkable 32% revenue per available room (revPAR). Rajeev Menon, President, Asia Pacific excluding China, outlines the hotel chain's vision for the future, with a focus on double-digit growth expected to emanate from tier 2 and 3 markets.
Strategic Approach and Premiumisation Strategy
Menon discusses Marriott's premiumisation strategy, highlighting the company's success and evolution in India. The first-quarter booking patterns indicate a promising future, with a double-digit growth trajectory anticipated for the upcoming year. The strategic focus on secondary and tertiary markets emphasizes upscale brands such as Fairfield by Marriott and Courtyard by Marriott, with cities like Indore and Jaipur showcasing the potential of these markets.
Market Transformation in Emerging Cities
Surat serves as a prime example of market transformation, evolving from a Courtyard by Marriott to a Marriott and eventually signing a JW Marriott. This shift towards luxury and premium establishments reflects investor confidence in long-term demand, even amid increased construction costs.
Expansion and New Additions
Marriott International has added over 4,600 rooms to its development pipeline for South Asia, with 28 signed deals in the past year. Six new additions to the premium brands' pipeline include Marriott Hotels and Resorts, Westin Hotels & Resorts, and Le Meridien Hotels & Resorts. The company strategically aligns with evolving preferences, emphasizing resorts and luxury and premium experiences.
Financial Performance and Industry Positioning
Menon emphasizes Marriott India's robust financial performance and strategic realignment, showcasing adaptability and resilience in a dynamic hospitality landscape. The surge in upscale offerings, penetration into emerging markets, and a pivot towards luxury experiences position Marriott for continued success in the evolving industry.
Cover image source- dotwnews.com
