MUMBAI, September 6, 2013 /PRNewswire/ --
BMGI as the Strategic Advisor and Shanghai-based Lnoppen conducted the 3rd India Hotel Expansion Summit 2013 at The Westin Mumbai Garden City on 29th & 30th August 2013. The event saw representation from senior industry leaders across the world including Starwood Group, Marriott International, Holiday Inn, Concept Hospitality, Svenska Design hotels, Keys Hotels, Ten Hotels, Berggruen Hotels and Sahara Hospitality to name a few.
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The event was flagged off with forethoughts on trends observed in the "Indian Hotel Industry" by Mr Naresh Raisinghani, CEO & Executive Director, BMGI India. Mr Raisinghani discussed the challenges of development costs, capacity expansion, availability of skilled manpower and business seasonality faced by the industry. Ms Benaifer Jehani, CRISIL concurred with Mr Raisinghani stating significant growth in Tier 2 & Tier 3 cities in the last year. She indicated that revenue growth would be subdued at levels of 4-5% with increased operating costs.
Mr Bhatnagar, Westin Hotels discussed two market segments "The Developed" and "The Developing". He reaffirmed that the developed markets need to focus on increase in footfalls, reducing cost of capital, improving visibility and striking right partnerships to achieve targeted RevPar. Increased GDP per capita in developing locations would be a key driver for identification of new locations. Mr Rajiv Puri, Marriott International, stressed that stakeholders and owners should be educated on aspects of operational and technical expertise, global alliances and new trends in creating brand visibility. Mr Sheikh of Svenska Design Hotels elaborated that new age channels such as social media marketing, blogs, virtual tours and mobile optimization will play a key role in branding and would be very cost effective.
An insight on "Green Thinking" for resource conservation and reduction in costs was shared by Mr Kannampilly of Fern Hotels. New technology for LED lighting, HVAC systems and Water management systems were shared by representatives from Crompton Greaves, ALKO Therm, AmpleBit, Coram and Aquanomic Systems.
Substantiating the need for revenue growth through innovation Mr Ambarish Raj, Senior Principal Consultant BMGI India covered aspects of "Business Model Innovation" and "Industry Innovation Intensity Analysis". He shared examples on innovation across the elements of the business model from the industry. Some innovations showcased were - value proposition of Ginger Hotels offering superior product at reasonable costs, TAJ Wellington Mews creating an innovative core offering for extended stay, CGH Earth Lakshadweep in designing a unique customer experience through ecotourism and many more.
"Understanding Cost per Key" was a refreshing concept shared by industry veteran Mr Partha Chatterjee - Advisor Key Hotels Resorts & Apartments. Another interesting comparison was made by Mr Rajesh Mohan, Head Strategy Planning, Sahara Hospitality, between the reservation system of airlines and hotels and he stressed the need to learn from airlines to drive up revenues using a dynamic reservation system.
The panel discussion theme was to discuss how we capitalize on growth opportunities through innovative investment options. Mr Shah, Howrath shared that the industry demand is being fueled by medical tourism, institutional demand and MICE Segment. It was felt by Mr Puri that there is a need to establish best in class infrastructure in India. For alternate investment routes "Asset Light" models - franchisees and "fee based" models were pointed out by Mr Agrawal of Berggruen Hotels & Mr Puri, Marriott International respectively. It was felt that a "single window" licensing system, industry subsidies from government and a new and improved Tourism policy to cover challenges of Infrastructure development will be key enablers for the growth of the industry.
The event acted as an industry platform in discussing key issues and solutions for the hotel industry in India.
For detailed information on the event, please visit: http://bit.ly/bmgihotelexpansionsummit
About BMGI
Breakthrough Management Group International (BMGI), a global consulting firm, partners organizations to transform their business performance with a strong focus on delivering results. Today, BMGI is recognized as the world leader in harnessing the power of cutting edge techniques in the area of innovation, strategy, problem Solving, business transformation for achieving tangible business results.
BMGI has delivered cumulative benefits to its clients worth several billion dollars with an ROI of 5:1 to 20:1.
Our clients are leading Fortune 1000 Global companies from diverse industries such as financial services, IT/ITES, airlines, chemicals, FMCG, discrete manufacturing, telecommunications, petrochemical, textiles, healthcare and energy both in private and public sectors.
For information on BMGI please visit: www.BMGindia.com
Primary Media Contact: Ambarish Raj, [email protected], 91-40020045, 91-9987273386
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