French hospitality company, Accor SA plans to add 11 more hotels in India by the end of 2012. Most of the hotels operated by the firm in India as well as those in the pipeline, are economy hotels and target budget travellers taking flights to India.
Hotel companies continue to pour investment in India with French hospitability firm Accor SA becoming the latest to do so. Accor, Europe’s biggest hotel chain by number of rooms, is going to almost double its number of hotels in India by setting up 11 hotels by the end of 2012. This will take the company’s portfolio of hotels to 23 from the current 12.
“India is an important growth market for Accor. We have created joint ventures with solid investment partners and have committed investments to ensure that Accor will be the leading international hotel operator in the country,” Accor Chairman and Chief Executive Denis Hennequin said on Wednesday.
The group expects to tap into the expanding figure of business and leisure travellers taking flights to India.
The firm will establish five hotels in April under the brands Ibis, Formula 1, Pullman and Novotel. The remaining hotels will open before the end of 2012, as per the company.
Out of Accor’s already established 12 hotels in India, one-third are in the budget and economy segment and caters to the domestic demand as well as those taking airline tickets for business or holiday tour.
Out of 11 hotels that are expected to come up this year, 9 would fall under the budget and economy segment. Travel buffs booking cheap flights to India will surely be pleased with the news with budget hotel business in the country also receiving a boost.
The company intends to have 90 hotels in India established or on the cards by 2015. The hotel group is also open to the prospect of hotel acquisitions in India.
Accor’s investment in India comes at a time when the demand for quality hotel rooms in the country is rising. With millions travelling to the country ever year, an acute shortage of good hotels has been felt.