The gradual opening of the hotels post lockdown has brought a ray of hope for the hospitality industry in India. Although very low on occupancy currently, hoteliers are optimistic that domestic market and other segments will gradually pave the way for business.
“India’s domestic tourism market is strong and that will be a key factor in the industry’s recovery. Outbound travel will be minimal and discretionary, and travelers will prefer places easily accessible through roads. So, overall, domestic business driven by the leisure segment, followed by weddings segment is expected to recover faster. Business travel will resume slowly and gradually in the second phase,” Rahul Puri, Multi Property General Manager, The Westin Gurgaon New Delhi and The Westin Sohna Resort and Spa, says.
Echoing similar sentiments, Aditya Shamsher Malla, General Manager, DoubleTree by Hilton Pune Chinchwad, says that domestic tourism will start limping back to pre covid days, and maybe beyond due to pent up demand and ‘anti-lockdown’ sentiment. We are all looking at the last quarter, given sustained efforts, to yield some wins for the tourism sector as a whole,” Malla adds.
Crowne Plaza Greater Noida also hopes for an improved business coming in for them. “With Unlock being executed in phases across the country, we are hopeful that things will only improve from hereon for hospitality. We are focusing on corporate stays, weekend staycations as well as the wedding and social event segment for the coming months,” Ashwani Nayar, General Manager, Crowne Plaza Greater Noida.
For Sheraton Grand Bangalore Hotel at Brigade Gateway, its repatriation flights that is bringing business for them. “We have been getting the repatriation flights-based group business and some local retail room nights intended for leisure. Amidst rising cases in the city, our new self-isolation package aimed for families with senior citizens and children have received a good response from the neighboring citizens. We are presently looking at an occupancy of 10- 15 per cent and confident that this will scale up gradually,” Rishi Kumar, Director of Operations, Sheraton Grand Bangalore Hotel at Brigade Gateway, informs.
SOPs/safety measures
Hoping to get an improved occupancy, these hotels have implemented a lot of safety measures to instill confidence among guests. Social distancing and 360-degree contactless guest experience is the new norm and hotels are prepared for it. “We at The Westin Gurgaon, New Delhi & The Westin Sohna Resort and Spa stand committed to reinventing our services in line with the new normal and adhering to the guidelines issued by the government for the hospitality industry, while seeking ways to deliver enhanced guest experiences, safety and value. We have in place a Marriott International branded program “Commitment To Clean” which defines enhanced measures to comply with the highest cleanliness and hygiene standards along with dynamics and nuances of how we will operate when we welcome guests back,” Puri says.
Similar sort of SOPs has been adopted by Sheraton Grand Bangalore Hotel as this is also the part of the Marriott. “Marriott International’s ‘Commitment to Clean’ program has invested multifold towards ensuring the safety of our associates and guests. Every aspect of guest and associate journey has been relooked into and aligned as per the new normal. We engage the guest right from pre arrival stage informing them about the measures taken to ensure their safety. SOP’s are designed to deliver contactless experiences at touch point from arrival to departure,” Kumar elaborates adding that isolation rooms have been setup at all our hotels both for associates and guests in case of a situation that may come up.
The Crowne Plaza Greater Noida is also maintaining enhanced cleaning and disinfection procedures. “The hotel utilizes IHG’s established Way of Clean program which includes deep cleaning with hospital-grade disinfectants in guest rooms and public spaces,” Nayar says. Hilton also introduced the Hilton Cleanstay program with its signature Hilton CleanStay room seal.
Training
And, to effectively implement the safety measures, these hotels have been imparting training to their staff. “An integral part of the roll out of the Hilton CleanStay Program was the training and safety of our Team Members and Heart of the House processes. We have followed the strict hygiene and sanitization training guidelines and even included the local Administration’s advice in ensuring a safe and compliant environment for our guests and Team Members, allaying any fears or anxiety,” Malla says.
According to Puri, requirements around trainings are now much more specific and frequent in a post COVID-19 world. “Department wise focused trainings are being conducted on a regular basis. We are focused round-the-clock on the health and safety of all our guests and associates, without compromising the high standards and quality of guest experience. The focus has just shifted from aesthetic cleanliness to clinical cleanliness,” Puri says.
Crowne Plaza Greater Noida is using a blended learning approach of online IHG My Learning sessions, classroom sessions with special seating arrangements and digital learning sessions at scheduled intervals. “There are around 105 new SOP based training sessions which are mandatory for colleagues to complete before resuming hotel operations in the new normal including the IHG Culture of Clean, Food Safety and more. A set of 6 new Leadership programs are launched by the IHG EMEAA (Europe Middle East Asia and Africa) Learning team exclusively for General Managers, ExComs and HODs,” Nayar informs.
F&B
One interesting trend that came into the light was these hotels started home delivery of food. This was necessary to keep some revenue coming in. For Sheraton Grand Bangalore, F&B business is doing better than anticipated on account of ‘Marriott on wheels’ home delivery. This hotel forayed into the food delivery segment in the beginning of the lockdown itself and received encouraging responses from patrons. “Our thematic ‘Weekend Brunch in the Box’ concept has got us cash registers ringing on all the weekends. The F&B revenue contribution will continue to dominate in large part of Q3 and the room mix may get higher from Q4 basis consistent relaxations in the coming months. We are gearing up for the festive season with some innovative offerings for celebrations,” Kumar says.
Crowne Plaza Greater Noida launched food delivery services in June 2020 and have so far received a favorable response. “Restaurant dining will remain impacted, but we have started to receive footfalls where guests are celebrating special occasions like birthdays etc. Till positive sentiments towards dining out returns, at Crowne Plaza Greater Noida we plan to roll out new and interesting food promotions every month that our guests can enjoy via home delivery,” Nayar says.
DoubleTree by Hilton Pune Chinchwad initiated the home delivery service more as a response to queries from our guests and regular patrons. “The service was initially executed by the hotel through our own resources but as demand increased, we signed up with a delivery partner and are now available on popular food delivery apps. I think there will be a whole paradigm shift when we look at F&B business in the foreseeable future. While the urge to return to your favourite restaurant exists, we will have to give time for guests to address their inhibitions and concerns, allowing them to build confidence about the safety measures deployed and the assurance of the brand. We hope to see the graph going up steadily in the coming months,” Malla opines.
The Westin Gurgaon, New Delhi started delivery services in May 2020. “The hotel also launched a first of its kind in Gurgaon, luxury Gourmet –To Go Drive Thru service which allows guests to pick up their order from a dedicated pickup junction in the driveway of the hotel, with minimal contact from the comfort of one’s car seat. While we are now ready to welcome our esteemed guests back to the hotel for exclusive gourmet experiences, we also take pride in continuing to being a part of their dining conversations even in the comfort of their homes; through our delivery and drive-thru pickup services. We have seen a major spurt in this segment, and I am sure this demand will continue for some time to come,” Puri says and adds that there has been a major spurt in this segment this demand will continue for some time to come.
Weddings and social events
According to Puri, weddings on a smaller scale including social events are certainly important for all hotels and resorts since they generate revenue for multiple points of sale in the hotel. “People will avoid going abroad for destination weddings and even out of the city for some time, hence the industry is hopeful of many weddings on smaller scales to happen within the city, focusing on the safety and hygiene factor as the most important priority. We too, are witnessing an encouraging response on the weddings and socials front,” Puri adds.
Crowne Plaza Greater Noida also sees a good business prospects from these segments. “We are, in fact, targeting weddings and social events in a focussed manner. We managed to secure quite a few weddings in June and July and have a constant stream of incoming queries for Q4 2020. This is now the time for ‘intimate wedding’ that will replace the ‘big fat Indian wedding’ where hotels can play the perfect host with appropriate venues and an elevated event experience possible with a small gathering,” Nayar says.
Sheraton Grand Bangalore has also been proactive in reaching out to the social segment and communicate their preparedness in hosting special events in accordance to the new guidelines. “We are equipped to deliver engaging, meaningful and tailor-made experiences keeping in mind the safety of our guests and associates. We are offering an all-inclusive ‘Intimate weddings package’ at an attractive price point. This includes complimentary stay in our suites, live interactive regional & international cuisine kiosks, décor & planning assistance, venues for shoots and more. Our proposition has been well received in the market and we are optimistic about the times to come,” Kumar states.
ARRs
Hoteliers are differing in their opinion over the ARRs. “The average room rates will be significantly lower until the end of 2020 and may see a drop of about 40-45% from 2019. We can look at reviving the rates in Q1 of 2021. Realistically, the rates will not be what it used in pre covid times until 2022. Hence it is become even more significant to drive ancillary revenue to bridge the gap and help hotels stay afloat,” Kumar opines. However, Malla sees no reason for any adverse effect on the ARRs. “The RevPAR would ideally be impacted over the short term, but given good business ethics, and genuine efforts across all segments, that too will correct itself and consumer sentiment improves. MICE and resumption of International connectivity will greatly facilitate this recovery,” Malla adds. Nayar echoes the similar opinion when he says: “We do not foresee any significant changes in pricing structure despite the currently lowered demand whilst a lot more hygiene investments will be made by hotels to serve the new hygiene and cleanliness requirements. We anticipate that neither these nor the demand / supply situation with severely impact long-term pricing,” Nayar adds.
