Hotelscapes April Issue by Cross Section Interactive Private Limited

Volume 2. Issue 3. April 2013. Rs 50

all about hotels & hospitality

Kempinski Ambience Hotel, East Delhi

New hotels open to Niche markets: create new demand Hicsa scores another success

Hyatt set to open its first property in Gurgaon The Park & The Leela unveil new brand identities Art of human capital acquisition

editorial

Volume 2 Issue 3 april 2013

editor’s note

Volume 2. Issue 3. April 2013. Rs 50

ALL ABOUT HOTELS & HOSPITALITY

Kempinski Ambience Hotel, East Delhi

New hotels open to Niche markets: create new demand HICSA scores another success

Hyatt set to open its first property in Gurgaon The Park & The Leela unveil new brand identities Art of human capital acquisition

e bring you special coverage of HICSA that concluded in Mumbai earlier this month. This issue of Hotelscapes features interviews with some of the biggest names of the industry like Priya Paul, Arun Saraf, Dilip Puri, Rajeev Menon, Trudy Rautio, Jean-Michel Casse, Lalit Panwar and others present at HICSA. This issue also covers trends that emerged at the largest conference on hospitality, HICSA hosted by HVS India. There is post event coverage of the HICSA Awards. The ‘Forum of the Month’ covers interesting subjects that came across at HICSA such as ‘Are owners making money’ and ‘Women in hospitality: The challenges ahead.’ Post this rich coverage on HICSA, moving on to the other sections of the magazine we introduce our readers to the first Hyatt hotel coming up in Gurgaon with a focus on MICE and business. Other than that read about Ginger Hotels opens its second property in Bengaluru and Kempinski Ambience Hotel Delhi is now open for all to experience European luxury in hospitality. We have some interesting Guest Columns from an HR perspective like ‘Art of human capital acquisition’ and ‘The best asset of any business is its people.’ Apart from these the other guest columns from the HICSA coverage are ‘State of the industry’ and ‘India is the fastest growing market for online hotel bookings.’ Read about the complete coverage of the National Tourism Awards 2011-12, in addition to other industry news and updates. Do write to us with your feedback.

r e a d e r s w r it e in The Union Budget did not promise much for the industry, and this was brought forth in your ‘Forum of the month’ where leading players expressed their dissatisfaction with the budget, and also suggested the way forward for the industry. Namit Handa, Chandigarh

Editor: Navin S Berry Assistant Editor: Manisha Almadi Midha Advertising: Saurabh Shukla Design: Ashok Saxena, Neelam Aswani Hotelscapes is published and printed by Navin Berry, printed at Anupam Art Printers B-52, Naraina, Phase II, New Delhi and published from IIIrd Floor, Rajendra Bhawan, 210, Deen Dayal Upadhyay Marg, New Delhi - 110002. Editor: Navin S Berry, Tel: 91-11-43784444; Fax: 91-11-41001627. E-mail: info@crosssectionmedia.com

This issue of Hotelscapes contains 56 pages plus 4 pages cover

I am always looking forward to eco friendly tourism destinations. It was good to know that the government in Kerala is promoting eco tourism in the state and the hotels are implementing the clauses. I would like to read more about eco tourism features in your magazine. Richa Kumar, Mumbai I didn’t know Bhopal did not have any international hotel brands until Marriott forayed into the city with its four star business hotel Courtyard by Marriott. We’d like to read about more of such stories in the ‘New developments’ section. Tier 2 cities need more international branded hotels. Aman Dev, Bhopal The March cover was quite chic and classy. Congratulations! Keep up the good work. Neelu Sharma, New Delhi There’s a Park at Goa – I got to know this through your ‘Destination’ article. The pristine white interiors of the hotel will draw me to Goa this summer! The hospitality scene in this beach destination also came across through your article. Neharika Tandon, Gurgaon

April 2013 • hotelscapes 1

April

Contents

8 New developments 8 Kempinski Ambience Hotel Delhi is now open 10 Ginger Hotels opens its second hotel in Bengaluru 12 Hyatt set to open its Gurgaon property

In the news 14 The Leela: new brand identity

Accor works on giving solutions to investors

Forum of the month 37 Are owners making money: candid speak brings new insights 38 A top down view on India: Four CEOs on stage together 39 Women in hospitality: The challenges ahead

2 hotelscapes â&#x20AC;˘ April 2013

Photo feature 40 Trends in writing desks Products 52 New product launches People 54 Movements in the industry

Interviews 18 Trudy Rautio: India has shown consistent growth for hotels 20 Marriott to add five properties this year 22 Accor partnering for success in India 24 Kempinski makes its first independent foray 26 How new age owners can match local concerns 28 Mumbai city leads the market trends: Arun Saraf 30 The Park unveils a new brand identity 32 The Ashok unfolds a strong refurbished outlook for its hotels

Guest columns 16 36 42

Art of human capital acquisition The best asset of any business is its people Standing out in a crowded market

44 State of the industry 45 India is the fastest growing

market for online hotel bookings

April 2013 â&#x20AC;˘ hotelscapes 3

my page

FIN p

Navin Berry Chief Editor Hotelscapes

The Hotel Industry could Improve upon its Modesty Quotient, and Get Real with Proper CSR in Place as an Industry. A Hotel must be viewed as an Essential Service and not as an Island of Affluence

ubris, my friend, is a potential problem. Many a hotelier across the national spectrum, as an industry, can be accused of vision, business acumen, farsightedness, meticulous planning, and equally running the danger of falling victim to the deadly virus of hubris, or the absence of a common trait like modesty. Yes, friends as an industry, we could do with a greater sense of modesty, as an expression to the world at large. When I was talking on this subject with Manav Thadani, he said he has often asked his clients if they were looking for ROI or ROE, where it was a return on EGO that was being sought. Ego is the big issue. The reasons are not far to seek. Over the years, evaluations have gone through the ceiling. Many of the present day successful hoteliers, have seen their net worth increase ten to twenty times, even perhaps more. A property worth just Rs. 40 crores, fifteen years ago, is now worth a whopping Rs. 1,200 crores! Small town hoteliers have seen similar rises in their capital estimation. Modesty runs the danger of automatically becoming the first casualty. Business is just streaming in. Yes, ARRs may be down, but still giving handsome cash profits to most of them. All over India, banquets and receptions of that typical Indian wedding, and corporate events have given a new boost. Our hotel’s banquets have taken over from the traditional ‘baraat ghars’. In fact so heavy is the demand that halls are being booked months in advance – if rooms are going that full,

4 hotelscapes • April 2013

not the banquet halls! Hotels are still a much envied activity – there is a lot of room/opportunity to dole out favours. And there are plenty on the receiving end, willing to be beneficiaries. So, there are limitless opportunities to do ‘favours’. Which also can add to the ego quotient. CSR is sadly lacking for most of the industry. And while the bulk of the industry may be God fearing, and the owners doing their daily puja, very reverentially, CSR is another ball game. It is acknowledging your debt to society, to your immediate neighbourhood. It is not your personal gratitude to the Godly powers that be! Apart from several token acts of kindness, there is little structured CSR done by the industry, enough to boost its image of giver to society, rather than one of “islands of affluence” in a sea of poverty and missed opportunities. What’s the point of this column? That in a forum such as this, the hospitality industry also needs to debate what sort of image does it enjoy with the society at large. How is it perceived by the world around it? And what should it do, to improve its image? And this is important! In a society where the chasm, the gap between the haves and haves-not is only widening, where perception can fast become the reality in the absence of effective communication and where we continue to risk being grossly miss-understood. And the message must go across to all the publics outside – that hospitality is not about wining and dining, but an essential service to society and a responsible citizen at that ! ■

NAL

Hotels would do better to Drop their Tourism Fixation. Travel is the Big Picture and more Aligned with Infrastructure Needs

few leading representatives from the industry have been making pleas to the government for industry status for the hospitality sector. And, without any success, for many years now, this pursuit has been going on, even though somewhat mindlessly. These representations are being made for the sake of India’s tourism, and therein possibly lies the rub, we believe. Tourism has proved to be a bad word, a word that spells luxury and affluence and therefore waste, in a country where essential items for a decent living are still not available for the vast majority of its people. Imagine in this scenario we are talking of taking holidays, in the pursuit of enjoyment. Tourism does not bring votes. Times have changed, and dramatically in more ways than one. l When we hark back to 25 years ago, India needed tourism for it earned precious foreign exchange. Other avenues like foreign remittances, IT industry, among others, are richer. l The very definition of tourism has undergone a major metamorphosis. In our dictionary, tourism is now considered as a small subset of the larger travel picture. Tourism is now pure leisure, as against other more steady streams of visitors, such as business travel, returning PIOs and NRIs, business and government delegations. l The vastly expanding hospitality industry, the ever increasing inventory is not being built for foreign tourism – it is just catering to travel and travel within India that has grown

exponentially. In fact, it is the growth of the Indian travel business that is fuelling growth in the sector. Across the country, across all segments, it is the Indian traveller that is regarded as the prime source of business. In some cases, as much as 70 to 80 percent of the business is Indian, whether business or leisure. This is need-based development. l Even among the foreign visitor segment, it is business and trade and industry that is proving more reliable than the pure leisure. If Indian hospitality industry continues to chase tourism, we will not go far. What we need is to change our stance – we need to redefine or rather separate travel from tourism, show how travel is the big picture and it is for travel that we need infrastructure status. Recently, I met a hotel staff during a national holiday celebration. Strayed into a discussion as to why hotels cannot be given a day off, I quickly realised why infrastructure status is necessary. Hotels form an essential service to society, just as much as does a telephone exchange, or an airport, or the local police. On any given day, there are countless people travelling through the length and breadth of any country, and India is no exception. These people need the comfort of a home, even if be a holiday. The room service must operate, and so must the kitchen. Just like your own home, away from home. It is an essential service. And one that needs infrastructure status, as it is capital intensive, technical and long gestational. ■

April 2013 • hotelscapes 5

hicsa awards

HICSA Hotel of the Year Awards

1. Best Luxury/Upper-Scale Hotel Park Hyatt, Chennai

2. Best Upscale Hotel

DoubleTree by Hilton, Gurgaon

3. Best Mid-Market Hotel

Lemon Tree Hotel, Chandigarh

4. Best Budget Hotel

Holiday Inn Express, Ahmedabad

4 6 hotelscapes â&#x20AC;˘ April 2013

5. Small Hotel

Svenska Design Hotel, Bengaluru

April 2013 â&#x20AC;˘ hotelscapes 7

new developments

The Lobby

Kempinski Ambience Hotel Delhi is now open Kempinski launches its first hotel in India in East Delhi.

urope’s oldest luxury hotel brand, Kempinski, has reinforced its comm it ment to I nd ia by launching its first independently managed hotel, Kempinski Ambience Delhi in the commercial district of Shahdara in East Delhi. Buddhist spiritual leader and Nobel Peace Prize recipient, His Holiness the Dalai Lama blessed and inaugurated Kempinski Ambience Delhi by lighting the ceremonial lamp on 25th December 2012. The hotel opened to the public in March. As the first of eight Kempinski openings planned to take place by 2015, Kempinski Ambience Delhi is set to be an upscale landmark destination for business, enter-

8 hotelscapes • April 2013

tainment and weddings in the region. The hotel is contemporarily designed and features 480 rooms and suites in two towers, connected by a sky bridge. Each tower has a dedicated entrance, a lobby and a check-in desk. Kempinski Ambience Delhi features banqueting facilities of over 70,000 sq ft, including India’s largest pillar less ballroom in a luxury hotel that can accommodate up to 6000 guests. Amongst the dining options are four specialty restaurants including Café Knosh (all-day dining restaurant), Dilli 32 (Indian specialty restaurant), Mei Kun (Asian restaurant) and Casaluna (Italian restaurant).

Suite

New developments

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As the first of eight Kempinski openings planned to take place by 2015, Kempinski Ambience Delhi is set to be an upscale landmark destination for business, entertainment and weddings in the region.

In addition, the hotel has a scenic, glass-enclosed bar, the Cherry Bar, two business centres and recreational facilities including the spa with hammam and an ice fountain. There are also two fitness centres, a salon and two outdoor heated swimming pools. Surrounded by an affluent business community, entertainment destinations and prominent state-owned buildings, the complex is well connected via road and the metro rail to the airport and city centre. In his blessing of the hotel, the Dalai Lama said, “Today’s world is deeply interconnected and progress of any region must be viewed from a perspective of oneness of humanity. I am touched by the massive effort and

compassion that has gone into building such a magnanimous property in East Delhi, and the efforts the hotel is taking in community development, which will lead to betterment of this entire region. I met with several people from the hotel including the owners, the executive committee, the kitchen staff and security guards, and wish that they always remain filled with the same positive energy to serve and to spread joy. I wish to recognise the support extended to us by Kempinski Ambience Hotel.” He was at the hotel for his teachings on Shantideva’s ‘A Guide to the Bodhisattva’s Way of Life.’ Com menting on Kempinski’s vision to strengthen its foothold in India through this fully-managed property, Reto

Wittwer, President and CEO of Kempinski Hotels said, “Across the world, Kempinski is known as a pioneer in several destinations, and our guests who are keen to discover the world through Kempinski come to seek authentic experiences of new destinations. Shahdara fits our vision perfectly, through its unique blend of a rustic old Delhi charm coupled with an early embrace of the most sophisticated modern infrastructure technology. Asia, as a whole, is a very dynamic region. As we venture in the diverse and vital Indian subcontinent, we extend our global brand promise to our guests – no matter which hotel you visit, we ensure that the remarkable European flair offers you a consistent Kempinski

meet the team Vella Ramasawmy

General Manager

Manish Nambiar

Hotel Manager Aditya Singh

Director of Sales & Marketing Rohit Tokhi

Executive Chef

guest experience, while respecting and incorporating different cultures to imbue the uniqueness of each individual hotel.” Raj Singh Gehlot, Chairman and Managing Director of Ambience Group, which owns the hotel said, “For more than 115 years, Kempinski Hotels have hosted the most renowned and powerful international celebrities and world leaders, and we are proud to have been chosen to open their first hotel in India.” ■

Indian specialty restaurant Dilli 32

April 2013 • hotelscapes 9

new developments

Ginger Hotels opens its second hotel in Bengaluru Ginger strengthens presence in Bengaluru, opens second Smart Basics hotel at Inner Ring Road.

i n ge r Ho t e l s , f r o m Roots Corporation – a subsidiary of The Indian Hotels Company Limited (IHCL), announced the launch of its second hotel in Bengaluru. Located in the heart of the city at Inner Ring Road, opposite Embassy Golf Links, the hotel was inaugurated by Bhaskar Bhat, MD – Titan Industries in the presence of PK Mohankumar, MD & CEO, Roots Corporation Limited. Based on the concept of Smart Basics, the hotel exemplifies smart, stylish and chic services, all at affordable rates. With the first hotel located in Whitefield catering predominantly to an IT audience, Ginger Hotel aims to focus on corporates and SMEs. Mohankumar said, “IHCL created a revolution in the Indian hospitality industry when it introduced the first hotel in Bengaluru and our expansion has been well accepted by our customers and the industry.” Ginger Hotel Inner Ring Road is apt for the new age business

meet the team Chandra Mohan

General Manager

Siddhant Swain

Sales & Marketing Manager

10 hotelscapes • April 2013

traveller. With easier and hassle free access to all essential hubs of the city, and only 25 minutes away from the main commercial hub of MG Road, the hotel has 65 rooms and The Square Meal restaurant. The hotel is equipped with special features like a Smart space, Safe zone, Gymnasium to ensure guests have a comfortable and pleasant stay. All rooms are equipped with mini-fridge, LCD TV, self-controlled air-conditioner, tea and coffee maker, and a telephone. The superior rooms come with an extra sofa-cum-bed and the hotel also provides a meeting room. Ginger offers complimentary Wi-Fi to all resident guests. Ginger is targeting guests travelling towards the main city or the existing set-ups of Infosys, Wipro etc. Their main approach in markets they are already present in is to cater to micro-city level requirements by way of being present in all the pockets within a city, mainly for business purposes. ■

new developments

Hyatt set to open its

Gurgaon property

Hotelscapes catches up with Federico Mantoani, General Manager of the soon-to-open Hyatt Regency Gurgaon to throw light on Hyatt’s first property in NCR.

n a weekday, we drive down to Hyatt Regency Gurgaon to meet up with the GM, Federico Mantoani. The hotel is located in Sector 83 on the Delhi-Jaipur National Highway 8, and is just four kilometres from Manesar. The hotel is contemporary just like any Hyatt property. We take a tour of the hotel lobby, the rooms, the restaurants, the convention block that has a separate entrance and a rear entrance and settle for a chat with the GM in his plush office at the hotel. Mantoani has the good looks of an Italian, and the vision to make Hyatt Regency Gurgaon as the leading MICE hotel of NCR. Here’s the Q&A that followed:

Federico Mantoani General manager, Hyatt Regency Gurgaon

We want to attract international business travellers from cities like Japan, Singapore and Germany. We will cater to the corporate clientele of Gurgaon and Manesar who can come by to the hotel for corporate lunches and dinners and we will be the social hub of the local community of Manesar and Gurgaon.

12 hotelscapes • April 2013

Q A

Tell us about your association with the Hyatt Group.

I have been associated with the Hyatt Group for over 15 years across Hyatt properties in Hong Kong, Spain and Europe. I was with Hyatt Middle East for 10 years where I was looking after the MICE business. I wonder why we can’t replicate the success of MICE here. This is my fifth hotel opening. I came to India about a year back, and I have learnt a great deal during this phase. There are bureaucratic hurdles from the start to finish of any product but I am impressed by the work here. Like most Italians, I am not hot-blooded, I am patient.

Q A

This is Hyatt’s first property in Gurgaon.

We decided to come up with a hotel in Gurgaon as the corporate sector was in need of a venue to host large events, product launches etc. Delhi is ill-equipped with convention space and quality of venue. Hyderabad has the largest MICE facilities. Closer to Delhi, Gurgaon and Manesar have the advantage of space. Hyatt Regency Gurgaon will fill in this gap in the city. The only hotel equipped with large convention space in Delhi is JW

Marriott Hotel New Delhi Aerocity but it will have a lot of competition from the other hotels at Aerocity.

Why did you zero in on NCR?

I can’t answer for the owners but I am sure they must have had a vision about the landscape of Manesar when they purchased the land seven years back. Today Manesar is an extension of Gurgaon. In the next 10 years, Manesar will be the organic neighbourhood of Gurgaon. Manesar is in close proximity of manufacturing plants and is a corporate and residential hub. Hyatt Regency Gurgaon is the first five star hotel of Manesar, and it will be a gateway to Tier 2 cities.

How is the hotel positioned?

Hyatt Regency is positioned as the largest MICE hotel of Gurgaon. MICE is not an everyday affair! We have the opportunity to host large events – both domestic and international. We have the largest meetings and events space of over 40,000 sq ft. Our MICE facilities include the Regency Ballroom, eight meeting rooms, a boardroom and a pre-function area for each venue. The ballroom and meeting rooms are equipped with state-of-the-art technology to hold conferences and business meetings. The ballroom can be divided into three sections to cater to weddings, small parties etc. We want to attract international business travellers from cities like Japan, Singapore and Germany – we want to capitalise on that. We will cater to the corporate clientele of Gurgaon and Manesar who can come by to the hotel for corporate lunches and dinners – Hyatt will be like a second home to them, and we will be the social hub of the local community of Manesar and Gurgaon. Hyatt Regency Gurgaon is 40 minutes drive from Indira Gandhi International Airport. If the government opens the adjacent highway, the hotel will be a 15 minutes drive from the airport. Once

new developments

The Lobby

[

We have the largest meetings and events space of over 40,000 sq ft. Our MICE facilities include the Regency Ballroom, eight meeting rooms, a boardroom and a pre-function area for each venue. the Dwarka Expressway opens, it will offer better connectivity between Delhi and Gurgaon. If the government doesn’t allow trucks on the highway, it will be even better for the hotel.

Q A

What are the facilities that the hotel offers?

We have the largest inventory of 451 guestrooms, including 37 suites. The rooms are equipped with all the needs of a business traveller like high speed internet etc. We will open the hotel with 250 rooms, Lavana-the Awadhi cuisine restaurant and The Lounge that offers tea, coffee, liquor, tapas, pastries etc in the first phase. The second restaurant Kitchen District featuring five open kitchens and The Long Bar will open in the second phase. The recreational facilities at the hotel

include the signature Hyatt Jivana Spa, the fitness centre and an outdoor pool.

Q A

How will you compete with the other Five Star Hotels in Gurgaon?

Most of the hotels – The Leela Kempinski, The Westin, The Oberoi, Vivanta by Taj in Gurgaon are all located next to each other, so they will face competition. We are located away from all these hotels, so we are not really competing with them.

How is the market scenario?

The market has had its ups and downs. There is demand and supply in Gurgaon and Manesar and it will improve in the coming years.

What are your expectations?

We obviously want the hotel to make lots of money. On a serious note, we want it to be recognised. India is doing well and we are confident of the product. We are looking forward to the opening in a few weeks. We want to send out the message that we are here. ■ as told to Manisha Almadi Midha

April 2013 • hotelscapes 13

in the news

The Leela unveils new brand identity The Group launches its new look including a revamped website and announces its expansion plans.

or the first time since its inception, The Leela Palaces, Hotels and Resorts has unveiled a new brand identity, including a new logo and a revamped website, designed to express the brand’s transformation over the last 25 years. A comprehensive plan will guide the transition of the new identity at existing and upcoming properties which also includes signages, advertising creatives, guest facing materials, sales and marketing collaterals, stationery and amenities. The new brand identity is a result of a great collaboration with internationally renowned branding experts, Landor Associates, Paris; an acclaimed digital firm for Fortune 500 companies, Rare Medium, Atlanta, US; and a master Indian calligrapher, Satya Rajpurohit. The innovative change marks a highpoint for the Group, which in a short span of time, has evolved from one hotel on the outskirts of Mumbai, into a network of eight award-winning properties in prime destinations across the country. The Group plans to double its portfolio in the next four years, adding four new luxury hotels and two branded Leela Residences to its portfolio. Commenting on the initiative, Vivek Nair, Chairman and Managing Director of The Leela Palaces, Hotels and Resorts said, “The Leela Group’s new brand identity is a tribute to The Leela’s past and future, and articulates the brand’s promise to offer only the finest luxury experiences, in settings that are the essence of India. Now is the time to not only continue redefining luxury which the Group is known for, but also to reflect it in everything that bears our name.” The new logo, designed by Landor Associates is a monogram – the timeless quality seal of luxury expressed in traditional Indian calligraphy. The singular L stands for Leela, Luxury, Legendary, Lavish and Lyrical. Rajpurohit gives a true Indian character to the logo, which is further enhanced by a copper hue as seen in a tail of a Peacock, the national bird of India. The symbol of infinity at the bottom is a salute to the future of the new optimistic India – boundless, limitless and everlasting. The new highly experiential website www.leela.com designed by Rare Medium captures The Leela’s range of properties that celebrate India’s diversity with cutting-edge lifestyle imagery and world-class features. Its luxurious, elegant design allows guests to experience the true look and feel of The Leela, along with complete ease of booking. The website will also be fully optimised for iPads, iPhones and other mobile applications. Social media and sharing tools featured on the website include Facebook, YouTube, Twitter and Tumblr, whereas

14 hotelscapes • April 2013

The revamped website of The Leela

Instagram and Pinterest feed the company’s Facebook page. The new identity is designed to reflect the brand’s philosophy and commitment towards its four pillars: grace, luxury, nature and India. The project was based on an 18-month analysis of guest feedback and satisfaction surveys as well as in-depth interactions with key market influencers to identify brand perceptions and expectations. The Leela will undergo the change across its network of eight luxury hotels in India and new properties currently under development. In addition to The Leela Palace Chennai, the city’s first sea-facing hotel, which opened its doors in February 2013, new upcoming projects include a resort in Jaipur; a business hotel at Bhartiya City, Bengaluru, strategically located near the airport; a palace hotel at Supertech’s largest mixed-use development at Noida; a palace hotel at Agra, where every room will face The Taj Mahal; and Lake Ashtamudi in Kerala. The Group is also introducing ultra-luxury Residences in North and South India. The Leela is developing The Leela Residences in Bengaluru at Bhartiya City and at Supertech’s largest mixed-use development at Noida. These ultra-luxury branded Residences will be owned by individuals who will be able to avail of a multitude of services offered by The Leela such as 24 doormen, concierge services, housekeeping, turn-down service, laundry pick-up and drop-off and organising personalised and intimate banquet functions. ■

April 2013 â&#x20AC;˘ hotelscapes 15

guest column

Art of human capital acquisition Anil Bhandari Chairman, AB Smart Concepts

he persistent current global economic slowdown and with India’s GDP falling to 5.5 percent the Travel and Tourism industry has also come under pressure. As a result, the Hotel industry which had recently seen an increase in additional room capacity has led to lower average room rates and lower occupancies. According to Anil Bhandari, non-realisation of projected profit estimates is compelling all hotel companies to reduce costs. Manpower and energy costs are the major factors in expenditure in the Hotel industry. Today manpower cost is an estimated 20-23 percent of the gross turnover of a hotel. In the Hotelscapes issue dated January 2013 I had written in my article ‘Controlling Costs and Looking Ahead’ on the methods of how hotels could incorporate steps to control costs. I suggest that hotels, while hiring manpower should pay more emphasis and deliberation on selecting the right candidates so as to achieve good returns on their human capital investments. In today’s world, placement agencies not only provide manpower, they also make available avenues for success by using their resources to search for executives having a plus-person-

16 hotelscapes • April 2013

Anil Bhandari writes about how hotels should go about hiring manpower to achieve good returns on human capital investments, as manpower is one of the major factors in expenditure in the hotel industry.

ality, requisite experience and a positive attitude towards their profession. Then there are the twin benefits, of confidentiality and economy of time. Placement agencies not only help job seekers find work, they are also a human development resource bank for the employers using their services. For the prospective employers the time, money and effort saved in the process right from advertising for a post till the appointment stage is substantial. At the macro level, placement agencies maintain an applicant database with details of potential candidates and their job interests thereby making it easier for them to locate the best candidates suited to the job profiles sought by their prospective employers. In particular, they manage the recruitment process, ranging from candidate screening, shortlisting, interviewing, assisting in negotiating salaries and checking references. After a successful appointment the placement agency keeps in contact with both the employer and the employee to ensure their mutual adjustment. The agency even guarantees a replacement in case of dissatisfaction from either party during the agency’s specified contract period. There is a growing trend of placement agencies specialis-

“

The biggest concern of most employers is whether their efforts will give them a return on their investment. A placement agency assesses the candidate’s skills, performs background checks and conducts a thorough evaluation thereby taking all the responsibility off the organisation and at a lesser cost. ing in areas of expertise. For example, some agencies provide high-level managers of the Hotel and Travel industry, IT executives, medical specialists, business and engineering administrators and more. Proactive agencies in their role as consultant-cum-adviser are able to assist employers with specific needs. Reduction in delivery time, expenditure and enhanced employer satisfaction is guaranteed as well. Specialised placement agencies provide a much-needed service. They connect employers with particular needs and prospective executives with the required skills and experience,

and most importantly, at the same time maintaining their confidentiality. These agencies can provide opportunities to both skilled candidates as well as organisations locally, nationally and internationally. While selecting placement agencies it will be advisable to select one which has good experience and is managed and operated by Hotel, Travel Tourism professionals as such an agency would be more effective in the selection of human resource compared to other organisations which do placements for multiple disciplines. Advantages in recruitment through specialised placement agencies are: Matching Job Descriptions: Agencies know how to match executives with potential employers by researching the organisation’s work culture and requirements thereby enabling them to identify the most suitable candidates. This helps in the selection of applicants with the required experience or knowledge. Cost-effective Measure: The process of recruiting executive-level staff is an expensive proposition, considering the cost of advertising for the post, effort spent in screening and interviewing. The biggest concern of most employers is whether their efforts will give them a return on

their investment. A placement agency assesses the candidate’s skills, performs background checks and conducts a thorough evaluation thereby taking all the responsibility off the organisation and at a lesser cost. Sav ing on Time : It would take weeks if not months for an organisation to recruit a new employee. It would have to advertise the job opportunity, study resumes, conduct interviews and other formalities. Why should the organisation waste time doing these tasks thereby affecting day-to-day business when an agency could take care of the time-consuming responsibilities such as providing pre-screened and pre-qualified manpower with background and personality verification? Availability of Candidates: Another benefit is the range of availability of candidates that is provided by the agency. Not only are there numerous job opportunities on display for applicants but the number of candidates for an organisation to consider is extensive. The agency’s access to a vast network of candidates is an asset. Knowledge Expertise: Being a specialist in a particular field an agency can offer vast knowledge and advice. An organisation, using this knowledge, can direct its energies in a focused manner for the purpose of recruiting manpower.

Art of Interviewing One of the processes in the selection and evaluation process for a job is the interview. Interviewing is an art as it involves knowledge of human relations, management systems, crossexamination techniques and human psychology. Initially, it involves establishment of a rapport with the person being interviewed. The secondary stage of the interview

includes questioning the interviewee about his experience, expertise, personality and suitability for the post advertised. Summing up of the entire proceedings brings the interview to a conclusion. As a first step, getting the interviewee to talk on everyday matters helps him to loosen up, encourages him to dispel his fears and may determine how the rest of the interview will progress. The interviewer needs to

for personal attention to details, and interaction with other panelists for general characteristics. These non-verbal indicators help paint a picture and reveal many aspects of the interviewee. Ask the interviewee about his achievements, any noteworthy decisions, his strengths and weaknesses, the challenges faced and dealt with in his previous jobs. The answers to these questions will help the interviewer confirm his impressions

maintain eye contact with the interviewee and listen carefully to his answers. An occasional nod conveys that the interviewer is listening and understanding the interviewee’s statements while a smile helps him relax. By establishing empathy in this manner, both parties are in a better position to freely exchange ideas, and help the interviewee to reach his three C’s – Comfort zone, Confidence and Communication. The interviewer has to assess the candidate’s personality traits during this face-to-face meeting. For this he should observe the interviewee’s body language for positivity, mannerisms for his background, dress etiquette for upbringing, physical features

gathered through the non-verbal indicators earlier besides helping decide the candidate’s aptitude, integrity, talents, personality as well as expectations from the job for which he is being interviewed.

The following are the most commonly asked interview questions: l Why

do you want this job? do you like most about your current company? l Why do you want to leave your present company? l Where do you see yourself in five years? l What are your personal goals? Const ructive a nswers to these questions will display the interviewee’s positive approach l What

towards his profession, his career and the organisation for which he is being interviewed. The CV is a biographical sketch of the interviewee. Read it with care, note the presentation and study the points made highlighting the professional aptitudes of the interviewee. Professional CV writers can produce an ideal tailor-made CV for candidates. Such impressive CVs should not be accepted at face value. The interviewee should be asked to describe in detail each and every qualification and experience mentioned in the CV. This will reveal the authenticity of the contents of the CV as well as the honesty of the interviewee. The final step in the interviewing process is to summarise the information along with the interviewee so that any misinterpretation is clarified and corrected. Upon the finalisation of this summary the interviewer has what is called ‘pure information.’ It is advisable to conduct the interview at two levels with two senior management team members meeting the candidate separately and then presenting their independent views about him. A review of the members’ reports would help the Chairman/MD/CEO in the selection of the best candidate. The candidate’s past experience, strengths and weakness and background checks through references should be done. The salary package should be properly worked out considering his last salary drawn, keeping in view the company’s salary structure, and the market trends before offering the appointment letter. It is suggested that the organisation pays special attention in nurturing its acquisition of human resource capital by ensuring their maximum utilisation and lasting retention as the acquisition cost is high. ■

April 2013 • hotelscapes 17

interview

Trudy Rautio: India has shown consistent growth for hotels For Carlson Rezidor hotels, India is a cornerstone of Asia Pacific strategy and they are delighted to report strong growth in the region. The Group operates 64 hotels across India and the development pipeline of 44 hotels exemplifies their confidence in the future of India.

Q A

How does the India story look at this present moment? The fundamentals are very strong. India is one of the very few countries where consistent growth has been seen in spite of economic uncertainties globally. For Carlson Rezidor hotels, India is a cornerstone of our Asia Pacific strategy and we are delighted to report strong growth in the region. We operate 64 hotels across India and our development pipeline of 44 hotels exemplifies our confidence in the future of India.

Trudy Rautio CEO & President, Carlson Group of Companies

We were the first international company to set up an infrastructure in India and we remain the largest international hotel company. Our growth in India will depend upon the economic environment. Land prices and the process of obtaining licenses continue to be a challenge in India.

18 hotelscapes • April 2013

Are we losing our pitch or are we steadying down to more realistic levels?

In light of the global e c onom ic c r i s i s wh ich has impacted the number of international travellers visiting I nd ia, we have fo c u s e d on mitigating this by concentrating on I nd ia’s st rong dome st ic tourism ma rket and we a re confident that demand in the market segments in which we operate will continue to grow, especially with the fast growth of the Gen Y traveller. The Indian hospitality industry is in a strong position to benefit from almost 6 percent GDP growth (2012-13). The potential in the overall hotel sector in particular in India is immense due to the continued

shortage of available rooms to add ress the r isi ng dema nd. However, in some gateway cities there has been a sudden increase i n r o o m i nve nt o r y b e yond current demand which we think will take two-three years to correct. We have established a strong presence in key regions such as Delhi/NCR where we have 21 hotels and are now focused on growing our portfolio in Tier II and III cities where there is a growing demand for international, mid-scale hotels.

Major chains so far have been going the organic route, building greenfield projects. The emphasis so far has not been so much on conversions. Will this stay this way? And what will be your strategy towards conversions? And what is your typical story worldwide?

We don’t see a major change in the manner the business is done in India where conversion opportunities are limited. We have a full portfolio of brands that add ress a broad crosssection of hotel market segments a n d o u r s t r a t e g y t ow a r d s conversion in India is decided upon a case-by-case basis, our focus is on the right brand for the right location. Currently, we are focusing on the growth of

Radisson Blu Hotel New Delhi Dwarka

our Park Inn by Radisson brand which is conceptualised for newbuild properties.

What kind of synergy do you see, if any, between your building hotels in India, and tapping the Indian outbound for your overseas hotels. How does Indian outbound fit into your hotel development story in India?

As the number one international hotel group in India by number of hotels, we have established a great brand presence in India. Our strong presence here means that domestic travellers know and trust our brands and level of service and that certainly inf luences their booking decisions when they travel beyond India. Our global brand campaigns, such as the Radisson Blu “Turning the World Blu” campaign, are implemented in India and that

also increases awareness of our global brands.

How does India compare with other key markets? We are very fond of BRICS as a region, that includes Brazil, Russia, India, China and South America.

Carlson Hotels are prominent in the BRICS markets, especially in Russia and India. China continues to be a focus country for us and we hope to replicate our success in establishing our brands in India as we grow in China. The key difference between India and China is the size of the hotels. In India the average size is half the number of rooms as compared to China. In light of market differences, we have also kept our “Country Inns and Suites by Carlson” exclusive to India in Asia Pacific whereas our growth in China is driven by Radisson, Radisson Blu and Park Plaza.

How do you see growth, investments, ROI, design and development, manpower, developing experiences between these five countries.

The opportunities and challenges in each country are different. Carlson has always believed that despite being a global hospitality company we need to think “local”. We were the first international company to set up an infrastructure in India and we remain the largest international hotel company by number of hotels. We have invested in the country beyond our hotels through close affiliations with hotel schools to develop human resource skills for not only our hotels but also for the industry at large. Just as in all markets, our growth in India will depend upon the economic environment. Land prices and the process of obtaining licenses continue to be a challenge in India.

In term of design development , we encou rage international and domestic designers to include local elements respecting the local culture and traditions. We strive to appreciate and reflect local influences throughout our hotels, from décor to dining. The Great Kabab Factory dining concept is a good example of this whereby we have translated the Hindukush tradition of kababs for the dining preferences of our guests. Our “next generation” Park Inn by Radisson brand also honors local design elements through the interpretation of local colours in room décor and the RGB restaurant concept will showcase locally-inspired food and beverage. ■

How much do your hotels capture the essence of the country in which you are building? Or, are they always international, in the sense, just international?

April 2013 • hotelscapes 19

interview

Marriott to add five properties this year, room count to 5500 Hotelscapes catches up with Rajeev Menon, Vice President – Operations, Marriott India to understand the dynamics of developing the brand in India. The chain will add five new properties this year.

Q A

How has it been so far with Marriott hotels in India?

Rajeev Menon Vice President – Operations, Marriott India

India remains one of the strongest performing markets worldwide. The years ahead also remain challenging with supply side increasing, and so are the costs. Demand must grow! At Marriott, however, we expect a seven percent growth in REVPAR.

Our growth has gone reasonably well for us. Having started in 1999 with our Goa property, we have been here now for 14-15 years. You may call us local citizens with 18 operating properties, as of date, five more to open this year, and another 50 all signed and under construction. I am not mentioning anything that is not signed. And with 18 to 36 months gestation for any project, we should expect to have between 73 and 75 properties operational by 2017.

Q A

To what extent is it a numbers game?

We are not in the numbers game. In fact, many would call us conservative. We sign only when all the elements have been considered and ready to go. We are not going to make any statement based upon speculation. Our portfolio is to have the best in class in every location in every lodging segment that we are in. It has always been for us the pursuit of getting the best product in place in its respective class.

Q A

And how is the projected numbers looking for you in India? We predominantly manage and not franchise. We have often walked out in the past from

20 hotelscapes • April 2013

franchised deals. Currently, every property is managed, and 99 percent of the pipeline would also be managed, with the exception of one or two properties – some of these are with our international partners such as JHM. In relation to our competition, our endeavour is to be the best in class. It is currently established that Marriott is among the top four hotel developers in the country. We have currently 4,300 rooms and should go upto 5,500 rooms by the end of the year.

How will you manage this growth? Everybody is complaining of inadequate manpower availability! From an HR point of view, perhaps we have been lucky. We have consistently been rated among the top ten companies to work with. “Best Places” has placed us at No. 7 slot. HR is a bit of a problem for the industry, for sure. What we are doing is to catch young and promising students, train them, guarantee them jobs and impart technical skills. We have created training programmes and these are inbuilt into our hotels. But, like I said, from an industry perspective this does remain a challenge. What we need are some world class colleges, perhaps on the model of PPP – there is little bit happening and I suspect pressure will only increase.

interview

Courtyard By Marriott Mumbai

How much of your effort is based in local ethos? Or, are you just building international hotels, that are roughly the same everywhere you go?

We are a global brand and a lways ma ke ou rselves locally relevant. We work on extensive F&B relevance to local environments. In every city, some 25-28 of the best restaurants are in our hotels. With regard to design, there would always be small elements that will flow from local ethos, elements like crafts, painting – when you stare inside a Marriott room, you should get a sense of the city/place. But we are not in the business of building palaces, if you wish, to make them fit into local cultures.

How are the occupancy figures showing? Is there any shift between international and local client shares?

When we started with Renaissance Hotel in Mumbai in 2001, our occupancy patterns were 65 to 75 percent foreign and the rest Indian. Last year, I suspect the foreign portion was 30 to 35 percent. Overall, we could be in destinations that are

not meant to attract the foreigner as much. But it is true that in India, there are numerous micro markets. Rates are under pressure, and even then, we did over five percent growth over the previous year. In reality, last year was a challenging year for India – for 2013, it is still early days but we remain cautiously optimistic. Yet, India remains one of the strongest performing markets worldwide. The years ahead also remain challenging with supply side increasing, and so are the costs. Demand must grow! At Marriott, however, we expect a seven percent growth in REVPAR.

Are you doing any international promotions for the destination?

We sell overseas t ravel t h roug h ou r sa le s a nd marketing offices. These efforts are less destination driven, more by hotels. We put across special brand offerings and last year we sold close to 800,000 room nights out of India into our global network. So would it be for our sales offices in other countries – they sell India as they do other countries. ■

April 2013 • hotelscapes 21

interview

Accor Partnering for Success in India Accor hotels definitely see a higher ratio of domestic travellers, which further strengthens the belief in the brand promises Accor makes to its guests. Enhanced guests satisfaction has scored successfully with powerful brands underpinned by operational excellence embracing Accor’s European heritage and adapting for what is required by the local market.

Accor’s managed a sizeable portfolio in India over the past few years, how have the results been so far? How has the India growth story shaped up?

Jean-Michel Cassé Senior Vice President, Operations, Accor India

Accor’s aim is to be the most attractive employer in the hospitality industry by developing people and implementing an HR pact to attract and retain high performers. Accor has implemented a global strong human resource policy to motivate and retain talented employees to ensure quality service for the customers.

22 hotelscapes • April 2013

Foundations have been laid to ensure that Accor will be the leading International hotel operator in India by 2015. The vision of Innovation, passion and commitment to India is at the forefront of Accor’s expansion strategy. Today, with 19 operating hotels, 3,732 rooms, two convention centers and strong presence in 11 cities, we are witnessing an increased brand compliance across network. With eight strategic openings and launch of three new brands last year, Accor has made a great deal of progress in laying the foundations for an extensive network with a multiple brand portfolio, which will cater to both domestic and international markets across multiple segments and throughout all key areas of sub continent. Being a global hotel company Accor enjoys patronage from both international and domestic travellers. Our hotels definitely see a higher ratio of domestic travellers, which further strengthens our belief in the brand promises we make to our guests. Enhanced guests satisfaction has scored successfully with powerful brands underpinned by operational excellence embrac-

ing our European heritage and adapting for what is required by the local market. Accor has a lso proven expertise in managing purposebuilt convention center and continues to be the leader in operating convention centers in India. We currently manage the Hyderabad International Convention Centre, which is one of South Asia’s la rgest, and finest convention centers and the Lavasa International Convention Centre. Between HICC & LICC we’ve hosted over 1,500 events and for some of our other hotels such as the Novotel Mumbai Juhu Beach, Novotel Visakhapatnam Varun Beach & Novotel Hyderabad Airport, MICE is a key contributor to our overall revenues.

Q A

How do you think the next three years will be for Accor in India? India is the top most market among the three countries Accor has invested in. Accor’s strategy is to establish a benchmark for its brands and after it has reached a significant number of hotels, it will divest provided it has the guarantee of retaining the management contract. The company will continue to invest in India. Accor in India will have no less than 50 hotels in operation by 2015. We see a lot of opportunity and our strengths in three distinct segments – upper midscale, economy and budget.

interview significantly higher overall spend and length of stay for members versus non-members i n the last one year. A consistently increasing member database reflects the guests’ trust and faith in our product.

Sofitel Mumbai BKC

Talent acquisition is a big issue in the hospitality industry. What is Accor doing to retain and hire the best staff force?

[

Accor in India will have no less than 50 hotels in operation by 2015. We see a lot of opportunity and our strengths in three distinct segments – upper midscale, economy and budget.

We will be opening hotels in Pune, Ahmedabad, Kolkata, Goa, Jaipur and Gurgaon across the Novotel, Pullman, ibis and Formule1 brands in the next two years. Having a portfolio of brands from luxury to budget allows us to tailor the right product a nd bra nd to cater to our customers, both today and tomorrow and ensure the right product to support our partners and ensure the projects and the investments they are making are viable.

A unique range of solutions, flexible partnerships based on management contracts, joint development or le a s e s a nd real time support from locally available development team will make a difference.

What will be your marketing strategies & distribution drive for 2013?

Accor’s growth strategy has been marked by a powerful marketing approach and unique

operational expertise derived from Accor’s skills and capabilities in all segments and all regions. Strong distribution in India is a key to ma ke a stronger presence and to be able to get a meaningful market share. The network is built on a strategy that gives each of the key markets its own hub that further enhances and strengthens the sales force giving the network the muscle it requires. Le Club Accorhotels sees a

Accor’s aim is to be the most attractive employer in the hospitality industry by developing people and implementing an HR pact to attract a nd retai n high per formers with clear and well-organised career paths and transmission of know-how. Accor has implemented a global strong human resource policy to motivate and retain talented employees to ensure quality service for the customers. Being ranked among top 100 companies for Great Place to Work is a testimony of the fact that we have amongst the lowest staffing ratios in India. Accor is determined to hire young versatile talented staff that could be trained to multitask at various levels and will be capable of supporting the broad portfolio of properties, further ex p e r ie nc i n g fa s t e r c a r e e r advancement. Accor Academie, in India will develop human resources t o s up p o r t t h i s e x p a n s i o n by provid i ng local trai ni ng solutions, adapted to a country’s cultural characteristics. Accor a l so develops a nd reinforces its corporate social responsibility in every country where it operates. The group and their employees commit themselves with recognised partners to support people in need. ■

April 2013 • hotelscapes 23

interview

Kempinski makes its first independent foray Vella Ramasawmy, MD, Kempinski India Operations, in an exclusive interview with Hotelscapes, underlines the brand strategy for the Indian market, having opened the doors of its first independent property in the country, in East Delhi where it believes it will create a new market.

Q A

What are the first impressions/ feedback you are getting after having started the new Kempinski? What is the special niche that you wish to create for the hotel?

Vella Ramasawmy MD, Kempinski India Operations

We are well connected to the city, Airport, Metro stations and entertainment destinations in Delhi and Noida. We will in association with the government take definite efforts to maintain the surroundings.

24 hotelscapes • April 2013

Kempinski Ambience Hotel Delhi has received a very positive and encouraging start so far. The response right from our inception has only gone to strengthen our belief that there has been immense value addition to our objective in terms of destination building. Kempinski welcomes everyone to taste the new symbol of luxury in India. We want to make our property an iconic building so that our guests take back incredible memories from every visit. Kempinski Ambience Hotel Delhi is a ‘lifestyle destination’ that is catering to social and MICE events. It is poised to be a true lifestyle destination with a European flair coupled with an Indian flavour. We a r e t a r ge t i n g t he M IC E bu s i ne s s , Social, Leisure Group & Transient/Corporate at present.

It is an excellent property and has great MICE potential. How do you wish to take this further? We are delighted to confirm volume business from MICE, leisure and weddings in the hotel. Offering over 70,000 sq. ft. of banqueting space with the largest pillar-less ballroom of 25,000 sq. ft. in a luxury hotel in India, we have invoked ample interest in people to experience our hospitality. Our exotic dining options with two specialty restaurants, an all-day diner and a high end bar have guests visiting frequently. With the launch of our spa in the coming days, we look forward to welcoming an increasing number of guests.

Having a great brand such as Kempinski in East Delhi as your first property – may not have been the most ideal way to start, what are your further plans with the brand in the country? Kempinski as a brand has always believed in building destinations. Luxury is not destination specific for us – that is the reason we have been pioneers in heralding opulent properties into spaces that are not conventionally seen as hubs of luxuriousness and leisure. As per our insight, East Delhi is set to emerge like Gurgaon and Noida. It has the required infrastructure and can attract business from Delhi as well as Noida. It benefits us that we are strategically located and are well connected to the city, Airport, Metro stations and prominent entertainment destinations in Delhi and Noida. We will in association with the government take definite efforts to maintain the surroundings, as we believe it is the right time for the ‘Rise of East Delhi’.

What is your arrangement with Kempinski in India? Also, what are the plans for the holding company for further development of hotels?

We would like to distinguish ourselves in terms of offering luxurious hospitality with European flair through our properties. The rate at which India is developing and becoming a global power to reckon with, there is a huge demand for the luxury segment hospitality that will continue to grow increasingly. We are currently looking at launching three Kempinski hotels in the top luxury segment in India by 2015. We are in no hurry to open up properties; we are here to live up to our global brand promise for our guests. ■

interview

How New Age owners can match local concerns Over the last decade India has seen a significant growth in hospitality sector and almost all large international hotel brands have made an entry into India. Hotel ownership has also matured over this period to adapt to the fast changing hotel landscape! More recently, India has been witnessing participation of institutional investors within this sector. We interviewed Vinay Gupta, Vice President of SAMHI Hotel Investment Ltd, regarding the challenges faced by institutional investors in the present day scenario. SAMHI has partnered with international hotel operators such as Marriott, Accor, Starwood and Hyatt to manage 22 of its hotel projects.

26 hotelscapes • April 2013

Q A

How does SAMHI select a Brand for its assets?

Vinay Gupta Vice President, SAMHI Hotel Investment Ltd

It is necessary for the industry to have more stringent performance tests, shorter tenure and enforceable termination rights, as it is the owner of the asset who is exposed to the higher investment risk! I do accept that owners also need to give operators reasonable and realistic targets based on macro market conditions.

At SA M H I we eva luate each opportunity based on what an individual operator brings to the table for our asset (in the short and long term) such as distribution reach of a brand, development cost involved, depth of its loyalty programme and whether it is a correct match for the local demand/target clientele. We have so far signed four international brands and are open to working with other international and domestic brands to manage our future assets.

SAMHI now has both operating as well as under development hotels – what are the key challenges you face?

In developing hotels, the biggest challenge we face is the disconnect between the brand’s technical services team and the operations team. Most of the time, we find that technical services teams fail to adapt to local environment, and demonstrate little commercial acumen with a constant reference to brand standards. One acknowledges that standards are good practice; however, they should be pragmatic and be linked to the return-on-investment anticipated. There are times we find that high development cost of an internationally branded hotel development makes it commercially unviable in most tier 2 and tier 3

cities in India, where the customer is price-sensitive and reluctant to pay a premium for a branded property over an unbranded one. Secondly, certain operating standards originally designed for a western business environment may not be suitable in India. For instance, most international brands insist on using recycled/ environment friendly “imported paper” (usually sourced from USA) used as a standard practice in their home country. This to be used in Indian hotels is neither cost effective nor environmentally friendly after travelling 10,000 miles! In fact domestic alternatives are far more economical and practical to use. Same is the case with guest room amenities and other prescribed imported it em s. Un for t u nat ely, ve r y few international brands have understood these concerns. In our estimate, an international brand typically brings in additional five percent to eight percent operating expenses compared to its domestic counterparts. Yet another challenge is lack of global marketing support to owners for launching new brands in the country. This adds to the burden of hotel marketing spend as well as results in slow business pick-up.

Q A

Then how does SAMHI manage these challenges? We h a v e v e r y r o b u s t relationships with our Hotel Operators and are very careful

interview

Keeping track of the asset for the owners! Each room key has its value.

in selecting our partnerships. To ensure superior performance, SAMHI’s internal investment team gives serious considerations to the specific product, market and brand suitability before choosing an operating partner for any asset in its portfolio. In addition, to manage the operating assets, we have a dedicated team that reviews hotel performance very actively – com mercia l a nd physica l product. We have deploye d many tools and processes for this purpose on a daily, monthly, quarterly and annual basis. We a lso conduct regula r mystery audits, market surveys and financial audits for our assets to ensure superior performance. We are further investing in developing the asset management analytical tool to make finer decisions as we move forward.

What would you like to change in current owner-operator relationship?

I feel the operating agreement s t hat def i ne t h i s relationship are lopsided and heavily weighted towards the operator. In particular, the length of the term is too long. These 20+year agreements restrict healthy competition and sometimes breed complacency and tolerance to non-performance. It is necessary for the industry to have more stringent performance tests, shorter tenure and enforceable termination rights, as it is the owner of the asset who is exposed to the higher investment risk! I do accept that owners also need to give operators reasonable and realistic targets based on macro market conditions. Further, owners should not over commit capital in their hotel projects, and should have greater market insight prior to developing hotel projects. ■

April 2013 • hotelscapes 27

interview

Mumbai city leads the market trends: Arun Saraf Q A

HICSA brings owners, investors and operators onto a single forum, opens up the sector, and helps stimulate growth for the industry as a whole. This is our contribution to the industry – it is our support to the industry.

HICSA is now 9 years old. How does it feel to be hosting the event all these nine years?

It is the country’s leading hotel conference. It has evolved into a major forum, apart from those which the industry bodies like FHRAI convene. It has an unprecedented scale for the industry, with global CEOs attending and making it a world class forum. It brings owners, investors and operators onto a single forum, opens up the sector, and helps stimulate growth for the industry as a whole. This is our contribution to the industry – it is our support to the industry.

Q A

How does it feel to be chosen by HVS, year after year? After all, they are also choosing you, as their preferred venue? Certainly, this is also true, and we remain grateful to them. It is a testimony to the hotel, for its services, its facilities and its overall offering as a world class MICE venue. The Grand Hyatt is not only the best such facility in the city, but perhaps the best in the country.

Arun Saraf Managing Director, Grand Hyatt Mumbai

We recently opened doors of Hyatt Place in Hampi. In the next three months, we open Hyatt in Raipur; later in the year, we open Hyatt in Ahmedabad. Next year, we open Hyatt Andaz in Delhi’s Aerocity. In 2015, we open Hyatt in Lucknow and in Guwahati. We have started work in Bodh Gaya, but this is yet to be branded.

Q A

I am sure you have been asked this many times. What makes the hotel click? How do you keep up the standards? Sustaining standards is a difficult task, always. It is keeping an eye on basics. When you think your job has been done, that is the time when it has not! No effort is too small to worry about, no area is less relevant – every detail has to be looked into, all the time. There is never any letting go!

How has the Mumbai hotel scene evolved?

Evolved is the right word. Ten years ago, there were few choices. Today, in every variant, you have choices. From nofrill hotels to the best in luxury. Mumbai has the best to offer in every class. Going forward, this will happen to other cities in the country.

Q A

Any caution that you may wish to mention, in this regard?

Yes, the industry, as we move forward, will not be able to absorb every cost. We will have to be cautious, as we build. Though I do say there are new customers for category hotels. I see demand growing, steadily and will go on, as well.

Q A

Where are you building, and what is the present status as a group of your own?

We have the Grand Hyatt in Mumbai, the Hyatt in Chennai and the Hyatt in Kolkatta. There is the Grand in New Delhi, the Hyatt

28 hotelscapes • April 2013

interview regency in Kathmandu and the Yak & Yeti in Kathmandu. We recently opened doors of Hyatt Place in Hampi. In the next three months, we open Hyatt in Raipur; later in the year, we open Hyatt in Ahmedabad. Next year, we open Hyatt Andaz in Delhi’s Aerocity. In 2015, we open Hyatt in Lucknow and in Guwahati. We have started work in Bodh Gaya, but this is yet to be branded.

Q A

You seem to be wedded to Hyatt. The story here cannot be any different?

Hyatt takes care of my needs. I enjoy working with them. But then other chains do not reach out to me, either. I am not married to Hyatt and I am also open to speaking with other brands.

Q A

We understand you were recently honoured by Hyatt?

Yes, I was recently honoured by Hyatt – we have 11 properties signed with them – six of these are operational and another five are under construction.

Q A

Do they have other owners who have similar exposure to them, like you do?

I am sure there may be others, but possibly only in the US. I am not sure if there are any outside the US.

Grand Hyatt Mumbai

Coming back to the scene in Mumbai, how do you see the market develop in terms of micro-markets, such as the airport area, the Juhu and the North and then central Mumbai?

This has happened in Mumbai and other cities will follow suit. To us, The Taj and The Oberoi are really not competition – they are catering to another market. The Grand Hyatt is strictly catering to the BKC market place. People are choosing their hotels as per localities in which they have work to do. This is a global practice and it has come now to Mumbai as well. ■

April 2013 • hotelscapes 29

interview

The Park Unveils a New Brand Identity The Park Hotels have a steady route to growth, without the usual fanfare that accompanies many an announcement in the hospitality industry. It reflects the understated strengths of the brand itself.

Where was the need for this branding, at this stage of the industry when the chips are down. We understand you have spend some 12 crores of rupees towards this effort.

Priya Paul Managing Director, The Park Hotels

The Park offers guests a luxurious experience in a contemporary setting. For 2012-13, we have managed to increase our occupancy, though the ARR has got impacted and has been under stress. Though we have managed to retain our revenue for the group. For 2013, again, the ARR will be under pressure specially in cities like Delhi, Chennai and Hyderabad.

30 hotelscapes • April 2013

The Park Hotels is where unusual experiences are possible. We a re k now n for creativity and innovation that is ingrained in our collective DNA. As we continue to grow, we realised the need to communicate boldly the strength of our brand. The fresh design language strongly reflects contemporary India and our ethos. It is strikingly bold and captures our personality perfectly. Keeping pace with changing times is necessary across industries. The hotel industry too needs to look into offering a new promise and experience as per the demand of the consumers and continuously look at revamping the experience offered at the hotel. Any industry which succeeds to do this gains the confidence and loyalty of its consumers irrespective of the economic times we are in. The spent included marketing research, creation and designing as well as implementation of anything but ordinary experiences that will take place year around across all our hotels.

What is the scope of this branding and what do you hope to achieve?

The rebranding process is

brought to life through a range of applications including digital, signage, collaterals and a highly impactful brand video. Through the exercise, we have developed a few experiences that are ‘ANYTHING BUT ORDINARY’. These experiences are delightful surprises that makes staying at The Park more memorable. From the moment a guest arrives, to the moment they leave and beyond, we want them to experience the remarkable. So that no matter where life takes you next, you take a part of The Park with you.

How is the performance of The Park Hotels during the last year, and how does 2013 look?

For the year 2012-13 , we have managed to increase our occupancy, though the ARR has got impacted and has been under stress. Though we have managed to retain our revenue for the group at Rs 300 crore and maintained EBITA at Rs 83 crore for the group. For 2013, again, the ARR will be under pressure specially in cities like Delhi, Chennai and Hyderabad.

Indian hoteliering is becoming intensely competitive, and where does this leave a boutique brand such as yours ?

The Park offers guests a luxurious experience in a

interview contemporary setting. Our hotels are a focus for those in love with the local culture and art. We are constantly evolving to keep with the changing needs of modern day traveller. Our spaces reflect the various moods of the city as well as the traveller. We are business-like during the day, and during the nights our spaces turn into high energy zones with music and entertainment everyday of the week. This makes us the preferred choice. Unlike others, we are not a cookie-cutter brand of hotels; all our hotels have a different design philosophy that is inspired by the city and its culture. We offer guests a kaleidoscopic view of the cityâ&#x20AC;&#x2122;s art culture cuisine and nightlife.

You have the best of central locations in every city, but in many towns the market have moved elsewhere?

The markets have grown to i nclude subu rbs of many metro cities but have not moved out of the central locations. Most of our guests do choose us because of our location that is central to business districts, government offices as well as close to the shopping areas. This clearly caters to both their personal and professional needs of leisure and corporate travellers.

What is your message to your fellow hoteliers, at this time when the economy is not showing too impressive growth, elections are round the corner and corporate travel is also expected to be slow.

To be patient, as I see a lot of positive growth to happen. â&#x2013;

April 2013 â&#x20AC;˘ hotelscapes 31

interview

The Ashok Unfolds a strong refurbished outlook for its hotels With the recent comprehensive renovations, the look, the feel and the facilities of The Ashok have undergone an incredible evolution.

How is the new look Ashok New Delhi performing? As the flagship property, what are the new benchmarks the hotel has achieved?

Lalit Panwar VC & MD, ITDC

ITDC have a total of 900 rooms in Delhi. The Delhi based hotels viz. The Ashok, Hotel Samrat and Hotel Janpath are aggressively promoted for capturing the domestic segment and MICE segment with cost effective attractive packages and offers. The Ashok symbolises the traditional grandeur and hospitality of India.

The Ashok symbolises the traditional grandeur and hospitality of India. With the recent comprehensive renovations, the look, the feel and the facilities of The Ashok have undergone an incredible evolution. The hotel’s 550 rooms comprising 77 club rooms with lounge facilities, 160 suites and one Presidential Suite continue to provide the guest with the best in terms of services and facilities. The Ashok guests assess the hotel as: “The Ashok is a jewel in India, an amazing place.” For, here they experience “very high standards of service,” as The Ashok has “made hospitality an appreciative art.” The Ashok is the proud recipient of two National Tourism Awards from the Ministry of Tourism in the last two-three years under different categories. The Hotel was conferred the National Tourism Award 2009-10 in the category of “Best Convention Centre” by the Ministry of Tourism and in the year 2011-12 as the “Best Hotel Based Meeting Venue.”

How is the overall performance of

32 hotelscapes • April 2013

other ITDC properties? We understand the share prices of ITDC are witnessing a new high? To what do you attribute these successes?

The overall performance of other ITDC properties has improved considerably in the last two-three years and the Share Price of ITDC has risen from Rs 109 per share (in June 2012) to Rs 2,217 per share (on 28th January 2013). Introduction of new initiatives and re-defined dynamics of success as introduced – have been responsible for ITDC to meet the pre-defined targets.

Apart from the Hotels division, we understand you have diversified into other productive streams. Please share these and also other areas where you are playing the role of catalyst in tourism matters?

To reinvent itself in the changing scenario, ITDC besides consolidating its remaining business area has diversified into new service-oriented business activities like consultancy and execution of tourism and engineering projects, training/ education in the tourism and hospitality sectors, event management in India and abroad

interview

The Ashok, New Delhi

and mounting of SEL shows in the country as well as venturing into niche segments of Cruise Tourism and Medical Tourism. As the premier implementing agency of the Ministry of Tourism’s initiative “Hunar Se Rozgar” aimed to provide skill development for the country’s unemployed youth, ITDC has exceeded the target to train 5000 students during the year 2012-13.

You have a large inventory of hotels in Delhi – how do you promote them and make them grow. What kind

[

of product segmentation have you made and to what success?

Is there any talk of growing your brand? Offering your expertise to remain asset light and acquire more properties through management contracts? Are there any

joint ventures under way with State Governments?

I T DC has the complete backup of services under viz. Tours & Travels, Duty Free Shops, Entertainment, Project Consultancy, Engineering Consultancy and Event Management under a single roof. The Group has the know-how and expertise to acquire more properties through management expertise under the franchise model as offered to stand alone hotels in the country. MOUs have also been signed with State Tourism bodies viz. Tripura Tourism Development Corporation to develop Tourism in the State and build a Hotel

Economic slow down has its affect on the Industry. to face the issue ITDC is concentrating on tapping the domestic & MICE segment. ITDC has already initiated the process to set up IGTHU to bridge the gap between demand & supply of manpower.

under the Public Private Partnership (PPP). ITDC has also entered into an MOU with M/s Hindustan Salts Limited and its subsidiary M/s Sambhar Salts Limited with the objective to develop tourist centres in the State of Gujarat, Rajasthan and Himachal Pradesh.

How is the economic slow down affecting your hotels and your growth plans?

Economic slow down has its affect on the Industry as a whole. However, to face the issue ITDC is concentrating on tapping the domestic as well as MICE segment. ITDC has already initiated the process to set up India Global Tourism & Hospitality University (IGTHU) in Haryana to train manpower as well as undertake research activity for the Tourism Industry in an effort to bridge the gap between demand and supply of manpower in the industry. ■

April 2013 • hotelscapes 33

interview

Accor works on giving solutions to investors Accor has a robust pipeline with the largest number of hotels in the midscale, economy and budget segments actively under construction in India. Accor is also evaluating new models, including selective franchising for some of its brands.

What does your development path look like and can you share which markets and cities are you entering over the next few years?

Lokesh Sabharwal VP – Development Accor Hotels in India, Nepal, Bangladesh and Sri Lanka

Between now and 2014 we will be opening hotels in New Delhi, Kolkata, Chennai, Bengaluru, Pune, Ahmedabad, Goa, Jaipur, Agra and Trivandrum across the Pullman, Grand Mercure, Novotel, ibis and Formule1 brands.

34 hotelscapes • April 2013

India is a key growth market for Accor. It’s a market where our number of hotels is more than set to double by 2014 from the existing 19 hotels operational at present. During 2013 we will add another 10 hotels to this network of operating hotels. Having established and strengthened our operations in India via a hub and spoke model, we are offering and will continue to improve our deliverability to our customers and partners with a pan-India presence, by providing a lodging solution in all primary and key secondary cities in the country – across micro markets and across budget ranges. We are actively reviewing opportunities to enhance our presence across secondary and selective tertiary markets. We will commence operations in Jaipur and Goa this year, our first hotels targeting the leisure market. At the same time, we are seeking opportunities for developing hotels in other countries in the region including Bangladesh, Nepal, Sri Lanka and Bhutan.

Q A

Which brands from Accor are particularly relevant for the Indian market?

Novotel and ibis continue to be our most recognised brands, with the Novotel in HITEC City, Hyderabad being our first operation in the country since 2006, attached to the Hyderabad International Convention Centre that we continue to operate. ibis was the first internationally branded economy hotel in India and we now have seven hotels operational with another 15 under active development. We have learnt and adapted the product to suit Indian customers’ expectations without having altered the spirit and integrity of the brand. We are also witnessing new opportunities across markets for other Accor brands; having launched our upscale brands Sofitel and Pullman and the

budget Formule1 in the country. There is a huge potential for our Mercure brand which blends the product specifications of an international mid-market hotel with the requirements of a local market. In a way, Mercure celebrates and thrives on the diversity of a complex market like India.

Q A

What can hotel investors expect from Accor as an operator in India?

Accor has been one of the few international hotel companies that have committed a significant investment towards the Indian hotel sector, across segments and markets. We are now actively increasing our presence in the sub continent for our luxury, upscale and mid market hotels via management agreements while continuing to selectively invest in the economy and budget segments. As a result we have a robust pipeline with the largest number of hotels in the midscale, economy and budget segments actively under construction in India. We are also evaluating new models, including selective franchising for some of our brands. We approach our potential partners with the point of view of offering a solution to them. There is a genuine attempt to understand the vision of the ownership and combine it with on-ground market intelligence. We believe this flexibility is what hotel investor’s appreciate. We are collaborative rather than being prescriptive. At design level, this collaborative approach leads to GFA optimisation, appropriate room sizes and optimum design. Hence, public spaces and F&B facilities in a hotel are based on market requirements rather than purely being driven by a strict brand requirement. Our hotels enjoy autonomy in decision making and are therefore very successful in delivering good GOP results. To sum up, we believe having invested ourselves, our awareness of the landscape and pressures faced by our owners as well as their needs, allows us in supporting our partners better. ■

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guest column

The best asset of any business is its people David Hopcroft GM, Shangri-La’s-Eros Hotel, New Delhi

n the drive to thrive, excel a nd g r ow i n a h i g h ly competitive global economy, many companies tend to forget that their people are the primary asset and backbone of t he c ompa ny. L e a r n i ng to leverage the power of the greatest asset in your company will give you the best competitive advantage because “a company is as good as the people it keeps.” Peter Drucker, the great management guru used to write continuously on management and social issues. He originated the view of the corporation not just as a profit-making machine, but as a human community built on trust and respect for its people. He coined the term “knowledge workers.” In today’s scenario, people a re genera l ly cla s si f ie d a s expenses on the income statement and liabilities on the balance sheet, not as an investable asset. Thus, when CEOs seek to increase profit, they cut costs like people rather than investing in assets like people that can appreciate. I am an avid follower of the successful German entrepreneur Karl Hans Albrecht who said that “a spirit of service” is an element of giving – a spirit of generosity that makes people give something of themselves in addition to just doing the job. My years of experience in

36 hotelscapes • April 2013

Embrace your employees as your most valuable asset as it is through them that customer loyalty is built, services get delivered and profits are achieved, says David Hopcroft.

the industry have taught me to embrace my people as my most valuable asset. It’s important to keep in mind that its through your employees that customer loyalty is built and its through them that products and services get delivered as well as profits and growth are achieved. The point of having a great product shall in the end be defeated if you don’t have the right staff to sell that product. The core ingredient to building up a healthy relationship with your people is respect. A renowned hotel chain has a good slogan defining respect that says, “ladies and gentlemen serving ladies and gentlemen.” A warm smile and a friendly word go a long way in forming the employer–employee bond. Motivating your staff and making them feel valued should be high on your list of priorities. People i n top ma nagement positions play a vital role in engaging people and getting results. You need to set the pace and tone, communicate expectations, get people actively involved in running the dayto-day business, and provide regular coaching and feedback so your employees can keep the momentum going and make needed course corrections. Investing in your staff is vital, not only will it mean you’re getting the best and most up to

“

Just imagine what your organisation could accomplish with everyone in the boat actively rowing in the same direction. Employees who feel valued gladly will compete in the race, overtake the competition, cross the finish line first, and end up on the medal stand. Happy and satisfied employees lead to a successful and profitable business. date in the business but they’ll be grateful for being able to develop under your watchful eye. Make sure you fully research trainings and courses to send your staff on to get the full potential. It’s also important to get feedback from them on how they feel the courses benefitted them. L e ad by exa mple, enjoy the work you do and use your position to make the job at hand fun for your staff instead of a chore. This acts like a big stress reliever. Inject stress busters and fun activities from time to time. Organise team outings, sports meets and matches, clubs and festivals. This approach proved really helpful during my tenure

at Shangri-La, Fiji since there is not much to do on an island in the middle of the pacific. Organisations which want to grow should learn that nurturing of loyalty is a key ingredient of human capital. Their people are their most valuable asset in securing the future. Just imagine what your organisation could accomplish with everyone in the boat actively rowing in the same direction. Employees who feel valued gladly will compete in the race, overtake the competition, cross the finish line first, and end up on the medal stand. Happy and satisfied employees lead to a successful and profitable business. ■

forum of the month

Are owners making money: candid speak brings new insights

Arun Saraf Managing Director, Jupiter Hotels

Leading players throw light on the subject.

atul Chordia Chairman and CEO, Panchshil Realty

Neel Raheja Group President, K Raheja Group

ith the supply - demand chain falling rapidly, room occupancy down from 72 percent to 60 percent and construction cost up 22 percent are there still ways for owners to make money in the industry? Moderator Uttam Dave, President and CEO, Interglobe Hotels poses the right questions to a set of interesting panellists. “The two parameters that define profits for companies are cash surplus and wealth generation. Making money is creating wealth,” states Arun Saraf, Managing Director, Jupiter Hotels. He continues to say, “Business cycles will always be there. The best way forward is to have enough cash. A well-capitalised brand does not have anything to fear when a low situation sets in.” The point being that the industry demand is increasing and one can increase profits by making smart and calculated calls. SP Jain, Managing Director, The Pride Hotel has a simple and effective formula on how profits can be maximised for owners. He says, “Meeting your operating expenses and keeping surplus cash for future expansion is the need of the hour. Do not been driven by any formula, what you need to discern is profitability and how to double your income.”

Ashish Jakhanwala MD and CEO, SAMHI

SP Jain

Managing Director, The Pride hotel

Group President, K Raheja Group, Neel Raheja says that there has to be a substantial amount of return on the capital employed and capital equity. For the Raheja Group it is about alternate uses of real estate. By analysing the optimal use of their property, the company ensures the greatest revenue generating model. Ashish Jakhanwala, Managing Director and CEO, SAMHI clarifies all doubts about his company when he says, “We are a hotel real-estate company. For us the ultimate test is a dividend yield. The financial crisis in the country poses a small problem towards development.” For him and his 18th month old company, the word exit does not exist. He feels that international leverage is the most important factor that will pave the growth of the industry. Although GOP levels are 40-45 percent it is still not paying for operations in the Indian market. Atul Chordia, Chairman and CEO, Panchshil Realty is a firm believer that property appreciation for hotels does not happen. Instead he thinks that the only reason people will buy a hotel is because of profit. “As long as there is a sustained cash flow, leverage should be used for more projects under construction. The returns are not bad as long as the cycle is right,” adds Chordia. ■

April 2013 • hotelscapes 37

forum of the month

A top down view on India: Four CEOs on stage together Underlining the importance of the Indian hospitality industry, four chairmen and CEOs of leading international chains came together for the first time.

he HICSA conference witnessed a historic moment when the captains of the four leading international brands – Marriott International, Hilton Worldwide, Starwood Hotels and Resorts and Hyatt Hotels Corporation shared the stage for a panel discussion for perhaps the first time ever. While the four corporations may adopt different business strategies to gain global market share, they all seemed to be on consensus on betting big on India. “We have been operating in India since 1973 and India has grown to become our fourth largest market and will soon be our third largest market,” says Frits van Paasschen, President and CEO, Starwood Hotels and Resorts. Starwood currently operates 36 hotels in India and has 25 hotels under construction. “India is currently our most

38 hotelscapes • April 2013

important market given the opportunity that its immense fundamentals will present over the next 5-20 years,” says Christopher J Nasseta, President and C EO, H i lton Worldw ide. He points out that while India presents a strong population base with a growing infrastructure, its supply of 180,000 rooms is lower than the total room inventory of Orlando, Florida. Currently Hilton operates 12 hotels in India with 2500 rooms with 25 in the pipeline and the company expects to have 50 hotels operational in India by 2016. The Hyatt Hotels Corporation has been present in India for the past 30 years and currently operates 16 hotels in India and company has a long-term view on India as well. “We continue to focus on people and 11 of our 16 hotels are led by Indians,” says Mark S

Hoplamazian, President and CEO, Hyatt Hotels Corporation, “with these measures, we are making sure that we develop future leaders in the country. Marriott International currently operates 18 hotels in India and Arne M Sorenson, President and CEO, Marriott International agrees with the extraordinary opportunity that India presents. While the business potential of the Indian market remains unquestionable, it does present a fair bit of challenges as well. “The combination of high cost of land with high cost of financing in India proves to be quite a challenge,” says Nasseta, “also processes take 15-100 percent longer between starting point of the discussion to start of the hotel than in other countries.” He adds that the acquisition of talent is also proving to be a challenge given that the sup-

ply talent is unable to keep pace with demand growth and growth in supply of hotels. The Marriott International group tackles the Indian challenges by entering the various markets through partnerships. “The single most important question we ask before signing each project is do we have the right partner. Getting the partner selection right is critical as it is crucial that our partner has both the capital and the ability to survive the market volatility,” says Sorenson. “Resource constraints of water and energy will become areas of serious concern in the future in India and we are spending more time to figure out how to do things differently as we recognise its potential to adversely effect on our bottomline,” points out Hoplamazian. ■ by Amish Mody

forum of the month

Trudy Rautio President and CEO, Carlson

Madhu Nair

Dir. Interior Design and Ops, The Leela Palaces

Priya Paul

Chairperson, Apeejay Surrendra Park Hotels

Jennifer Fox President, Fairmont Hotels and Resorts

Cameilia panjabi Group Director, Masala World (UK) Restaurants

Women in Hospitality: The challenges ahead Leading women CEOs share their experiences and their perspectives on a subject that could well pronounce the industry’s sustainability

heir pleasant smiles and heartwarming welcomes, has ensured that the role of women in the hospitality sector never goes unnoticed. However, what does it take for women to go from entry level employees to management executives or for that case on the board of the companies? The obstacles and challenges that woman face are immense but there is surely a way around them. With Dilip Puri, Managing Director, India and RVP - SA, Starwood Hotels and Resorts as the Moderator, the stage was set for an expert set of women panelists to put forth their view points about the same. Trudy Rautio, President and CEO, Carlson who addressed the topic brought to light a couple of key factors, she says, “There are many opportunities for women to move ahead in the industry. However advances can only be made if they opt to be more flexible and the work that they do comes to the attention of the right people.” The Carlson group was recently given the ‘Equality Award’ by the state of Minnesota for the changes that they have made in the company. Rautio, is the second woman CEO of the company and is at the fore runners to see women move up in this industry. Structural and attitudinal barriers are the greatest challenges faced by women,

according to a survey. “We need to start a trend in the trend of empowering women in the hospitality industry, so that others will soon follow,” quips Rautio. “Men need to give women the credit they deserve instead of looking at them as eye-candy,” says Priya Paul, Chairperson, Apeejay Surrendra Park Hotels. She adds that the main focus should be on the upbringing of the child and family support in what the girl can achieve. Sexual harassment policies need to be put in place to bring around conscious issues like gender sensitisation. What people need to understand is that gender diversity is essential for the team to grow. Madhu Nair, Dir. Interior Design and Ops, The Leela Palaces says, “Woman need to believe in themselves above anything else. They need to work hard and contribute towards the growth of the company.” The Fairmount Hotels recently opened their first hotel in India at Jaipur. Jennifer Fox, President, Fairmont Hotels and Resorts, adds that woman should be wise in choosing a husband as they require a partner who provides the much required support. Camellia Panjabi, is of the view that woman in sales and marketing positions tend to do a better job than their male counterparts. ■

April 2013 • hotelscapes 39

photo feature

A rich vintage desk at the Maharaja Suite Study of The Leela Palace New Delhi

A very contemporary desk at the Executive Suite of The Westin Gurgaon, New Delhi and The Westin Sohna Resort and Spa

Trends in writing desks

40 hotelscapes â&#x20AC;˘ April 2013

Wooden writing desk with a huge facing mirror at the Guest Room of Shangri-Laâ&#x20AC;&#x2122;s-Eros Hotel, New Delhi

Wooden desk with mother of pearl inlay at the Guest Room of The Leela Palace Chennai

photo feature

Check out the variety in writing desks of hotels. Each city seems to lend its own identity to the piece of furniture.

Super chic writing desk with a leather chair at the Suite of Novotel Mumbai Juhu Beach

A modern, minimalist desk with a contrasting red chair at the Deluxe Room of The Oberoi, Gurgaon compiled by Manisha Almadi Midha

April 2013 â&#x20AC;˘ hotelscapes 41

guest column

Dilip Puri MD India and Regional VP, South Asia, Starwood Asia Pacific Hotels & Resorts

rom a company that primarily owned Hotels to a company that today owns brands and manages hotels, Starwood has evolved from a US based company to a global enterprise. With over 1100 hotels in 100 countries, we own nine internationally renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and Element SM , and have one of the industry’s leading loyalty programmes, Starwood Preferred Guest (SPG). We presently operate 36 hotels in India under six of our nine brands. These include hotels under the Luxury Collection, Sheraton, Westin, Le Meridien, Four Points by Sheraton and Aloft brands. There are 25 hotels under development in India we are well on track to achieve our goal to have 100 hotels operating, under development or management contracts signed by 2015. Our dominant global position, compelling lifestyle brands, breakthrough SPG benefits and leading luxury portfolio lie at the heart of our competitive advantage and attract high-quality guests, customers and owners. This in a nutshell is what we believe separates us in a sea of sameness and is what if you would like to call our Star Power.

42 hotelscapes • April 2013

Standing Out in a Crowded Market Darwin’s quote that it’s not the fastest or the strongest who survive but those who are able to adapt to change most quickly is so true in today’s world… Personalisation is the heart of hospitality.

What sets Starwood apart is our portfolio of compelling brands which create emotional connections with our guests and build loyalty beyond reason. Our guests tell us that they desire our brands and will pay a premium for them. Brands are no longer just a guarantee of reliability – being a nice-but-generic hotel is not enough. Today, brands need to have personality, purpose and personalisation. Price alone no longer defines value. Our unique and distinct branded experiences appeal to travellers. Starwood’s brands are getting more than our fair share of business because they are not differentiated from a price point but by lifestyle. SPG, our award winning loyalty programme, connects our portfolio of nine brands and keeps our members coming back to our hotels. On an average almost one out of every two guests staying at our properties is an SPG member. With SPG Starwood has recreated loyalty, moving from points and perks to greater personalisation for best guests. Our aim is to be able to drive an emotional connect with the Indian audience for our brands so that Indians see our brands as their “own brands” and not just as brands operated by another Global hospitality chain. The Indian traveller today is well travelled and a lot more aware of international brands and trends

in hospitality. His expectations therefore are also far greater. Starwood’s brands are well known, and we make India an easier place to visit and work. Today we are living in a time when things are changing more quickly than ever before. We believe that the companies that have succeeded are those that have the culture and the systems in place that enable them to change as quickly as possible. Darwin’s quote that it’s not the fastest or the strongest who survive but those who are able to adapt to change most quickly is so true in today’s world. Personalisation is the heart of hospitality. What are we doing differently today is that we are recognising the fact that the whole platform of digital technology, which includes social media, is changing the way we are experiencing the world and how quickly we are sharing our experiences. How do we then as a hotel company leverage all that information about you as the customer and make sure that we offer an experience that meets your needs and expectations. We can do that as we have the platform of digital technology. We can do it when you want us to do it, and in your space. So it is ultimately the ability of the hotel company to recognise that you can use platforms of digital technology and social media to

completely change the experience you want to give your customers which we believe is an emerging trend. The key really is how quickly and differently can we do this. The world is changing in our favour. There are few companies in the world better positioned than Starwood to capitalise on globalisation – we are intent on taking as Sheraton Bangalore Hotel at Brigade Gateway lobby

much advantage as possible of this enormous opportunity. Starwood is on the front lines of globalisation. Three billion people moving from poverty to prosperity in the course of a lifetime is unprecedented in the history of mankind – never has so much change come so fast to so many people. 70 percent of the world’s growth over the next decade will come from high growth markets, which is consistent with our pipeline in these markets. For us, globalisation means billions of new travellers creating new travel patterns. Dubai is an excellent example of how globalisation is changing the composition of travel. Located just eight hours from twothirds of the world’s population, Dubai International Airport is today the fourth largest airport in the world for international passenger traffic, and is expected to be the largest by 2015. A digitally connected world is creating business without borders, leading to new

[

it is ultimately the ability of the hotel company to recognise that you can use platforms of digital technology and social media to completely change the experience you want to give your customers.

travel hubs around the world, as companies outsource technology and other operations, and more people work remotely, new travel patterns emerge. And as global boundaries melt it is simply not possible to lead a truly global business from a boardroom in Connecticut. Starwood is perhaps one of the first Hotel companies to realise this and relocated its Global Headquarters to Dubai. Our Senior Leadership Team lived and worked just as anyone else living there would. They dealt with plumbers, bought groceries at the local supermarket and absorbed the sights, smells and lifestyles that has so far been alien to them. Seeing the world through a differ-

ent lens brings insights that make us more agile in today’s rapidly changing world. Relocation to Dubai gave Starwood ringside seats to emerging markets. The world is on the cusp of a new Golden Age of Travel, and we believe Dubai is at the epicenter of this sea change. The strong synergies between Middle East and India are strategically important to us. Not only because of the proximity between the two regions but also because of the number of Indians that work in the Middle East and the opportunities this can lead to in terms of cross exposure for our employees and career growth. As a global company we can offer that. The

opportunities for travel between these two countries are also very significant. Passenger traffic between the two countries has been growing steadily at over seven percent year on year. With Mumbai and Delhi featuring amongst the busiest routes from UAE, India remained Dubai International airport’s single biggest country destination in terms of passenger numbers in 2012. It’s a paradigm shift, a change in mindset. How many companies would take a bold and smart step like this? It’s a game changing approach… an approach that helps us learn and grow as a company that continues to stand out in a crowded market. ■

April 2013 • hotelscapes 43

guest column

State of the Industry

Kaushik Vardharajan MD of HVS Hospitality Services for South Asia

“

Funding for hotels remains a challenge and despite the presence of private equity players in the country, most new hotels are being developed with a combination of bank debt and personal equity. The availability and cost of debt is therefore of critical importance to the growth of the hotel industry and remains one of the biggest challenges for new hotel construction today.

44 hotelscapes • April 2013

The theme within the hospitality industry over the next 12-18 months will be one of consolidation.

ICSA happened this year on the 3rd and 4th of April against a backdrop of slowing economic growth both within the country and around the world. The downturn in India coincides with high inflation, which has limited the extent to which the RBI can use lower interest rates to revive growth. Most hotel markets across the country have seen occupancy and average rate declines of 5-10 percent as a result of the slowdown, which has been further exacerbated by increases in room supply. However, as has been noticed in previous years, our markets have exhibited strong increases in demand in the last twelve months and occupancy levels therefore only dropped in markets where the supply increase exceeded demand increase. Goa, Pune and Mumbai are examples of markets where occupancy levels actually increased in the last twelve months. Our analysis has revealed that the performance of individual hotel markets has much lower correlation to GDP growth as compared to the correlation with the supply-demand imbalance. Thus, with a reduced proposed supply pipeline over the next five years, we believe that most hotel markets will start seeing occupancy increases in the next 24 months and average rate increases thereafter.

With pressure on revenues, there is a greater focus on reducing costs and companies are proactively working on reducing payroll and utility costs. Companies looking to build new hotels will need to spend a lot more time on planning and due diligence to ensure their hotels are not over-improved and that they do not overspend, as beyond a certain point, any additional expenditure will not result in a higher occupancy or average rate. Funding for hotels remains a challenge and despite the presence of private equity players in the country, most new hotels are being developed with a combination of bank debt and personal equity. The availability and cost of debt is therefore of critical importance to the growth of the hotel industry and remains one of the biggest challenges for new hotel construction today. While the hospitality sector has consistently asked for infrastructure status and the host of benefits that come with this label, there are no signs from the government indicating anything will happen on this front without riders and we at HVS are not optimistic about our chances in the near future. However, we hope that banks will ease some lending terms such as longer tenures and more flexible repayment schedules, especially in the initial years when the hotel is still improving its performance and cash flows

have not stabilised. The theme within the Indian hospitality industry over the next 12-18 months will be one of consolidation, whether it be in terms of an individual hotel’s performance in its market, or in terms of serious investors looking to grow their portfolios by acquiring distressed assets from “hobby investors,” a group that got into the industry for a Return on Ego and not for Return on Investment. We are seeing an increasing number of such opportunities in the marketplace and believe the next 12 months will be defined by several meaningful transactions. Kaushik Vardharajan is Managing Director of HVS Hospitality Services for South Asia. He joined HVS’s New York of fice as an Analyst in 2001 and moved to the New Delhi office in October 2008. Kaushik has worked on over 1,000 market studies, feasibility analyses, and valuations in North America and India, with a special focus on large mixed-use projects and portfolio valuations. Vardharajan is also a Member of the Royal Instituttion of Chartered Surveyors (RICS) and is part of the Valuation Working Committee of RICS, which is responsible for establishing professional standards for property valuations in India. He has also taught courses and spoken at New York University, Johnson & Wales University, and the Indian School of Business. ■

guest column

India: fastest Growing market for online hotel bookings Deep Kalra Founder and Chief Executive Officer, MakeMyTrip.com

“

Most Hotels (across categories) in India have accepted online as an upcoming and important medium for selling Inventory. Some of the smarter hoteliers who have understood the power of the medium are selling more than twothirds of their inventory through online channels.

Hoteliers realise the potential of the online medium for selling inventory.

ost Hotels (across categories) in India have accepted online as an upcoming and important medium for selling Inventory. Some of the smarter hoteliers who have understood the power of the medium are selling more than two-thirds of their inventory through online channels. Hoteliers have also become aware of the importance of comprehensive reviews, content, peer-ratings and User-generated content, and ratings on TripAdvisor. Gearing up for online sales and marketing has implied investing in understanding and setting up Extranet, managing OTAs and keeping track of the overall eco-system. Hoteliers are also keeping themselves abreast of changing dynamics in the space. All of the foreign Hotel chains operating in India are available on the MakeMyTrip website. With the acquisition of the Hotel Travel Group and the ITC Group in Thailand, we also have access to over 80,000 hotels in the SE Asia region. The APAC hotel reservations market is worth US$100bn in FY11 and slated to grow 9 percent CAGR to US$118 bn by FY13. South East Asia market comprises 10 percent of the APAC Hotel Online Gross bookings and the growth in the former’s online market has outperformed APAC’s online growth as a whole. South-East Asia is also slated to eclipse Australia-New Zealand and become the third largest online market for hotel reservation services in APAC, behind Japan & China. ■

April 2013 • hotelscapes 45

awards & Recognition

National Tourism Awards 2011-12

L-R: Chiranjeevi, Union Tourism Minister; Pranab Mukherjee, President of India present the award to Jay Rahtore, VP & GM & Reuben Kataria, EAM, The Oberoi, New Delhi

Sumeet Taneja, GM accepts the award for Vivanta By Taj, Ambassador, New Delhi

S Arunachalam, Asst. Chief Engineer accepts the award for ITC Maurya

Chef Sireesh Saxena, Corporate Executive Chef accepts the award for The Ashok, New Delhi

Dr Lalit Panwar, VC & MD, ITDC accepts the award for The Ashok, New Delhi

Sibi Mathew, General Manager accepts the award for Vivanta By Taj, Kumarakom, Kerala

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awards & recognition

O Niranjan Khatri, General Manager, Welcomenviron Initiatives, ITC Welcomgroup accepts the award for ITC Maurya, New Delhi

Resort Marinha Dourada, Goa receives the award for Best Hotel in Two Star category

Peter Frawley, General Manager Delegate, Accor Hotels, Andhra Pradesh accepts the award for Hyderabad International Convention Centre

ne of the most prestigious awards for the tourism and the hospitality industry, the National Tourism Awards recognise the icons involved in enhancing the tourism of India from all spheres annually. Hospitality industry plays a very important role in the same, and serves our tourists with a relaxing stay. The National Tourism Awards 2011-12 held at Vigyan Bhawan, New Delhi on 18th March 2013 awarded the icons of the Indian hospitality industry. The first category was for the Bed and Breakfast Establishment (approved by State Government); this was awarded to Coconut Creek Farm and Homestay, Kumarakom, Kerala. The Oberoi, New Delhi was awarded as the Best Hotel in the Five Star Deluxe category. Till last year The Oberoi Rajvilas, Jaipur was receiving this award since the year 2004-05. The Best Hotel in the Five Star category was awarded to Vivanta By Taj, Ambassador, New Delhi. A property by Taj Group of Hotels, it is an all time classic and stylish building built in the year 1945. The General Manager, Sumeet Taneja received the award. The Best Hotel in the Four Star category was also won by Vivanta By Taj for its property in Kumarakom, Kerala, Sibi Mathew, General Manager, of the hotel received the award. Located in a picturesque setting, it is also often called as the little jewel of Kumarakom. Moving further, The Best Hotel in the Three Star category was again bagged by the Taj Group of Hotels and Palaces for Gateway Hotel, Vadodara, Gujarat. For the Best Hotel in Two Star category, Resort Marinha Dourada from Goa received the award. It has a very beautiful scenic beauty in the day time as well as at night. Samode Haveli, Gangapole, Jaipur, Rajasthan won the award for Best Heritage hotel (Basic). For the Grand category of Best Heritage hotel, Savoy Hotel, Ooty was awarded. ITC Maurya, New Delhi from ITC Hotels bagged two awards at this ceremony with one being for Best Eco Friendly Hotel for which S Arunachalam, Asst. Chief Engineer received the award and the other was for the category of Hotel Providing Best Facilities for the Differently Abled Guests. The award for the second category was received by Niranjan Khatri, GM, Welcomenviron Initiatives, ITC Welcomgroup. Hyderabad International Convention Centre, Hyderabad was honoured with the award for the category of Best Standalone Convention Centre for the fourth time. The award was received by Peter Frawley, General Manager Delegate, Accor hotels, Andhra Pradesh. The Ashok, New Delhi was awarded for the Best Hotel Based Meeting Venue Award. Sireesh Saxena, Corporate Executive Chef from The Ashok, New Delhi was recognised as the Best Chef for 4 to 5 star Deluxe and Heritage Grand and Classic Hotels category. The awards were presented by Pranab Mukherjee, President of India. The selection of awardees in the hotel categories are assessed on the basis of annual revenue earned and percentage increase in numbers of, foreign guests stayed, International Certification and Awards won related to service quality, security, eco-friendly measures and contribution of the hotel in promoting and conducting “Hunar Se Rozgar Programme.” ■ compiled by Nikita chopra

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awards & Recognition

Ginseng Restaurant, Hotel Royal Orchid, Bengaluru enters Limca Book of Records

inseng restaurant at Hotel Royal Orchid, Bengaluru won a National Record in the Limca Book of Records 2013 for the innovative initiative of creating the largest Maki Sushi! The idea was spearheaded by Chef Sudhir Nair of Ginseng and resulted in a Maki Sushi that was four feet eight inches in diameter, six inches in height and weighed approximately 200 kilograms. The Maki Sushi slice, consisted of the same exotic ingredients including vinegar rice, crab meat, flying fish roe (tobiko), pickled radishes and black sesame seeds, making it a delight for both the eyes

Chender and Pinky Baljee (C) with the team of Ginseng at Hotel Royal Orchid

and taste buds. For Japanese people, Sushi is a festive food as well as a fast food. Sushi originally refers to the vinegar-flavoured rice itself,

and later onto the rice with a slice of raw or vinegar-cured fish on top of it. Maki Sushi or Makizushi is the most popular form of sushi.

Lemon Tree Hotels pick up Platinum Pick Partner Awards & Holiday IQ Awards

he Lemon Tree group has secured eight Platinum Pick Partner Awards 2012 from MakeMyTrip.com and best performance awards for three consecutive months from Holiday IQ for its Aurangabad property. Platinum Pick Partner Awards are conferred on hotels after receiving extensive

feedback from customers. These hotels were selected from amongst the top one percent hotels in India, because they deliver excellent customer service and generate consistently high revenues. Hotels are evaluated on two key criteria i.e. Top Transactional Growth and Superlative Customer Feedback. Holiday IQ is a travel portal with over Lemon Tree Hotel Aurangabad

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Traditional Maki Sushi is rolled with nori (edible seaweed) on the exterior with sushi rice and the other ingredients in the interior of the roll. ■

400,000 followers on social media and has a real time interactive customer preference feedback model that qualifies top performing hotels every month on a range of parameters. Lemon Tree Hotel, the resort property in Aurangabad has won in quick succession the award for ‘Awesome Food’ in December 2012, ‘Excellent Service’ in January 2013 and February 2013. Speaking on the occasion, Saurabh Nandi, Chief Marketing Officer, Lemon Tree group said, “The MakeMyTrip.com Platinum Pick Partner Awards 2012 for eight of our hotels is testament to how Lemon Tree delivers a refreshing experience across its hotels and offers consumers a great stay. We were chosen from amongst the top one percent of MakeMyTrip’s portfolio of 14,000 plus hotels nationwide and this is certainly a proud moment for us. Also the Holiday IQ Awards for consecutive three months for Aurangabad tells us we are being consistent in delivering excellence to our consumers.” Hotels selected for the MakeMyTrip.com Platinum Pick Partner recognition include Lemon Tree Hotels in Ahmedabad, Aurangabad, Chandigarh, Chennai and Indore; Lemon Tree Resorts in Kerala and Goa and the Red Fox Hotel, Jaipur. ■

awards & Recognition

Leela Hotels gives away its first time Travel Trade Awards

Kiran Jyoti of Indian Routes LPTI-Le Passage to India; Vivek Nair, Chairman & MD, The Leela Palaces, Hotels & Resorts; Rajiv Kaul, President, The Leela Palaces, Hotels & Resorts; & Deepak Bhatnagar, Executive Director, LPTI at the Leela Travel Trade Awards

he Leela Palaces, Hotels and Resorts presented and hosted the first edition of The Leela Travel Trade Awards 2013 aimed at recognising the contribution and support of its travel and trade partners. The ceremony held at The Leela Kempinski Gurgaon, began with the unveiling of ‘Raga’, a music composition conceptualised and created by Samyukta Nair and written and composed by Amaan and Ayaan Ali Khan. The unveiling was followed by a live rendition by Ayaan Ali Khan. The awards in five different categories were presented by the top management of The Leela Group, including, Vivek Nair, Chairman and MD; Rajiv Kaul, President; Rajesh Jhingon, Executive Vice President-Operations and Deepak Khullar, Vice President-Sales and Marketing, in the presence of Padma Bhushan Capt. C.P. Krishnan Nair, Chairman Emeritus and Founder, The Leela Palaces, Hotels and Resorts. Rajiv Kaul said, “The Leela Travel Trade Awards have been initiated to express our grateful appreciation for the unwavering support and enduring commitment of our Travel Trade partners, who have helped in making The Leela a preferred Indian luxury hospitality brand today, in national and international markets.” Prominent luminaries of the industry were present including, Ram Kohli, Chairman and MD, Creative Travel; Dipak Deva, CEO, SITA Travels; Vikram Madhok, MD, A&K; Pronab Sarkar, MD, Swagatam Tours; Amit Prasad, COO, Go India Journeys; Shonali Dutta, MD,

P&L; Rajiv Mehra, Director, Uday Tours; Jasdev Singh, Director, Expedia; Ashish Kishore, Country Head, HRG Dnata; Sapna Chadha, VP, American Express; and Geeta Jain, CEO, CWT, among others. The five award categories in which the awards were presented were Charters, MICE, Inbound, Preferred Domestic Leisure Travel Partners and Corporate Support. The award winners included Creative Travels, Kuoni Destination Management (KDM), LPTI, Travel Corporation of India (TCI), Tamarind, Caper Travels, Cox & Kings (C&K), among others. Amongst the domestic partners were Classic Travels, Global Odyssey, Make My Trip, Windex Tours and Travel, Explorer and many more. Rohit Kohli, Joint MD, Creative Travel said, “Each of The Leela Group’s properties is a symphony of the best features, services, state-of-the-art technology and highly attentive service overall making for an unmatchable experience for our clients. We thank Capt. Nair and his highly skilled team for this honour and are confident to continue our association with the same vigour for their upcoming properties.” The highlight of the evening ‘Raga’ has been composed for Leela Palace Chennai, the city’s first sea-facing hotel, which opened its doors in February 2013. The composition is inspired by the centuries old Carnatic temple music and the notes of colonial influences capturing the heartbeat of Chennai, the leisure gateway to South India. The album is available for retail at Amalya – the boutique of The Leela. ■

April 2013 • hotelscapes 49

news snippets Domestic

Radisson Blu Hotel Metropolis Rudrapur becomes third best Carlson Group Hotel in Asia Pacific

adisson Blu Hotel Metropolis Rudrapur has added another feather in its cap and has ranked among top five hotels of Carlson Rezidor Hotel Group in Asia Pacific. According to Guest Satisfaction Tracking System report of January 2013 released by Medallia, a customer feedback management solution company based in United States of America, Radisson Blu Hotel Metropolis Rudrapur got third rank among all Carlson Hotel Group in Asia Pacific. Radisson Blu Hotel Metropolis Rudrapur is nestled in the pure verdancy of Rudrapur, and has been developed to meet Kumaon region’s five star hospitality expectations.

Destined to become a key business and tourist centre, it is situated close to frequented getaways like Nainital, Corbett National Park and Almora, and boasts a grand interior design that blends elegancy with contemporary business styles and features. Being the very first five star hotel to open its doors in Kumaon region, it creates a striking ambience. The 124 spacious rooms and suites exhibit a distinctive charm, with straight-line furniture and minimalist décor accentuating the concept of space and freedom. Focusing on the needs of busi-

ness travellers and corporate clientele as well as a wedding destination, it provides extensive conference facilities including a lavish ballroom, banquets spaces and three function rooms equipped with the latest technology and dedicated events team. Also, personalised services in the hotel include express check-in with 24 hour room service, exclusive stratosphere lounge, private work areas with boardrooms, flexible function space, business and concierge services and many more.

Sarovar Hotels strengthens foothold in Gujarat

S Starwood Hotels & Resorts signs The Westin Bekal Resort & Spa

ta r wood Hotels & Resorts Worldwide, Inc. announced the signing of The Westin Bekal Resort & Spa. Owned by Green Gateway Leisure Ltd., a dedicated company floated by the ATE Group with the aim of developing hospitality projects of world class standards in key tourist destinations, The Westin Bekal Resort & Spa will be spread over 55 acres with rich landscaping complimenting the natural streams of the famous Kerala Backwater lagoons. The resort will be the first beach resort in South India under the Westin brand and is scheduled to open in 2014. Barely an hour and a half’s drive

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from Mangalore airport and 15 kilometers from Kasaragod railway station, The Westin Bekal Resort & Spa is easily accessible both by air and by rail. Ideal for rejuvenation for business and leisure travellers, the resort will feature 165 lavish rooms. The resort will have 6,000 square feet of meetings space and a large convention center measuring approximately 50,000 square feet. Other facilities include a fully equipped business center, a swimming pool, Westin Workout Fitness Studio, a mini threehole golf course, and 30,000 square feet of Heavenly Spa by Westin.

arovar Hotels announced the signing of two more hotels in Gujarat at Gandhidham and Bhavnagar. The hotels will be developed under Sarovar Portico brand and will be operational over the next three years. Sarovar Portico, Gandhidham will offer 58 rooms and is expected to be operational by 2014, while Sarovar Portico, Bhavnagar will be an 80 room hotel, slated to open in 2016. These hotels are promoted by Akhil Palace Hotels Pvt. Ltd. and Leela Hospitality & Services. Sarovar Hotels currently enjoy a strong presence in Gujarat with Park Plaza Ahmedabad, Sarovar Portico Ahmedabad and Sarovar Portico Rajkot. Commenting on the signing Anil Madhok, MD, Sarovar Hotels said, “With the signing of two more hotels, we hope to strengthen our presence in the state and cater to the growing number of visitors to Gujarat. Both leisure tourists and business travellers who visit Gujarat due to its rich cultural heritage and the presence of a large number of industries will be our target customers. We believe that a brand like Sarovar Portico has maximum potential to grow in this market as it is an ideal combination of quality and hospitality at an attractive price.” Both hotels will offer all modern facilities including a restaurant, lounge, banquet hall, meeting room, swimming pool and other amenities at par with international standards.

news snippets international

Accor opens two hotels under one roof in Bangkok

ccor announces the opening of the Group’s latest Bangkok properties – Mercure Bangkok Siam and ibis Bangkok Siam, two newly-built hotels situated within the same building in the heart of the Thai capital. Mercure Bangkok Siam is the seventh midscale Mercure hotel in Thailand and ibis Bangkok Siam is the ninth economy ibis hotel in the country. The hotels cater to business and leisure travellers alike. The hotels location offers the ultimate in convenience for shopaholics, with Bangkok’s top shopping, dining and entertainment venues just a few steps away.

Mercure Bangkok Siam has a stylish décor that will attract travellers looking for a midscale hotel. ibis Bangkok Siam offers an affordable option for those travelling on a budget yet looking for easy access to the city’s main attractions. Featuring 189 rooms, Mercure Bangkok Siam of fers contempora r y desig n, fu l ly equipped facilities, complimenta r y Wi-Fi I nter net access, th ree meeting rooms for up to 126 delegates, a swimming pool, f itness centre, and the Sky Bar. For travellers looking for something extra special, Privilege Rooms are available

with additional amenities and exclusive access to the Executive Club, which offers all-day refreshments, business centre facilities and an outdoor terrace. Mercure Bangkok Siam’s signature restaurant ‘The Eight’ is inspired by the location of the restaurant on the eighth floor and appeals to all guests with easy access from both hotels. This all-day dining restaurant features an extensive menu of

Mahindra Holidays adds fifth international resort to its network

ahindra Holidays & Resorts India Limited (MHRIL) announced an addition ‘Arabian Dreams Hotel Apartments’ to its network in Dubai. The hotel has 75 rooms which are a combination of studios and apartments. This is the fifth addition the company has made in an international destination after Bangkok in November 2012. The other locations include Kuala Lumpur, Pattaya and Innsbruck (Austria). Arun Nanda, Chairman, MHRIL said, “Indians have named Dubai among their top three favoured destinations and as leaders in leisure hospitality we were quick to close the gap. We soon hope to have our presence in other locations like Sri Lanka and Malaysia.”

Located centrally i n Duba i, the ‘A rabia n Dreams Hotel Apartments’ is eight km from Dubai International Airport, less than two km from the Bur Dubai Shopping area and a 10-minute drive from the World Trade Centre and Bank Street. It has a rooftop pool with city views and the rooms are equipped with

modern furnishings. MHRIL has subscribed to 49 percent of the share capital of Arabian Dreams Hotel Apa rtments L LC, which operates the Arabian Dreams Hotel Apartments. MHRIL has access to the enti re 75 rooms at the A rabia n D rea m s Hot el Apartments for use by its members as well as guests.

local and international cuisines with inside dining and an outdoor terrace. ibis Bangkok Siam features 189 modern rooms equipped with LCD TV, a fridge and complimentary Wi-Fi Internet access. The hotel’s Quick Bite restaurant offers light meals around the clock. ibis Bangkok Siam’s guests can also enjoy the swimming pool and fitness centre facilities with an extra charge.

LHW launches new website

he Leading Hotels of the World continues to celebrate its 85th anniversary year with the launch of its newly redesigned website, LHW.com. The site has enhanced functionalities and richer, more in-depth content. The site is an aggregation and distribution point for the company’s hotel inventory, and offers rich educational and inspirational content. The progressive, fluid design, inspired by print techniques, was created with the iPad and other tablets in mind. The redesign is the result of an intensive global research and development project that relied heavily on user evaluation and input, including call center interviews, a survey on the existing LHW.com and usability testing of one of the early prototypes. Members of Leaders Club – the company’s high-value customer loyalty programme as well as a broad sampling of other affluent travellers in six countries were engaged to express what they were looking for in an improved website. Adapting best practices from on-line retail sites, the new LHW.com incorporates a shopping cart feature, rather than just the standard reservation function, to enable the user to make multiple purchases, and even to add a Leaders Club membership to the buying process.

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products Kohler offers a new high in hygiene with the Puretide bidet seat

edefining luxury and reinforcing hygiene in the bathroom segment, Kohler, the global leader in kitchen and bath design, has yet again launched a differentiated product â&#x20AC;&#x201C; the Puretide bidet seat. This latest offering provides utmost hygiene in a comfortable manner for the entire family. Puretide has a retractable wand, an adjustable front and rear wash, water pressure control, a non-corrosive body and single easyto-use lever to control functions. An easy installation, Puretide perfectly fits on a variety of toilets. The ergonomically designed lever is very convenient to use. By simply twisting the handle to the right, the water flow can be controlled. By moving it downwards, the position of the spray can be adjusted between rear and front wash. Further, the seat is easy to remove, allowing for ease in cleaning. The

retractable wand cleans itself with excess water after every use, thereby ensuring a hygienic experience for every member of the family, especially women and children. The gentle cleansing offered by Puretide helps kids clean themselves more thoroughly and promotes awareness of the benefits of cleanliness; so concerned mothers can now stop worrying about their kids being in dirty, unclean bathrooms! With a strong focus on ease of utility, this bidet seat does not require any electrical supply, but only needs direct water supply to provide an invigorating wash. It also helps in keeping the bathroom dry and clean, by reducing chances of water spillage. Puretide is available at Rs 6,500 across all Kohler outlets. For further information visit www. kohler.co.in

Contemporary furniture by Living In Style

iving In Style, Mumbai has launched CA Style, which brings to its patrons an entire range of lavish contemporary f u r n it u r e a nd ac c e s s or ie s. Th e f u r n it u r e i s i m p o r t e d from international brands like Camel Italy, Calia Italia, Kelvin Giormani etc. CA Style is the launch pad for the entire new range of international contemporary furniture. Apart from this, the store also has a collection of beds, sofa sets, dining tables, coffee tables, chairs, chaise lounges, table lamps, mirrors, centre tables etc. Luxuriate in the splendour and style of the magic at the exclusive CA Style section available at the second floor of Living In Style, Mumbai. For further information call 022-2877 3448

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products

Redefine bathing luxury with Oyster’s Lagoon Multisystem

yster Bath, manufacturer of luxury and wellness bathing products launches Lagoon Multisystem. Embodying the changing trends in bathrooms, Lagoon, a concept by leading designers, creates the ultimate relaxation zone that is modern in style and promises all round wellness. The basic features of Lagoon Multisystem are feather touch digital control panel, 8 anti scaling hydro massage jets, rain type 12” square overhead shower with dome tube lights, multi flow hand shower fitted on an adjustable rail, thermostatic lever mixer with diverter, waterfall, exhaust fan,

speaker, built-in shampoo rack, artificial stone drain waste, electronic control 3 KW steam generator and toughened glass revolution door. Health care functions are electronic control steam function with timer, electronics temperature control and provision for using aroma therapy. Leisure function includes FM radio. Safety functions are earth leakage circuit breaker. Optional functions are artificial stone shower stool. Priced at Rs 302,700 onwards, Lagoon Multisystem is available at all major outlets across India. For further information call 1800-102-8999

Accessorise with Marina Home

n intermingle of luxury, style and eclectic home accessory designs, Marina Home comes to India with a line up of niche embellishments. A purveyor of avant-garde home furnishing creations, Marina Home brings to its customers a harmonious blend of distinct designs and futuristic visual appeal. The products range includes exquisite white leather sectional sofa featuring iPod Dock, speakers and motion seating priced at Rs 625,100; king size leather bed priced at Rs 250,000; antique white crystal chandelier to embellish your interiors priced at Rs 265,000; silver leaf resin fish to adorn your walls priced at Rs 33,750 and vibrant vintage moleskin fabric sectional sofa for your lounge priced at Rs 295,000. For further information call 011-3042 6070

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people Roots Corporation Limited

PK Mohankumar has been appointed as Managing Director and Chief Executive Officer. In this capacity, he would be responsible for fast track growth and development of the company in the domestic market. Prior to this, he was working as the Chief Operating Officer of The Gateway Hotels & Resorts. He brings his rich experience of about 39 years in the hospitality industry to the organisation. He started in 1974 with the flagship hotel, Taj Mahal Palace and Towers, Mumbai. His vision is to take the organisation to a global benchmark.

Novotel Mumbai Juhu Beach

Jean-Philippe Lagarde has been appointed as General Manager. He has been associated with the Accor Group of Hotels since last two decades. He has been working for its different brands in different countries around the world. He has a deep understanding and wide experience in various spheres of the hospitality industry. He is determined to take the hotel to greater heights. Lagarde has also been associated with Novotel Madrid Campo de las Naciones as General Manager for a period of six years.

Hilton Shillim Estate Retreat & Spa

Andreas Kraemer has been appointed as General Manager. He brings along experience of around 10 years to this position. He has been associated with KC Resorts & Over Water Villas, Koh Samui, Thailand as the Area General Manager. He held this position and took care of pre-opening operations, sales and marketing. Adding on to this, he has been associated with various brands like Infinity Lifestyle Destination & Spa, Six Senses Hideaway & Spa, Koh Samui and White Sands Resort & Spa, Maldives at various positions.

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The Leela Palaces Hotels & Resorts

Rajesh Jhingon has been appointed as Executive Vice President, Operations. Under this capacity, he would oversee and drive operations and initiatives for the hotels under The Leela Group. An accomplished hotelier with an experience of around 20 years, he was last associated with the Mandarin Oriental, Las Vegas as General Manager. He started his career as part of the opening team of The Oberoi. He holds a master degree in hospitality management from Cornell Essec Paris, France.

JW Marriott Mumbai

Pavithran Nambiar has been appointed as General Manager. He has worked with renowned brands like, Accor and Marriott Group of Hotels in his experience of 16 years in the industry. For the past two and a half years he was working as the GM at Goa Marriott Resort & Spa. He started his career by working in high-end standalone restaurants and bars before joining Accor as a Food and Beverage Manager in the year 2001. After studying medicine from Sydney University, Nambiar switched across to hospitality.

Radha Regent – A Sarovar Hotel, Chennai

Sanjoy Kumar Das has been appointed as General Manager. Before joining at the current position, he was leading the team at The Raintree Hotel, Chennai. He has spent a span of 19 years in the hospitality industry and has completed his Diploma in Hotel Management from IHM, Calcutta and a Bachelor’s Degree in Commerce from Calcutta University. Prior to his coming to Chennai in 2011 he was associated with Hilton Hotels Worldwide in UK, where he spent two fruitful years.

people Novotel Hyderabad Convention Centre and Hyderabad International Convention Centre

Courtyard by Marriott Pune City Centre

Rasika Singh has been appointed as Director – Sales and Marketing. With over seventeen years of experience in this field she brings her determined focus and go-getter attitude to the table. She started her career as account executive at Interads in 1991. She has been associated with some of the best brands of the hospitality industry, including, The Imperial hotel, ITC Hotel, Maurya Sheraton & Towers etc.

Ayesha Barse has been appointed as Human Resource Manager. With her 16 years of experience in the customer service industry, she possesses a flexible approach towards work and excellent organisational and interpersonal skills. Before joining at the current position, she was appointed as Manager – Human Resource and Training at Royal Orchid Hotel, Pune. Here, she handled her responsibilities diligently. She is a certified hospitality trainer and is an avid lover of music, biking and cooking.

Shangri-La’s Eros Hotel, New Delhi

The Leela Kempinski Hotel & Residences Gurgaon

Golden Tulip Amritsar

The Leela Palace, New Delhi

Priya Sahni has been appointed as Senior Sales Manager. Sahni has an experience in the hospitality industry of almost eight years. Her first break in the industry was with Maurya Sheraton, as a sales executive. She has worked with many brands including, The Oberoi New Delhi, Taj Palace New Delhi and Hyatt Regency New Delhi. In her current role, she will be responsible for generating and maximising hotel revenue and exploring opportunities.

Surya kanta Jana has been appointed as Operations Manager. Along with an experience of 13 years in the industry, he brings his great organisational skills, leadership quality and much more to the company. He started his career effectively with ITC Fortune Hotel Ahmedabad. He also has the experience of working in the pre opening team of Pride hotel, Bengaluru. Before joining at the current position he was working as the Food & Beverage manager at GT Star, Raipur (CG). He has completed his Diploma in Hotel Management from IHM, Bhubaneswar.

Majed Keewan has been appointed as Chef De Cuisine, Lebanese at Spectra. He is a talented professional with around an experience of three decades with a range of cuisines, like, Arabic, Italian and French. He is a well travelled chef and has been serving people at various international hotel chains. Previously, he was associated with Amman Marriott among others. He has always acclaimed appreciation for his creativity and innovation in the kitchen.

Federico Pucci has been appointed as Sous Chef at Le Cirque. He has been into the food and beverage industry internationally for past six years. He was a food connoisseur since his childhood and has tasted flavours of various countries. Born in Prato, a small town in Tuscany, he was working in Italy at Le Calandre Padua before joining at his current position. His journey in the industry began with Aoristo restaurant in Pistoia. He has been associated with a number of restaurants in Italy and his passion to widen his horizons brought him to India.

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last page

Hyatt recognises excellence among owners – Saraf Holdings from India, among them

yatt Hotels Corporation recently honou red the top owners and developers of its hotels at its global owners’ conference in Orlando, Florida. Hyatt’s Executive Chairman of the Board of Directors, Tom Pritzker, and President and Chief Executive Officer Mark Hoplamazian presented the awards to ten companies worldwide. “We are privileged to have a strong network of owner relationships around the world,” said Hoplamazian. “All of the companies recognised this year have proven to be valued collaborators with a strong history of quality projects. We thank them for their contribution to our company and for their support for our brands, and look forward to continuing to grow together with them in ways that create mutual value.” Hyatt presented the following awards for excellence in hotel development and management: The Strategic Partner Award recognises a company for its strong culture, performance and operating philosophies, which have resulted in a long-term, multi-brand relationship with Hyatt. Three companies received the 2013 Strategic Partner award: • Hersha Hospitality Trust – Hyat t cont i nue s to va lue its longstanding relationship with Hersha Hospitality Trust (NYSE : HT). The company is both owner and developer of Hyatt-branded full service and select service hotels, which include Hyatt 48Lex, Hyatt Place Philadelphia/King of Prussia, Hyatt House White Plains, Hyatt House Gaithersburg, Hyatt House Bridgewater, Hyatt House Pleasant Hill/Walnut Creek, Hyatt

56 hotelscapes • April 2013

House Pleasanton/Dublin, and Hyatt House Scottsdale. Hersha is also expected to open its second full service Hyatt-branded hotel – Hyatt Union Square – in New York in late April. • Saraf Holdings Private Limited – Saraf Holdings Private Limited owns Grand Hyatt Mumbai and Hyatt Place Hampi, the first Hyatt Place hotel to open in

Grand Hyatt Tokyo and Park Hyatt Shanghai, and is currently developing a third Hyatt-branded hotel, Andaz Tokyo, which will be the first Andaz-branded hotel in Japan and is expected to open in 2014. The Developer of the Year award recognises a company for its hotel development in strategic locations and construction quality and efficiency. Two companies

Peter Fulton, MD, Hyatt Hotels West Asia (extreme left) and Arun Saraf (second from left) at the awards function

[

India based saraf hotels have a long association with hyatt corporation, starting with asian hotels setting up hyatt regency new delhi

India and the second Hyatt Place to open outside of the United States. The company is currently developing Hyatt Regency Ahmedabad, which is expected to open later this year, and Andaz Delhi, which is expected to open in 2014. The Saraf Group also runs Hyatt Regency in Kathmandu, Kolkata and Chennai and has a long association with Hyatt Hotels, with its founder, Radhe Shyam Saraf, having formalised its first association in India with Hyatt Regency, New Delhi. • Mori Building Company – Mori Building Company owns

received the 2013 Developer of the Year award: • Concord Hospitality – As an owner and developer of both Hyatt Place and Hyatt House hotels, Concord Hospitality currently manages Hyatt Place Grand Rapids-South, one of the first LEED-certified Hyatt Place hotels, in Wyoming, Mich. and Hyatt House Boulder/ Broomfield in Broomfield, Colo. Concorde will be opening three more Hyatt House hotels in Raleigh, Pittsburgh and Jersey City, as well as a Hyatt Place hotel in Miami. • Extell Development – As

developer of the currently under construction Park Hyatt New York and Hyatt Times Square, Extell has been a major contributor in further expanding Hyatt’s brand presence in New York, one of the world’s greatest business, financial and cultural centers. Other notable properties that were awarded include: • Hyatt Place Los Angeles/LAX/El Segundo – OTO Development places a strong emphasis on quality, reliability, service, and value, and as owner and developer of Hyatt Place Los Angeles/ LAX/El Segundo, the company introduced the next generation Hyatt Place prototype to the Los Angeles market. • Hyatt Place San Jose/Pinares – With the opening of this hotel marking the first Hyattbranded hotel in Costa Rica and the first Hyatt Place hotel outside of the United States, Hotelera Pinares, S. A., helped bring Hyatt’s authentic hospitality to a market in which the Hyatt brands were not represented. • Hyat t Regency New Orleans – The reopening of Hyatt Regency New Orleans was a significant milestone in New Orleans’ post-Katrina revitalisation efforts, and the hotel continues to play an important role in the community. • Hyatt French Quarter and Hyatt Place New Orleans/ Convent ion Center – H R I Lodging Inc. helped bring the Hyatt and Hyatt Place brands to New Orleans. • Hyatt Regency Minneapolis – Haberhill is responsible for the hotel’s $25 million renovation, which included updates to the guestrooms, suites, public areas, restaurants, meeting space, and building systems. ■

Reg. No. DL(C) 01/1353/12-14 Posting Dt. 22-27/4/2013 RNI No. DeLeNg/2012/47318

7th Annual Expo: Mumbai: 19th October, 2013

Date of Publication: 18/4/2013

Book now and network with 300 leading producers from Mumbai cinema, both from the big and small screen. Become a part of a growing niche segment â&#x20AC;&#x201C; Cinema Tourism exclusively promoting cinema tourism conference and B2B meet with Bollywood

7th Annual Conference & Expo October 19th 2013. Mumbai.

ANCHOR PARTNER

Email: cinemascapes@crosssectionmedia.com Website: www.cinemascapes.co.in