M.A FINAL PROJECT by Sania Lakhani

M.A FINAL PROJECT

LAUNCHING BVLGARI CHAINS OF HOTELS & RESORTS IN INDIA

ACKNOWLED GEMENT

I would like to express my sincere graditude towards our Prof. Grace Canepa, for her undying faith and encouragement throughout the final project and also for guiding us towards a succesful project. I would also like to thank Prof.Alessandro Cannata & Prof.Daniel Green, for their valuable inputs. I would like to thank my peers, Hannah, Lauren and Laurence for their words of wisdom and help through some rough days. A special mention to Ms.Kimberly Nelson for her last minute inputs. Also, I would like to mention Mr.Manoj Vijayan, who helped me get in touch with the industry professionals in India. This was an incredible journey with an amazing learning experience.

PRESENTED BY :

SANIA LAKHANI

ABSTRACT

ndia is a culturally rich country which is backed up by heritage and natural beauty that is both captivating and enchanting for the tourists that visit the country. India has been growing exponentially in the hospitality and tourism industry since the past decade & it is expected to grow even in the future.

Heritage & culture is what ties India & BVLGARI together. BVLGARI is one of the brands that has been immersed in its Italian heritage since 1884. In 2004, BVLGARI launched its first hotel in Milan and the collection of luxury hotels and resorts has been growing ever since. From a resort in Bali in 2006 to a hotel in London in 2012. Presently, the luxury brand plans to further expand in the service sector by opening more hotels and residencies, which are scheduled to open in Shanghai, Beijing, Dubai and Moscow between 2017 and 2019.

Festival of Holi in India

Source: Google Images

Given the rich and elegant heritage of BVLGARI and India, it would be a great union of the two traditions to form something that intrigues the tourists and also is profitable for BVLGARI. This would aim at providing a luxurious experience for its guests as well as will synergize the growth of tourism in India in the luxury tourism sector. This project is a proposal for the BVLGARI collection of hotels and resorts to tap into the emerging tourism market of India. It focuses on creating a comprehensive marketing plan with the right ingredient of luxury marketing mix to achieve the desired results.

Source: Google Images

CONTENTS

BVLGARI Resort, Bali

INTRODUCTION

INDUSTRY ANALYSIS

MARKET ANALYSIS

COMPANY ANALYSIS

COMPETETIVE LANDSCAPE

SECONDARY RESEARCH ANALYSIS

PRIMARY RESEARCH DESIGN & ANALYSIS

TARGET CONSUMER IDENTIFICATION

THE STRATEGY

REFERENCES

128

APPENDIX

130

INTRODUCTION

VLGARI is a luxury brand name well-known to millions. India is a country well known for its diverse culture. Both BVLGARI & India have a heritage that has been validated and proven to be of immense value. The amalgamation of these two would create a unique experience for the consumers.

Luxury is consistently linked to craftsmanship and design, to rarity, exclusivity and to an appreciation of beautiful things. It can be defined as the best of the best, the quintessence of human ability. Rooted in the Indian culture is an understanding of the value of products that are precious, exotic, rare and hand-crafted. These values have also been synonymous to BVLGARI’s growth as a luxury brand so far.

Source: Google Images

Embellishment and decoration have always been a sign of wealth and prosperity throughout history in India and complements traditional Indian attire. Thus, what may constitute ‘luxury’ jewelry to a Westerner is more of ‘a norm’ to even a middle class Indian. Indians usually have a sentimental value when it comes to jewelry, as it is either gifted on special occasions like weddings to the bride from her family or passed on as a family heirloom, from one generation to the next. BVLGARI is a jewelry brand that ties effortlessly to this passion for jewelry that the Indians possess.

TAJ Hotel in India

To further shed light on why this combination of BVLGARI & India would be a recipe to success, it is important to understand the luxury consumption in India today, which is rooted back into its glorious past. India has always had a strong tradition of rich display. This can be traced back to the days of the Maharaja dynasties of kings. They enjoyed fabulous wealth, living in grand palaces filled with beautiful hand-painted murals on the walls, silk carpets on the floors and stunning pieces of finely crafted furniture. Because of this history there is a deep connection to opulence throughout the country and opulence is something that BVLGARI never fails to deliver. According to HH Alexandra de Kerros Boudkov Orloff, CEO, Sacha Orloff Consulting Group, “True luxury is not new to India

- European luxury brands who try to conquer India’s high growth potential market segmentation are!” The points mentioned above direct towards a path that could resonate with BVLGARI’s success in India. Also, BVLGARI has been successful in the luxury service industry, which is evident through its expansion strategy in the other Asian markets. This is a pivotal point, as it is the only designer-luxury brand that has an expansion plan in-place currently.

KEY GOALS Travel is an experience, a feeling that can be best expressed by the traveler himself/ herself. The word has been creating a lot of buzz in the social media world as the world comes closer with a touch of a button. This has opened up a lot of doors for the hospitality & the tourism industry around the world. People want to travel to the ends of the world & they want to do it in style.

BVLGARI Resort in Bali

Source: Google Images

The aim of this proposal for BVLGARI collection of hotels & resorts in India is to position itself in the Luxury hospitality sector in a way that is unique from its competitors. In order to achieve that aim, intensive research is conducted, both primary and secondary, which helps in providing a framework that would focus on the six Ps of Luxury Marketing, which are Placement, Product (includes the location and services), Price (Tariff), Promotion, Purpose and People, with a special focus on: LOCATION: To weigh the pros and cons of different tourist destinations in India and chose the one that would suit the best for BVLGARI Hotels and Resorts’ portfolio. SERVICES: This would mean studying the current & future trends in the luxury hospitality & chose the ones that fit the best with BVLGARI’s brand values and which transitions seamlessly in the Indian hospitality culture, while providing a unique experience at the same time. USP identification is the key. PURPOSE: The purpose is to focus on providing a luxurious, relaxing, holistic and a memorable experience to the guests at BVLGARI Hotels & Resorts, India, whilst considering the profitability aspect for BVLGARI. PROMOTION: It is an important tool, as it helps in getting the targeted consumer to firstly, be aware of the existence of the product that is being offered and secondly, it entices them to go ahead to confirm their bookings. This would be of great value, as the promotional strategy is one of the tools that would help in solidifying the success of BVLGARI hotel in India.

Source: Google Images

Travelling isn’t just about the destination, it is also about the accommodation that suits a particular tourist’s needs. Hence, hotels play a vital role.

I N D U S T R Y A N A LY S I S : L U X U R Y T R AV E L & H O S P I TA L I T Y

“Travel is the only thing you buy that makes you richer”

Source: Google Images

-Anonymous

ith globalization & the rise of social media, travel & tourism gained popularity. People became more & more aware of even the remote destinations of the world, where they could go & experience things that they haven’t before. The evidence of this can be seen in the fact that the hashtags such as #traveldiaries, #travelgram, & #wanderlust are the most used on social media by the “experience” hungry millennials.

Travel & Tourism’s impact includes people travelling for both leisure and business, domestically and internationally. In 2016, 76.8% of all travel spend was as a result of leisure travel, compared to 23.2% from business travel.

Source: World Trade & Tourism Council

Travel and Tourism is a key sector for economic development and job creation throughout the world. In 2016, Travel & Tourism directly contributed US$2.3 trillion and 109 million jobs worldwide. Taking its wider indirect and induced impacts into account, the sector contributed US$7.6 trillion to the global economy and supported 292 million jobs in 2016. This was equal to 10.2% of the world’s GDP, and approximately 1 in 10 of all jobs, as per the annual report by the World Travel & Tourism Council (WTTC).

L U X U RY T R AV E L It’s no longer enough to understand what luxury means to a particular traveler – it’s about knowing what luxury means to that traveler right now. “As consumers become older, and as markets mature, materialism is less important, while time and enrichment are key,” says Ian Yeoman, a Travel Futurologist. The demand for travel has remained constant despite testing economic times, and the luxury market has remained fairly resilient. According to the report by AMADEUS, the luxury travel growth rate is expected to increase by 6.2% by 2027, which is 4.8% more than the projected growth of overall travel.

Source: AMADEUS

China’s luxury travel market will continue to experience double-digit growth at 12.2%, albeit at a slower pace than in the past. Russia’s luxury market saw recover from its dip from 2013-2015 in 2016 and experience a growth rate of 9%, despite the nation’s economic reliance on global oil prices and the fact that Western sanctions are set to remain in place until 2017. Brazil’s lack of an established middle class and the weakness of the Brazilian Real against other global currencies means the growth of its luxury market is slow at 4.2%. India’s luxury market’s CAGR of 12.8% is higher than any of the other BRIC nations.

Luxury travel is growing faster than overall travel

KEY INSIGHTS

North America and Western Europe account for 64% of global outbound luxury trips, despite making up only 18% of the world’s population Asia Pacific’s luxury travel market will see faster overall growth than Europe’s from 20112025, but will decelerate from 2015-2025 From 2016 until 2025, the number of luxury trips from Brazil, Russia, India and China (BRIC) will increase.

India’s booming middle class presents great potential for luxury travel investment over the coming decade. The rapid growth of India’s luxury market is interesting and fairly atypical. When broken down into the distance of luxury journeys, there is very little regional travel, and a very high percentage of medium and long-haul travel – which is the opposite case for the majority of nations. However, this is really more of a geographical explanation than an economic one. While India’s middle class is taking off and fueling a rapid growth in its luxury market, medium and long-haul air travel will increase rapidly across all classes – perhaps also due to the diaspora of Indian immigrants – and luxury travel will follow this national travel trend. Driven by India’s impressive luxury market growth, South Asia’s luxury travel market will expand at a faster rate than any other region explored. The sub-Himalayan countries will also see significant growth in overall travel, but the rate of its luxury market growth will gain momentum as its middle class markets grow and continue jet-setting.

Source: EUROMONITOR

C) Global wealth underwrites luxury lifestyle trends 1) Global wealth expansion goes much further than personal luxury goods, with areas such as luxury cars, luxury hotels and luxury spas clearly benefiting. 2) The luxury travel industry overall has entered a new phase, where conspicuous consumption is giving way to more meaningful luxury experiences. We are likely to see bigger footprints in areas such as luxury travel and luxury health and wellness, and we will see more interaction between luxury fashion brands, food and lifestyle in the short term. C)

L U X U RY T R AV E L : D E M A N D D R I V E R S A) Household wealth changes consumer attitudes and travel habits. 1) The number of affluent households is expected to grow over 2016-2030 across all global regions. 2) North America will continue to have the largest number of wealthy households, but Asia Pacific is expected to see the fastest increase in the number of affluent households, despite the economic slowdown, posting 100% growth between 2016 and 2030.

Source: EUROMONITOR

B) Increase in demand for luxury hotels 1)Luxury hotels outperformed their mid-priced and budget competitors in terms of increase in global outlets in 2014, 2015 and 2016. 2) Luxury properties have been less affected by the rise of private rentals, which have taken market share from hotels, particularly in city locations.

Source: EUROMONITOR

3) 2015 and 2016 were good years for lodging, with luxury hotels continuing to attract an increasing number of guests.

Luxury travel has given birth to luxury hotels that are characterized by a high-end experience at a premium price. Luxury hotels defined by luxury features such as for furnish bathrooms and swimming pools. Moreover, highest of professional and personalized service, luxury hotels have become the epicenter of revenues earned by the overall hospitality industry. Increasing trends of western lifestyles in global scenario accelerated the demand for the luxury hotel market during holidays and business meetings. As more and more consumers are showing a keen interest in materializing their aspirations of luxury living there is

Source: Google Images

L U X U RY T R AV E L : H O S P I TA L I T Y

an evident growth in spending bountifully on the same. With a wide range of expectations from the world of luxury services, consumers are opting for luxury resorts and hotels over regular bed and breakfast accommodations. The global luxury hotels market is also being propelled by the growing number of international events and strong branding and advertising strategies implemented by hotel groups across the globe.

business objective, but they will have the seniority and salary to extend their trip for some luxury leisure travel. Typically chief executives and company leaders, their business objective comes first, but they also want to make the most of their time once the work is done. They may do business in Nairobi and then fly their family to join them on a luxury safari, or extend their stay in Milan to spend a Saturday with a personal shopper.

The global luxury hotels market was valued at approximately USD 153.82 billion in 2015 and is expected to reach approximately US$ 194.63 billion by 2021, growing at a CAGR (Compound Annual Growth Rate) of around 3.5% between 2016 and 2021.

Cash-rich, Time-poor 24% A blend of Obligation meet-ers and Simplicity Searchers. Members of this tribe won’t necessarily have an objective they need to fulfil during their travel, but they will have responsibilities that dictate when they can and can’t travel. Their plans often change at the last minute, so they may travel on flexible tickets. These travelers will most likely outsource their travel planning to third parties, and are willing to pay for expertise. However, they will want their snatches of leisure time to feel private, as it’s a rare chance to reconnect with themselves and their loved ones.

L U X U RY T R AV E L : T R AV E L E R T Y P E Always Luxury - 4%

Strictly Opulent 18%

Money is no object whatsoever for this traveler tribe. Mostly showing the same behavior of Simplicity Searchers, luxury is part of the everyday for them. Luxury is a minimum requirement rather than a perk, and an essential tool for making their life discreet, streamlined and comfortable. They will travel in first class or by private jet, stay in top tier room categories and pay to outsource decision making to trusted parties. Unlike other luxury traveler tribes, their travel intentions do not change, and they do not shift between tribes.

Strongly linked with Reward Hunters, this tribe is all about seeking out the best and the most glamorous travel experiences. Sharing their luxury holiday on social media is an important part of this experience – they want to be seen to be having fun, living life to the fullest and being able to indulge. They’ll want to know about ways to enhance their trips by consulting luxury influencers. Hiring a luxury yacht for a group of friends would appeal. Independent & Affluent 3%

These travelers are more often Reward Hunters than Simplicity Searchers. For them, luxury travel is a treat rather than a given, and despite their relative affluence, they’re seeking ‘wow factor’ experiences. They may use their loyalty points to upgrade their cabin class, to seek out prestigious dining experiences and to indulge in some welldeserved spa treatments. They may be willing to compromise on comfort at certain stages of their journey if necessary, or if it means they’ll get an incredible travel experience, such as sacrificing luxurious facilities to go on an independent guided tour of the Arctic. B-luxury - 31% This tribe blends Obligation meet-ers with Reward Hunters. Their trip will have a 10

Source: Google Images

Special Occasion - 20%

A blend of Reward Hunters and Simplicity Searchers, this tribe turns to luxury travel when they want to pamper themselves, or try something new. As they have little or no ties, they are free to please themselves when it comes to making travel decisions, and will either travel alone or with a select few friends. They may seek travel brands and destinations suitable for solo travelers, and may be looking for options that enable them to meet new people. They will want to feel that their travel provider is looking after them and helping them make the best choices for their trip, which could typically be a luxury yoga retreat in the Himalayas, or a cookery weekend in the South of France.

LU X U RY T R AV E L : T R AV E L E R I D E N T I F I C AT I O N Baby boomers are the leading demographic making up the luxury travel market spend with higher numbers of annual visits, due to their disposable income and savings and interest in travel according to Allied Market Research. The Luxury Travel Market report shows that luxury travel is increasing with a compound annual growth rate of 6.4 percent, eventually leading the industry to $1.2 billion by 2020. While baby boomers aged 51 to 69 lead the pack, Gen X follows but is more known for preferring to travel with multiple generations of the family such as kids, parents and grandparents. “The global luxury travel market is expected to garner $1.154 billion by 2022, registering a CAGR of 6.4 percent during the forecast period 2016-2022,” said Priyanka Bisht, research associate at Allied Market Research. “Luxury travel market epitomizes most desirable destinations, luxurious accommodations, convenient transport facilities and authentic travel experience.

MAJOR TRIPS BY AGE GROUP, 2016 MULTI-GENERATIONAL

GEN X

BABY BOOMERS

Source: ALLIED MARKET RESEARCH

20%

18%

14%

16%

20%

24%

23%

26%

29%

30%

Source: Google Images

MI L L ENNI AL S

The Boomer traveler. Many of them were born before the invention of color television, let alone the internet, but technology still plays a part in how they book and experience travel. Born between 1946 and 1964, the Boomers were the most populous living generation until Millennials overtook. They are the oldest among millennials and generation x and are beginning to enter retirement. This means they have more free time on their hands, and many are angling to fill that time with travel. By and large, Boomers see travel as a necessity. They worked hard throughout their careers and saved their money, and now they want to see the world. When they hit the road, their primary reasons for doing so are to see new places, relax, and spend time with family and friends. For them, business is no longer a significant factor in their travel plans, if indeed a factor at all. At liberty to spend their time as they please, they value the opportunity for cultural enlightenment and the freedom to explore foreign cities. Many Boomers also express an interest in learning about their heritage; travel allows them to reconnect with their ancestral homelands. Some Boomers, keen to stay young at heart, are even dabbling in adventure travel (it’s become so common, in fact, that many adventure travel companies are marketing packages specifically to Boomers). Others are aware that there is only so much time left to see the world, and plan their travel around their bucket list items — the big-ticket, oncein-a-lifetime destinations and experiences.

BUCKET-LIST

34%

ROMANTIC GATEAWAY

34%

SUMMER

BABY-BOOMERS & TRAVEL BEHAVIOR

Boomers are sometimes characterized as Luddites, eschewing technology at every turn, but nothing could be further from the truth. While many are traditionalists, a full 55 percent of Boomers say a smartphone is essential while travelling. Similarly, only one in five Boomers uses offline means to book travel; the rest rely on the internet or mobile to plan their trips. They may not constantly be on their mobile devices throughout their travels, but they are often close at hand. Without a doubt, mobile technology is a very important tool for Boomers both before and during their travels. Many Boomers view retirement as a time of relaxation and leisure, and more than anything, they want to be taken care of when they travel. Because of this, they require a little more human contact than younger generations. They crave convenience and luxury — in other words, a high standard of service — and are willing to spend more to obtain it. That doesn’t mean, however, that Boomers want their travel experiences to be wholly old-school. On the contrary, mobile technology can keep Boomers in constant contact

with hotel staff, and it allows for more personalized service. The key to successful interaction with the Boomer generation is to balance the human element with the convenience of technology. Too much technology may be perceived as a decline in service, particularly when aspects of service are automated, but too little technology may make them feel like the hotel is withholding the conveniences of modern life.

GENERATION X & TRAVEL BEHAVIOR As brands scramble to cater to Baby Boomers and Millennials, Generation X tends to get lost in the rush. Their habits are indistinct, if only because studies seldom bother to cover them. And as their position between Boomers and Millennials implies, they exhibit some of the preferences and habits of both. The problem with trying to understand the needs of Generation X is that they are rarely considered or discussed. Yet Generation Xers are now at a point where their purchasing power exceeds that of Millennials, and typically matches that of Boomers. They’re also the generation with the largest budget for international travel — on average, the Generation X travel budget is $8,500 per trip, compared to $7,400 for Boomers and $7,800 for Millennials. When they plan their travel, they do it independently more often than not. Gen Xers turn to technology to get the job done. Almost 60 percent of Gen Xers use mobile phones to research destinations, flights, and hotels. Another 40 percent use iPads and tablets, while 33 percent browse websites of destination marketing organizations. Only 13 percent use a travel-related app for research. So, what do Gen Xers want when they travel? Many of them are now in their career prime and travel extensively for business. But that’s not to say its all work and no play for Gen Xers — they like to mix business with leisure (now becoming known as bleisure travel). Many of them are also raising children of their own, so quality time with family is high on their radar. They’re the generation most likely to make time for family activities, such as a trip to the beach or the zoo, during a trip. As Gen Xers begin to hit middle age — if they haven’t already — they tend to take their overall well-being more seriously, and as a result, they are more likely than any other generation to focus on health and wellness when they travel. Where just over half of Boomers say a smartphone is essential when they travel, 73 percent of Gen Xers say the same. Most Gen Xers may not have grown up with technology, but they were quick adopters, and mobile tech has an important place in all aspects of 14

their lives. They spend just as much time on social media as Millennials. In short, they are almost always connected. Technology for the Gen X traveler must meet their need to be connected as well as their need to relax. Mobile technology can offer them convenience at their fingertips, especially when they’re on business trips. But it’s handy for leisure travel as well—a direct, around-the-clock connection to hotel staff, in fact, can be a lifeline during hectic family vacations.

MILLENNIAL TRAVEL & BEHAVIOR Millennials differ from the cohorts that came before them in that they don’t view technology as a convenient, but inessential, tool — they expect it to be integrated into every aspect of their lives. Millennials — born between the early 1980’s and the late 1990’s — are defined by their relationship with technology. The youngest members of this always-connected generation were born after computing tech hit the mainstream; for the most part, they can’t remember a time when technology wasn’t present in daily life. And although the oldest Millennials were born before PCs could be found in every household, technology has nevertheless had a deep influence in their lives. They see technology as a way to be self-reliant and independent. More than 85 percent of Millennials own a smartphone, and 80 percent of Millennials sleep with their phone next to their bed. When they travel, they seek authentic, one-of-a-kind experiences. Having weathered the worst economic recession since the Great Depression — and in many ways, still grapple with economic hardship as a result of it — they also value affordability. When they’re choosing a place to stay, they prefer sharing options such as Airbnb, and hotels that offer reasonable room rates. Studies show that 66 percent of Millennials will use shared accommodations at least once, and that Millennials are more likely to be repeat guests than any other generation. Like Gen Xers, Millennials enjoy a good bleisure trip. By some accounts, they’re more inclined to spend extra company money for transportation and accommodations they perceive to be of good value than they are to seek out the lowest available price. Millennials are also less likely to be married or have a family, and are often more willing to embark on business trips in general. Indeed, Millennials average five business trips per year, versus two for those belonging to previous generations. More than anything, Millennials enjoy adventure travel and spiritual escapes. They are as

likely to go white water rafting as they are to take a yoga retreat at a Hindu temple. They don’t rely on the familiar when they travel; they would rather have new and unforgettable experiences. They’re also inclined to get some outside help when planning their dream vacation — at least 28 percent of Millennials have enlisted the services of a travel agent, versus 15 percent of Gen Xers and 13 percent of Baby Boomers. Perhaps unsurprisingly, 87 percent of Millennials say a smartphone is essential while travelling. Smartphones are their gateway to everything they need to know about their trip; they can access maps, research restaurants and cultural activities, use translation apps to decipher signage in foreign languages, and stay in touch with their loved ones back home. Moreover, Millennials love to share their experiences on social media during their travels, and at least 40 percent of them have done so in the past. Mobile technology allows Millennials to be self-reliant and independent. They are not averse to asking for help when they need it, but they prefer to do it on their own terms. Hotels that offer them service via mobile technology will have a leg up on those that don’t. Why? Because mobile technology enables Millennials to get in touch with hotels at any time, from any place, using their preferred method of communication.

LU X U RY H O S P I TA L I T Y: F U T U R E T R E N D S HEALTH IS GOING TO BE HUGE Health & Wellness is the buzz word amongst the luxury travel world, which makes it important to be incorporated into every aspect of the guest user experience. URBAN RESIDENTIAL LIFESTYLE LUXURY With people getting busy with work all the time, this trend focuses on providing an athome experience, but with a stress-free environment with all the 24hr services one could need. GLAMPING Glamorous camping, when you’re glamping, there’s no tent to pitch, no sleeping bag to unroll, no fire to build. Whether in a tent, yurt, airstream, pod, igloo, hut, villa, cabin, cube, teepee or treehouse, glamping is a way to experience the great outdoors without sacrificing luxury. 16

PERSONALIZATION: IT’S THE LITTLE THINGS THAT COUNT Grabbing the attention of your guests and making them feel special is the key. Understanding their likes/dislikes and their wants and needs can leave a lasting impression. LUXURY THAT’S LEANER AND SMARTER Today’s concepts of luxury isn’t limited to 1,000-count-thread sheets or the finest Russian caviar, and given what’s happening overall in terms of global shifts in consumer behavior, it’s clear that experience is winning out over the material when it comes to the kind of luxury that consumers prefer. This isn’t to say people don’t want opulence or extravagance anymore. For some travelers, that’s still an integral part of what defines luxury. It is not saying luxury is transforming into something more Spartan, or more minimalistic, either. What is being inferred here is that lean luxury is doing away with the excess of what we used to think luxury used to have — those over-the-top messages, the logos, and the inyour-face-kind of luxury that the guests might have encountered 30 years ago. Instead, lean luxury is about the new luxury, about offering travelers a more authentic, genuine luxury experience unfettered by specific brand or quality standards like thread counts. The cornerstones of what makes something luxury will still remain — it is the price of admission, still — but that’s not what travelers are paying attention to anymore. Luxury travelers already expect those services, those finishes, those exquisite products, those incredible designs, those little touches, to already be there. What would really set a luxury brand apart — what defines lean luxury — is everything else. It’s personalized service. It’s having a clearer sense of community and place. It’s craftsmanship. It’s having a story to tell. The hotel or the first-class cabin don’t have to be gilded in gold to be deemed luxury. They just need to have a story behind their brands to communicate to travelers. And that story needs to fit in with the local environments and preferences of the communities they operate in. LOCAL AND AUTHENTIC Travelers want to be with locals. They want to be immersed in a destination. Instead of guides who know a lot of facts, they want insiders who can really give them the lowdown. Or they want a nightlife host who can take them to the coolest bars and nightspots and tell the story from their own perspective. It is all out immersing in the true sense of the place. 17

SUSTAINABILITY RULES Eco-friendly practices are becoming the norm, as properties focus on renewable energy resources and water scarcity. Many hotels are installing solar panels and updating systems so that air conditioners and lights automatically switch off when guests leave their rooms. GOOD DESIGN GOES MAINSTREAM Whether your hotel is ultra-luxury or bare-bones budget, your guests are going to expect it to look good, and feel good. And if current retail and interior design successes are any indication these days, they are proof that you don’t necessarily need deep pockets to have good design. Design has always played a crucial role in hospitality, especially in defining that hotel’s brand or persona, and today’s guests are intuitively attuned to interpret design to fit their conceptions of what a hotel is really like, and if it’s the right fit, or lifestyle, for them. LONGEVITY HOTEL SPAS The spa 2.0 - the next generation of wellness spas will be mind-blowing. Gone are the days of a simple facial or massage at hotel spa. The hotel spa of the future is based on DNA analysis & promoting living longer. You will receive personalized prevention treatments, prediction & health enhancement programs designed to refresh your health, your fitness and understand your future health risks. These will use the latest genetic medicine treatment, mind refreshing drugs, brain fitness & prevent diseases.

Source: EUROMONITOR

Source: Google Images

DATA INTERPRETATION IS THE ULTIMATE INTELLIGENCE Since, there is an evident advancement in technology and the know-how to collect or mine data, it becomes crucial for the hospitality industry to use the data in an efficeint manner to cater to its guests. They key here is to be able to communicate this information with everyone in the service heirarchy, which would help in developing perosnalized services for the guests.

M A R K E T A N A LY S I S : I N DIA

â&#x20AC;&#x153;India is the cradle of the human race, the birthplace of human speech, the mother of history, the grandmother of legend and the great grandmother of traditionâ&#x20AC;?

Source: Google Images

-Mark Twain

The Republic of India is the seventh largest country in the world by area and with over a billion people, is second only to China in population. It is an extremely diverse country, with vast differences in geography, climate, culture, language and ethnicity across its expanse, and prides itself on being the largest democracy on Earth. India’s culture and heritage are a rich amalgam of the past and the present. This vast country offers the visitor a view of fascinating religions and ethnography, a vast variety of languages with more than 438 living languages, and monuments that have been present for thousands of years. As it opens up to a globalized world, India still has a depth of history and intensity of culture that awes and fascinates the many who visit there. India remains to be one of the world’s fastest growing economies and one of the fastest developing countries. It is considered to be an emerging superpower. Therefore, a visit will indeed be an interesting one.

INDIA : CU LTU RE India’s rich and multi-layered cultures are dominated by religious and spiritual themes. While it is a mistake to assume that there is a single unified Indian culture, there certainly are unifying themes that link the various cultures. India’s cultural heritage is expressed through its myriad of languages in which much great literature and poetry has been written. It can be seen in its music - both in its classical (Carnatic and Hindustani) forms and in modern Bollywood music. India also has a vast tradition of classical and folk dances. Art and theatre flourish amongst the bustling cities of the country, against the backdrop of the ever expanding western influences. Vibrant processions are seen going on everywhere, especially during festivals. Ganesh Chatutrthi processions in Mumbai, Dusshera in Mysore etc. are some important processions which have to be seen. Along with these, marriage and religious processions are also seen on the roads. You can see people dance, play music and drums, play with colors etc. Indians value their family system a lot. Typically, an Indian’s family encompasses what would be called the extended family in the West. It is routine for Indians to live as part of the paternal family unit throughout their lives - i.e. sons live together with their parents all their lives, and daughters live with their parents till they get married. The relationship is mutually self-supporting. Parents may support their children for longer than is common in the West, brothers and sisters may support each other, and sons are expected to

Source: Shutterstock

ndia (Sanskrit, Hindi: Bhārat) is the largest country in the Indian Subcontinent located primarily in South Asia, and shares International borders with Pakistan to the north-west, China and Nepal to the north, Bhutan to the north-east, and Bangladesh and Myanmar are to the east. Sri Lanka lies to the south, Maldives to the south-west and has maritime boundary with Indonesia to the south-east of India in the Indian Ocean.

South India features famous and historical temples, tropical forests, backwaters, beaches hill stations, and the vibrant cities of Bangalore, Kochi, Chennai and Hyderabad. The island groups of Andaman & Nicobar (on the east) and Lakshadweep on the west are included in this region for convenience, but they are far from the mainland and have their own unique characteristics.

take care of their parents in their old age. “Living with parents” does not carry the same stigma as it does in the US. Nowadays, most Indian families are becoming more nuclear. Naturally, the arrangements are not perfect and there are strains and breakups, especially by the time the third generation grows up. Also, it has now become common for children to move away from the parental house for education and employment. Nonetheless, it is fair to say that the joint family is still seen as the norm and an ideal to aspire to, and Indians continue to care about their family’s honor, achievements and failures even while they are not living together.

Eastern India (Chhattisgarh, Jharkhand, Odisha, Sikkim, West Bengal) Economically less developed, but culturally rich and perhaps the most welcoming of outsiders. Features Kolkata (formerly known as Calcutta), once the capital of British India, and the temple cities of Puri, Bhubaneswar and Konark. Geographically it stretches from the mountains to the coast, resulting in fascinating variations in climate. It is also the mineral storehouse of India, having the country’s largest and richest mines.

REGIONS

North-Eastern India (Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura) insular and relatively virgin, the country’s tribal corner, with lush, beautiful landscapes, endemic flora and fauna of the Indo-Malayan group and famous for Tea Gardens. Consists of seven tiny states (by Indian standards, some of them are larger than Switzerland or Austria) popularly nicknamed as the Seven Sisters.

India is administratively divided into 29 states and 7 union territories. The states are broadly demarcated on linguistic lines. They vary in size; the larger ones are bigger and more diverse than some countries of Europe. The union territories are smaller than the states—sometimes they are just one city—and they have much less autonomy. These states and union territories are grouped by convention into the following regions: Himalayan North (Jammu and Kashmir, Himachal Pradesh, Uttarakhand) Mountainous and beautiful, a tourist destination for the adventurous and the spiritual. This region contains some of India’s most visited hill-stations and religious places. Includes the exquisitely scenic states.

INDIA : TOU RISM The Indian tourism and hospitality industry has emerged as one of the key drivers of growth among the services sector in India. Tourism in India has significant potential considering the rich cultural and historical heritage, variety in ecology, terrains and places of natural beauty spread across the country. Constant transformation, functional growth and improving standards have gained the hospitality industry of India approval all over the world.

Western India (Dadra and Nagar Haveli, Daman and Diu, Goa, Gujarat, Maharashtra, Rajasthan) World’s second largest Salt Flat, Great Rann of Kutch. Miles and miles of the Thar Desert. Home to the colorful palaces, forts and cities of Rajasthan, the country’s most vibrant and biggest city Mumbai (formerly known as Bombay), wonderful beaches and pristine forests of Goa and Bollywood. Southern India (Andaman and Nicobar, Andhra Pradesh, Telangana, Karnataka, Kerala, Lakshadweep, Pondicherry, Tamil Nadu) 24

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The Plains (Bihar, Chandigarh, Delhi, Haryana, Madhya Pradesh, Punjab, Uttar Pradesh) The country’s capital Delhi is here. The rivers Ganga and Yamuna flow through this plain. Many of the events that shaped India’s history took place in this region.

Tourism is the largest service industry in India, with a contribution of 6.23% to the national GDP and providing 8.78% of the total employment. India witness’s more than 5 million annual foreign tourist arrivals and 562 million domestic tourism visits. According to World Travel and Tourism Council, it will be a great tourism hotspot, having the highest 10-year growth potential. It is ranked the 14th best tourist destination for its natural resources and 24th for its cultural resources, with many World Heritage Sites, both natural and cultural. India also ranked 37th for its air transport network. The Indian tourism industry is expected to be the second largest employer in the world by 2019. 25

IND IA: TY PE S O F TO U R I SM

tourists come to India to experience it for themselves. The various fairs and festivals that tourists can visit in India are the Pushkar fair, Taj Mahotsav, and Suraj Kund mela. This types of tourism in India has grown and has boosted the Indian economy the most. Leisure tourism

ADVENTURE TOURISM As a kind of tourism in India, adventure tourism has recently grown in India. This involves exploration of remote areas and exotic locales and engaging in various activities. For adventure tourism in India, tourists prefer to go for trekking to places like Ladakh, Sikkim, and Himalaya. Himachal Pradesh and Jammu and Kashmir are popular for the skiing facilities they offer. Whitewater rafting is also catching on in India and tourists flock to places such as Uttranchal, Assam, and Arunachal Pradesh for this adrenalin-packed activity.

India is also a global hot spot for those who just want to party or relax. The seaside town of Goa hosts large parties and raves as well as a variety of festivals on its white sand beaches. Luxury resorts that offer all-inclusive holidays line the southern Goan coast and the idyllic Andaman islands.

WILDLIFE TOURISM India has a rich forest cover which has some beautiful and exotic species of wildlife â&#x20AC;&#x201C; some of which that are even endangered and very rare. This has boosted wildlife tourism in India. The places where a foreign tourist can go for wildlife tourism in India are the Sariska Wildlife Sanctuary, Keoladeo Ghana National Park, and Corbett National Park.

WEDDING TOURISM Wedding Tourism in India is fast catching up as a new trend. India is full of diversities in the terms of socio- cultural traditions and cultures. A large number of couples to wed are experimenting with wedding tourism as India with a lot of diversities offers immense opportunities for palace weddings, beach weddings and backwaters weddings. These weddings are not only fancied by Indians but attracting NRIâ&#x20AC;&#x2122;s (Non-residential Indians) and foreigners also.

MEDICAL TOURISM Tourists from all over the world have been thronging India to avail themselves of costeffective but superior quality healthcare in terms of surgical procedures and general medical attention. There are several medical institutes in the country that cater to foreign patients and impart top-quality healthcare at a fraction of what it would have cost in developed nations such as USA and UK. The city of Chennai attracts around 45% of medical tourists from foreign countries.

INDIA : TOU RIST ATTRACTIONS India is a country known for its warm treatment to all visitors, no matter which country they come from. Its visitor-friendly traditions, varied life styles and cultural heritage and colorful festivals held, create attractions for the tourists.

PILGRIMAGE TOURISM India is famous for its temples and that is the reason that among the different kinds of tourism in India, pilgrimage tourism is increasing most rapidly. The various places for tourists to visit in India for pilgrimage are Vaishno Devi, Golden temple, Char Dham, and Mathura Vrindavan.

The Indian handicrafts particularly, jewelry, carpets, leather goods, ivory, handicrafts, etc. are in the shopping checklist of any foreign tourist. Source: Google Images

ECO-TOURISM Among the types of tourism in India, ecotourism have grown recently. Ecotourism entails the sustainable preservation of a naturally endowed area or region. This is becoming more and more significant for the ecological development of all regions that have tourist value. For ecotourism in India, tourists can go to places such as Kaziranga National Park, Gir National Park, and Kanha National Park. Cultural tourism India is known for its rich cultural heritage and an element of mysticism, which is why

A country known for its rich natural attractions, such as beautiful beaches, forests and wild life and landscapes for eco-tourism; snow, river and mountain peaks for adventure tourism; technological parks and science museums for science tourism; centers of pilgrimage for spiritual tourism; heritage, trains and hotels for heritage tourism. Yoga, Ayurveda and natural health resorts and hill stations also attract tourists.

As India has numerous toursit destinations, the top 5 tourist dstinations have been brought to light, to understand what India is all about. First on the list, Festival of Diwali in India

AGRA

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Agra’s Taj Mahal is one of the most famous buildings in the world, the mausoleum of Shah Jahan’s favorite wife, Mumtaz Mahal. It is one of the Seven Wonders of the World, and one of three World Heritage Sites in Agra. Completed in 1653, the Taj Mahal was built by the Mughal king Shah Jahan as the final resting place for his beloved wife, Mumtaz Mahal. Finished in marble, it is perhaps India’s most fascinating and beautiful monument. This perfectly symmetrical monument took 22 years (1630-1652) of hard labor and 20,000 workers, masons and jewelers to build and is set amidst landscaped gardens.

TAJ MAHAL , Agra

JAIPUR / UDAIPUR Jaipur is also popularly known as the Pink City, is the capital of the Indian state of Rajasthan. Jaipur is a very famous tourist and education destination in India.

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Lots of people flock to Jaipur to view the various forts and monuments in Jaipur which reflect its glorious past. Tourism is a significant part of Jaipurâ&#x20AC;&#x2122;s economy. Some of the worldâ&#x20AC;&#x2122;s best hotels are located here.

HAWA MAHAL, Jaipur

GOA Goa is famous for its pristine beaches, in fact 90% of all the tourism in Goa happens only for its beautiful beaches in the Coastal Areas. Goa has two main tourist seasons: winter and summer. In the winter time, tourists from abroad (mainly Europe) come to Goa to enjoy the splendid climate. In the summertime (which, in Goa, is the rainy season), tourists from across India come to spend the holidays.

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Many foreigners have made Goa as their home for its laid-back and relaxed lifestyle!

Beaches in Goa

KASHMIR A place amidst the Himalayan Ranges, Kashmir was once called the “Heaven on Earth”, and is one of the most beautiful places in the world with abundant natural beauty. However, in last couple of decades, terrorism has faded its charm.

Srinagar, Kashmir

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The State of Jammu & Kashmir has main three geographical regions known as “The Lesser Himalayas” or the “Jhelum Valley” (Kashmir), “The Inner Himalayas” or “The Indus Valley” (Ladakh & Frontier areas) also called “Trans-Himalayas”, and “The OuterHimalayas” or “The Southern mountain range” (Jammu).

KERALA (BACKWATERS)

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Kerala, situated on the lush and tropical Malabar Coast, is one of the most popular tourist destinations in India. Named as one of the “ten paradises of the world” and “50 places of a lifetime” by the National Geographic Traveler magazine, Kerala is especially known for its ecotourism initiatives, Beautiful Backwaters and Alternative healing massages.

Kerela Backwaters

IND IA: LU X U RY HO SPI TA L I TY

INDIA : LU X U RY TRAVELER

The bulk of hotel development across India in the last five years has mostly been in the limited-service sector, via brands like Courtyard by Marriott, DoubleTree by Hilton, Holiday Inn Express, Hyatt Place and Fairfield by Marriott. In the last year, however, a slew of new international luxury hotel developments have been announced that will see India’s luxury hotel sector grow and get more competitive.

With over 100,000 millionaires and close to 125 official billionaires, the Luxury Indian Traveler with a collective wealth of 8 trillion dollars has already grown to over 6 billion dollar a year business, and is in the top 5 market sources for luxury travel by 2020. Some important India’s luxury target audience statistics: 1. India has more than 100,000 Millionaires right now, which will grow by 400% to 4,00,000 with a collective wealth of $2.65 trillion dollar by 2017.

Globally, India is the third-largest market for Bethesda, Md.-based Marriott International once its merger with Stamford, Conn.-based Starwood Hotels & Resorts Worldwide was finalized later in 2016. Combined, the two companies will have a portfolio of 100 hotels in India by the end of 2016. That’s more than triple the 32 properties Marriott currently has in the country. “We have seen double-digit growth in our hospitality business here, and our economic forecast reveals that India’s growth will outstrip that of China in the next 10 years,” said Craig Smith, president, Marriott Asia Pacific.

2. India has more than 115 billionaires right now worth a combined wealth of U$195 billion. 3. India has over 8200 Ultra High Net worth (UHNW) right now with a minimum net worth of $30 million and this will grow to 30,000 by 2018 with a collective wealth of $4.7 Trillion dollars.

In 2017, the 238-room Ritz-Carlton, Mumbai, is scheduled to open in India’s financial capital, becoming the chain’s second in the country, after Ritz-Carlton, Bangalore. Likewise, Starwood has been aggressive on its expansion here. In 2016, it signed an agreement with ITC Hotels, one of India’s largest luxury chains, to extend their relationship to include another 11 hotels that will become part of Starwood’s Luxury Collection brand. Starwood has other brands pushing into India as well. The W Mumbai is set to open in 2017 and the W Delhi in 2018. Also in Starwood’s India pipeline are a number of other brands, including St. Regis, Le Méridien and Westin, in key markets.

TRAVELING PREFERENCES Demand originating in India is asymmetric but predictable like any other country. The peak demand season in India also coincides with its holiday season which is typically 1. Diwali Vacation - Its 10 days of holiday that usually falls in October or November

Hilton Worldwide, likewise, has its eyes on Indian expansion. The chain’s luxury brand, Conrad Hotels & Resorts, made its debut in the country with the opening of the 310room Conrad Pune. The hotel, in the heart of the city’s business district, has 20,000 square feet of meeting space. There is speculation that Hilton’s luxury Waldorf Astoria brand also might plant some flags there as well.

3. Summer Vacations - These are the longest holidays in India and schools and colleges close in Mid-April to reopen in June or July.

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Western hotel companies aren’t the only ones flagging on India. German luxury hotel chain Kempinski has also announced plans to operate three new hotels in the country by 2020, in Kolkata, Mumbai and Kerala, if its on-going negotiations are successful. And Hong-Kong-based Mandarin Oriental Hotels, which currently has 13 hotels in Asia, has also singled out India as one of its top development priorities. Until 2022 and beyond, India’s luxury market should see exponential growth as hotel brands line up to do business, either as part of a franchise model or as the partner of an Indian hotel group such as ITC.

2. Christmas Vacation - Most public schools in India close between 24th Dec to 1st Jan and some even longer

The lean period are March and April when its exam times in India and also financial year ending, and September just before Diwali, which is when demand is stimulated by creating special offers to attract the local tourists. Travelers with children constitutes the largest chunk of Indian traveler keeping in mind that the average age of the Indian traveler is 29 years. The luxury Indian traveler is most likely between 35 to 55 years of age, and are most likely to travel with children. 39

In 2008, the Ministry of Tourism launched a campaign targeted at the local population to educate them regarding good behavior and etiquette when dealing with foreign tourists. Indian actor Aamir Khan was commissioned to endorse the campaign which was titled ‘Atithidevo Bhava’, Sanskrit for ‘Guests are like God’. Atithidevo Bhava aimed at creating awareness about the effects of tourism and sensitizing the local population about preservation of India’s heritage, culture, cleanliness and hospitality. It also attempted to re-instill a sense of responsibility towards tourists and reinforce the confidence of foreign tourists towards India as a preferred holiday destination. The concept was designed to complement the ‘Incredible India’ Campaign.

Since, the children are now the decision makers, it’s very important for a luxury leisure lodge or tour to have plenty of content that engages and enrolls the children and hence experiential lodges that specializes in something for everyone in the family will get the bulk of this business. The luxury Indian traveler wants to stick around in the same region pursuing special interest experiences or exploring the region at leisure for at least 4days and sometime as much as a week.

The campaign is still successfully in place in 2017 and is represented by the current Prime minster of India, Mr.Narendra Modi, as the ambassador.

IND IA: GOV E R ME N T I N I TI ATI V E S Incredible India is the name of an international marketing campaign by the Government of India to promote tourism in India since 2002 to an audience of global appeal. Incredible India title was officially branded and promoted by Amitabh Kant, the then Joint Secretary under the Union Ministry of Tourism, in 2002.

BUDGET (2017) The government has allocated INR 1,840.77 crore (287 million dollars approx.) to the tourism ministry in the budget for the 2017-18 fiscal year.

In 2002, India’s Ministry of Tourism launched a campaign to promote India as a popular tourist destination. The phrase “Incredible India” was adopted as a slogan by the ministry. Before 2002, the Indian government regularly formulated policies and prepared pamphlets and brochures for the promotion of tourism, however, it did not support tourism in a concerted fashion. However, in 2002, the tourism ministry made a conscious effort to bring in more professionalism in its attempts to promote tourism. It formulated an integrated communication strategy with the aim of promoting India as a destination of choice for the discerning traveler. The tourism ministry engaged the services of advertising and marketing firm Ogilvy & Mather (India) (O&M) to create a new campaign to increase tourist inflows into the country.

The ministry would be receiving a little over INR 250 crore (39 million dollars approx.) more in the 2017-18 fiscal as compared to the ongoing financial year for which it was allocated INR 1,590.32 crore (248 million dollars approx.), according to the budget document. Significantly, as much as INR.412 crore (64 million dollars approx.) have been provided for promotion and publicity of tourism ministry’s various programs and schemes in the Union Budget presented by Finance Minister Arun Jaitley in 2017.

In 2009, Minister of tourism, Kumari Selja unveiled plans to extend the Incredible India campaign to the domestic tourism sector as well. USD 12 million out of a total budget of USD 200 million was allocated in 2009 for the purpose of promoting domestic tourism. 40

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The campaign projected India as an attractive tourist destination by showcasing different aspects of Indian culture and history like yoga, spirituality, etc. The campaign was conducted globally and received appreciation from tourism industry observers and travelers alike. However, the campaign also came in for criticism from some quarters. Some observers felt that it had failed to cover several aspects of India which would have been attractive to the average tourist.

C O M PA N Y A N A LY S I S : BVLGARI HOTELS & RESORT S

“If stores are churches, then hotels are our cathedrals where we can truly welcome them to the Bulgari tribe.”

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- Jean-Christophe Babin, chief executive of Bulgari

t is a rare occurrence when a brand can claim to be emboldened by a culture dating back 2700 years. BVLGARI, an Italian brand inspired by the rich Roman history, honors its culture and heritage through modern design and innovation, which can be witnessed in the range of products that it offers, from jewelry to fragrances, accessories, watches and a recent addition to the brand portfolio, that features a collection of hotels & resorts.

A TRUE BVLGARI LOYAL “A byword for the Mediterranean basin and its evanescent beauty, BVLGARI is driven by this inexhaustible source of inspiration. In all its creations, the House is distinguished by a personal style, which is daring yet sophisticated.” This statement translates coherently to the loyal BVLGARI customer. A BVLGARI loyalist is the epitome of sophistication with an innate boldness which is delicately seen through. One can understand the popularity of BVLGARI from its vast fan following that includes the creme de la creme of the society. With a fine collection of mesmerizing jewelry, fragrances, watches and accessories, the Italian brand proudly counts Elizabeth Taylor, Carla Bruni and Naomi Watts among its many fans.

A family owned business for over 120 years, BVLGARI SpA was acquired by the French luxury group LVMH (Moet Hennessy Louis Vuitton SA) in 2011. LVMH saw the potential the brand had and it acquired BVLGARI SpA in an all-share deal for €4.3 billion ($6.01 billion), higher than LVMH had offered for any other company. Under the deal, the Bulgari family sold their 50.4 per cent controlling stake in exchange for 3 per cent of LVMH, thereby becoming the second-biggest family shareholder behind the Arnaults in LVMH. In 2014, BVLGARI reached a benchmark of 130 years of excellence in the luxury industry. From its inception at the Via dei Condotti flagship store to a diversified global presence today, BVLGARI has managed to create a name for itself like no other, in the realms of luxury brands. BVLGARI’s extraordinary success stems from this unquenchable desire to preserve its heritage while also looking energetically towards the future. By nurturing its hallmarks, it invents new ways to express its creativity.

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Harmonizing with Rome’s ancient culture, BVLGARI incorporates its symbolic heritage while innovating its design for the future. The brand’s history dates back to 1884 when a man with a vision, Sotirio Bulgari, a Greek immigrant, opened up his first jewelry store in Via Sistina in Rome, which was just the beginning of a journey. In 1905, with the help of his two sons, Costantino and Giorgio, a second store was set-up in Via Condotti. The skilled jeweler grew in popularity thanks to his intricate & detailed work with precious stones and jewels and it didn’t take long for BVLGARI to become an internationally recognized brand.

BVLGA RI HOT E L S & R E SORTS With the goal of offering a contemporary, discriminating collection of luxury hotels in gateway cities and exclusive resort locations around the world, BVLGARI ventured into the hospitality industry and extended their reputed image into the service industry. Francesco Trapani said in 2001, that BVLGARI wants to build a luxury hotel with a restaurant that is so exclusive that it becomes the meeting venue for stars and the business community, in other words “the place to be!” Surprise, innovate and reinvent have been part of BVLGARI’s vocabulary since its inception in 1884. Keeping up with its essence, in 2001, BVLGARI set foot in the hospitality industry. BVLGARI SpA decided to take luxury a step further by moving from products to the luxury service sector with this extension. A joint venture between BVLGARI SpA, and the Luxury Group – a division of Marriott International that also manages the award-winning Ritz-Carlton hotels, launched a collection of luxury hotels in gateway cities and exclusive resort locations around the world. Combining classicism and modernity, BVLGARI creations are infused with an emotion that is unique to the excellence of Italian design, which is what comes across in its chain of hotels & resorts as well. Stunning locations in-sync with the surrounding area, contemporary design, and superior service are the key elements that characterize Bulgari Hotels & Resorts’ collection. As mentioned by the BVLGARI Group Executive Vice President who is in-charge of the chain of hotels & resorts, Silvio Ursini, the distinctive features that sets apart BVLGARI are its unique locations, the blend of traditional design with dramatic contemporary Italian architecture, and the variety of services that have all been crafted with the same attention to quality that has always distinguished BVLGARI creations.

“Bulgari Hotels & Resorts aims to be the leading luxury hospitality collection in the world. Each shall make a strong reference to the local culture, yet be designed with an Italian contemporary luxury feel, enriched by rare and lavish materials, featuring design furniture and custom built details. The guest’s experience is made flawless by an innovative luxury service concept, informal yet impeccable. Bulgari Hotels & Resorts is committed to sustainable luxury, respecting the surrounding environment as well as human resources.”

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MISSION STATEMENT

BVLGARI Resort, BALI

CURRENT LOCATIONS Unique locations in harmony with the surrounding area, the blend of traditional design with dramatic contemporary Italian architecture by the architectural firm Antonio Citterio Patricia Viel and Partners and superior service crafted with the same attention to quality that has always distinguished Bulgari creations. These are the key elements that characterize Bulgari Hotels and Resorts’ collection. The Hotel guest rooms are fewer in quantity than other luxury hotels. This enables BVLGARI hotels to offer the world- class, personalized service. For all the hotels the approach is the same: the design of the interiors is strongly rooted in the traditions of the place, and careful design is applied to every single detail. Each detail is a tribute to absolute luxury: from the research of rare, precious and lavish materials to unique facilities and personalized services, from the delicacies of its Restaurants to exclusive Spa treatments. Bulgari Hotels & Resorts feature the distinctive, bold and contemporary Italian style typical of Bulgari, reflected in the hotel’s unique design concept. They convey the excitement of the Bulgari brand, its timeless glamour and its heritage of magnificent Italian jeweler.

BVLGARI HOTEL MILAN

A unique city hotel, an unexpected oasis of exclusive tranquility secluded in the heart of Milan’s most prestigious shopping and cultural area. It features 58 rooms and suites, a 4,000 square meter private garden, a Spa with indoor pool, a sophisticated restaurant and bar with terrace lounge overlooking the garden. The bold and trend setting style of the hotel restaurant and bar and informal but impeccable approach to service create a pleasant atmosphere for exclusive dinners and to enjoy the original, dynamic Italian aperitif that has made the Hotel lounge bar famous. Highly distinctive and contemporary, the Bulgari Hotel, Milan is giving new expression to the Italian air for innovation and tradition.

BVLGARI Hotel, Milan

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BVLGARI HOTEL LONDON

This hotel pays tribute to Bulgari’s silversmith origins and Britain’s noble manufacturing traditions with an understated, elegant design concept with silver forming the underlying theme. The sleek architecture and refined interiors, featuring a selection of furnishings and textiles made exclusively for Bulgari, couple the Bulgari glamour and heritage with state of the art technology. The silver theme continues throughout the 85 rooms and suites of the hotel.

BVLGARI RESORT & MANSIONS BALI

This is an exclusive and intimate destination for guests seeking privacy and luxury. Combining the breathtaking beauty of unspoiled nature of Bali beach resorts with a sophisticated contemporary design born from the encounter between traditional Balinese forms and high Italian style, it offers unrivalled views across the Indian Ocean as it is uniquely positioned at more than 150 meters above the sea shore. It is comprised of 59 villas and 5 mansions as well as sophisticated facilities, such as the Italian and Indonesian restaurants, the lounge bar, the Spa offering a complete range of Balinese, Asian and European therapies and the cliff-edge pool. A Bulgari store, a Balinese antique store as well as business, conference and wedding facilities including the magnificent Bulgari Chapel complete the resort’s features. An impressive Hindu Temple rises on the highest point of the property. The Bali Resort with its incomparable backdrop, as well as the contemporary interpretation of Balinese style, conveying the distinctive Bulgari Italian style, is an exclusive destination for sophisticated and discerning travelers.

BVLGARI RESTAURANT TOKYO

Tokyo restaurant brings the brand’s distinctive style and sense of luxury to the cities of Tokyo and Osaka with the Michelin-starred Italian-style restaurant and lounge bar with terrace in Ginza Il Ristorante Luca Fantin and a café and chocolate shop in Osaka. Designed to offer customers a unique and exclusive experience of the Bulgari lifestyle in a luxurious yet informal setting imbued with warm hospitality, Il Ristorante Luca Fantin offers a contemporary interpretation of traditional Italian cuisine in a re ned, yet informal atmosphere. Il Bar also includes Il Cioccolato, a space reserved for the sale of very ne quality chocolates which are handmade daily by Bulgari’s master chocolatier who, applying the secrets of his craft, translates the Bulgari legend into an experience that engages all the senses.

BVLGARI RESORT & RESIDENCES DUBAI

This location will define refined luxury living, as it is sculpted and set like a sparkling jewel in a perfect bay, on an island paradise. Designed by Italian architectural firm Antonio Citterio Patricia Viel and Partners, it is located on the exclusive Jumeirah Bay Island, off the coast of Jumeirah Beach Road. The luxury marine 1.7 million sq ft. complex includes 100 rooms and suites as well as The Bulgari Residences. 50

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UPCOMING LOCATIONS

BVLGARI Hotel, LONDON

Like an oasis in the sand dunes, the manmade island is framed by lush landscaped gardens and glittering with pools. Across its structured boulevards, palm trees and flowering shrubs this project will present the first Bulgari Marina and Yacht Club globally. The Bulgari Hotel & Residences Dubai will be the first-of-its- kind master development in scale and magnitude, offering efficient living spaces with the brand’s signature style.

BVLGARI HOTEL & RESIDENCES SHANGHAI

Hotel & residences located within an extraordinary riverside metropolitan complex development in Suhe Creek, in the the Jing’an District, a protected heritage zone overlooking the Bund and Huangpu River, as well as Pudong skyline, the financial district of Shanghai. Blending traditional design with dramatic contemporary Italian style, the hotel will be located in the 8 upper floors of the 40-storey building that will be home to the Bulgari Hotel and Residences. Designed by Antonio Citterio Patricia Viel and Partners, the master plan of Suhe Creek was conceived by world-class architecture design team Foster+Partners. It will comprise 82 rooms and suites - including one extraordinary Bulgari suite of 400 square meters, and will offer some of the largest hotel rooms in Shanghai. The roof top Italian restaurant and bar, complemented by a Chinese Fine Dining Restaurant are destined to become the most coveted destination for hotel guests and the local society in the city of Shanghai.

BVLGARI HOTEL & RESIDENCES BEIJING

BVLGARI Resort, Dubai

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Located in the heart of the Chinese capital’s exclusive Embassy District and near the trendy dining and fashion quarter of Sanlitun. Set against a lively urban landscape and directly facing the Liangma River, the Bulgari Hotel Beijing has been conceived as a link between the discerning traveler in search of nature and art, and the sophisticated elite of Beijing. Flanked by a contemporary art museum, the 120 rooms and suites Bulgari Hotel Beijing will be an intimate haven of luxury, with the aim of becoming a true urban resort in harmony with the environment and appreciative of nature and art, Designed by Antonio Citterio Patricia Viel and Partners, the new hotel will feature not just some of the city’s largest guestrooms, but also the Bulgari signature Bar and Ristorante set facing a private park bordering the river side, a large Spa with a 25mt long pool, and a spacious ballroom. The combination of the natural landscape with the artistic content will make this development a new benchmark for enlightened luxury living in the future.

BVLGARI RESORT & RESIDENCES MOSCOW

The Bulgari Hotel Moscow will be located in a prestigious luxury area, just 300 meters from the city’s landmarks such as the historic Kremlin and the Red Square. The Hotel will comprise 65 rooms and suites, including an extraordinary 300-square meter Bulgari Suite with a unique 600-square meter rooftop terrace and will offer magnificent views of the Moscow rooftops and of the Kremlin. A full range of luxury facilities, such as the signature Bulgari restaurant and bar and a 1600 square meter Spa with 25 meter swimming pool, will be at the disposal of the hotel guests and residents. The former residence of a noble family, the 65-room hotel will be infused with modern Italian style throughout its private and public spaces. The internal courtyard inspired by the traditional patios of the Italian Renaissance Palaces will offer the hotel guests an exclusive outdoor living space during the warm season.

BVLGARI OFFERINGS A range of special & customizable services are offered in all of the existing hotel & resort locations, that are in-tandem with the BVLGARI aesthetic and which also keep-up with the essence of the destination. • Personal Concierge & Butler: takes care of each guest’s activities down to the smallest details. A team of butlers, who provide a discreet “invisible” service is also on hand to anticipate guests’ every desire. • Restaurants and Bar: Each location has an authentic Italian restaurant, along with a local cuisine restaurant that successfully translates a guests experience on a grass-root level, all of it with a treat for the eye. • Curated goodie bags that let the guests take the spirit of Bulgari Hotel with them as they continue on their journey.

• Workshop Gymnasium: For mind and body balance, posture, poise and strength, yoga is unrivalled. • Spa: A luxurious treatment administered by a team of trained therapists, including deep massage with exotic oils and herbs, and the placement of warm volcanic stones on the chakras, the body’s seven energy centers, providing total relaxation and a soothing 54

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• Guests are invited to enjoy cigars from the special collection in the private “fumoir”. A sleek setting devoted to the art and enjoyment of smoking, it’s a wonderful refuge from the late winter chill.

BVLGARI Resort, Moscow

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anti-stress effect. Warm stones used in combination with aromatic oils to rehydrate the skin: the Spa’s menu is designed to offer a series of complete treatments that integrate Asian and European approaches: the Ayurveda rituals, facial treatments, body wraps and massages, all in a serene setting.

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• Mauli Spa Products: The ancient Indian ritual, of Ayurveda and aromatherapy to soothe and de-toxify the body from head to toe.

Facebook Milan- Avg once in 4 days 25,500 followers. 4.6/5 rating London- Avg once in 4 days 20,500. 4.6/5 Bali- Avg once in 3 days 30,000 followers 4.6/5 rating

• Cold Pressed Juices: 100% organic, locally sourced ingredients are pressed fresh each morning and ready for delivery by 7AM. Guests can choose from a one, two or three-day detox to get started.

BVLGARI: THE GUEST

• Library: Each magnificent suite is furnished with its own custom library. Books are organized by theme so that guests can settle in and peruse the beautiful tomes during their downtime.

Bulgari Hotels & Resorts targets upscale, sophisticated and discerning travelers who are seeking a luxury experience in an exclusive and intimate yet glamorous setting, as they share a passion for contemporary design and for the BVLGARI brand.

• Exclusive Wedding (Bali): The Bulgari Resort in Bali becomes a special location for exclusive wedding ceremonies distinguished by Bulgari style. Four types of ceremonies are available: The Water Wedding, The Beach Wedding, The Gazebo Wedding and The Pavilion Wedding. Each includes flower arrangements by a famous floral designer, champagne for the toast and an elegant case for the marriage certificate.A wedding planner tends to every detail to make the experience perfect and unforgettable.

The key attractions of a branded luxury hotel for customers include the brand’s commitment, design, and high-quality finishing. They are also from a segment that makes them feel like a part of an exclusive community that shares similar tastes and mindsets. Demographic: They usually belong in the income group of $1.5 million & above per annum, which classifies them as high net-worth individuals. They might be businessmen/ businesswomen or people on highly influential positions, or people who are luxury natives (born in a wealthy family).

BVLGARI: FINANCIALS

Psychographic: Their personal preferences fall in the category of opulent or superstar, and they tend to be a part of the “high-flyer” club and travel with utmost comfort that money can buy. Usually owns expensive cars and they either own or travel in yachts, private jets or they always fly business class. This group of the society constitutes the top tier of the segmentation and they are hardworking, responsible, are highly self-confident and self-esteemed and tend to live a very healthy lifestyle.

As BVLGARI fall under LVMH, they do not publish actual growth rates or the market value for individual brands. Also, for BVLGARI hotels and resorts, the financials are under Marriott International, Inc and are not independently specified for BVLGARI. But as per LexisNexis.com, the revenue for BVLGARI hotels & Resorts for 2016 was US$ 20,171,754.

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BVLGARI: SOCIAL MEDIA PRESENCE Bulgari’s name is evocative of uncompromising luxury and this has been clearly communicated to their target audience. The communication strategy is an important part as it is not plain communication but it leads to an interactive dialogue which creates a viral impact. As well, social media reaches global audience, even in remote corners of the world. Active social media platforms: 56

BVLGARI Hotel, LONDON

Given that they have access to all the riches in the world, their interests and hobbies clearly depict the same. They love travelling, socializing, attending exclusive events such as Broadway and operas. They are also highly involved in sporting activities such as golf, tennis, soccer, polo, to name a few. They have the knowledge about the exclusive wines and spirits in the world and they have a clear preference for the same. They are the art admirers of the world and do own exclusive art pieces from around the world.

COMPETITIVE LANDSCAPE

s BVLGARI collection of hotels and resorts would be entering the Indian hospitality sector, it is important to analyze its competitors in the Indian realm as it will be beneficial in understanding how BVLGARI can stand out in the Indian market and build a loyal customer base.

Listed below are 5 of the competitors for BVLGARI in India in terms of Luxury hospitality for BVLGARI.

THE OBEROI GROUP OF HOTELS

The Oberoi Group is a global hotel company with its head office in Delhi. The Oberoi, founded in 1934, owns and/or operates 30+ luxury hotels and two river cruise ships in six countries. Tariff Range- $500-$15,000 per night per room/premium suite/Kohinoor suite

OBEROI Hotel, India

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THE TAJ GROUP OF HOTELS

Taj Hotels Palaces Resorts and Safaris is a chain of hotels and resorts headquartered at Oxford House in Mumbai, which was incorporated by the founder of the Tata Group, Jamsetji Tata, in the year 1903. This company is a part of the Tata group, one of Indiaâ&#x20AC;&#x2122;s largest business conglomerates. As of 2017, Taj Group operates a total of 101 out of which it has 85 hotels across India and 16 hotels in the UK, USA, Zambia, South Africa, Maldives, Malaysia, Bhutan, Nepal, Sri Lanka and the U.A.E. and employed over 13000 people in the year 2010. Taj Group also owns a few private islands. Tariff Range- $300-$1500 per night per room/suite

THE LEELA PALACES

The Leela Palaces, Hotels and Resorts, commonly known as The Leela, is an Indian luxury hotel chain, founded in 1986 by C. P. Krishnan Nair, and owned by The Leela Group business conglomerate. Currently, The Leela is a group of eight luxury palaces and hotels. Tariff Range- $300-$10,000 per night per room/suite.

THE ITC HOTELS

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ITC Hotels is Indiaâ&#x20AC;&#x2122;s second largest hotel chain with over 100 hotels. Based in the Hotels Division Headquarters at the ITC Green Centre in Gurgaon, New Delhi, ITC Hotels is also the exclusive franchisee of The Luxury Collection brand of Starwood Hotels and Resorts in India. It is part of the ITC Limited (formerly India Tobacco Company) group of companies. ITC Hotels is regularly voted amongst the best employers in Asia in the hospitality sector. Tariff Range- $300-$7,000 per night per room/suite.

Leela Palaces, India

S E C O N DA RY R E S E A R C H A N A LY S I S

BVLGARI A brand with deep rooted history & heritage. It started off as family business and still a part of it is family owned. This resonates well with India, as Indians value the family culture a lot and lot of business in India are still family owned. BVLGARI believes in preserving its heritage with a futuristic outlook. Surprise, innovate and reinvent have been a part of BVLGARIâ&#x20AC;&#x2122;s vocabulary, which translates in its collection of hotels and resorts. The Luxury Collection, which falls into the umbrella of sub-brands under the Marriot Group of hotels, which has The Ritz Carlton under its belt, also manages the BVLGARI hotels and resorts. Since, Marriot has a successful presence in India and understands the Indian hospitality market in great depths, would be of immense value for BVLGARI to be a success in India.

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The BVLGARI hotels are designed with emotions which encompass a sense of modernity & classicism with a contemporary soul. This is one of the reasons that location of the hotels/resorts is of key importance. Every location is meant to be a perfect blend of traditional design with Italian elegance. Every detail is thought after & quality maintained, which is synonymous with BVLGARI since time immemorial. There are fewer rooms/suites which helps in detailing & personalizing the services offered to each of its guests. In Milan, the hotel has 58 rooms and suits and has a classic Italian theme that flawlessly translates into the services as well. The London hotel is a tribute to the silversmith origins of BVLGARI and rooms 85 suits. The resort in Bali is constructed in a traditional Balinese form & is high in Italian style. It is home to BVLGARI store, along with a Balinese antique store & a Chapel where weddings can take place.

The massive resort has 59 villas & 5 mansions for its guests to have a memorable stay. All the locations have an authentic Italian restaurant along with a local cuisine restaurant & 2-3 bar & lounges. Also features a private fumoir with access to exclusive cigar collection. A serene spa with Ayurveda products and professional massage therapists and a fitness center with different workshops.

total luxury market. This mean 49% of the market can be captured easily and could mean guaranteed business from them. Communicating with the luxury traveler is also important in the way that they would prefer. The high-touch consumer needs constant attention whereas the low-touch consumers would like to be left alone for the majority of the time. This means striking the right balance between respecting their desire for independence and lack of intrusive services. Depending on the consumers targeted, the services offered could change accordingly. For example, the B-luxury and Cash-rich, Time-poor tribes would fall into the low-touch luxury traveler’s tribe and may be too time-pressed for service that is heavy on interaction. Or, it could be a personality trait: an introverted traveler may prefer having the space to consider their options, without the need for continual contact or what they may consider “over-the-top” service. On the other hand, Strictly Opulent and Independent & Affluent luxury tribes tend to be more high-touch. Also, the option for high-touch service is a traditional component of luxury travel, which means this what is expected, and a sign that they are being pampered and shown due attention.

INDUSTRY: LUXURY HOSPITALITY & TOURISM The hospitality & tourism industry is witnessing a commendable growth, with $2.3 trillion business and 109 million job creation worldwide, out of which 72% of the sector’s contribution to GDP is from domestic travel and 28% from foreign visits. Luxury Hospitality is gaining popularity as it focuses on enriching a guest’s experience with great detail which is value for their money and time. Recently there has been visible shift in the luxury industry towards “lifestyle” consumerism, with the hospitality sector being one of the trend leaders. Several traditional property operators have been partnering with fashion designers and opening “lifestyle” hotels, to create a 360 degree experience for luxury brand clients and to satisfy their “new needs” for authenticity, comfort and function – new experiences with yet additional expectations.

TRENDS THAT MATTER As the market research suggests, there are numerous trends in the luxury hospitality sector that could be looked into. But given the hospitality brand at hand and the way they function, it is essential to knit-pick the trends that could be focused on during their growth period, which would include:

Fashion/designer hotels are resultant of this change in consumer attitudes. Even though there is still some remaining sensitivity towards ostentatious luxury consumption, and consumers are trading down in some of their travel aspects, the desire to have lifestyle experience while staying at a high-end hotel and feel like a member of “an exclusive club,” is generally believed to withstand financial uncertainty and evolve over time.

GLAMPING A way to experience the great outdoors without sacrificing luxury.

The guest are looking for “non-google-able” options & “designed experiences”. The factor that appeals the most to the luxury traveler is what they can receive from a hotel, beyond their material products.

PERSONALIZATION Knowing the your guests and their likes and dislikes and building on your services according to their preferences. LUXURY THAT’S LEANER AND SMARTER is about providing a clearer sense of community and place, craftsmanship and having a story to tell.

Targeting the luxury traveler in a strategic manner is important. It seems logical to target the audience that are closer to the BVLGARI hotels and resorts aesthetic. Reading out of the luxury traveler segmentation, it is possible to entice almost 100% of the market, with a special emphasis on the Always Luxury - 4%, Cash-rich, Time-poor 24%, Strictly Opulent 18%, and Independent and Affluent 3%, which altogether makes-up 49% of the 64

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THE LUXURY TRAVELER

LOCAL AND AUTHENTIC Guests are looking to immerse into the true essence of the location they visit, they don’t need false made-up experiences. LONGEVITY HOTEL SPA The hotel spa of the future is based on DNA analysis & promoting living longer. Guests will receive personalized prevention treatments, prediction & health enhancement programs designed to refresh your health, your fitness 65

P R I M A RY R E S E A R C H D E S I G N & A N A LY S I S

and understand your future health risks.

MARKET: INDIA A country with a diverse culture and variety of landforms within one country, India has a magnetic charm when it comes to attracting tourists, to explore the destinations it has to offer. As one of the fastest growing economies and one of the fastest developing countries, India is emerging to be superpower. Even though it is developing, it is still strongly rooted in its heritage and culture, with myriad of languages and religions and spiritual themes, these would be few of the strongest reasons that would motivate the tourists. India has a lot to offer to its tourists and as India has a culture of “Atithi Devo Bhava” meaning the “Guests are like gods in their existence”, this motivates native Indians to be respectful and caring towards anyone who visits the country. This was also an initiative by the Indian government to attract tourism in India. The Incredible India campaign has been a successful one, with the government putting in major portion of the annual budget just to develop the tourism in India . Since, there are various landforms in India, this is a key reason why India has various types of tourism, from adventure, wildlife, medical, leisure to wedding tourism, it caters to all. As Indians are heavy invested in weddings, destination weddings are one of the major source of income for the hospitality industry within India.

The research design focuses on understanding the essence of a true BVLGARI consumer, along with the expectations they may have from the brand’s expansion in the Indian hospitality industry. It would also be a comprehensive understanding of BVLGARI’s approach towards their expansion strategy & their choice of locations. The focus is also directed towards the present scenario of the hospitality industry in India and the factors that would help drive the success of BVLGARI hotels and resorts in India, also help in identifying the USP for BVLGARI hotels & resorts in India. The primary research design would help direct the project in a streamlined manner by answering questions related to three broad categories, which are: Services Expectations Scope

It is also interesting to note that the average of a luxury Indian traveler is between 35-55 years. Also, Indian luxury travelers still like to travel with their family and usually plan their trips according to a schedule that suits their kids.

Interviews were focused on three segments of the hospitality industry, which included:

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India has also seen a rise in the number of luxury hotels openings, from Ritz Carlton to The Oberoi group and The Taj group, all of them are targeting the crème de la crème of the crowd in India. This is marks as an indicator of the existence and acceptance of luxury hospitality in the country. Also, as it is rightfully said, India is not new to the world of luxury, it was born in luxury, with the cradle in the hand of the Maharaja’s (kings) that spoke only the language of opulence and luxury.

a) India target audience (Tourists/Travelers)- 2 b) Luxury Hospitality industry personnel in India (Taj Group/Leela Group)- 3 c) BVLGARI hotel personnel ( It is against their policy to give interviews, hence was asked to refer to the already published interviews)

BVLGARI Hotel, LONDON

KEY FINDINGS SERVICES

Luxury hotels need to set apart from lifestyle hotels. But for BVLGARI hotels to set itself apart from the other luxury hotels, personalization is the key. Guests now expect to be pampered in a way like never before. It isn’t a surprise as people are so busy in their daily life, that when they travel they want to unwind and forget about the worries that weigh on their shoulders. It’s essential to figure out a guests likes/dislike and present things to them accordingly. Business Travel: If a guest is checked into the hotel on business, it is extremely important that the transportation is taken care of, along with the Wi-Fi and even a conference call facility should be made available as an in-room service. It would then become very essential to cater to the guest’s need to unwind in the evening after a day of work, for the same reason, the guest could be introduced to the local events and things to do for entertainment in the hotel or within its vicinity. Leisure Travel: Pleasing a guest during their leisure travel can be achieved by providing them with a convenient check-in and check-out options. A personal butler & concierge service, along with a tailor made itinerary for things to-do according to the guest preferences can be beneficial. Luxurious spa & wellness services are crucial for the leisure traveler.

EXPECTATIONS

Luxury hospitality speaks volumes when all the expectations of the guests are met with utmost care. A few things that guests expect out of a luxury hotel include: Location: Secluded form the hustle-bustle of the city. Travel: Direct air connectivity to the city where the hotel/resort is located and also quality infrastructure around the destination of the hotel/resort.

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Privacy: No outsiders allowed to visit, except the guests staying or have reservations with the hotel. Size of the rooms: At least 600-1000sq. ft. rooms, with all amenities that satisfies a luxury consumer’s needs. Personalized & tailor-made services: This is very crucial as it shows that the hotel cares about its guests and are interested in serving them & making their stay memorable. 69

TA RG E T C O N S U M E R I D E N T I F I C AT I O N

Convenience: All possible local excursion options should be available right in the hotel, so that it’s easier for guests to book and go directly from the hotel itself or should be made all-inclusive as per the guest’s preferences.

SCOPE

In terms of scope, BVLAGARI can venture into a unique location, with multi-fold benefits and experiences to provide to its guests. The “golden triangle” region which includes Jaipur, Agra and New Delhi, are high on leisure and wedding tourism in India, along with the “God’s own country”, Kerela.

“Money can’t buy priceless memories, but it can buy everything that leads to them. Travel rather than material possessions is the new luxury for affluent travelers who want an experience that takes them further than their living room sofas.”

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— Dan Peltier

DEMOGRAPHIC SEGMENTATION

Defining the age for the target audience for BVLGARI hotel in India would be anyone above the age of 25yrs, with an equal attention towards all gender categories. Since, it is clear that the target audience for BVLGARI has always been very high-net worth and ultra-high-net worth individuals, its acceptable to say that they belong to the income group of $5 million and above with high educational qualifications.

PSYCHOGRAPHIC SEGMENTATION

A BVLGARI targeted guest lives in urban areas and/or own their estates and mansions across the world. They are professionals on the highest-level in the organizational hierarchy, or are retired professionals who have worked hard throughout their lives and have enough finances for them to live a luxurious life ahead. When it comes to travel for leisure or recreational purposes, they prefer quality & personalized treatments. This would mean they are looking for a heavenly spa experiences and a time to themselves, where they can experience and sink-in every second of the environment and the local culture around them, but with all the comforts that they need, as they wouldnâ&#x20AC;&#x2122;t want to compromise even the slightest on the ease & comfort that money can buy.

BEHAVORIAL SEGMENTATION

The BVLGARI target audience are tech-savvy people. They use their smartphones, laptops etc to make their travel bookings, and also are very up-to-date with the worldwide news and the social media world and its happenings, and this means that their media consumption is pretty high. They are the readers of all the leading newspapers in the world, such as The New Yorker, The Times of India, The Guardian, The New York Times International, The Wall Street Journal, etc. When it comes to magazines and periodicals, they prefer the Niche Media, Black Ink, Travel & Leisure, Bespoke and occasionally Vogue, Cosmopolitan, GQ, Car & Driver, etc. This niche group of target audience is also very passionate about automotive and other travel vehicles, usually owning a fleet of cars and sometimes even yachts and private jets.

CONSUMER PROFILES Target consumer for BVLGARI heritage hotel in India are divided into two, which would be, the domestic tourists, meaning the travelers who travel within their own country, and the International tourist, the travelers who are citizens of a country other than the 72

destination they are going to travel in. Keeping this in mind, the segmentations are drawn which would cater to both domestic & international tourists.

DOMESTIC Mr. Vidhan Arora Age: 42yrs Nationality: Indian Profession: Industrialist Income: 50 million & above Wealth: Financially free Time: Balanced Personal Preference: Opulent Travel Behavior: Travels in style, 5-6 times in a year on business and 2-3 times on leisure trip with his family, or just with his wife. Travel Planning: His business trips are usually taken care of by his secretary and leisure trips are planned by his family together or by his wife.

INTERNATIONAL Ms. Meryl Streep Age: 67yrs Nationality: American Profession: Actress Income: 65 million & above Wealth: Financially free Time: Balanced Personal Preference: Opulent Travel Behavior: Travels with all the comfort money can buy, 2-3 times on leisure trip with her husband Travel Planning: She likes to plan her own trip, from the beginning till the end. Pretty active on social media and looks for locations that provide complete privacy. 73

T H E S T R AT E G Y Growing

Increasing

Innovating

The strategy is based on getting BVLGARI hotels & resorts to become a name synonymous with Indian luxury hospitality, which would dwell into focusing not only attracting Indians, but International tourists as well.

Identifying

Promoting

Maintaining

The strategy focuses on GROWING the brand portfolio by incorporating a heritage hotel, INCREASING the revenue by synergizing the expansion in the Indian hospitality industry and INNOVATING with the services offered, which are keeping in line with the Indian culture to attract the ultimate BVLGARI guest. This is achieved by:

IDENTIFYING a location that encapsulates the elegance of BVLGARI while capturing the Indian culture in all its essence. PROMOTING BVLGARI heritage hotel, India as the â&#x20AC;&#x153;itâ&#x20AC;? location to be for the luxury travelers. MAINTAINING the quality & standards, that has driven BVLGARI collection of hotels & resorts to the path of success, whilst providing a true cultural experience. 74

T H E L O C AT I O N

For BVLGARI hotels and resorts, the place/location is of utmost importance. After weighing all the pros and cons for all the existing and up-and-coming tourist destinations in India, the city of Jaipur seems like the most perfect option. RAJASTHAN- literally meaning “place of the kings” is one of the most opulent state of India. It is home to about 45 palaces, including the Jal Mahal, the location for BVLGARI hotels, in Jaipur. By locating on of its hotel in the Jal Mahal, BVLGARI would not only belong to the famous luxury realm of heritage hotels in India but also add a heritage hotel to its portfolio. The incredible island palace, whose name translates as Water Palace, is very real though, and has an equally colorful and mysterious history. Thought to have been built 300 hundred years ago, it is said the partially-submerged palace was used for Maharajah picnics and duck hunting soirees. In Rajasthani tradition, royals would journey to lake palaces in the summer seeking entertainment and pleasure. The palace has four floors hidden in its depths, with the fifth floor allowing guests to examine its exquisitely carved balconies & a courtyard featuring hyacinths and jasmine flowers. Jal Mahal is located in between the Mahn Sagar lake and is surrounded by the beautiful Aravalli hills, the location for BVLGARI’s Heritage Glamping site. This LOCATION is the USP for BVLGARI collection of hotels and resorts for reaching out to its target audience, as the guests would get to experience the ultimate luxury India has to offer- “Living life king style” 76

JAL MAHAL PALACE, JAIPUR

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T H E A P P ROA C H

PRODUCT PRICE PLACEMENT

JAL MAHAL PALACE, JAIPUR

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PROMOTION

P RO D U C T The product here is going to be the complete experience, which will be provided by the location and other serivces that will be offered. Hence, for BVLGARI hotels in India, the eight targeted products and services, would act as the USP. The eight identified USP for BVLGARI hotels in India are:

Branding is an important as it resonates with the customers instantly. The approach for BVLGARI Hertitage Hotel in India is rooted in the essence of it being a royal palace. Peacock motifs are evident in a lot of the royal architecture in India, also peacocks is the national bird of India.

BRANDING

Thus, it fits perfectly in the motif development for BVLGARI in Jaipur, as BVLGARI collection of hotels and resorts have a logo for each location, which is purely local or has a reference to the architecture of the building of the hotel.

BRANDING SPECIAL SERVICES

TRANSPORTATION

SPECIAL EVENTS ACCOMODATION HEALTH & BEAUTY SERVICES

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SHOPPING

EXISTING LOCATIONS

TRANSPORTATION

BVLGARI Wagons: Jaipur is one of the stops for the award winning Maharjas’ Express, a luxury trains that go through the western to northern India. BVLGARI would have 2 wagons under its name, for the guests staying in the hotel, for their convenience as they could travel across India in the BVLGARI re-defined “king style.”

THE MAHARAJAS’ EXPRESS

ROUTE: THE GOLDEN TRAINGLE OF INDIA Delhi Jaipur Agra

BEST LUXURY TRAIN IN THE WORLD 2016 DINING

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LOUNGE

ROLLS-ROYCES PHANTOM CONTINENTAL SEDANCA COUPE â&#x20AC;&#x2DC;1933

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Guests would be recieved in this vintage Rolls-Royces, a vehicle that the royals of India stil drive around in.

ROYAL BREED: MARWARI HORSES

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Guests would be transported on pure breed royal horses to the BVLGARI glamping sites on the Aravalli Hills. An option of a carraige will also be provided for the guests.

ACCOMODATION

The heritage hotel will provide its guests with an experience like never before. The accommodation is divided between the two locations, the Palace and the Aravalli Hills. Within the Palace, given the exquisiteness of the location, there would be total of 32 rooms and suites & 10 glampers on the hills. 15 Maharaja Rooms 15 Premium Suite & 2 The BVLGARI Maharaja Suite 10 BVLGARI Darbar Tents. All suites will be equipped with an intimate library which would have an exclusive collection of books, along with books about the history of BVLGARI and India.

THE DETOX SWITCH

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Within every room would be a switch, that would help the guests to disconnect from the world. It would cut-off the Wi-Fi and network reaching the room, so the guests can have a leisure time, without worrying about work.

TOP VIEW: LOBBY

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CORRIDOR ON THE WAY TO THE ROOMS 94

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SUITE ROOMS

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SUITE ROOMS

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BATHROOM

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BVLGARI DARBAR TENTS

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Authentic Indian restaurant, where guests could eat-in in an Indian family style setup, along with a bar overlooking the lake and two cocktail lounges over the hills with an authentic Italian restaurant. Abreakfast bar & cafe would also be a part of the dining experience.

DINING & LOUNGE

Vikas Khanna, an award-winning Michelin starred Indian chef, would be a part of the authentic Indian restaurant. He is a celebrity chef in India and his restaurant based in Manhattan, New York, called Junoon has been awarded a Michelin star by the Michelin Guide for 6 consecutive years since 2011.

BVLGARI DARBAR TENTS The Aravalli Hills will cater to 10 gorgeous luxury glampers amidst the natural beauty of India, which will be true to the BVLGARI aesthetic and its Italian heritage.

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INDIAN RESTAURANT

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There would also be Wellness Centre located on the hills, where the guests would be transported via Marwari horses, the breed of horses ridden by the kings themselves in the past, or by decorated carriages for guests who would not want to ride on a horse. At the wellness center, they could get Spa treatments and enjoy yoga sessions, with an exhilarating view.

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ITALIAN RESTAURANT

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COURTYARD LOUNGE AREA

INDIAN COUTURE STORE

Opening a SABYASACHI couture boutique store within the palace would be of value, as International guests travelling to India are always attracted to Indian wedding ensembles, hence here they get an opportunity to buy Indian garments, from the best designer in India. Also for domestic guests, SABYASACHI is a dream for every bride to wear during her wedding and this location would help fulfil that dream.

SHOPPING

BVLGARI ATELIER

Jaipur is a city known for its jewelry. BVLGARI atelier in the hotel would be a place where guests could custom make their jewelry with a mix of Indian royal heritage and BVLGARI gems and technology.

ART GALLERY

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Guests at the hotel can experience Indian art first hand, with an on-location art gallery.

ART GALLERY

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HEALTH & BEAUTY SERVICES

SPA We will be offering three different locations for our guests to relax and rejuvenate. They could chose from: Spa services on the hills, Spa services in the palace, or Spa services on the boat.

USP: DNA ANALIZED TREATMENTS

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The hotel spa of the future is based on DNA analysis & promoting living longer. You will receive personalized prevention treatments, prediction & health enhancement programs designed to refresh your health, your fitness and understand your future health risks. These will use the latest genetic medicine treatment, mind refreshing drugs, brain fitness & prevent diseases.

WAITING LOUNGE

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India has a huge market for Weddings, the hotel location would act as a perfect driving force for this tourism sector as people prefer royal destination weddings in India. Hence, BVLGARI would offer customized wedding planning services to its wedding guests, with the option of a Lake Wedding, Hill-top wedding or the Palace Wedding.

SPECIAL SERVICES

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Source: FOTOLOGI, India

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WEDDING SERVICES

SPECIAL EVENTS

AUCTIONS

India is known for its precious collections of artifacts, so we shall be partnering with Christie’s & Sotheby’s to hold auction events twice a year at our heritage hotel.

Source: Google Images

ROYAL POLO MATCHES

Jaipur is the home of Indian Polo. The late H.H. Maharaja Sawai Man Singh - II of Jaipur’s patronage of India Polo was so great in the 1950 & 60’s that Indian Polo and its players were famous all over the world. Added to this the glamour of the Jaipur Royal family which has made Jaipur synonymous with Polo and all that it stands for, the world over. BVLGARI will be sponsoring the event and would make a great experience for the guests to have a gala time at the event.

CANNES FILM FESTIVAL POST EVENT

BVLGARI will be hosting special post event party, this would be exclusive to the invitees only.

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P RO M O T I O N

M E D I A S T R AT E G Y

C O M M U N I C AT I O N O B J E C T I V E

Brand-Oriented

OBJECTIVES

TACTICS

•

• • •

Socially Oriented

• •

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Brand & location awareness Brand Attitude Brand Differentiation Brand Relevance

Connect with potential guests Create conversations

•

• •

Publishing print ads in suitable magazines Creating video for the official webpage and YouTube

Creating a social buzz using tools such as Facebook, Twitter, Instagram etc. Initial announcement for privileged BVLGARI consumers and guests

Pre-purchase Oriented (Bookings/reservations)

• • •

Generate Enquires Facilitate reservations Create booking intensions

• •

Launch events with highprofile guests Press release

Purchase Oriented (Confirming the bookings)

•

Closing the transaction

• •

Concierge Services Loyalty Programs

MEDIA

OBJECTIVES

TASK

PR & LAUNCH EVENTS

•

Generate inquisitiveness & awareness Facilitate booking Create loyal customer base

•

Connect with guests Post-stay experiences Create conversations Customer reviews

•

• •

SOCIAL MEDIA

• • • •

•

• •

THIRD PARTY PROMOTIONS

• • • •

Brand Awareness Brand Attitude Brand Differentiation Brand Relevance

•

• • • •

Brand Awareness Brand Attitude Brand Differentiation Brand Relevance

•

COST

MEASURING EFFECTIVENESS

Launch events with highprofile clientele & invitees only event with Adele Press release

45%

• • •

Press coverage Number of attendees Responses & reactions during the event

Creating a social buzz using tools such as Facebook, Twitter, Instagram etc. Creating a promotional video for the official webpage and YouTube Creating the hashtag #bulgarimaharaja

20%

•

Monitor the official webpage & Facebook for traffic& bookings Monitor online enquiries Number of times the video has been viewed Monitor share of voice and comments on social media for responses

Publishing print ads in suitable magazines Story coverage in suitable magazines

25%

•

Compare the amount of bookings and enquiries generated by print ads

Travel & fashion bloggers and social media influencers

10%

•

Compare the amount of enquiries generated through influencers

• • •

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#bulgarimaharaja

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An Evening with

Adele J A N U A R Y 2 n d ,

2 0 2 0

LAUNCH EVENT

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PLACEMENT MAGAZINE ELITE TRAVELLER MAGAZINE United States CENTURION DEPARTURES

ACCOMODATION BOOKING

ISSUES PER YEAR

CIRCULATION

107,600

4 4

61,600 201,100

(Journal International Publishers, Germany)

TRANSPORTATION BOOKING

REVIEWS

DISTRIBUTION Private Jets, First Class Lounges and Exclusive Vendors

OTHER SERVICES (TRANSFERT, HELICOPTER, DINING,CULTURE & ENTERTAINMENT)

TRAVEL PLANNER

LOYALTY PROGRAM

JETSETTER

REAL TIME

OFF LINE

YES

OFF LINE

CREDITS

LE VOYAGE

REAL TIME

OFF LINE

LUXURY TRAVEL

REAL TIME

OFF LINE

ABERCROMBIE & KENT

PACKAGES

OFF LINE

MARCO POLO MEMBERSHIP PROGRAM (FEE)

ASMALLWORLD

Direct Mail to Centurion Card Members Direct Mail to Platinum Card members (American Express)

BESPOKE MAGAZINE Middle East

17,000

Point of Sale, Direct Mail, Hotels et al

DEPARTURES

1,154,500

Platinum & Centurion Card holders

BLACK INK

Unknown

Invitation only

60,000

Subscription

(American Express Publishing, United States) VERVE MAGAZINE India

PRINT 124

T H I R D - P A RT Y B O O K I N G S

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NUMBER

TARIFF/PRICE

BVLGARI MAHARAJA SUITE

$10,000 per suite per night

BVLGARI SUITE

$8,500 per suite per night

MAHARAJA ROOM

$900 per room per night

BVLGARI DARBAR TENTS

$1500 per tent per night

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Source: Shutterstock

PRICE

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REFERENCES www.bulgarihotels.com http://www.academia.edu/30601354/Bulgari_Hotel_London_-_Creative_Brief http://www.cpp-luxury.com/head-of-bulgari-hotels-resort-on-the-exceptional-trajectory-of-the-luxury-hotel-chain/ http://www.eihr.com/bulgari/Description_en.htm https://www.bulgarihotels.com/dam/jcr:90820a80-89be-4f31-8019-2ae68b1ded09/bulgari-hotels-&-resorts-collection.pdf http://www.luxuryhotelexperts.com/property.php?hotel_ID=387 http://www.luxuryhotelexperts.com/property.php?hotel_ID=388 http://0-www.lexisnexis.com.library.scad.edu/lnacui2api/results/docview/docview.do?docLinkInd=true&risb=21_ T25891391500&format=GNBFI&sort=DATE,D,H&startDocNo=1&resultsUrlKey=29_T25891383693&cisb=22_ T25891383692&treeMax=true&treeWidth=0&csi=402846&docNo=2 http://www.amadeus.com/documents/future-traveller-tribes-2030/luxury-travel/shaping-the-future-of-luxury-travel-report.pdf http://luxurysociety.com/en/articles/2011/10/investigating-the-fashion-designer-hotel-concept/ https://www.warc.com.library.scad.edu/SubscriberContent/Article/The_changing_face_of_luxury_what_affluent_consumers_want/109337 htps://skift.com/2017/01/03/10-hotel-trends-that-will-shape-guest-experience-in-2017/ https://www.xotels.com/en/glossary/luxury-hotel https://www.ethoswatches.com/the-watch-guide/bulgari-the-brand-story/ https://www.hotels.com/hotel-deals/hotelsofthefuture/ http://www.smartmeetings.com/news/trends/74256/top-10-trends-impacting-hospitality-industry http://wikitravel.org/en/India https://www.nytimes.com/2015/12/07/fashion/bulgari-jean-christophe-babin.html?_r=2 http://trak.in/tags/business/2010/04/19/top-10-ten-tourist-attractions-destinations-india/ https://en.wikipedia.org/wiki/Tourism_in_India https://www.ibef.org/industry/indian-tourism-and-hospitality-industry-analysis-presentation https://www.glamping.com/what-is-glamping/ https://en.wikipedia.org/wiki/Incredible_India http://economictimes.indiatimes.com/news/economy/policy/budget-rs-1840-77-crore-allocated-to-tourism-ministry/article-

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show/56921561.cms http://economictimes.indiatimes.com/news/politics-and-nation/6-things-modi-government-is-doing-to-make-india-a-touristhub/articleshow/48186959.cms http://www.miltcongress.com/milt/about.html https://www.linkedin.com/pulse/luxury-travel-indiai-ravi-goel http://www.cimglobal.net/indias-luxury-hotel-market-is-heating-up/ https://www.luxuryhotelassociation.org/2017/01/food-trends-at-hotels/ https://www.luxuryhotelassociation.org/2015/12/trends-changing-the-way-guests-and-hoteliers-view-amenities/ https://www.luxuryhotelassociation.org/2016/11/travel-leisure-worlds-best-awards-2016/ https://www.luxuryhotelassociation.org/2016/07/how-luxury-hoteliers-can-seize-profitable-opportunities-with-inbound-medical-tourism/ https://en.wikipedia.org/wiki/Taj_Hotels_Resorts_and_Palaces https://en.wikipedia.org/wiki/Oberoi_Hotels_%26_Resorts https://en.wikipedia.org/wiki/The_Leela_Palaces,_Hotels_and_Resorts https://en.wikipedia.org/wiki/ITC_Hotels http://luxurysociety.com/en/articles/2011/10/investigating-the-fashion-designer-hotel-concept/ https://www.luxurydaily.com/luxury-travel-industry-to-reach-1-2b-by-2020-report/ http://luxurysociety.com/en/articles/2010/12/12-luxury-lifestyle-publishers-targeting-affluent-consumers/ http://www.investopedia.com/terms/h/hnwi.asp http://www.newjetsetters.com/capturing-loyalty-hotels-and-the-luxury-traveller/ http://www.hotel-industry.co.uk/2015/04/scent-of-a-hotel-brand/ http://www.hotel-industry.co.uk/2015/04/scent-of-a-hotel-brand/ http://www.benbria.com/hospitality-tech-baby-boomers/ http://www.benbria.com/hospitality-tech-generation-x/ http://www.benbria.com/hospitality-tech-millennials/ http://www.benbria.com/wp-content/uploads/Generations-Infographic-2016-09-09.png file:///C:/Users/slakha21/Downloads/Global_Luxury_Travel_Trends_Report.pdf

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APPENDIX

Hotels are making a conscious effort to include the list of ingredients and claims that make up the credible formulations (amenities that lack parabens and preservatives and contain organic ingredients) directly on the bottle, leaving guests little room to worry about whether or not they are using “good for you” products.

FOOD & BEVERAGE RULES Travel Market Report sums up the F&B trends based on an amalgam of panelists who spoke at a recent Hotel Experience F&B Trends session. – Old Rule 1: Hotels are restaurant-centric – New Rule 1: Hotels are bar-centric, places where consumers can network and enjoy creative cocktails and craft beers – Old Rule 2: The restaurant and bar are in separate rooms – New Rule 2: There are no boundaries as to where any public space ends. The lobby might flow into a bar or a restaurant – Old Rule 3: Hotels are late adopters of F&B trends – New Rule 3: Hotels are becoming early adopters, although they have to be careful because it’s harder to change the culture of a hotel brand than that of a restaurant – Old Rule 4: Food is brought to the room or to a restaurant table – New Rule 4: Guests are mobile, hitting the grab-and-go to get food for the room or for the plane ride – Old Rule 5: Meals are about menus – New Rule 5: It’s all about snacking, grazing, and sampling – social dining that caters to specific diets.

CROSSOVER OF BEAUTY AND HOSPITALTIY Niche beauty brands are creating a solid presence within the hospitality market and guests are responding incredibly positively. Guests are excited when a brand they are familiar with is associated with a hotel’s bath amenities. Some early adopters that have channeled this new non-traditional marketing channel are Oscar de la Renta, Dayna Decker, Ted Gibson, diptyque and Neil George. Not only are these brands and many others benefitting from their foray into the hospitality market but so are hoteliers. Partnering with a well-known beauty brand gives hotels the opportunity to raise the bar against competition. It gives them the chance to bring their property and style to life through a collection that is expertly curated for their hotel and its guests. For example, in 2013 legendary fashion brand Oscar de la Renta collaborated with Peninsula Hotels, making it the first time Oscar de la Renta entered into a partnership with another brand. Oscar de la Renta brought guests an exclusive range of bathroom amenities created to encourage them to take the products home to relive their Peninsula experience over and over. Montage Hotels worked independently at the property level with Antica Farmacista, known for their luxury home and body products, to develop fragrances for their bathroom amenities that represent a sense of place. And Westhouse New York launched its premier line of amenities with the help of Dayna Decker, a trendsetting and stylish visionary of modern ambience.

GUESTS & AMENITIES Today’s modern travelers have changed. They are empowered, educated and have very specific attributes they are seeking during their hotel stays. Amenities have become tremendously important – travelers aren’t looking for a just soap, shampoo and conditioner, they are looking for an experience, something they can relate to. Whether an environmentally conscious traveler or business traveler, guests are demanding more out of their hotel stays than ever before.

BVLGARI LOCATION MOTIVATION

Innovative trends are driving traveler motivation, hotels are now more committed than ever to creating an individualized, exclusive amenity experience for their guests. GREENER PACKAGING, MORE REPURPOSING The modern traveler expects hotels to have some sort of sustainability element built into their amenity program. They want to reduce their carbon footprint one stay at a time by using products that are good for the body and good for the Earth. It’s important for hotels to embrace opportunities where green products can be used, such as requesting toiletries in bio-degradable packaging and recyclable cartons. To take it a step further, hotels can initiate themselves with a sustainable recycling program like Clean the World that can put unused products to good use. BESPOKE PROGRAMS Bespoke programs bring the property’s unique style to the forefront with every detail meticulously fashioned for a perfect fit, from prominently featuring the property logo in the bottle design to building an entire concept based on the hotel’s aesthetic and ambiance. Using distinctive scents, credible formulations and unique packaging and design, hoteliers can decide the emotion they want to evoke in guests. NATURAL INGREDIENTS AND CREDIBLE FORMULATIONS

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Comprised of a few, selected properties in major cosmopolitan cities and luxury resorts destinations, its aim is to convey the excitement of the Bulgari brand, its timeless glamour and its heritage of magnificent Roman jeweler. Each property is located in the most prime luxury neighborhood in the city, or most prestigious area of the resort destination, and features some unique physical characteristics that make it truly remarkable. Silvio Ursini, Bulgari Group Executive Vice President in charge of the Bulgari Hotels & Resorts, talks about the expansion strategy in one of his interviews and said that in Dubai, the possibility to create from scratch a manmade island which has been sculpted and set like a sparkling jewel in a perfect bay on an island paradise that intrigued the decision. In Shanghai the hotel is located in a protected heritage zone in the Jing’an District, bordering the Suzhou River and overlooking the Bund and Huangpu River, as well as Pudong skyline, the financial district of Shanghai. Renowned as being the “Gold Strand of Shanghai” Suhe Creek is the city’s most upcoming district known for its flourishing arts scene. In Beijing the hotel is set against a lively urban landscape and directly facing the Liangma River. The Bulgari Hotel Beijing is conceived as a link between the discerning traveller in search of nature and art, and the sophisticated elite of Beijing. The Bulgari Hotel in Moscow will be located in a prestigious luxury area, just 300 meters from the city’s landmarks such as the historic Kremlin and the Red Square. As well, it will be adjacent to the Moscow State Conservatory P. I. Tchaikovsky, one of the most important music universities in the world.

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INDUSTRY PROFESSIONAL INTERVIEWS INTERVIEWEE 1 Manoj Vijayan Occupation Service Designation Asso Vice President - Sales Company/Group The Indian Hotels Co. Ltd (Taj Hotels) 1) How long have you worked in the Indian Hospitality industry? 18 Years 2) How is the hospitality industry doing in India currently? The hotel industry is currently in a consolidation phase in the country and is seeing a growth in Occupancies. According to HVS India has crossed 60% occupancy across the board. The entry of International hospitality giants has created keen competition among different brands. We are seeing increasing penetration of brands to Tier 2 and 3 cities too 3) How do you classify a hotel as a “Luxury” hotel? A Luxury hotel normally has large rooms, fitted with fittings and furniture of high quality, bathrooms fitted with the bath tubs, high quality bath fittings. the hotel will have fine dining restaurants, bars, Spa, Health Club, Lounge, Salon etc. The brands used in toiletries, linen and bath amenities will be of a very high quality. The service would also be of a very high standards, with a accent of discreet unobtrusive service. The hotel will be a full service hotel and will typically have services like Butlers, Concierges etc. Some of the Palaces which are converted into hotels also qualify to be in this category 4) Which are the growing tourist destinations in India according to you? The country already has internationally famous tourist destinations Rajasthan, Agra, Goa, Kerala. There is also a growing interest in Jungle Safari’s, Adventure Tourism. The hills of North are also a big tourist draw 5) What are the differences in the needs & wants of local vs. International tourists from a luxury hotel, that you might have noticed? The International Tourists are looking for exceptional experiences which are unique to the destination/Country, good ambience, good food, hygiene, safety, good transport etc. The domestic Tourists need easy accessibility, Indian food, ambience, high price value equation etc 6) In India, what form of tourism is the major revenue driving force in the luxury hospitality sector? (E.g: Wedding Tourism, Leisure Tourism etc.) In India, weddings is big business. The big ticket large weddings normally happen in a destination Rajasthan, Goa which are very popular. They are otherwise held at large city venues and hotels. Per se there is hardly any Weeding Tourism as most of the weddings are of indian couples or at best NRI’s, there is hardly any other nationalities coming to get married here. Leisure Tourism definitely has a larger share of the tourism pie 7) What are the future trends that you see in the Indian hospitality industry, in the Luxury sector? I see that there will be more and more Luxury hotel brands setting shop here in India, demand for Luxury experiences will go up eg Glamping. INTERVIEWEE 2 Ashtad Occupation Sales Designation Director of Sales Company/Group Taj Lands End, Mumbai 1) How long have you worked in the Indian Hospitality industry? * 10 years 2) How is the hospitality industry doing in India currently? * growing constantly 3) How do you classify a hotel as a “Luxury” hotel? * 132

based on pre classification parameters 4) Which are the growing tourist destinations in India according to you? Mumbai, Goa 5) What are the differences in the needs & wants of local vs. International tourists from a luxury hotel, that you might have noticed? depends on leisure or business travel 6) In India, what form of tourism is the major revenue driving force in the luxury hospitality sector? (E.g: Wedding Tourism, Leisure Tourism etc.) Business 7) What are the future trends that you see in the Indian hospitality industry, in the Luxury sector? Efficient crisp reservations and equally crisp service deliverable INTERVIEWEE 3 Gopan Krishnan Occupation *Service Designation *Director Sales & Marketing Western Region(Corporate Office) Company/Group *The Leela Palaces Hotels Resorts 1) How long have you worked in the Indian Hospitality industry? * 25 years 2) How is the hospitality industry doing in India currently? * Robust at Urban/Metro Business locations. Could be better in Resorts 3) How do you classify a hotel as a “Luxury” hotel? * High upscale facilities/class and Comforts apart the Brand ought to have an unique quotient (Example: a touch of India / the be spoke factor / Architecture) 4) Which are the growing tourist destinations in India according to you? * The North East,Bekal area/North Kerala 5) What are the differences in the needs & wants of local vs. International tourists from a luxury hotel, that you might have noticed? * Huge growing domestic(India to India)Tourist getting to be demanding. . Luxury now a Neccassity by the discerning Mid and Upper Class Domestic Traveller. Additional ponts of importance for the International tourist are: safety,security,Rail and air connectivity and their suitable timing and convinience, Quality of Roads,Hygenie Santitation,law and Order in the States 6) In India, what form of tourism is the major revenue driving force in the luxury hospitality sector? (E.g: Wedding Tourism, Leisure Tourism etc.) * India as a Wedding Destinationis a huge untapped potential.Hi paying Leisure Tourism limited primarily to the ‘Golden Triangle’ circuit and Kerala,Rajashthan .Medical Tourism has great potential for select metro cities and Ayurveda. 7) What are the future trends that you see in the Indian hospitality industry, in the Luxury sector? * Better Connectivity(Helipads and Roads),ease of VISA issue,Rupee Convertibilty Development of Hi end Medical tourism.

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CONSUMER INTERVIEWS INTERVIEWEE 1

Occupation: Business Designation R&D Manager Company/Group Amar Sugandh Products 1) How often do you travel? Every two-three months 2) Have you stayed in a luxury/heritage hotel in India or Internationally? If yes, please name the best one according to you & share your experience. Four Season Resort , Maldives Oberio Udaivilas Hotel, Udaipur, India 3) What according to you, a true “Luxury” hotel must offer? * Highly rated personalized services suiting to the needs of a client 4) Have you travelled across India? What has been the purpose of your travel? E.g: Wedding, leisure, tourism etc. (could be multiple reason) weddings & leisure 5) How has your “luxury” hotel experience in India been like, what do you like & what would you change? In some properties like Taj, Oberio, Leela the services offered are really good. Good hygiene is maintained too and their range of Indian & international cuisine which they offer is a good mix too. 6) What motivates your decision to stay in a chosen “luxury” hotel over its competitors? the main reason is the service provided and the utmost care paid to a smallest detail of the clients. 7) If you have stayed in any designer luxury hotel, e.g BVLGARI, Armani or Versace hotels, what did you love about your stay there and what would you recommend if they had to open in India? no, haven’t stayed in any these. if they opened in India they would have to compete with the likes of obreio and taj group which understand the Indian taste and needs better than these international chains. They would need to adapt a little to the Indian taste where the food is concerned.

my first choice. Four Seasons is second, W Group, Park Hyatt, Oberois, Leela 3) What according to you, a true “Luxury” hotel must offer? Space, personalised services, Private butler, In house concierge, good huge hotel grounds, local sightseeing options 4) Have you travelled across India? What has been the purpose of your travel? E.g: Wedding, leisure, tourism etc. (could be multiple reason) Yes, leisure every 3 months, work related almost every month 5) How has your “luxury” hotel experience in India been like, what do you like & what would you change? It really depends on the purpose of travel. If its business, then good complimentary wifi, early check in options, airport pick up & drop service, flexibility in meals If its leisure, peace, late check out options, personalised services, a good SPA is a must, good dine in options so that one doesnt need to move out of the hotel if the destination is such, in house leisure activities like some sport, card rooms, or probably a local event / activity in the evenings 6) What motivates your decision to stay in a chosen “luxury” hotel over its competitors? Location, room size, services offered, and cost differentiation to its competitors 7) If you have stayed in any designer luxury hotel, e.g BVLGARI, Armani or Versace hotels, what did you love about your stay there and what would you recommend if they had to open in India? As it turns out, i have stayed in all these 3 chains. Bulgari in Bali, Armani in Milan & Dubai and Versace in Gold Coast & Dubai. If you want to open a one of a kind Bulgari resort in India, you need to look at the following: 1). Big good hotel grounds, that are kind of secluded from the city / locality 2). Direct Air connectivity to the city wherever you plan to open the hotel. Usually such hotels are only chosen when one wants to relax / for leisure, very rarely someone spends this much money on a work hotel, so it has to be very relaxing and rejuvenating, and shouldnt be a task to travel to 3). No outsiders allowed to visit, except the ones who have prior reservations. The in house guests need their privacy, and noone lurking around 4). Good decent sized rooms, atleast 600-1000 sq ft at the least, basic rooms, with all amenities one can think of. People will pay a bomb to be here, hence makes sense to make it worth their while 5). Personalised services, like i mentioned before, to make the guests feel welcomed, and clearly Luxury means keeping things as personalised as you can. 6). All possible local excursion options should be available right in the hotel, so that its easier for guests to book and go directly from the hotel itself.

INTERVIEWEE 2 Occupation: *Entrepreneur Designation *Director Company/Group *Artistique Group 1) How often do you travel? * Every Month 2) Have you stayed in a luxury/heritage hotel in India or Internationally? If yes, please name the best one according to you & share your experience. * Aman group is the finest when it comes to overall luxury. I have stayed in 6-7 of their properties across the globe, and they are always 134

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BRAND IDENTITY PRISM 136

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