moneycontrol.com-Demand growth to outpace supply in the luxury hospitality segment
Rising income levels combined with a strong macroeconomic environment has led to sizeable demand growth for luxury hospitality. A report by hospitality advisory firm HVS ANAROCK states that the luxury hospitality segment is full of opportunities as demand will outpace supply in the segment between FY2024 and 2028. It adds that the existing stock represents only 17 percent (29,000 keys) of the overall Indian branded hotel stock.
Total demand in the luxury hospitality is estimated to grow at a CAGR of 10.6 percent over FY2024-2028, against supply growth at a CAGR of 5.9 percent over the same period.
The Indian luxury hospitality industry remains significantly under-penetrated compared to global cities. India had only 23 luxury keys per million capita as of March 31, 2024, which is much lower than major APAC countries such as Australia (973), Thailand (690), and China (177).
