Indian Hotels Company that owns and operates the Taj, Vivanta, Gateway and Ginger hotel brands, expects to achieve $2 billion revenue in the next 4-5 years. The company expects to add 6,750 rooms to take the total room inventory to 20,000 rooms by 2016-17.
“To achieve the $2 billion revenue target, we will be focusing on management contracts in a big way apart from owning and operating hotels in and outside the country,” Raymond Bickson, MD, IHCL, told reporters on the sidelines of Hotel Investment Conference South Asia 2011 being held in Mumbai on Wednesday.
IHCL had posted consolidated income of over Rs 2,516 crore (around $560 million) in 2009-10. At present, the total room inventory of the company is 13,250 and “our plan is to take it to 20,000 rooms in the next 4-5 years,” Bickson said.
A hotel industry expert, who did not wish to be identified, said that the major growth for the Tata group company would come from management contracts, as it will not have to invest in land and development of the properties.
Bickson further said the company would be launching a brand in the mid-scale segment, which is expected to grow significantly in the coming year. “We are present in the luxury segment, leisure, upscale and budget segments. But we are not there in mid-scale. So we will be launching a brand in the mid-scale segment in the next 2-3 years,” he added.
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“To achieve the $2 billion revenue target, we will be focusing on management contracts in a big way apart from owning and operating hotels in and outside the country,” Raymond Bickson, MD, IHCL, told reporters on the sidelines of Hotel Investment Conference South Asia 2011 being held in Mumbai on Wednesday.
IHCL had posted consolidated income of over Rs 2,516 crore (around $560 million) in 2009-10. At present, the total room inventory of the company is 13,250 and “our plan is to take it to 20,000 rooms in the next 4-5 years,” Bickson said.
A hotel industry expert, who did not wish to be identified, said that the major growth for the Tata group company would come from management contracts, as it will not have to invest in land and development of the properties.
Bickson further said the company would be launching a brand in the mid-scale segment, which is expected to grow significantly in the coming year. “We are present in the luxury segment, leisure, upscale and budget segments. But we are not there in mid-scale. So we will be launching a brand in the mid-scale segment in the next 2-3 years,” he added.
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