International music concerts and marquee sporting events are fast becoming a key growth driver for India’s hotel industry, as younger consumers increasingly prioritise live experiences over big-ticket shopping, hotel executives said.
From pop star Dua Lipa to rapper Ye, global artists are adding India to their tour calendars, filling hotel rooms just as corporate travel demand from IT services providers shows signs of cooling amid tighter spending, according to at least three executives.
“We are now in the economy of experiences,” Alan Watts, president of Hilton’s Asia Pacific business, told Reuters.
The effect has been hard to miss in host cities.
British rock band Coldplay’s Ahmedabad show last year drew tens of thousands of fans, making the concert day the city’s busiest for metro traffic and air arrivals and generating about $70 million in economic gains, industry data showed.
“Coldplay has changed the game by coming to India,” said Vijay Dewan, managing director of Apeejay Surrendra Park Hotels. “Concerts are going to be very helpful in terms of improving occupancies.”
The momentum is underpinned by a rapidly expanding live events industry. India’s $5.69 billion event and exhibition market is forecast to grow to $9.04 billion by 2031, according to Mordor Intelligence.
Hotels are adjusting accordingly. Lemon Tree Hotels, one of India’s largest mid-priced chains, is weighing proximity to concert halls and stadiums more heavily when scouting new locations.
“It will increasingly become important for everybody in the hotel industry,” said Lemon Tree Hotels CEO Neelendra Singh.
Beyond music, cricket and other big-ticket sporting events are fuelling sharp, multi-day spikes in demand.
Every time there is a cricket match — in Ahmedabad, for instance — the spike is “phenomenal,” said Nikhil Sharma, managing director and operating chief for South Asia at Radisson Hotel Group.
But some executives were more skeptical.
“You need sustained event programming through the year for it to have meaningful impact (to the bottom line),” said Arjun Baljee, president of Royal Orchid Hotels.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
‘ The preceding article may include information circulated by third parties ’
‘ Some details of this article were extracted from the following source www.ndtv.com ’
