Our client is a pioneer in eco friendly, green hotels in India and operates large number of Hotels, Clubs and Resorts. Their brand of hotels is a trademark for environmentally sensitive hotels across India.
Indian tourism and hospitality industry has emerged as one of the key drivers of growth in services sector in India. Our client wanted to benefit from this increased inbound traffic to India by expanding their reach to one of the potential locations in India. They asked Market Search India to evaluate the opportunity.
The Challenges were…
The proposed location had limited infrastructure, being at a nascent stage in hospitality industry. This made the proposed location a great opportunity and also a greater risk at the same time. The absence of any chain of hotels was also a double-edge sword for the client.
Our main challenge was to capture pain points of current consumers which may help the client to tap the unmet demands of the consumers.
We had to look into the future to estimate the growth of the hospitality industry in that region which may be quite different from the all India scenario.
Market Search India conducted a series of face to face structured interviews with Key decision maker for corporate bookings, Consultant/Businessman staying in hotel and hotels currently present in the proposed location to gain insights about competition scenario, future demand & supply of hotel rooms.
All the stakeholders involved in the value chain were interviewed to come up with the overall scenario of the hotel industry.
From the study insights, we were able to estimate future demand & supply, which helped the client to decide whether the opportunity present was attractive enough to invest or not. Our study provided the price sensitivity of the market, which allowed the client to accurately estimate the financials and take a considered decision.
In addition to all this, we were able to identify various services offerings that potential clients want the price range they were willing to pay for the same.