Few countries have been as loud and proud about fast change and rapid growth than India in recent years. Higher incomes and a growing middle class mean there is much more scope for domestic tourism, but the country remains a place of fascination for visitors from overseas, not least because the brave new world of modern India has not become decoupled from the culture and traditions for which it is famous.
Whether coming on business or leisure, one notable trend for travellers is the increasing amount they are spending on food and drink in Indian hotels, which has become a significant money-spinner. This has not just come from tourists. Hotels are increasingly competing with restaurants for the custom of locals, whose dining habits are changing. As Riyaaz Amlani, the chief executive officer of Impresario Entertainment & Hospitality, told the Economic Times: “People in metros are eating out two to three times a week. This was never the case. To go out more often, customers need to spend a lot less. So, while they may not always want discounts, they want a more value-sensitive proposition even if they’re going to five-star hotels.”
As five-star hotels compete with restaurants for custom, so in turn the competitive pricing of the latter has ensured that costs are kept down. The opportunity to make a lot more money out of people dining out is clearly there, but it is one that requires sensible pricing strategies. This also extends to drink, with hotels like Claridges in New Delhi running various cocktail, whisky and Caribbean-themed ladies nights. “We think it’s a great way for guests to start the weekend. Since we began the offer, our numbers have trebled,” said general manager of the hotel Atul Lall.
According to the paper, as much as 50 per cent of Indian hotel revenue is coming from the food and drink sector, which suggests that their business has become as much about feeding and entertaining the urban middle class from their own areas as accommodating travellers from far away. At the same time, of course, visitors cannot be ignored. Some westerners may love traditional Indian food – although it may come as a revelation how different it is to the palate-adjusted curry flavours they will have tasted back home. Others may be more sensitive or simply prefer to stick with more familiar tastes.
Given that many Indian consumers will want to expand their own culinary horizons, the clear route to ongoing success may lie in hotels offering an ever-growing variety of cuisine from around the world to suit a multitude of tastes.
