JOIN USCarlson Rezidor, one of the world’s largest hotel groups, is looking at a bigger play for its mid-scale brands in the country as part of the company’s expansion strategy.
“The demand in India is now leaning more and more towards mid-scale and that is why we see a huge potential for our mid-scale brands in the country. Our strategy would be to look at more mid-scale hotels in the country going forward,” Carlson Rezidor Hotel Group South Asia chief executive officer Raj Rana told DH.
“Right now, 60% of our portfolio in India is upscale while 40% is mid-scale. We see that ratio changing to atleast 50:50 over the next three to five years or so,” Rana added.
Carlson Rezidor currently has seven brands globally out of which six operate in India. The mid-scale brands for the group in India currently include Radisson RED, Country Inn and Suites and Park Inn. The other brands of Carlson Rezidor, which currently operate in the country include Radisson Blu, Radisson and Park Plaza.
The company is also considering bringing the Quorvus Collection in India and is currently scouting locations for it. Carlson Rezidor Hotel Group’s India portfolio comprises of 140 hotels in operation and under development across 60 cities in India, including 16 state capitals.
According to Rana, the company could alter its expansion plans if it finds a good portfolio acquisition. “Mergers and acquisitions have been happening in the industry and it will certainly gain momentum. Our main approach is to grow organically and to consolidate in our own way. However, if we find a right opportunity in terms of a portfolio acquisition, we will certainly look at it in order to ensure our leadership position,” Rana said.
At the current rate, we will have 170 properties by 2020. But it can certainly change if there is a portfolio acquisition, Rana added. When asked specifically as to whether the group would be keen to bid for Taj Mansingh Hotel in Delhi, Rana said, “We are yet to get any details about the auction. If it makes sense for us financially, we are certainly not averse to bidding for the property.”