Two Years After Covid-19 Pandemic, Hotels and Resorts Witness Boom

Last Updated: December 19, 2022, 12:34 PM IST

Amid the upcoming festivities of Christmas and new year, people are travelling out of stations.

With 27% of all searches, hotels were the most popular, followed by pubs (23%), fast food (18%), meal delivery (17%), and dhabas (14%).

The two years of the Covid pandemic were harsh for the tourism and service sectors. The Indian hotels were hit hard, and they grappled with significantly low demand and negligible future bookings. During the pandemic, some 1,50,000 branded hotels, and about 20-25% of them face the risk of permanent closure, as per the Hotel Association of India. But now it seems that the hospitality sector has rebounded once again.

Amid the upcoming festivities of Christmas and new year, people are travelling out of stations. They are exploring places in India to celebrate and enjoy with family. A report by the Reliance Retail Ventures-owned portal Justdial’s Consumer Insights highlights that the search for hotels for the Christmas holidays accounts for 60% of the searches via its portals.

The top five stay categories in demand over the holidays are searches for both four – and five-star hotels, as well as serviced apartments. Following a two-year slump caused by the coronavirus pandemic, hotel demand is already back to pre-covid levels, gaining 17% year over year (YoY).

Demand for homestays increased dramatically by 135%, while demand for three-star hotels increased by 18% and stayed flat for other accommodations. While searches for hotels increased, the top five most sought-after services during this holiday and party season were bars, fast food, food delivery, and dhabas. With 27% of all searches, hotels were the most popular, followed by pubs (23%), fast food (18%), meal delivery (17%), and dhabas (14%).

“It is great to note that the hotel and the F&B businesses are witnessing a boost in demand as we enter the phase for year-end festivities,” said Prasun Kumar, the company’s chief marketing officer. This increase in demand follows a two-year decline caused by Covid.

The preference for homestays over hotels has increased demand by 135% year over year. The demand for homestays was greatest in Coorg, Darjeeling, Ernakulam, Purulia, Wayanad, and Goa, which are all well-known tourist attractions.

Read all the Latest Business News here