Chennai: The year 2017 saw many travellers pay 2 % more for overnight accommodation after three years of industry witnessing flat prices. But, globally, outbound Indian travellers paid less per room per night in 6 of the top 10 (USA, UK, Malaysia, Germany, Indonesia and Italy) outbound destinations. This could have been due to the strong performance of the rupee in 2017, which rose 5.5 % against the US dollar in that year, according to the latest Hotel Price Index (HPI) from Hotels.com.
Says Johan Svanstrom, President - Hotels.com, “the slight increase in average accommodation prices globally combined with numerous markets having recorded visitor growth signals a strong travel economy and a growing desire from consumers to experience the world. Cultural events have inspired travel more than ever before as we aspire not to just stand by and observe the action, but to instead actually be part of it.”
The strong Pound-Indian Rupee (GBP/INR) exchange rate has shown that Indians continue to spend the most on accommodation in UK but, interestingly, travellers paid a notable 6 % less per room per night in UK vis-à-vis 2016. The latest HPI also saw Indian travellers reiterating their travel preference to perennial short- haul destinations in Asia Pacific such as Thailand, Singapore, Malaysia and Indonesia.
The top 10 popular outbound cities for Indian travellers were dominated by Asia-Pacific cities (Bangkok, Singapore, Pattaya, Bali, Kuala Lampur and Hong Kong). The bucket saw little change since 2016, except Kuala Lumpur which made its way to the top 10, after a close miss last year.
Pune as a destination stands out due to the contrast in the amount spent between international and domestic travellers in 2017. While international travellers spent more on room nights in Pune - evident by a 10 % YoY increase, spends on accommodation by the domestic travellers dropped by 5 %. Cities such as Mumbai, New Delhi, Chennai and Bengaluru bear testament to the prominence of business travel. Goa also secured a position in the top five cities among inbound and domestic travellers.
According to Jessica Chuang, Director, Regional Marketing Greater China, SEA and India, Hotels.com brand,, “Travel & tourism has been one of the major contributors to the overall Indian economy and has subsequently witnessed added focus from both private and public sector bodies. Accommodation being a chief component for any travel plan be it leisure or business, has seen a spike in not just emergence of new players but also renewed zeal from existing brands and this seems to have been paying off.”
