THE ACCOR GROUP OF HOTELS

Currently we have 58 operating Hotels in India across 9 brands.

Our focus is to aggressively expand in Tier 2 and Tier 3 markets in India. We are actively exploring opportunities to introduce our economy and mid-scale brands through management contracts or franchise arrangements in emerging markets. For instance, we have received positive response and success with our Novotel properties in Guwahati and Lucknow, which has encouraged us to focus our energies in developing more properties in Tier 2 and Tier 3 cities. Our most recent opening is the Novotel Jodhpur adding to our footprint in the state of Rajasthan and is the 23rd Novotel in the country.

Last year we signed 10 new hotels mostly across Tier 2&3 markets 02 hotels in Chandigarh, 01 in Bhopal and 01 in Indore solidifying our presence in these upcoming hubs.

Fairmont brand is gaining momentum in India and we will see a strong presence for the brand in the future.

We signed the Fairmont Udaipur, Fairmont Shimla and Fairmont Agra in the last few months. The future pipeline for our brands looks very robust. During the height of the pandemic, the supply of hotel rooms was significantly impacted as many properties were temporarily closed or put on hold. However, as the world gradually emerged from the pandemic and travel started, there is a resurgence in demand. Travelers are eager to explore and experience new destinations once again. The current trend suggests that the supply of hotel is keeping pace with the growing demand, as evident in stronger occupancies throughout the country. Several factors like pace of recovery, evolving travel patterns, and market dynamics play a role in determining the balance between supply and demand.

In terms of branded Hotel rooms supply, India still has much room to grow with only 160,000 rooms which are less than a city like Dubai.