Regional focus
for its part, now boasts a footprint at Sanand (in Gujarat) and Aurangabad (in Maharashtra), among other less famous destinations. More to the point, Jha argues that economics can once again be conscripted into explaining this trend. Beyond the increasing numbers travelling for business, “India has a very robust domestic tourism market,” he says. “Because of that, India needs a large supply of non- luxury accommodation.”
A fair point: according to some measures, around half of all Indians are now middle class. Not that higher wage packets are the only way of understanding the rise of brands like Holiday Inn in India. For starters, Jain highlights the country’s huge diaspora, some 18 million strong, many of whom need somewhere comfortable and inexpensive to stay while visiting family or attending religious festivals. In a similar vein, Jha claims that cultural events are also attracting adventurous foreigners without the cash or inclination to stay at a five-star resort “sipping martinis all day”. More broadly, both Jain and Jha are keen to underline India’s improved infrastructure, which encourages brands to develop beyond traditional urban centres.
Incredible India
Between the jaunty economy and shiny new roads, it is easy to imagine that India’s mid-range boom can last
forever. But Venkatesh strikes a note of caution. “On the operating side, the biggest challenge hotels face is the ability to hire and retain talent,” she says, adding that India’s economic boom means there are plenty of other jobs people could take outside of hospitality. Jha agrees, suggesting “there’s a lot to be done” to train Indians to Western standards. That is doubly true, Jha argues, for mid-market hotels. Though elite brands are old hands at educating staff in wine pouring or room cleaning – Jha himself has worked at the Oberoi Centre of Learning and Development – he warns that India’s antiquated education system is too focused on rote learning and not enough on critical thinking. All the same, there are signs that even here, India is advancing. At IHG, for instance, Jain and his colleagues are increasingly focused on IHG Academy, the brand’s bespoke training programme. Jha makes a similar point, describing how bodies like the Institute of Hotel Management, a hospitality school with campuses across India, are training a new generation of Indian hoteliers. In fact, Jain argues that one day soon the subcontinent could actually start spreading its expertise overseas. “I think you will start seeing Indian owners from India owning hotels overseas,” he says, “which means the export of capital in the hospitality sector.” Given how much Indians have already done to transform their own hotel industry, this feels entirely apt. ●
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