The hospitality industry is rising due to favourable demographics and constant domestic demand. Though there is a constant supply lag in consumer demand and less inflow of international tourists, the hotel and hospitality sector is booming.
Rising investment, combined with ongoing improvements in infrastructure and connectivity, helped to close the fiscal with 8-9% growth in average revenue per room. There is all around 14% growth as a whole compared to the last fiscal year. The current demand in the hospitality sector has inspired many aspirants to join this industry. Even many high school graduates are in search of the best hotel management institute in Kolkata to pursue their careers.
The Expansion of Hospitality Sector- The Current Stats
There are more than 1 66,000 branded hotel keys. In the next 5 years, it is estimated to have 55,000 more keys, with an annual growth of 4.5-5%. As per the ‘Careedge’ estimate, the hotel industry’s revenue per available room grew 14% in fiscal 2024, and the same is expected to happen in the following years.
According to the agency, the segment mix is shifting to the upper and midscale economy, and 60% of new supply is expected to be added to the available segments.
There are many reasons behind the segmented growth. They include growing middle class, significant upscale business travel, the transformation from small to medium enterprises, and expansion of business activities.
As per the recent study, 70% of the proposed supply is concentrated in tier 2 and 3 cities, followed by tier 1, as hotel owners and operators explore opportunities to capture growth in emerging and unexplored markets.
Over the last five years, the domestic travel and tourism sector has contributed 5% to the gross domestic product. This is due to the government’s emphasis on this particular sector. The travel and tourism industry also projected growth of 8-9% annually, reaching a total value of USD 500-530 billion within FY34, per the tourism ministry’s estimation.
From the above information, it is clear that the hospitality sector is growing at an exponential rate. If you want to join this industry and experience growth in your career, join one of the best hospitality institutes in Kolkata. HOTS is the leading hotel and hospitality management college. The faculty is highly trained and experienced. Some courses include a Diploma in Airport management, a Diploma in Cruise Management, Hospital management, and restaurant management. Call us to know more in detail.
