Market Size of India Luxury Hotel Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 2.72 Billion |
| Market Size (2029) | USD 4.39 Billion |
| CAGR (2024 - 2029) | 10.06 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
India Luxury Hotels Market Analysis
The India Luxury Hotel Market size is estimated at USD 2.72 billion in 2024, and is expected to reach USD 4.39 billion by 2029, growing at a CAGR of 10.06% during the forecast period (2024-2029).
COVID-19 badly impacted the market, and the global pandemic had impacted the proper functioning of various industries in India. It affected the Indian luxury hotel market badly, causing several disruptions such as halved occupancies and others. The report study analyzed the revenue impact of the COVID-19 pandemic on the sales revenue of market leaders, market followers, and market disrupters in the report and its analysis.
The Luxury Hotel industry in India is a flourishing sector. An increasing number of international sports events, trade fairs, and exhibitions are expected to contribute to the inflows of international tourists and domestic tourist movements. The rise in the travel and tourism industry and changing patterns in the standard of living have led to progressive growth in the luxury hotel market trends. Major factors such as rising purchasing power parity of domestic travelers, developing airline industry, increasing foreign tourist arrival, and relaxed visa restrictions drive the India Hotel Market over the forecast period. Moreover, the GST council's rate cut from 28% to 18% for luxury hotels is expected to drive the Indian luxury hotels market over the forecast period.
Leading hotel companies are leveraging advanced technologies such as artificial intelligence, machine learning, IoT and near-field communication, mobile payment, and data analytics to increase online reservations, improve the return on advertising spend, better understand guest preferences and build stronger customer relationships. These technologies are expected to create lucrative opportunities for the market over the forecast period.
India Luxury Hotels Industry Segmentation
A luxury hotel is a hotel that provides a luxurious accommodation experience to the guest. Luxury hotels typically accommodate high-paying guests, and the services and dining are expected to be high quality. A complete background analysis of the India Luxury Hotel Market, which includes an assessment of the emerging trends by segments and regional markets, significant changes in market dynamics, and a market overview, is covered in the report. The India Luxury Hotel Market is segmented by service type (Business Hotel, Airport Hotel, Suite Hotel, Resort & Spa, and others). The report offers market size and forecasts for the India Luxury Hotel Market in value (USD Million) for all the above segments.
| Product Type | |
| Business Hotel | |
| Suit Hotels | |
| Airport Hotel | |
| Resorts & Spa | |
| Others |
India Luxury Hotel Market Size Summary
The Indian Luxury Hotel Market is on a steady growth trajectory, with a significant boost expected over the forecast period. This burgeoning industry has been propelled by factors such as rising purchasing power of domestic travelers, expansion of the airline industry, increasing foreign tourist arrivals, and relaxed visa restrictions. The recent cut in GST rates for luxury hotels by the GST council is also anticipated to drive the market. Leading hotel companies are embracing advanced technologies like AI, machine learning, IoT, mobile payment, and data analytics to enhance online reservations, improve advertising returns, understand guest preferences better, and forge stronger customer relationships. Market trends indicate a surge in spending by domestic travelers, contributing significantly to the revenue of luxury and branded hotels. The heritage theme in luxury hotels is expected to hold the lion's share of the market over the forecast period, with many such establishments offering a unique blend of historical infrastructure, regional art, and traditional cuisine. On the other hand, contemporary luxury hotels are upping the ante with high-end IoT infrastructure. Major players in the India Luxury Hotel Market include ITC Hotels, Oberoi Hotels, The Leela, The Indian Hotels Company Limited, and The Park Hotels. These companies are increasing their market presence through technological advancements, product innovations, and promotional strategies.
Explore MoreIndia Luxury Hotel Market Size - Table of Contents
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1. MARKET INSIGHTS AND DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.3 Market Restraints
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1.4 Value Chain / Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Threat of New Entrants
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1.5.2 Bargaining Power of Buyers/Consumers
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1.5.3 Bargaining Power of Suppliers
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Insights on Latest Trends and Technological Innovations in the Industry
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1.7 Impact of COVID-19 on market
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2. MARKET SEGMENTATION
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2.1 Product Type
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2.1.1 Business Hotel
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2.1.2 Suit Hotels
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2.1.3 Airport Hotel
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2.1.4 Resorts & Spa
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2.1.5 Others
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India Luxury Hotel Market Size FAQs
How big is the India Luxury Hotel Market?
The India Luxury Hotel Market size is expected to reach USD 2.72 billion in 2024 and grow at a CAGR of 10.06% to reach USD 4.39 billion by 2029.
What is the current India Luxury Hotel Market size?
In 2024, the India Luxury Hotel Market size is expected to reach USD 2.72 billion.
