Global hotel chains like Kempinski and Premier Inn struggling with their projections of managed properties

Global hotel chains may be close to dominating the Indian hospitality industry, but several brands including Kempinski and Premier Inn are struggling to keep pace with their projections of managed properties in the country.


German hospitality major Kempinski Hotels, for example, does not operate any hotel in the country after it ended the management agreement for Kempinski Ambience Hotel (now The Leela Ambience Convention Hotel) in DELHI last December. This was not meant to be an exit from India. Representatives of Kempinski, which operates 75 five-star hotels in 30 countries, said it will return with a renewed focus on both tier-I and tier-II markets in its strategy. But, as of now, the German firm's management pipeline stands at zero hotels in the country against its projected four hotels by 2020.

 Middle-Eastern companies such as Rotana and Jumeirah, Thai brand Six Senses, German player Meininger, the UK's Premier Inn are among other hotel management chains that have either failed or are struggling to keep pace with their plans in the country. Industry sources said Dusit International, which manages two hotels in the country, is mulling exit. Premier Inn is going through a phased exit with its hotels and 200 employees while Singapore-headquartered Banyan Tree Holdings that has one property in India does not plan more properties in the next 3-4 years. Rotana is still waiting to launch its first managed property in India.

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