Sarovar Hotels to open Two Hotels in Western Region by 2016

By Rashmi Pradhan

SanjeevUSEWITH 70 hotels across 48 destinations, Sarovar Hotels & Resorts is all set to open two new hotels in the Western Region ’ Bhavnagar (Gujarat) and Dahisar (suburban Mumbai, Maharashtra). Speaking to BW Hotelier, Sanjeev Shekhar, Regional Director - Sarovar Hotels and General Manager, Hotel Marine Plaza Mumbai, said, ’Sarovar Portico at Bhavnagar in Gujarat will be operational by end of this year. The property is targeted at business clientele and will have 90 rooms. The property at Dahisar, which will be a Hometel, will be operational by mid-2016. Also targeted at business clientele, this property will have 120 rooms. Both will be managed by Sarovar Hotels.’
He further said that Sarovar is looking at opportunities in various cities and in talks with owners for management contracts. Shekhar who is responsible for Maharashtra, Goa and Gujarat markets informed that Sarovar Hotels has 18 hotels operational in the Western Region.
Talking to us about marketing strategy, Shekhar said, ’Once a year, Sarovar Hotels undertake a huge campaign. Last year, we spent over Rs 4 crore. We believe that it is important to have constant presence in the market as there are international and domestic players entering in the market and it is important to have top of mind recall with the owners and customers.’ Besides yearly campaigns, promotional activities like food festivals and events are organised by individual units on a regular basis, he added.
Shekhar mentioned that hotel aggregator, OYO Rooms had approached Sarovar Hotels to sell their inventory. ’We are in advance talks with OYO Rooms, the concept looks interesting and hopefully if things move in right direction, the deal will be finalised by the end of month,’ he said.
Speaking about the market in South Mumbai, Shekhar said, ’There has been a big shift of business from South Mumbai to Bandra Kurla Complex and suburban areas like Andheri and Malad. There had been an initial loss of business, but we are marginally ahead of last year in terms of occupancy not ARRs. We are expecting a rate correction of 10-15 per cent in October this year.’
The bookings for Hotel Marine Plaza is mainly corporate driven, who contribute to 50 per cent of occupancy, Shekhar stated, 20 per cent bookings are made through OTAs, 15 per cent via travel agents and the rest from walk-in guests. 15 per cent is leisure clientele.

The author is Assistant Editor of BW Hotelier.


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