Sarovar Hotels & Resorts' Ambitious Expansion Plan
Sarovar Hotels & Resorts has charted an ambitious course to significantly expand its presence in the hospitality sector. The company aims to add a remarkable 100,000 rooms to its portfolio by 2012. This substantial increase will involve adding 33 new hotels to its existing roster of 35 properties over the next four years. This expansion reflects the company's recognition of the robust growth potential within the mid-market hotel segment, a sector on which Sarovar intends to maintain its strategic focus. "We are a multi-brand hotel management company and given the growth potential in the mid-market hotel segment, our group will continue to focus on it," stated Ajay K. Bakaya, Executive Director of Sarovar Hotels & Resorts.
Diverse Brand Portfolio
Sarovar Hotels & Resorts boasts a diverse portfolio of five distinct hotel brands catering to various market segments. Sarovar Premier and Park Plaza represent the company's offerings in the five-star category. Sarovar Portico and Park Inn cater to the three-star and four-star segments, respectively. Finally, Hometel serves the economy segment. Notably, Park Plaza and Park Inn operate under the master franchise of Carlson Hotels.
Expanding Budget and Apartment Hotel Offerings
Recognizing the growing demand for budget-friendly accommodations, Sarovar recently inaugurated Hometel properties in Bangalore, Hyderabad, and Mumbai. The company has aggressive expansion plans for this brand, with five more Hometels slated to open in Pune, Chennai, Chandigarh, Chennai, and Baddi. Sarovar’s long-term vision for the Hometel brand includes the ambitious goal of opening at least 50 such hotels within the next five years.
Beyond its budget hotel expansion, Sarovar is also venturing into the apartment hotel sector. The company's first foray into this segment will be the 135-room Park Inn and Suites, scheduled to debut in Bangalore in April of the following year.
Further bolstering its portfolio, the company intends to launch properties under the Sarovar Premier and Park Inn brands in Siliguri. Additionally, Sarovar has identified several other cities as key targets for expansion. This includes upcoming hotels in Jaipur, Pune, Port Blair, Ahmedabad, Amritsar, Bhubaneshwar, Raipur, and Mohali.
Projected Financial Growth
Sarovar Hotels & Resorts concluded the last fiscal year with a turnover of Rs 300 crore. The company is poised for robust growth and projects a more than 30 percent increase in revenue this year, aiming for a topline of Rs 400 crore. This ambitious growth trajectory underscores Sarovar's commitment to capitalizing on the burgeoning hospitality market and solidifying its position as a leading player in the industry.