Hotelivate Private Limited · 26 Nov
As a hotel consultant, I am often asked a pertinent question: Do hotels make profits in India? The challenges in building, operating, buying and selling hotels are a plenty. Investors frequently point to the relatively lower risk associated with other commercial asset classes such as office buildings, retail developments and warehouses. The highly dynamic and perishable nature of the hotel business pushes them to question the very veracity of it.
Hotelivate Private Limited · 4 Jul
Hotel openings are an elaborate affair that seek focused inputs from the ownership at a pre-opening stage. While the hotel management company and operations team are largely responsible for the pre-opening preparation, the owner also has his/her tasks cut out. Here's a look at the very basic set of expectations from an owner of a managed-hotel at this stage:
Hotelivate Private Limited · 29 May
Some sayings are so profound that in time, they become the absolute truth in all matters of economy, society, culture and our very beings. One may wonder if Ben had any inkling about just how applicable his words would be, especially to the world of business consulting today.
Hotelivate Private Limited · 8 May
Change is inevitable, and more so in an industry as dynamic as hospitality. Market performance, lending environment, number of players, owner and operator objectives, costs and margins, and customer profile are all changing almost constantly, and so are hotel management contracts that have evolved remarkably in India in the past decade. Once an operator stronghold, hotel management agreements had little to no room for negotiations, leaving an inexperienced owner (with no expert advice) with a sub optimal contract. However, the game is now changing!
Hotelivate Private Limited · 12 Dec
Popularly known as the 'Pink City', Jaipur has for years been positioned as one of the leading leisure destinations in the country. It is part of the Golden Triangle along with Delhi and Agra, and home to spectacular palaces, havelis and forts that are a testament to the rich culture and heritage passed on through the centuries. Its hotel industry, thus, has a strong leisure orientation, although recent economic and infrastructural changes have brought about a change in the nature of demand captured by the city's hotels. Herein, we have elaborated on the key market segments served by Jaipur's hotel industry and their characteristics.
Hotelivate Private Limited · 10 Jul
For long, hotel owners have been trying to find ways to safeguard their investments and interests during negotiation of management contracts with potential operators. And indeed, they have made notable headway. There was a time when a performance test clause featured sparingly in management contracts. Over the years, however, it became a standard provision in most agreements being signed in the west. Today, owners across the globe, including in Asia Pacific, insist on this requirement even as operators continue to wrap it with several riders. An equitable performance test clause protects the hotel owner from an incompetent operator, while at the same time assuring the management company that it will not be terminated for circumstances beyond its control.