“The mid-market is where the game really is. It is essential to target the mid-market if Hilton needs to have a network in a country like India,” said Chris Nassetta, CEO and president, Hilton, on Tuesday. The company last year announced the launch of its premium economy brand Spark in the Indian market, with an initial target of 150 properties in a decade, the first of which is set to open in Bengaluru this year.
On balancing luxe like Waldorf Astoria and lean like Spark, Nassetta, speaking in Bengaluru at a brand showcase, said it is driven by customer demand. “For every Waldorf Astoria, there will be hundreds of Sparks. We are just at the crawling stage at 150 for a brand like Spark. Given the burgeoning Indian domestic demand, the brand has the potential to run, with thousands of Spark hotels in the coming years,” he said. “The brand will work in all segments — primary, secondary and tertiary cities. Following the demand patterns of the industry, Spark will be bigger than our other brands in the coming decades. From 130 right now, we will have 250 Spark hotels by end of the year globally within a year of launch,” he added.
Talking of the India market, Alan Watts, president, Asia-Pacific, said, “India is seeing its moment, with unprecedented momentum in consumer demand and infrastructure development. The hospitality sector is exploding on the back of that, and the entire industry is bullish on India right now.”
The company also walked its talk, announcing the opening of Hilton’s luxury brand LXR in Bengaluru next year, besides “approachable luxury” brand Signia’s debut in Jaipur in 2028. Lifestyle brand Curio is also being launched in Bengaluru this year.
The brand is also expected to announce a second Waldorf Astoria property in India within a month, the location of which they did not disclose yet, even as the first one is expected to open in Jaipur in 2027.
Watts told FE that India was definitely the most promising market in Asia-Pacific at the moment, and even globally, where it ranked with the Middle-East in terms of potential. “However, the Indian market has an edge over the Middle-East as it is self-sustaining with huge domestic demand, and is not dependent on incoming visitors,” he said, adding that in interest, appetite and stability, India is the best place to be for a hospitality company.
“We are seeing double-digit growth in India. Post-pandemic, India’s rebound has been the highest. We finished last year on a high, with both RevPAR and occupancy showing good numbers.” However, he said Hilton was not looking at any acquisitions for growth, opting to grow organically instead. “We will prioritise our own brands.” He added that pilgrim and wedding destinations are also focus areas for Hilton in India.