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Approach 2022 with shock absorbers, says travel industry expert Saurabh Rai (Ld)

(collapsable)→
Sun, 23 Jan 2022 02:00:00

New Delhi, Jan 23 (IANSlife) Hospitality and tourism have been some of the hardest hit industries by Covid, and its impact continues to disrupt travel across the globe. During this crisis Preferred Hotels & Resorts launched Beyond Green, a purpose-driven hospitality brand. It also added 30 new member hotels in just 7 months to its global portfolio, and made enhancements to the company’s loyalty program.

IANSlife caught up with Saurabh Rai, Executive Vice President – South & South East Asia, Middle East, Africa & Australasia, Preferred Hotels & Resorts (PHR) along with Seema Roy, Area Managing Director – South Asia, Middle East & Africa at PHR to get an outlook on the industry for 2022.

Read Excerpts:

The hospitality industry had its hopes pinned on revenge travelling and boom in 2022; but with new variants creating havoc across the world, is the industry’s mood still optimistic?

Rai: While we take a 12-month view for the completion of the books of finance, in reality it is a quarterly forecast and a quarterly review of things, because about 90 days is as far as you can plan to ensure you’re on point. In keeping with the pandemic scenario, it is just so drastically moving that you have to basically shorten the term, so there are stub strategies quarter-on-quarter.

The most important thing and second aspect when approaching our business is to do with agility. Many of our enterprises have been agile. There is something very profound in today’s world about not taking too much time in planning and preparation, because if you plan long term, by the time you get down to execution, you will find that more than half of them become irrelevant or outdated because of the speed of change.

2022 is going to be about staying resilient. Maintain your limbo and agility. There will be sudden slides and quick sparks and a timely response to the frequency of the opportunity, will help you ride the curves. You have to just go with all these crazy fluctuations, and hope that the average median level of travel across 2022 comes simmering down to a point that one may consider acceptable in terms of business returns, allowing us to pay salaries, retaining people, and staying intact. That’s it for 2022.

2021 was even more chaotic and complex than 2020, so I think once bitten twice shy, we are wiser from that experience. As our group walks into 2022, we do so with a very real set of expectations, with eyes wide open, no exaggerations or hopes but with multiple shock absorbers, this is how we are approaching 2022.

Domestic travel for 2021 has more than compensated for the lack of international tourism in India, with hotels running at full capacity and rates revised to pre-pandemic times. Do you think this trend has encouraged the Indian traveler to explore his or her own backyard, and will this continue?

Rai: I think so, because if you look at countries in the West, they have a very rich domestic travel base. Countries like US, China, Australia, South Africa and even the EU as a region have a huge domestic travel market, the vastness and diversity of experience these destinations offer from within their own regions is absolutely amazing for the domestic traveler.

I think when it comes to Indians, all of us would agree for 5 -7 day holidays, extended weekends or school breaks, its very common for us to travel within a 5-hour flying radius to places like Thailand, Malaysia, Singapore and Dubai. These countries have invested in attracting tourism from India and have benefitted more from it than India has. So Madhya Pradesh, Tamil Nadu, Karnataka or Assam have so much history, food and local experiences to offer, that I think there is a lot going on for the Indian domestic travel product. Simply put it needs to be focused on and invested in.

In industry terms Covid has been our best CMO (Chief Marketing Officer), in terms of teaching us to be be able to market most of our hotels and destinations; what some accomplished professionals couldn’t do, COVID stressors has forced them to do and put them on the map.

I do believe that the momentum is like we’ve never seen it before. I think hotels, State tourism boards, the entire travel and tourism ecosystem needs to do its job well, we cannot take this demand for granted! The experience has to be enriched, the experience has to be organised and the experience has to deliver a good value for money product for the domestic wallet within India. With these three components I do believe that domestic demand is sustainable and the size of the market is massive so this is critical.

Many hospitality chains have used this time to their advantage to acquire new properties and develop smaller destinations, what is the idea behind this?

Rai: Sri Lanka has a tiny population, Thailand has millions of visitors, if you look at the sizeable population and disposable income of those who travel every 3 months, even that is in tens of hundreds of millions, so we are talking about a huge base as long as we can organise the experiences and deliver a value for the buck.

People have had nowhere to go for over two years, so they visited inbound destinations, hotels have charged all kinds of rates, many of us have paid those rates in domestic hotels which go into tens of thousands, or over a lakh per night. People are paying that kind of money. Some leisure properties across the country have furnished their highest ever occupancies at their average daily rate; is this occupancy sustainable? I believe the answer is yes, because the market size is huge. But are the rates sustainable? The answer is no! They are overheated rates, and if they have to compete for the domestic traveler when international boundaries are open, they will not succeed. However, this does not mean they have to plummet down their rates to pre-pandemic levels, the sweet spot is somewhere in the middle.

The owners and managers of the assets need to start thinking at what price point do you remain competitive and yet deliver a good value product; value in terms of the right price for the right benefits. At such a high price point, you need to bear the responsibility of being an ambassador for the destination, you have to represent the best of local experiences, and everything needs to be the absolute best or at least the best in class.

With sustainable travel being in focus, Preferred Hotels & Resorts’ launch of Beyond Green is well timed?

Seema: It couldn’t have been a better time, we worked through those early pandemic months to launch Beyond Green in April 2021, with sustainability at its core, committed to building a better and brighter future for people and the planet. It features a global portfolio of 30 hotels, resorts, and lodges that exemplify sustainability in action.

From a development perspective, the key object is to bring leaders in the hospitality space that have sustainability at the core and centre of everything they do. It’s not just about giving back to the planet but all the pillars of sustainability, so community as well as preserving local traditions and heritage. As far as properties are concerned, all the boxes and the indicators of UN sustainability are what we consider as our guideline. As long as properties come good on these, they are accepted into the programme. It is probably the first of its kind in the hospitality space, there are lot of eco tourism companies for responsible travel but from a hotel’s perspective there wasn’t a brand that was charging forward in this space.

Beyond Green comes from the passion of the owners and we have exciting properties in the pipeline. It couldn’t have been a better time for the launch of Beyond Green.

You’ve included a total of 30 new member hotels in the global portfolio in 7 months, please share the idea behind the expansion.

Rai: The number of relationships that have been renewed is 20+ hotels in 2021 alone, so it’s a stupendous achievement for all of us and the team led by Seema, as well as for other regions. It also goes to show how progressive thinking aligns with the future and leads to opportunities. The progressive thinking our hotel owners and leaders have displayed has been very inspiring, and our commitment is demonstrated by the retention and renewal of properties.

The region we oversee is South Asia, the Middle East and Africa and we have brought on board new properties, and new Beyond Green properties, furnishing the fastest growth of the region, led by Africa and the Middle East. In India there are The Leela Bhartiya City, Bengaluru and The Park Kolkata. We have made a foray into Nepal with Kathmandu which is our latest entry, assigned as of November 2021. We also have some very promising discussions taking place in India, Sri Lanka and Maldives.

We are very hopeful about things and there is a great sense of optimism. Whilst the industry remains under stress, the stakeholders and the peer group haven’t shied away in making positive investments into the future, looking beyond the current state of affairs.

With platforms like Airbnb taking a large part of the market share, do you see the future of travel as very different from how we know it?

Rai: So there has been a catalytic disruption within our industry but the market size is big enough for various models to co-exist. This is not a winner takes all, there is enough and more for everybody. There are 2-3 very different sub categories of the kind and nature of hospitality that exist in the travel business today. You can choose which category you want to play in. You have to decide what sub segment of the travel universe you are, and then get inspired to be the market leader and trend setter on that turf.

Amazon is a tech company and is leading e-commerce worldwide, but that doesn’t mean brick and mortar doesn’t exist. Same with Byjus, it’s an edu-tech company that is huge, but on-ground traditional education is still the preferred choice.

Such evolutions and such disruptions are the biggest gift to the industry, it forces everybody to innovate and to recognise the changing realities. Changing marketplaces, changing consumer buying preferences makes everyone move with the times. Millennials and Gen Z are the centre of this change, for them sustainability is a top priority. So I think Airbnb has defined a new genre of experience within the industry. They are not a hospitality company, they are a tech company. They are a mediator connecting available experiences and accommodation to travelers with specific needs.

(IANSlife can be contacted at ianslife@ians.in)

20220123-162004

Boomin Trading Co
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Office No.117, 4F,Hapjeong-dong 396-7, Mapo-gu, ; Seoul, Seoul, South Korea
82 2 3329794
Clutch cover / disc, brake drum / pad / lining (shoe), shock absorber, timing / fan belt, spark plug cable, water pump, tension / release / center bearing and oil / fuel / air filter applying to korean cars.
Gamay Automotive Co., Ltd.
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Rami, Kisla Cd. Seferaga Is Mrk. C Blok No : 120-121-122 Topcular, Istanbul, Turkey
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886-03-3659985-9
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Nil Fer Org. Sanayi B Lgesi Inarli CAD.4. Sok. No : 111, ; Bursa, Turkey, Turkey
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Ikitelli, Istanbul, Turkey
90-212-5499392
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opp enterprise
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375-172-953247
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90 212 671 28 82
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886-02-22695277
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86-576-8418520
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Hangzhou Yellow Dragon Century Building 4#, ; Hangzhou, Zhejiang, China (Mainland)
86 0571 87187300
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60 03 62517403
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1E,Building 1,Shijixinjing Garden,Beiwa Road
86-10-83832290
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86-021-52308863-20
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2. Organized Industrial Area, Karahisar Str. Nr. 22, Konya, Selcuklu, Turkey
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As / 49, Nootan Nagar Society, Gurunanak Road, Bandra West, Mumbai, Maharashtra, India
91-22-26403687
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Po Box 80671, Cheung Sha Wan Post Office, Hong Kong
852--2728 7529
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OPP Enterprise Co.,Ltd
Manufacturer
Wuhu Machinery Industrial Zone, ; Wuhu, Anhui, China (Mainland)
0086 553 8767558
Shock absorber, ball joint, gas spring, stamping parts
Yang Min Group
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886-7-6142895#105
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Arc Of Asia
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# 1514-2, Dadae-Dong, Saha-Gu, Pusan, Busan, South Korea
82-055-3200063
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No. 121, Jhongjheng 1st Rd. , Lingya District, Kaohsiung, Taiwan
886-7-7163002
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No.47, Daping St,,, ; Chiayi City, TW, Taiwan
886 5 2869630
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Beauto Parts Import Export Ltda
Distributor/Wholesaler
Av. Brasil 10000, Rio De Janeiro, Rio De Janeiro, Brazil
55-21-22219854
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No.11-7, Xishishan Road, Yuyao, ; Ningbo, Zhejiang, China (Mainland)
86 574 81217376
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Zhugang,Yuhuan, ; Taizhou, Zhejiang, China (Mainland)
86 576 7208290
shock absorber
STEQ
LLC (Ltd Liability Corp)
8603 Zi Charguia, Tunis, Tunisie, Tunisia
216-71-770300
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G TO I CORPORATION
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310-64, Noryangjin 2-dong, Dongjak-ku, Seoul 156-806, ; Dongjak-ku, Seoul, South Korea
82 2 812 7974
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11f, Zhongda Square, #989, Dongfang Rd, Pudong, Shanghai, China, ; shanghai, Shanghai, China (Mainland)
86 21 58300077-665
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90 216 5282600
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230 Huayuan St. , Harbin, 150010 China, Harbin, Heilongjiang, China
86-451-84344722
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Shanghai Topstar Co., Ltd.
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Room 1629, No.1500 Century Avenue, Pudong
86-21-68407352
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Stream Trading
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4F, No.2, Lane 11, Alley 31, ChongTe St.,, ; Taipei , Taiwan
886 2 27367984
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Steel A
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601-9, Daechun-Dong, Dalseo-Gu, Daegu, Daegu, South Korea
82-53-589-2600
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Altha Powder Metallurgy
Corporation/Limited Liability Company
Kozienicka 97, Radom, Poland
48-48-3855126
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Yidu South road, Longquan Town, Longquanyi District, Chengdu,China
86-28-84808397
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POP PACK CO.,LTD.
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38/1 Moo 1, Muban Hansa, Nongkhangplu, Nongkham, Bangkok, Thailand
66-81-9322859
Brake Pads, Brake Shoes, Motorcycle And Vehicles Spare Parts, Shock Absorber, Chain, Gasket, Tire, Aluminium Rim, Battery, Acessories In Both Vehicle And Motorcycle
RM402A--402F B Bldg., Zhongtejinyuan No.132 Caihong Road(S)., Ningbo, China, ; NingBo, Zhejiang, China (Mainland)
86 574 87896604
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86 0592 5524943
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86-591-87790803
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Jiefang Road, Wenzhou, Zhejiang, Wenzhou, Zhejiang, China
86-0577-88155835
Shock Absorber, Light Bar, Bodyguard, Alarm
No.22 Longfu Rd, Singming Area, Xiamen, China, ; Xiamen City, Fujian, China (Mainland)
86 592 5534907 5534905
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Jingcai Products(Hk) Co.
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19hb/F, Block 2, Kingswin Industrial Building,32-50 Leimukroad, Kwaichung, N. T. Hongkong., ; Hong Kong
852 24298280
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Uni-Thai Autoparts Co.,Ltd
Corporation/Limited Liability Company
699 Moo 2, Bangpoo Industrial Estate (6a) , Bangpoo, Samutprakarn, Thailand
66-2-3230854
Shock Absorber, Gas Shock, Damping Test, Rod Precision, Rod
KHYBER ALI AUTO PARTS TRADING CO L.L.C
Manufacturer, Trading Company, Buying Office, Agent, Distributor/Wholesaler
Nasire Squire, Dubai, Dubai, United Arab Emirates
971-4-2274525
Cvjoint, Pistons, Rings, Engine Bearing, Engine Valve, Shock Absorber, Gaskets, Steering Rack, Crankshaft, Camshaft, Cylinder Head, Water Pump, Brake Parts, Suspension Parts, Bearings, Oil Pump, Clutches, Coil Spring, Filters, Body Parts,
Jps Trade Brasil
Distributor/Wholesaler
Alameda Santos, 211, Sao Paulo, Sp, Brazil
55-11-4338 5147
Motorcycles engine ,parts ,Tire,shock absorber, carburetor
Fangan Town, Tongcheng City, Anhui Province. China
86-556-6010088
Plastic/rubber automobile parts such as rubber parts, hoses, washers, rubber mountings, dust seals,rubber o-ring,rubber seals,shock absorber,rubber bumpers,gasket
No 9, Yen Ping 5th Rd. , Chu Shan Chen, Nantou Hsien, Taiwan, Nantou, Tw, Taiwan
886-49-2659483
Shock Absorber, Brake System Kits, Auto Parts, Auto Accessories
3 Xingyuan Road, Zonghan Town, Cixi City, Zhejiang Province. China
86-574-63225775
Auto parts, shock absorber, spark plug
JM Corporation
Manufacturer
Suksudong, Gwanakgu, Anyangcity, Gyeonggi-Do, South Korea
82-31-4745344
Protection Film, Shock Absorber, Hydraulic Component
Dahen Auto Parts Co., Ltd.
Manufacturer, Trading Company, Agent
Dongxing Industrial Area, Xincheng
86-577-65188182,65188183,65193968
Shock absorber, electric pump, motor, electric part system, ignition part system, truck part
Anadolu Mah Zorlu Sk No : 12, ; Bursa, Turkey
90 224 3425988
Air spring, suspension, shock absorber, truck, bus, trailer
WELAS REFINING CO LTD
Individual (Sole proprietorship)
No. 6-16, Zen I Lane, Her Min Village, Show Sui Township, Changhua Hsien, Taiwan (R. O. C) , Chuang Hua Hsien, , Taiwan, R. O. C., Taiwan
886-4-7685069
Rubber Parts, Auto Parts, Motorcycle Parts, Gasket, Shock Absorber
XGM Group Co., Ltd.
Manufacturer, Trading Company, Business Service (Transportation, finance, travel, Ads, etc)
Yanchi (Coastal Industry City), Sanmen
0086-576-83582888
Shock absorber, motorcycle brake pan, electro mobile motor, electric car motor, copper, auto spare parts, valve, sanitary ware, and shower room