HOTELIERS in India are bracing themselves for an expected loss in room nights as the hugely popular cricket tournament Indian Premier League (IPL) shifts outside of India this year.
Rajeev Menon, area vice president – South Asia for Marriott International, said: “IPL takes place in April-May when corporate as well as leisure travel is slow during that time. It has been of great help in driving business in most major cities across India in the lean season.”
This year’s IPL season collides with the national general elections, making it difficult for the government to ensure adequate security at the sporting event and prompting organisers to hold it overseas.
“With the tournament now being taken to an overseas destination it means thousands of nights and millions of rupees lost in revenue to the industry,” Menon added.
STR’s quarterly report stated that average occupancy rate for April 2013 was 58.2 per cent, while Horwath HTL found that IPL generates 45,000 room nights yearly.
“Major Indian cities are already witnessing an oversupply of room nights thus affecting average occupancies. The tournament shifting to an international destination is a double blow to the hospitality industry,’ said Ranjan Kumar Mishra, managing director of Odisha-based Eastern Voyage.