New Delhi, July 07, 2020: Noesis Capital Advisors with Ngage Hospitality successfully concluded the workshop on the franchise business model in the hotel industry. The workshop focused on educating and spreading awareness across the independent hotel owners, real estate developers and architects to understand the brand side of the hotel industry and how it has helped individual property owners grow in the past couple of years.
The workshop also threw light on how the independent hotel owners can benefit by tying up with a brand to beat the slowdown arising from the current pandemic situation. As COVID-19 has brought the hospitality industry to a screeching halt, the independent hotel operators are likely to feel the heat more than the branded hotels.
The workshop conducted by the senior leaders of Noesis with multiple discussions focused on identifying why a franchise model is a better opportunity for independent hotel operators than other business models and took them through the entire process of how the selection of a brand property is to be done.
Those attending the event, heard from industry leaders including Mr. Amit Nagpal-Director Development, Hyatt Hotels, Chander Baljee-CMD Royal Orchid Hotels, Ms. Anika Gupta- Director-Development Eurasia, Wyndham Hotels and Resorts and Mr. Prateek Chordia-Owner-DoubleTree by Hilton, Pimpri amongst the others.
Various other topics were covered during the workshop wherein all the speakers shared some insightful information prevailing to the hotel franchise business. Mr. Nagpal shared some light on how “In India, from a current portfolio of 5% in the franchise model portfolio, the share of the franchise model in the pipeline projects has gone up to 10-12%”.
Mr. Chander Baljee-CMD Royal Orchid Hotels “Hotel properties revenue increased by 30-60% after associating with brands”
Ms. Anika Gupta- Director Development Eurasia, Wyndham Hotels & Resorts “When deciding between franchise and management contract you need to identify the difference between what you know, what you want and what you really need”
Mr. Akshit Kurani- Owner Regenta Hotel, Ahmedabad said “Before choosing the brand, ensure it helps you improve your ARRs by 15% at least.”
Mr. Prateek Chordia- Owner DoubleTree by Hilton, Pimpri “Associating with the brand attracts talent to your property as they find a growth path in the industry”
In the final panel discussion which was held on the legal terms with our panelist Mr. Ashish Pyasi who gave insights on common terms which should be carefully studied before entering into a contract and create a win-win situation for the lessor and the lessee. With the involvement of huge costs to construct and operate a hotel “10-15 years is an ideal tenure to enter into an agreement with the hotel brand”
The 4 sessions conducted by Noesis Capital Advisors and Ngage hospitality all-in-all helped independent hotel players and real estate developers identify how to gain from the current COVID-19 situation and re-imagine the future. It will help them emerge as a winner in these current pandemic situations.
Corporate comm India(CCI Newswire)
