Puneet Chhatwal, MD & CEO, IHCL emphasizes the importance of balancing art and science in the company’s market expansion approach.
Janice Alyosius
With a keen understanding of the delicate balance between art and science, Puneet Chhatwal, MD & CEO, IHCL unveils the tapestry of IHCL’s market expansion approach, offering insights into the company’s growth trajectory.
“Development is an art as well as a science. It is a combination of various factors such as the type of contracts, ‘like management contract, a lease contract, an investment, a partnership, or a JV, among others,” he pointed out.
Talking about expansion and how to grow sustainably, he said, “Deciding where to expand is a science. However, the art lies in knowing the right time to accelerate and when to decelerate.”
Under Chhatwal’s leadership, IHCL has emerged as a trailblazer in growth. “The combination of science as well as art has led us to become the industry benchmark in growth over the past three to four years, with the highest number of signings and openings across India. And I do not foresee that changing in the years to come,” he said, commenting on the success.
With an ambitious pipeline comprising 85 hotels, IHCL is poised to maintain its momentum, aiming to open a minimum of two hotels per month.
Chhatwal also provides insights into IHCL’s expansion plans in Lakshadweep, highlighting the complexity of building on an island, “We are in the final stages of planning, which will soon be submitted for approval. However, construction will take three to four, or possibly even five years, given the complexity of building on an island rather than just a hotel on a site,” he revealed.
About high room rates, which have led to many weddings being held abroad, Chhatwal acknowledged the shifting dynamics in the hospitality landscape. “People have accepted the current average room rates. Nevertheless, based on discussions with numerous individuals, I believe that weddings in India are relocating to venues overseas due to the high banquet room rates in Indian hotels. However, these figures do not align with what is announced when publicly listed companies declare their results. Each company reports double-digit growth in the topline, which would not be possible if people were indeed moving out. On the contrary, as foreign travel gradually returns to pre-COVID levels, we expect these numbers to rise even further,” he said.
Looking ahead, IHCL anticipates a resurgence in demand as foreign travel gradually rebounds to pre-COVID levels. This optimism underscores IHCL’s unwavering commitment to innovation and adaptability in navigating evolving market dynamics.
“Combination of both science & art has led us to become industry benchmark in growth over the last 3-4 years.”
