Hilton's president of Asia Pacific, Alan Watts, expressed a strong belief in India's potential as a leading market for travel and tourism over the next decade, particularly as the company faces challenges in China where consumer confidence has been low.
In the second quarter, Hilton's revenue per available room (RevPAR) in the Asia-Pacific region increased slightly by over 1%, primarily due to difficulties in the Chinese market. However, Hilton is experiencing robust growth in other Asia markets, especially in North Asia and India, where double-digit RevPAR growth has been reported.
Watts highlighted the importance of intra-Asia travel, noting that 80% of room nights in the region are booked by travelers from within Asia, which bodes well for Hilton's long-term growth. The company is also focusing on religious tourism in India, where there is a lack of branded hotels in popular pilgrimage destinations.
Indian real estate owners are financing new hotel developments, with Hilton managing these properties without needing to invest its own capital. Currently, Hilton has 60 hotels under construction in India and plans for 400 more, shifting its strategy to include mid-scale brands like Hampton and Spark by Hilton to cater to domestic travelers in smaller cities.
Watts emphasized the opportunities across various price points in the region, supported by infrastructure investments and a growing middle class eager to travel