Corporate business travel that was muted after the Pahalgam attacks recovered from August onwards with hotels in key metros ‘thriving in September’ with the return of big-ticket conferences and events.
“We are seeing a 15-17% uptick in average daily rates in September over the same time last year. This is considerable, considering the only other hospitality markets in Asia reporting a growth in revenue per available room at a similar pace are India, Japan and Vietnam," said a hotelier working at a leading global luxury hotel chain.
This month has turned out to be better than expected for Sarovar Hotels, said Akshay Thusoo, senior vice president, commercial, Sarovar Hotels.
“We keep monitoring our projected numbers and our forecast for the room revenue growth for September has now improved by 7-8% in the past 8-9 days,” he said.
“This growth is largely driven by business locations and the growth in average daily rates in these locations. Mumbai and Bengaluru are seeing a growth of 11-12% in average daily rates over last year which is considerable. The real growth in revenues is coming from average daily rates. It's a healthier sign of growth compared to food and beverage revenues,” he added.
Delhi has emerged as one of the strongest hospitality markets in India this year for Radisson Hotel Group, said Nikhil Sharma, MD and COO (South Asia) at the chain.
"From year-to-date till August, the city posted a 74% occupancy, an average daily rate of over Rs 10,800, and a revenue per available room growth of nearly 18% — well ahead of the national average of around 11%," he added.
Since August, India’s key corporate hotel markets have been picking up in performance, led by rising average room rates and steady occupancies, said Mandeep S. Lamba, president and CEO (South Asia), HVS ANAROCK.
“This reflects the continued revival of business travel, supported by India's robust economic growth and its rising global stature. Hotels in major markets are also benefiting from a packed calendar of industry events and conferences,” he said.
Lamba said in August 2025, Bengaluru recorded the highest average rate growth of 25-27% year-on-year, driven by not just the IT and startup activity but also large-scale conferences like the NASSCOM Future Forge & Tech Developer Confluence. Hyderabad followed closely with average room rate gains of 16-18%, supported by tech demand and major events such as NCAET – 25 and AgriBiz Connect.
Delhi’s 6-8% average room rate jump in August was aided by the return of corporate travel after the monsoon, a busy line-up of government and industry events, and the limited supply of premium rooms, which allowed hotels to raise rates confidently.
“Meanwhile, Gurugram, Pune, Kochi, and other emerging business hubs are gaining traction with increasing MICE and corporate traffic, driven by manufacturing, tech, and finance sectors. Across cities, hotels are capitalizing on strong weekday demand and limited new supply to push rates,” added Lamba.
“We are seeing a 15-17% uptick in average daily rates in September over the same time last year. This is considerable, considering the only other hospitality markets in Asia reporting a growth in revenue per available room at a similar pace are India, Japan and Vietnam," said a hotelier working at a leading global luxury hotel chain.
This month has turned out to be better than expected for Sarovar Hotels, said Akshay Thusoo, senior vice president, commercial, Sarovar Hotels.
“We keep monitoring our projected numbers and our forecast for the room revenue growth for September has now improved by 7-8% in the past 8-9 days,” he said.
“This growth is largely driven by business locations and the growth in average daily rates in these locations. Mumbai and Bengaluru are seeing a growth of 11-12% in average daily rates over last year which is considerable. The real growth in revenues is coming from average daily rates. It's a healthier sign of growth compared to food and beverage revenues,” he added.
Delhi has emerged as one of the strongest hospitality markets in India this year for Radisson Hotel Group, said Nikhil Sharma, MD and COO (South Asia) at the chain.
"From year-to-date till August, the city posted a 74% occupancy, an average daily rate of over Rs 10,800, and a revenue per available room growth of nearly 18% — well ahead of the national average of around 11%," he added.
Since August, India’s key corporate hotel markets have been picking up in performance, led by rising average room rates and steady occupancies, said Mandeep S. Lamba, president and CEO (South Asia), HVS ANAROCK.
“This reflects the continued revival of business travel, supported by India's robust economic growth and its rising global stature. Hotels in major markets are also benefiting from a packed calendar of industry events and conferences,” he said.
Lamba said in August 2025, Bengaluru recorded the highest average rate growth of 25-27% year-on-year, driven by not just the IT and startup activity but also large-scale conferences like the NASSCOM Future Forge & Tech Developer Confluence. Hyderabad followed closely with average room rate gains of 16-18%, supported by tech demand and major events such as NCAET – 25 and AgriBiz Connect.
Delhi’s 6-8% average room rate jump in August was aided by the return of corporate travel after the monsoon, a busy line-up of government and industry events, and the limited supply of premium rooms, which allowed hotels to raise rates confidently.
“Meanwhile, Gurugram, Pune, Kochi, and other emerging business hubs are gaining traction with increasing MICE and corporate traffic, driven by manufacturing, tech, and finance sectors. Across cities, hotels are capitalizing on strong weekday demand and limited new supply to push rates,” added Lamba.
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