In an exclusive interview with Kamal Gill, Exec Editor, Today’s Traveller, Hoshang Garivala, Country General Manager, Ascott International Management India Pvt Ltd, speaks on the evolution of serviced apartments in India
TT Bureau: With your extensive experience in the hospitality industry, how do you perceive the evolution of serviced apartments in India, and what role does Ascott International play in this changing landscape?
Hoshang Garivala: While serviced apartments made an entry in the Indian Hospitality sector in the early 2000s, the last decade has seen substantial gains in both awareness and popularity for this segment. It is quickly emerging as an attractive option for both business and leisure travellers for short or extended stays as well as for investors in the industry.
The hospitality sector went through several challenging years in the recent past and was particularly hard hit during the pandemic. Serviced apartments, however, proved their resilience during this tough time thanks to the flexibility this segment offers in room configurations, length of stay, leaner staffing requirements and lower operating costs; all in a safer and more hygienic environment. Post the pandemic they have emerged as competitive for short stays and the first choice for extended stays.
Since the model favours extended stays the business districts of the metros and tier I and II cities have been the preferred location for these properties. Increasingly though, leisure travelers such as groups of friends and families traveling together who appreciate the larger spaces and conveniences of a functioning kitchen and laundry find serviced apartments more economical and convenient, thus fueling their growth in tourist destinations as well.
The Indian hospitality industry is projecting a revenue growth of 11-13 % in this financial year. The serviced apartment segment is poised for significant growth in the coming years and as client and customer needs are constantly evolving, we will see an increasing demand for various product offerings across the spectrum from economy to luxury targeting different segments of the market. The Ascott group is uniquely positioned to expand our presence in India as we offer varying lodging options including serviced residences, apartment hotels, hotels and co-living spaces.
The launch of two new properties this year, the Citadines Arpora Nagoa in Goa and the Citadines Paras Square Gurugram are a step towards our target of opening 10 new properties in India by 2027.
TT Bureau: Ascott has been expanding its presence in India with its luxury serviced residences. Can you share the strategy behind selecting new locations for Ascott properties in India, and how do you assess the potential of different Indian cities for hospitality growth?
Hoshang Garivala: India stands as a pivotal growth market for The Ascott Limited, bolstered by the recent acquisition of Oakwood, amplifying our presence to nearly 1000 rooms nationwide. Our esteemed global brands, including Ascott, Oakwood, Somerset, and Citadines, are firmly established in India, and supported by a robust operations team. Currently, we operate properties in six key Indian cities: Chennai, Bangalore, Hyderabad, Pune, Goa, and Gurugram. Over the past year, our Development team has been strengthened to spearhead brand expansion efforts.
The previous year and the first half of 2024 have shown promising growth. We successfully launched two new hotels in Goa and Gurugram and secured contracts for three new projects in Erode, Bangalore, and Navi Mumbai. Additionally, we have eight projects in various stages of development. Notably, interest is increasing from both metro cities and Tier II markets, with ongoing discussions and further developments on the horizon.
TT Bureau: Sustainability and green initiatives have become increasingly important in the hospitality sector. How is Ascott International integrating sustainable practices into its operations and offerings in India?
Hoshang Garivala: Ascott Limited has implemented the concept of sustainability and green living across its properties. Both the serviced residence properties of Ascott in India, Chennai – Somerset Greenways Chennai and Citadines OMR Chennai actively place sustainability at the forefront of their operation. In 2022, Somerset brand refresh was unveiled under ‘Ascott CARES’ – a sustainability framework aligned with the growth strategy on environmental, social and governance (ESG) considerations – to reinforce the commitment to sustainable travel for multigenerational families, while also ensuring an inclusive, harmonious experience.
We have conducted awareness programs in government schools on sustainability on waste management and pollution. The properties also raised awareness on environmental health and safety by cycling 21 km. On the sustainability front, the properties offer a wide array of energy-efficient and eco-friendly services including using Bubble tops instead of water bottles to reduce single-use plastic, providing access to EV charging points for those who are using electric vehicles for sustainable mobility, using wind energy for electricity, application of LED in place of light fixtures, chiller plant that reduces electricity consumption, etc. Somerset has also introduced its own bottling plant.
Apart from these, Somerset Greenways Chennai also uses mobile keys reducing the usage of plastic or wood and reducing carbon footprint, while Citadines OMR Chennai has started using Air to Water dispensers as an eco-friendly alternative.
During the festive season, Ascott also indulged in celebrating with a sustainable Christmas tree, enabling the reduction of 100 kg of carbon footprint emission. The Oakwood Residence Whitefield Bangalore has also been certified by the Indian Green Building Council for its sustainable resourcefulness. Somerset Greenways Chennai has attained the GSTC certification (Global Sustainable Tourism Council) and Oakwood Residence Whitefield Bangalore, Oakwood Residence Kapil Hyderabad and Citadines OMR Chennai are slated to attain this certificate by May 2024.
TT Bureau: The concept of ‘home away from home’ is crucial for serviced apartments. How does Ascott ensure a personalized and comfortable experience for its guests in India, especially in catering to diverse needs and preferences?
Hoshang Garivala: With evolving traveller expectations, Ascott has been on a journey of redefining its brands to drive brand relevance and affinity with guests. With each brand distinctively positioned and continually refined, Ascott’s portfolio of brands leverages evolving trends to deliver different stay experiences.
For example, with the rise of blended travel, the recently refreshed Oakwood brand aims to address this segment of guests, providing a reliable space that guests can count on, with a stay experience that takes comfort beyond expectation. From a restful night’s sleep and a productive workspace to a wholesome meal complemented by the craft of hospitality, Oakwood seeks to deliver on comfort that is at the core of well-being. Oakwood brands in Hyderabad, Bangalore and Pune ensure a personalized and comfortable experience for guests by hosting food festivals centred on the theme of food and comfort.
These events showcase F&B capabilities tailored to guests’ comfort flavours, aligning with the brand’s ethos, ‘All you knead is comfort.’ Additionally, every associate at Oakwood Properties embodies the role of an ambassador -Oakwood GEMS, ensuring a homely welcome. The lobby, designed as an inviting ‘living room,’ fosters relaxation and connections, echoing the brand’s motto, ‘Feel like Home.’ Moreover, Oakleaf restaurant menus are curated to cater to guest preferences, including personalized and dietary needs, reinforcing the brand’s promise of ‘Home on a Plate.
At Ascott, we are also witnessing a returning trend towards family vacations and multi-generational trips as guests look to travel as a way to reconnect post-pandemic. Travellers are increasingly seeking stay experiences to forge a strong sense of connection. This goes beyond social interactions. It includes connecting with oneself, the community, and the environment. Against this backdrop, we unveiled a refreshed Somerset brand in 2022 to meet travellers’ growing expectations for sustainability while at the same time ensuring they can immerse themselves in a truly inclusive, harmonious experience.
The Somerset property in Chennai Somerset Chennai provides a harmonious living environment. Facilities like a rooftop garden for growing vegetables, a convenience store for grocery shopping, and kitchenettes in rooms cater to diverse needs. Cycles offer quick transportation, while a rooftop gym and playroom with table tennis and pool tables provide opportunities to unwind.
The resident’s lounge offers a tranquil space for enjoying coffee and books, while a rooftop jacuzzi adds a touch of relaxation. These amenities create a wholesome “home away from home” experience for guests staying at our serviced apartments.
TT Bureau: With the rapid advancement of technology in hospitality, how is Ascott leveraging technological innovations to enhance guest experiences and operational efficiency in its Indian properties?
Hoshang Garivala: With the ambition to drive tech-forward hospitality, technology has been a critical enabler to all aspects of the guest experience across Ascott’s portfolio of brands. Since 2016, Ascott has been on a journey of uncovering new technology and experimenting with innovative solutions to improve efficiency and elevate its future readiness. AI has become such a key consideration of technological application across our front, middle and backend systems – from improving productivity and efficiency to enhancing guest experiences and sustainability performance.
Last year, Ascott launched a generative AI-powered web chatbot. Named after Ascott’s mascot Cubby, the chatbot is designed to deliver improved booking experiences and drive direct bookings on DiscoverASR.com, our brand website. It plays the role of a ‘travel buddy’ to all guests, making travel planning and booking more personalised and seamless. Cubby is equipped to provide travel insights including destination highlights, accommodation recommendations, must-visit attractions, suggestions for shopping and adventure activities, as well as the best ‘Instagram-worthy’ spots, to name a few.
Ascott is also integrating AI across various touchpoints, such as piloting self-check-in kiosks at several properties in Singapore for quicker check-ins and implementing advanced sentiment analysis that generates specific and constructive suggestions for each Ascott property to elevate guest satisfaction. These serve to augment the guest experience from start to end and automate repetitive tasks, freeing up associates for more meaningful engagement with our guests.
Amidst the swift evolution of technological landscapes within the hospitality sector, Ascott strategically harnesses innovative technologies to augment guest experiences and bolster operational efficiency within its Indian properties. A case in point is the deployment of the mobile-key feature at Somerset Greenways Chennai, where guests can effortlessly access their accommodations via the ASR application.
This implementation not only expedites the check-in process but also contributes to Ascott’s sustainability initiatives by curbing the utilization of materials such as plastics and wood traditionally employed for mobile keys.
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