Carlson plans to manage 100 hotels in India by 2015

GURGAON: Identifying India as a key market for its future growth, global hospitality and travel company Carlson today said it plans manage over 100 hundred hotels in the country by 2015 as part of international expansion plan.

The company, which manages 31 hotels across India, said it will have over 11,000 rooms in the next five years on the back of expansion, up from the 2,865 rooms it has at present.

It has already opened three new hotels this year, while another five are in the pipeline to be operational in 2010. It will add at least 15 new properties in 2011.

"India is a very significant market for Carlson. It is a strategic market for us and we believe that the aggressive expansion plan to have 100 hotels by 2015 will solidify our position in the country as the number one global hospitality brand," Carlson President and CEO Hubert Joly told PTI.

He said at present Carlson's Indian operations accounts for about 3 per cent of its global turnover and it is likely to go up to 7 per cent by 2015 on the back of expansions.

Joly, however, did not divulge company's revenues stating it is a privately held company.

The Indian expansion plan is a part of the global strategy announced by Carlson to have a total 1,500 hotels by 2015 under various brands, including Radisson, Country Inns & Suites, Park Inn and Park Plaza, across the globe. At present, it operates 1,075 hotels in 77 countries. When asked about planned investments in India, Joly did not give a specific number saying the company does not own any properties as it only has management contracts and would continue to do so.

He said Carlson also plans to strengthen its offering in the mid-segment, where it operates brands like Park Inn and Country Inn & Suites.

"In the first few months of next year we will announce our expansion plans for the mid-scale segment, which could be over and above what we are planning right now," Joly added.

The firm has also introduced a new brand, Radisson Blu, which is positioned at a more premium segment, in India and has opened a new 275 rooms hotel in Mumbai.

According to Carlson South Asia Executive Vice-President K B Kachru the company charges about three per cent of hotel revenue as management fee but varies form property to property and also is performance linked.