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Our Bureau

Bangalore, Oct. 17 The US-based hospitality giant Marriott International is optimistic about the Indian market, but its growth is not in line with what it had forecast a few months ago. “We are still hopeful of a single-digit growth across its existing properties in India,” said Mr David N. Townshend, Senior Vice-President (Corporate Segments and International Sales), Marriott International.

The company, which saw revenues of $150 million in India last year, now expects revenues of $165-170 million in 2008, against $170-175 million projected a couple of months ago. Similarly, for 2010, revenues are expected to be about $225 million ($250 million projected earlier).

The scaling down in projected revenues for India could possibly be due to the delay in the opening of three of its properties — JW Marriott (Mumbai), Marriott Executive Apartments (Gurgaon), and Rennaissance High Grounds (Bangalore). The properties, which were planned to be operational in 2009, are now deferred to 2010. However, “these are early times. We are assessing budgets, looking at how the market is at every location,” said Mr Rajeev Menon, Area Vice-President (India, Malaysia, Maldives and Pakistan), Marriott International, who ruled out global economic turmoil as the reason for scaling down its projections.

Four properties slated to open would be mid-market brand Courtyard by Marriott at Gurgaon (in January), Pune (March), Ahmedabad (July) and Hyderabad (August); two JW Marriotts at Gurgaon (September) and Bangalore (fourth quarter); and a Marriott Hotel and convention centre in Pune.

There is a softening of demand in the market, said Mr Townshend.

However, “in India, we have the ability to focus and change our segment mix,” he added.

“The Marriott story in India is very exciting; the progress incredible,” he said. There are 25 properties in India in various stages of development. “There will still be partial growth in India, compared with other parts of the world,” Mr Menon said.

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