The Tata Group's flagship in the hospitality segment, The Indian Hotels Company Ltd (IHCL), announced on Tuesday the launch of its new brand, Vivanta by Taj, a portfolio of 19 properties across the country in the “upper upscale” segment.
Raymond N. Bickson, Managing Director and CEO, while unveiling the new brand here, said the second phase of the company's “rethinking and rebranding exercise” was aimed at “rapid expansion of capacity in the key segment.”
Mr. Bickson said the creation of the brand follows a similar exercise followed by the company while creating The Taj Gateway portfolio of hotels in the “upscale” segment two years ago. “We have added a new hotel every six weeks in the last seven years and we plan to add 60,000-70,000 rooms in the next seven years,” Mr. Bickson said.
Explaining the rationale for the rebranding exercise, Mr. Bickson said, “Our strategy of ensuring domestic dominance could not have been with just the Taj brand.” He said the segmented nature of the market meant that the company addressed demand in “every niche of the business.” The Ginger Hotels at the lowest level, and the Taj Gateway at the upper-end, ensured that the company addressed demand at every level of the hospitality business, he said.
Referring to demand, Mr. Bickson said, “The market is robust, with occupancy rates currently at 62-70 per cent.”
He said IHCL had received Rs.180 crore as “part-compensation” from its insurers for losses suffered during the terrorist attack on the Taj Palace in 2008. “We expect to close discussion with our insurers in the next few weeks,” he added.
Mr. Bickson said 14 more properties would be added to the Vivanta by Taj portfolio in 12-14 months, and four more in 14-18 months. Among the new properties being developed are those in Yeshvantpur (Bangalore), Coimbatore, Hyderabad, and three in Delhi (Dwarka, Gurgaon and Shahdara). In the same period, three Vivanta by Taj resorts will also open in Coorg, Bekal in north Kerala and Srinagar in Kashmir.
