Taj Hotels is on the prowl for more properties in overseas markets. The Tata group's hotel chain, which is targeting an equal revenue share from its domestic and international businesses, has been busy extending its global footprint.
It already has16 properties in locations as far flung as Australia, the UK, the US, Maldives, Malaysia, Bhutan, Sri Lanka, Africa and West Asia.
“We will be launching our 17th overseas property in Morocco in the next few months. It will be followed by one in Beijing,” says Mr Raymond N. Bickson, the CEO and Managing Director of Indian Hotels Co, which owns the Taj hotels.
Right now, the Group earns 70 per cent of its revenues from domestic operation. Going forward it is targeting a revenue ratio of 50:50 from its domestic and international businesses.
The plan is to take the total number of overseas properties to at least 50 in the next few years. However, Mr Bickson, speaking on the sidelines of the launch of the Vivanta property in Coimbatore recently, said the growth outside India will be mostly through the asset-light model. “At best, we may go in for a partial ownership in those markets,” he said.
According to Mr Bickson, in China alone, Taj plans half-a-dozen properties in the next few years. The group will launch its first China property – Taj Temple of Heavens in Beijing. The 200-room property will be in the luxury segment. It is also planning a 300-room Vivanta by Taj property in Hinan. And it has signed a pact with the Yunnan Tourism Co for two more properties in that province. “Talks are in advanced stages for a couple of more properties in China,” says Mr Bickson.
Taj is also on the lookout for properties in markets such as Paris, London, Frankfurt, Zurich, Melbourne, Singapore, Brazil, Dubai, Abu Dhabi and sub-Saharan countries. Mr Bickson believes that to compete with multinational brands effectively, the brand needs to have considerable number of hotels in global destinations.