Oyo's Expansion Plan: From Goa to Religious Spots — India Report

Skift Take
Hospitality company Oyo has tied up with the Goa tourism department to launch its accelerator program in the state. Under the program, small first-generation hoteliers will be supported by Oyo to expand their operations across the state.
In a statement, Oyo said it is planning to add over 500 hotels in the state over the next one year through its joint initiative with the department. It is also hoping to generate more than 5,000 new jobs.
The initiative will help new hoteliers to enter new markets and expand their customer base. The program will provide them with mentorship, technology, as well as financial support.
Earlier this month Oyo said it would require proof of marriage for couples checking into hotels in the city of Meerut.
Oyo’s Expansion Spree: Expansion in Goa aside, Oyo has also announced its plans to add 500 hotels in major religious centers across India as spiritual tourism in the country booms. The company will focus on Ayodhya, Varanasi, Prayagraj, Puri, Haridwar, Mathura, Vrindavan, Amritsar, Ujjain, Ajmer, Nasik, and Tirupati.
In Ayodhya alone, it is planning to add over 150 hotels in response to the growing demand for accommodation since the consecration ceremony of the Ram Temple last year.
It will also open 100 hotels in Varanasi, which is witnessing a major influx of tourists since the inauguration of the Kashi-Vishwanath corridor in Varanasi in December 2021. Uttar Pradesh tourism deputy director Preeti Srivastava had earlier told Skift that since the inauguration of the corridor, in 2022 and 2023, a total of more than 130 million tourists visited the pilgrim city.
“We are collaborating with the tourism departments of all major states to better understand their specific needs and priorities,” said Oyo chief operating officer Varun Jain. “Our focus is on launching strategically located hotels, particularly in key religious centers. We are also actively monitoring emerging trends in religious tourism, including shifts in visitor preferences, seasonal travel patterns, and the growing popularity of lesser-known pilgrimage destinations.”
IndiGo Looking to Fast-Track Long-Haul Launch
Indian low-cost carrier IndiGo returned to profitability in the third quarter of fiscal 2025, and CEO Pieter Elbers said the airline is looking to speed up the deployment of long-range aircraft, Skift has reported. In an earnings call on Friday, Elbers said that the airline is “exploring interim solutions for an earlier introduction of long-range aircraft to our fleet through wet leases.”
“Amidst all the supply chain disrupted environment, we have developed a capability of leveraging secondary market capacity to cater to the robust demand," Elbers said. "And we're hopeful that soon, we will be able to cater to the demand in the long-haul markets.”
Last year, IndiGo placed its first-ever order for widebody aircraft: 30 Airbus A350-900 jets.
IndiGo has strengthened its fleet and network: The airline added 27 aircraft, bringing its total fleet to 437, which includes next-generation A320 NEOs and long-range B777s. It now operates to 89 domestic and 34 international destinations.
MakeMyTrip Finds New Growth in Spiritual Tourism
Spiritual tourism has emerged as a growth driver for MakeMyTrip. In an earnings call last week, MakeMyTrip Co-founder, Group CEO and Director, Rajesh Magow said, “Pilgrimage travel happens year-round. There’s no season for it.”
To cater to this growing market, MakeMyTrip has introduced features for its accommodation booking platform designed to improve accessibility and convenience for travelers visiting spiritual hubs. These include wheelchair-friendly accommodations, proximity filters for religious sites, and vegetarian meal options.
The company’s homestays business has also seen substantial growth in pilgrimage cities, driven by increased supply in destinations like Varanasi and Ayodhya.
Magow also shared that there is a rising demand for tourism fueled by large-scale concerts and events, which Skift calls “Live Tourism.” According to Magow, approximately 75% of the attendees for the recent Coldplay concerts in Mumbai traveled from outside the city.
Aviation Watchdog Asks Airlines to Regulate Fares for Mahakumbh
The Directorate General of Civil Aviation (DGCA) has asked airlines to monitor airfares amid the influx of devotees traveling to Prayagraj for the Mahakumbh gathering. It held a meeting with airline representatives last week and asked them to rationalize fares by adding flights to increase capacity.
In order to cater to the growing demand for Prayagraj, DGCA has also approved 81 additional flights to the city. With this, Prayagraj has a connectivity of 132 flights from across the country, it noted.
Online travel agency Ixigo had earlier shared that flight bookings to Prayagraj during the Mahakumbh have recorded a 162% year-on-year increase. This has also led to a surge in airfares. The price of the Bengaluru-Prayagraj route has increased nearly 90%, while the Ahmedabad-Prayagraj route fares increased by 41%, Ixigo showed.
“One-way airfares from major metros to Prayagraj and surrounding airports are averaging between INR 7,000-10,000 ($80-120) if booked 30 days in advance. However, on certain routes like Bhopal-Prayagraj, fares are reaching up to INR 17,000 ($200) one way due to peak demand and limited flight availability,” said group CEO Aloke Bajpai.
India’s Tourism Sector to Witness Job Growth
Employment in the tourism industry in the second half of the 2025 fiscal is expected to grow at over 8%, according to staffing solutions company TeamLease Services. The company released its employment outlook report for the period between October 2024 and March 2025. As per the report, 66% of the surveyed organizations in the sector are planning to expand their workforce.
TeamLease said that the hiring momentum is being driven by increased adoption of smart tourism technologies, more activities in the meetings, incentives, conferences, and exhibitions (MICE) segment, and growing focus on sustainable tourism practices. These changes are leading to new roles coming up in the sector.
Digital talent solutions company NLB Services also expects rapid development of the smaller cities to generate 24 million jobs in the Tier-2 and 3 markets by 2033, with these cities emerging as key contributors to the tourism sector. The firm said that improved connectivity, rise in staycations, and growing inclination for religious tourism is driving the growth of these areas.
The company expects the 40-day ongoing Mahakumbh 2025 festival alone to generate about 1.2 million gig and temporary jobs, including hotel staff, tour guides, and travel coordinators to manage the influx of visitors.
Domestic Air Traffic Surged to 161 Million in 2024
Domestic air traffic in India increased by 6% in 2024 compared to a year earlier, according to data from the Directorate General of Civil Aviation (DGCA). A total of over 161 million Indians traveled within the country last year.
DGCA data further showed that in December alone, nearly 15 million passengers traveled through air, an increase of over 8% year-on-year.
In the month of December, IndiGo continued to dominate the Indian aviation industry with a market share of over 64%, while Air India’s share crossed 26%, owing to its merger with Vistara.