Skift India Report

India's hotel industry has gaps and enough potential to warrant significant growth over the next few years. But whether the players will be able to capitalize is a different question altogether.

The Indian aviation industry is rapidly growing, but continues to be underserved, be it in terms of airports or airlines. This creates a significant opportunity for new players to enter the market and fill the gap.

Buses are key to last mile travel in India, connecting people from smaller Indian towns to international and domestic destinations. The funding reflects a positive outlook of investors towards the bus industry as more online players enter the segment.

Indian celebrities enjoy a significant following in the country and can influence the decisions of their fans. Hilton's partnership with Sidharth Malhotra comes months after it collaborated with actor Deepika Padukone.

Research firms and the tourism industry are bullish on the potential of India for both domestic and international travel. Credit Ratings agency CRISIL has projected that a record 30 million Indians will travel overseas this year.

India's move to allow visa-on-arrival to Japan, South Korea, and the UAE nationals can significantly boost international tourism, given the close ties and proximity of the three countries to India. But is it enough?

With each long weekend, Indians are finding new destinations for travel. Scenic beauty and easy visa norms, however, continue to be a factor in how they make their booking decisions.

Tourism in India is growing, especially from domestic travelers. This is leading to a robust demand for accommodation across the country. But the India hotel industry needs to provide enough supply.

India's aviation sector is expanding and people from smaller cities are increasingly looking to fly. Keeping airfares in check is key to ensuring that air travel remains accessible to the Indian middle class, particularly as it makes up for about a third of the country's population.

International visitor spending in India in 2023 was 14% below pre-pandemic levels. UPI One World wallet eliminates the need for international travelers to carry currency, and could boost tourism spending in India.