The drop in the value of the rupee has not been auguring well for Indians. During 2013, travellers from India paid more for their hotel rooms as the drop in value of the rupee made traveling abroad more expensive. In fact, Indian travellers paid more for hotel rooms in three out of every four destinations abroad, according to latest Hotels.com Hotel Price Index (HPI).
On the other hand, global travellers on an average paid 2 per cent more on hotels in India in 2013 as compared to 2012 (a national rate of Rs 6,278). Moreover, there were drops in 5-star and 4-star hotel room rates within India itself, making luxury available for less. Delhi saw a 12 per cent drop in 5-star room rates whereas Mumbai saw a 7 per cent drop.
According to the HPI report, Indian metros dominated the list of top five Indian destinations for international travellers. Delhi Mumbai, Goa, Bangalore and Chennai being the top cities. On the other hand, Bangkok, Dubai, Singapore, London and Hong Kong are the top five favourite international spots for Indian travellers.
On the whole, global hotel prices have been rising. The average price of a hotel room around the world rose 3 per cent during 2013. This is the fourth consecutive year of steady rises since the falls during the financial collapse of 2008/9. Set at 100 in 2004, the HPI tracks real prices that hotel guests actually paid for their accommodation around the world. The HPI for 2013 stands at 110, seven points lower than its peak in 2007 despite the recent growth, and just ten points higher than at its launch. Hotels.com is a leading online accommodation booking website and an Expedia company. The current HPI report for 2013 focuses on India.
According to the HPI, travellers from Hong Kong spent most money to stay in India in 2013. They paid Rs8,061, which is 6 per cent more from what they paid in 2012. Visitors from the Middle East were in second place at Rs7,909 after a rise of 3 per cent, and South Africa were third as a rise of 4 per cent took them to Rs 7,594.
Although the rupee fell 12 per cent during the first 11 months of 2013, there was not a corresponding rise in the number of inbound visitors. There was still growth of 4 per cent but this was less than in recent years. Local airlines had to increase air fares to compensate for the impact of the currency devaluation and the rise in oil prices, the report noted. The impact of the easing of vias rules, it predicted, will be felt only later in 2014.
