Top five-star hotels tap into food-delivery to garner revenue

New Delhi: Top five-star chains across the country are delivering food to homes from their in-house restaurants, in a bid to create an alternative revenue stream. At Indian Hotels Company's Taj hotels in five cities and Delhi's Hyatt Regency, restaurant takeaways and deliveries are open for business respectively. The Oberoi Bengaluru started home delivery on April 1, as did Park Hyatt Hyderabad. The Park Hotels across Bengaluru, Chennai, Hyderabad, Kolkata, Navi Mumbai, and Delhi, too, has begun reaching out to customers through social media. Andaz hotel in Delhi started deliveries within a 15 km radius. Hotels continue to dish out popular but select dishes from their restaurants in the wake of the Covid-19 virus outbreak prompted the ongoing 21-day nationwide lockdown. Last month, ET reported that revenues of branded Indian hotels are expected to be 10-15% lower in February. Following the lockdown, however, as India's largest cities shut, revenues are likely to see a sharper dip. "It has been difficult for our guests to utilise hotel services as dining operations of all restaurants have been closed due to government guidelines. We are receiving orders from our regular customers and are managing deliveries on our own," said Julian Ayers, general manager, Hyatt Regency Delhi. The hotel is also in the process of partnering with third-party aggregators to increase its delivery radius. A recent report by hospitality consultancy HVS suggests that hotels must focus on diversifying revenue through non-core functions like gyms, restaurants and spas. The report titled 'Covid-19: Impact on the Indian Hotels Sector' says hotels must provide services that have traditionally not been part of their core offerings, such as food delivery through online platforms or leasing of kitchens for cloud-kitchen requirements. Overall room occupancy in the branded hotels segment is expected to decline 16.7-20.5 percentage points in 2020, compared to the previous year, the report pointed out. The next quarter will be worse, according to the report. Hotels will be unable to drive rates and may even be compelled to attract business at deep discounts. The Oberoi group's Bengaluru property, when contacted by ET, said that it had exhausted their delivery slots, and were taking advance orders. An official query sent to the group remained unanswered till press time Sunday. The Park's offerings starts at Rs 250. The hotel group, in an unusual move for five-star properties in the country, has partnered with food delivery majors Swiggy and Zomato deliver food. “We are getting reasonably good response in Navi Mumbai, Kolkata, Bangalore, Hyderabad and Kolkata. We are getting almost 10 to 15 orders in a day and that is gradually rising,” a spokesperson for the group said. “From our kitchen to your home,” read a Taj Palace New Delhi brochure offering select dishes from in-house restaurants Capital Kitchen and Spicy Duck on takeaway basis only. Yellow Brick Road Kitchen at the Ambassador in New Delhi is also offering select dishes on takeaway. "We have been receiving several calls from our regulars asking if we could deliver to their homes. Currently, the hotel is still operational with limited in-house guests and we have our kitchens open to ensure they are as comfortable as possible," said a spokesperson of the Park Hyatt in Hyderabad. However, the hotel said it would not go into bulk deliveries. "Currently, we are managing with our internal logistics. The objective is to reach out to our loyal and regular guests and not go into bulk deliveries through third-party aggregators," the spokesperson added.

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Travel agents shall issue refunds only after they receive the same from airlines: TAAI

The Travel Agents Association of India (TAAI) has said that all refunds/credits/vouchers shall be given to customers only after agents receive the same from airlines and IATA (International Air Transport Association). TAAI argues that member agents have been left in the lurch by airlines that are non-committal on the refund amount and date, and have also disabled the refund mechanism on GDS systems. “We state that, the travel agents/tour operators have paid 100% to the airlines, for all tickets that have been issued, till date. Our member agents want to process the refunds, for the tickets issued by them for their customers, but majority of IATA member airlines, have disabled the refunding mechanism on the GDS systems for agents. Agents are now required to manually process refunds through Refund Authority with IATA, whereby the airlines are being non-committal on the date and amount of repayment of airfare. Most low-cost carriers (LCCs) too are not refunding the airfares and are creating a credit shell favouring the passenger, to be used for future dates.” With the ongoing COVID-19 crisis, air passenger transport in India and globally has come to a complete halt. This has resulted in air ticketing agents and package tour operators being the worst hit as intermediary between airlines and customers, and struggle with en masse cancellations. Amid the nationwide lockdown enforced by governments to arrest spread of COVID-19, customers are cancelling bookings and claiming refunds for services and products to be unutilised by them, and use the capital as a safety measure to cope with the global recession that has set in To address the refund claims, TAAI has raised strong objections with all airlines, as well as with IATA. “We have asked the Ministry of Civil Aviation (MoCA) to direct the airlines to refund all monies. Most airlines are offering credit vouchers in the name of the passengers which are valid for 365days and a couple of them are offering credit vouchers for up to 760 days. Further, additional funds of the agents are blocked with the airlines which have been paid by way of advances in float accounts of low-cost carriers operating in India,” Mayal added. According to Jay Bhatia, Vice President, TAAI, if the situation starts resuming to normal after April 15 when restrictions, hopefully are lifted, the refund process, if authorised by the airlines, may take from 15 days to at least 3 months, depending on the airline and how the situation across the globe remains. “Currently, most of the airlines are not giving waivers on the cancellation charges. They are not refunding the amounts in cash. They are only giving credit vouchers favouring the passenger, whereby name change shall not be permitted. During this time difficult time of survival, we are working closely with MoCA and IATA daily, to find a suitable solution, to resolve the refund issue, in the interest of the passenger, along with support from Federation of Associations in Indian Tourism and Hospitality (FAITH).” Bhatia stated that they have told their members to inform and assure customers who desire to refund their tickets, that they shall be updated as soon as cash refunds/credits/vouchers are received from the respective airlines/IATA, for the tickets issued.

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Tourism bodies demand RBI’s 3-month moratorium on loan repayments be extended to 12 months

Tourism stakeholders have raised concerns that the government failed to address the survival crisis being faced by the industry in the wake of the coronavirus pandemic and said immediate steps need to be taken to help out the sector. This was conveyed in a video conference meeting with senior officers of the Ministry of Tourism on Friday. The Federation of Associations in Indian Tourism & Hospitality (FAITH), Confederation of Indian Industry (CII), Federation of Indian Chambers of Commerce and Industry (FICCI), PHD Chamber of Commerce and Industry (PHDCCI) and Internet and Mobile Association of India (IMAI) participated in the meeting. They demanded that the RBI’s three-month moratorium on loan repayments amid disruptions caused by the coronavirus outbreak be extended to 12 months and that the interest accrual should stop during that period. The tourism bodies also suggested that some loans for the industry (tourism) should be restructured. "Secretary-Tourism updated us that across all the key ministries of the government, it has been widely acknowledged and accepted that Indian tourism industry will be one of the worst hit from this pandemic. He mentioned that this is of very high concern to the government and this acceptance, itself, within the government is a big move forward for us. We hope that our relief measures will be prioritised accordingly soon,” Ashish Gupta of FAITH who attended the meeting is reported to be said. In a statement, the tourism ministry said that the industry put forth a number of ideas and suggestions for tiding over the crisis created by COVID-19 in the sector of tourism and hospitality. "The ministry on its part shared the concerns and also assured the associations that the government was very much with them in this grim hour and that it would work towards the suggestions put forth. A lot of thrust on promoting domestic tourism was a common takeaway,” it said. "The ministry is using its social media handles to create awareness on the need to stay at home and be safe in the period of lockdown, and prepare to travel once the world opens up," the statement said.

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72-hour CODE19 online hackathon to begin in India on April 10

72-hour CODE19 online hackathon to begin in India on April 10 New Delhi, April 6 (IANS) California-based Motwani Jadeja Foundation on Monday announced a 72-hour online hackathon called ''CODE19 to find solutions to Indias challenges against the new coronavirus pandemic. The contest, to begin from April 10, is expected to see over 3,000 participants with prize money worth $10,000, the foundation said in a statement. The online hackathon is open to everyone as individuals and teams, without any criteria or age limit. The winners would be announced on April 14. "CODE19 aims to create qualitative, open-source projects that would help solve the most pressing problems of the Coronavirus crisis in the country," said Founder-philanthropist Asha Jadeja Motwani. Projects are divided into eight specific themes: Medical treatment and testing; travel and tourism; mitigation-isolation, protection/masks and social distancing in India; social life, welfare and awareness; research and development; open innovation for COVID-19; education and awareness; and industry. Code19India is being held in collaboration with Bengaluru-based HackerEarth. The Association of Designers in India (ADI) will help in providing mentors through its network.

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HP tourism industry demands special package to cope amid lockdown

The tourism industry stakeholders here have demanded a special package from the state government to sustain the Covid-19 lockdown period. Association president Mohinder Seth said that it might take at least 12 to18 months to bring the Himachal tourism industry back on the rails even after normalisation. This is because the main contributing states, including Maharashtra, Gujarat, Rajasthan, Delhi, and parts of south India are badly affected due to the coronavirus crisis. The association has demanded that the relief package should cover water, electricity, sewerage cess and garbage collection fees, besides property tax and demand charges by state power board. Apart from this, the body has asked the government to consider liberal working capital limits, term loans and enhancement of existing limits with nominal rate of interest. “The country-wide lockdown due to Covid-19 ahead of summer has dealt a blow to the tourism industry which is dependent on seasonal business. The sustainability of tourism units – hotels, travel agents, restaurants, taxi operators – is hanging in the balance as 100 % bookings for the coming season have been cancelled,” said Seth. There has been a steep decline in the inflow of tourists and hotel occupancy suffered further due to online travel companies offering accommodation for as low as ₹400 to ₹500 per day. Due to this, the hotel industry had to fill the gap of operational costs of their units either by raising loans or by liquidating their deposits. More than 95% of tourism units in the state are small and medium enterprises. These units hardly have any cash reserves to ensure payment of staff salary, electricity and water bills, taxes, loan interest, rent, insurances and repair and maintenance costs.

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Tourism department forms task force to revive industry

JAIPUR: With the lockdown all set to be lifted in a week’s time, the state tourism is looking at ways to revive the industry that has been in the eye of the pandemic. The department on Monday constituted a stakeholder forum consisting senior officials and representatives from industry bodies like FICCI, CII, Rajasthan Association of Tour Operators and Indian Heritage Hotels Association to thrash out ways for rebooting the sector. Sreya Guha, principal secretary, department of tourism, said Rajasthan was the first state to give relief to the sector last month by lowering the bar licence fees and was now planning to reimburse state tax. Speaking at a FICCI webinar, she said the industry had been badly hit and they would hold discussions to find out what the industry needs to become sustainable. “Now, the industry is under complete shutdown. But we need to have a plan for revival before the lockdown is lifted,” she said. With regard to the opening of restaurants, she said there has to be a holistic decision and the medical and health department’s views have to be taken in. Since the source markets for tourism have been roiled by the pandemic, the department thinks the focus should be on domestic segment. She said that it would take up to two quarters for the foreign tourists to start coming after the travel restrictions are lifted. But the focus would be on domestic tourism, she said. “We are planning to come up with some plans before the lockdown is lifted. In a gradual way, we can look at opening the monuments as well,” said Guha

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