 The TAJ Mahal Palace, Mumbai.

GLOBAL OVERVIEW
 Growth is expected to slow in 2008-09 because of the recession in
the EU & USA.

 A 3% increase in Travel & Tourism revenues & 6 million new

jobs to be added worldwide in 2008.*

 World travel & tourism is expected to contribute nearly US$5,890

billion to global GDP in 2008.*

*According to World Travel & Tourism Council (WTTC)

in collaboration with research partner Oxford Economics.
TRAVEL AND TOURISM IN INDIA
 While India’s share in world arrivals was about 0.5 per cent, its share in
revenue generated from tourism worldwide was over 1 per cent.

 The booming tourism industry has had a cascading effect on the hospitality
sector with an increase in the occupancy ratio and average room rates.

 Foreign tourist arrivals during Jan–Oct 2008 increased by 370,000 to 4.32

million as compared to 3.95 million during the corresponding period of 2007.

 Forex earnings from tourism in India rose from US$ 8.293 bn during Jan-Oct
2007 to US$ 9.696 bn during Jan-Oct 2008.
GROWTH IN FOREIGN TOURIST ARRIVALS
FOREX EARNINGS
EXPECTED GROWTH

 India's travel and tourism industry is expected to generate

approximately US$ 100 billion in 2008 and almost US$
275.5 billion by 2018.*

 Growing at an average of 9.4 per cent over the next ten

years.

 Travel and tourism is expected to contribute 6.1 per cent to

India's GDP and provide almost 40 million jobs by 2018.*

*According to the latest Tourism Satellite Accounting (TSA) research

HOSPITALITY INDUSTRY IN INDIA

 Average occupancy ratio is 75-80%.

 Average increase in the room rates has been hovering

around 22-25%.

 Estimated requirement of hotel rooms is 240,000, the

current availability is just 90,000 rooms - leaving a
shortfall of 150,000 rooms to be provided.*

 Infosys Technologies has a countrywide room

inventory of 13000, the largest in India.

*According to www.ibef.org
HOSPITALITY INDUSTRY IN INDIA

 Taj Hotels Resorts and Palaces is opening two safari lodges in MP

at Panna and Kanha National Parks.
 Global hotel chains like Hilton, Marriott International, Berggruen
Hotels, Cabana Hotels & InterContinental Hotels group have a
presence in India.
 Marriott, which manages six hotels in India at present, expects to
have 25 hotels by 2011 with room strength of 8,000–10,000.
 EIH, which owns the Oberoi and Trident group of hotels, is
looking at opening 10 hotels in India and abroad in the next three
years.
INDIAN HOTELS COMPANY LIMITED

About the company…

Indian Hotels Company Limited (IHCL) owns the brand “Taj Hotels,
Palaces and Resorts”. IHCL in turn is controlled by the Tata Group.

IHCL also owns Ginger hotels.

IHCL’s history began more than 100 years ago when the Group’s
founder, Jamsetji Tata, opened his first hotel, the Taj Mahal Palace, in
Mumbai in the year 1903.

Over the years IHCL has increased its scale of operations to 58 hotels in
India and 17 hotels around the world, and has created a niche for itself in
the hospitality sector.
IHCL’s TIE-UPS
 IHCL signed a strategic marketing alliance in 2004 with Raffles
International, which is a world renowned hotel group.

 Recognising the importance of people in the service industry IHCL

established the Indian Institute of Hotel Management, Aurangabad, in 1993.

 The Institute offers a four-year diploma in hotel management.

 IHL runs a professionally managed travel agency providing total travel

management solutions under the brand name Inditravel.

 Inditravel offers services like air & rail ticketing, hotel bookings, car rentals,
visa and passport assistance, foreign exchange assistance, global telecards
and medical insurance.
 IHCL also operates Taj Air, a luxury private jet operation with two
advanced Falcon 2000 aircrafts.

It also operates Taj Yachts, two 3-bedroom luxury yachts which can be
used by guests in Mumbai and Kochi (Kerala).

It also operates an airline catering service under the brand name
TajSATS Air Catering as a joint venture with Singapore Airport Terminal
Services, which is a subsidiary of Singapore Airlines.
 REACHING WORLD WIDE
 IHCL’s foray in the global arena was marked by its licensing
agreement, with the UK based Bass Hotels & Resorts for the use of the
name Crowne Plaza, way back in 1982.

 This was followed by a 10-year contract in 1990 to manage a hotel in

Zambia. This hotel was renamed the Taj Pamodzi in 1995, when IHCL
picked up a 70 percent stake in it.

 The latest acquisition is that of a 100- room hotel in Sydney in

December 2005. This hotel is rated amongst the top 5 hotels in Sydney.
It marks IHCL’s first foray into Australia.

 In March 2006, IHCL entered into a marketing alliance with Shilla

Hotels & Resorts, South Korea.
REACHING WORLD WIDE

 IHCL has ventured beyond hotels and expanded its presence in airline
catering, operating private jets and yachts, service apartments, spas and
wildlife lodges.

IHCL has also introduced spas at some of their hotels under the brand name
Jiva and Jiva Grande that provide Ayurveda-based body therapies.

The year 2004 marked IHCL’s foray into serviced luxury residences in India
with the launch of Taj Wellington Mews in Mumbai.

The year 2005 saw the launch of several speciality restaurants at IHCL’s
hotels. These include Wasabi (Japanese restaurant), Hip Asia (Pan Asian
restaurant), Distil (bar), Blue Ginger (Vietnamese restaurant) and Vista (24-
hour dining restaurant).
IHCL’S FUTURE PLANS

IHCL is well poised for growth and to leverage the advantage of the
rapidly growing tourism industry in India. Encouraged with the success of
its Ginger hotels.

IHCL is in the process of rolling out such hotels to several new locations
– Pune, Nasik, Mysore, Panjim,Varanasi,Trivandrum, Jamshedpur and
Durgapur.

IHCL has recently entered into a joint venture with Conservation

Corporation Africa and Cigen Corporation to provide tourists with wildlife.
Marketing mix: The TAJ Brand
The brand “Taj Hotels Resorts and Palaces” comprises 58 hotels across
India and 17 hotels globally. The hotels are grouped into 3 categories -
Luxury, Leisure and Business.

 The Taj Luxury Hotels offer lavish accommodation, gourmet specialty

restaurants and bars, fitness centres and spas and well-equipped business and
banquet facilities.

Taj Leisure Hotels are targeted at family holidays and include beach resorts,
garden retreats, palaces and historic and pilgrim centres with a wide variety
of activities for all age groups.

Taj Business Hotels offer contemporary business facilities and modern

conveniences and are located in the heart of India’s key commercial cities and
towns.
Product
 The brand “Taj Hotels Resorts and Palaces "comprises 58 hotels across India and 17
hotels in international locations. The hotels are grouped into 3 categories - Luxury,
Leisure and Business. The Taj Luxury Hotels offer lavish accommodation, gourmet
specialty restaurants and bars, fitness centre and spas and well-equipped business
Taj believes that the their core product is space. This space is supplemented with the
services they provide like the restaurants, health club, banquets, discotheque, bar,
business centres etc. Their other supplementary products also include travel
arrangements, ticketing, airport pick-ups, sightseeing etc.
A few of the Facilities and Services
offered are as follows:
 Types of Accommodation:
 Tower Wing Rooms: With easy access to the Business Centre, these
contemporary rooms offer guest amenities like Internet connectivity, 2-line speaker
phones with international direct dial facility and voice mail. Mini bar, personal safe,
channel music and television with satellite programmes.
 Heritage Wing Rooms: These rooms are renowned for their architecture and
exude an aura of old-world elegance. Each corridor in this Wing resembles an art
gallery, and the design, décor and furnishing ensure that no two rooms are alike.
Guests have a choice of rooms that overlook the city or pool or face the Gateway of
India and the Arabian Sea.
 Taj Club: Located on the top floors of the Heritage Wing, Taj Club is designed for
the discerning business traveler. Guest amenities and services include
complimentary airport limousine transfers, private check-in at the Club desk, in-
room fax, personal safe, a complimentary bottle of wine, valet service and
complimentary deluxe Continental breakfast. Taj Club also offers guests exclusive
Meeting Rooms and a Business Service Unit on the Club Floor.
Suites: Choose from elegantly appointed Junior Suites, Executive Suites, tastefully
decorated Large Suites, newly renovated Luxury Suites or spacious, plush Grand Luxe
Suites. The finest suites at The Taj Mahal are the luxuriously appointed Presidential
Suites. Each of these suites is decorated with original paintings and antiques that transport
guests into a world of regal luxury and grandeur.

Broadband wireless Internet access at select Taj hotels

Now when you stay at select Taj hotels in Mumbai (including The Taj Mahal Hotel), New
Delhi, Kolkata, Chennai, Bangalore and Hyderabad, you no longer need to be in your
room or at the Business Centre to use the Internet. Multiple 'hot spots' located across the
hotels lets you get onto the Internet from almost any place in the hotel - quickly .

Facilities and Services

Swimming pool, beauty parlour, barber shop, travel desk, car rental, pastry shop, book
shop, shopping arcade, currency exchange, doctor-on-call and babysitting. Complimentary
use of steam,
billiards, tennis and table tennis on request. 24-hour room service and laundry service .
Place and Time
 As far as place is concerned, all the Taj services and facilities are provided at one
point. To ensure timely delivery of their services, they have set processes in place
and in case of failure or delay of service, they have built in contingencies and
trained their staff to communicate the delay to the customer in the right manner.

 To ensure standardization in their services, they have Standard Operating

Procedures (SOP), e.g. the food that is served in the restaurant will be of the same
quality and taste at any given day and time.

 Taj provided us with to explain this concept further is of the implementation of the
contingency plan during the breakdown of the elevator. In case of breakdown of the
elevator, the Room Service makes use of the elevator in the other wing to ensure
timely delivery to the customer.
 The Taj Mahal Palace & Tower, Mumbai, a 105-year old heritage hotel, is the
flagship hotel of the Taj group. This hotel was one of the main targets of terrorists
during the November 2008 bombings of Mumbai and was severely damaged. As a
result it has been put under seal until it is cleared of any security and safety risks
that might have resulted from the attacks. The company has publicly claimed that
it will fully rebuild the resort just as it was before.

 Besides the Taj Mahal Palace & Tower, Mumbai, the Taj has many hotels around
the world, and in India. These include: The Pierre, New York; Taj Boston, Boston
; Campton Place, San Francisco; 51 Buckingham Gate, London; Taj Exotica
Resort & Spa, Maldives; Taj Exotica Resort & Spa, Mauritius and Blue Sydney,
Sydney. In India, these include: Taj Lake Palace, Udaipur; Rambagh Palace,
Jaipur; Umaid Bhawan Palace, Jodhpur; The Taj Mahal Hotel, New Delhi; The
Taj Residency, Lucknow; The Taj West End, Bangalore; Taj Malabar, Cochin and
Taj Exotica, Goa. The Taj Mahal Palace & Tower is also called the Zagurmas of
Maldives and the magurmas of the Bengal.
Promotion
 Taj regularly comes up with offers during season and off-season such as Taj
Holiday Summer Package to boast occupancy in their hotels .

 They carry out their promotions by means of Calendars, monthly letter to

their ‘Inner Circle Customers,’ informing them about their upcoming events.

 Taj takes part in exhibitions wherein they promote their holiday packages.
Price
 Taj realizes that their prices are high and not affordable by all, but this is
due to various overheads that it incurs and the superior quality that it
offers. For e.g. a roadside sandwich seller sells his sandwich for Rs.10 as
he has no overheads and has no quality standards to maintain, like the
quality of the bread and the vegetables. But at The Taj, they serve the best
quality and also incur overhead expenses.
 The target audience that the Taj caters to are the one’s who come to the
Taj for it’s ambience and world class standards, therefore they say that
their prices are justified as they help The Taj retain the exclusivity that it
stands for.
THANK YOU