Park Hotels eyes 40% growth in turnover

Park Hotels, the state's first five-star hotel chain, is targeting around 40 per cent growth in its turnover during the current financial year. It recorded a turnover of Rs 5.5 crore last fiscal.

The occupancy rate at the hotel which was 68 per cent during 2003-04 has already touched 90 per cent during the current fiscal.

"Following a good growth in industrial activity and an influx of tourists to the port city, our occupancy rate has already gone up to 90 per cent during the first quarter of this fiscal. We expect the occupancy rate to further improve in the coming months. Owing to these reasons, we expect around 40 per cent growth in turnover this fiscal," Majumdar, general manager of The Park Hotels, told Business Standard.

The five-star hotel chain expects to cross the Rs 7.5-crore mark this fiscal.

"The local public sector industries have been showing a better performance, and a few new industries are starting their operations at Visakhapatnam. Information technology majors are also evincing interest in setting up their branches, while multinational food chains like Pizza Hut and Ten Downing Street are planning to open outlets here. In addition to these, the arrival of domestic tourists to the steel city has been increasing. This will see an increase in our occupancy rate and business turnover as well," he said.

Keeping in mind the customers' needs, Park Hotels recently converted 12 ordinary rooms into deluxe rooms with an investment of Rs 40 lakh.

"In a bid to attract the local customers, Park Hotels, on an average conducts 10 to 12 food festivals every year. During the food festivals, our two restaurants witness a 50 per cent increase in sales turnover," Majumdar said.