Mysore hotel outsources management, marketing

A Mysore-based hotel has joined the outsourcing bandwagon. Vivek Hotels, the holding company of the well-known Kings Kourt hotel, has entered into a 10-year agreement with Sarovar Park Plaza, a hotel management company, to handle Kings Kourt's hotel management and marketing services.

According to the agreement, Vivek Hotels will pay an initial joining fee to Sarovar to join its network. This is in addition to the franchisee fee. In turn, the Sarovar company will manage and handle the marketing services of the Kings Kourt Hotel.

It will also pay Vivek Hotels a share of the annual turnover. As part of the deal, the Sarovar company will also invest Rs 2.5 crore for modernisation of the 56-room hotel, Vivek Hotel managing director L Vivekananda told Business Standard.

Kings Kourt hotel has an annual revenue of Rs 3 crore of which 50 per cent is from businesses, 20 per cent from tourists (10-15 per cent from foreign visitors) and 30 per cent from individuals.

Sarovar Park Plaza is the exclusive master franchiser in India for Park Plaza and Park Inn brands of Carlson Hospitality Worldwide, the world's largest hospitality conglomerate. The deal is aimed at establishing Vivek Hotels as a prominent player in the international market and boost local tourism.

The agreement encompasses refurbishing the rooms, setting up an additional restaurant, a pub, a board room, a swimming pool and a fitness area, besides staff training. The specialty restaurant will have banqueting facilities of international standards.

Seasonal festivals, heritage festivals and cultural feasts are being planned to promote Mysore as one of the top tourist destinations in India. Plans are to complete the revamping in six months.

"The tie-up will mark an important presence in one of the fastest growing southern states. Mysore and Kings Kourt will both be the finest in hospitality and travel and tourism initiatives. The association will also promote Mysore in the international arena as a destination for high-end corporate and leisure traveler," said Sarovar Park Plaza Hotels & Resorts Managing Director Anil Madhok.