Noesis Capital Advisors unveils 'The Conversion Landscape: A 360-degree view of hotel rebranding phenomenon in India

Noesis Capital Advisors, India's leading hotel investment advisory firm has unveiled an exclusive research report on the hotel-rebranding phenomenon in India. Titled ‘The Conversion Landscape’ this 20-page milestone report offers one of the most comprehensive studies on rebranding transactions by the most prominent brands.

The report reveals the evolution of conversion phenomenon in India, steps involved in property conversions, property operational plans and top conversions by prominent hotel groups in last 3 years. The study also provides insights into various opportunities for conversions growth, common disruptors and other key highlights. While hotel-rebranding phenomenon is decades old, the report takes a closer look at many of its facets like performance evaluation, brand positioning, key benefits, its downfalls and how to strike a perfect balance in this act.

“Conversion has been widely resorted to as an expansion tactic by hoteliers, in order to increase their market share quickly with minimum investment of time and resources. While standalone hotels undergo conversion for a multitude of reasons like a shift in corporate strategy, aging of the property or demographics, the most popular reason remains empire building. Strategically, the phenomenon of hotel rebranding is quite logical, given the intensity of competition in the hotels industry. However successful hotel conversions take more than just change of hands - it needs a carefully crafted strategy, with underlying market awareness.” says Nandivardhan Jain, CEO, Noesis Capital Advisors.

As per Noesis research, for the given database, 7972 rooms have been conversions in the organized space during the last 3 years. InterContinental Hotel Group (IHG), Radisson, Taj Hotels, Marriott and Lemon Tree are the brands, which saw highest numbers of conversions. These operators collectively accounted for nearly 70% of room count of converted properties. Royal Orchid, Sarovar, Wyndham, Bloom, Lords, Mint and The Fern are other prominent hotel chains that have expanded their footprints nationally using conversion tactics. Taj and Hyatt meanwhile have opted for internal rebranding.

The whitepaper further cites how Intercontinental Hotel Group’s (IHG) all-out expansion strategy by taking over 14 of SAMHI’s properties and converting them to Holiday Inn Express was a game changer. Since all hotels are expected to be operational within a year’s time span, IHG’s total hotel count in India will increase to over 40.

‘Conversion-friendly’ brands allow a quick entrance to newer markets, while also simplifying the entire cycle. When a renowned brand takes over a hotel, the property is expected to demonstrate a few spontaneous results. However to supplement and bankroll the Property Improvement Plan, a rebranding exercise needs a Property Operational Plan. These supplements include comprehensive sales & marketing program, an operational and HR standard operating procedure for continual performance levels,” adds Nandivardhan Jain.

About Noesis Capital Advisors:

Since its inception, Noesis Capital Advisors has provided consultancy and advisory services to more than 1900 hotel owners, hotel operating companies, hotel investors and financial institutions. Its reach is in more than 60 cities of South Asia where it is servicing 68 international, national and regional hotel brands across various hotel formats ranging from ultra luxury to economy segment. Integrated professional services like Feasibility Study, Project Management, Transaction Management, Debt Syndication and Private Equity, are some of the services provided by the firm.

The company has on its portfolio some of the most well-known and respected names in the hospitality sector like the Marriott International, Hyatt, IHG, Accor, Radisson, Wyndham, Lemon Tree, ITC Hotels, StayWell, Ginger, Fern, Sarovar, Bloom Hotels, VITS, Royal Orchid, Mint Hotels among others. Noesis has a mandate from mid & budget hotel chains that are looking for a rapid expansion across South Asia and UAE.

Started in 2009, Noesis Capital Advisors has created a niche for itself in hotels-specific real estate, with their client focused advisory approach. Their professional and expertise driven services have been widely sought by International and National hotel chains, Real Estate & hospitality funds and National Developers. The firm has a diverse talent pool of professionals who have a firm grasp on the pulse of local Indian market trends with hands on experience at grass root level.

With a vast range of clients, Noesis advisors specialize in budget hotels, hotels in mix use developments, serviced apartments, mid-segment hotels, resorts, and luxury Hotels. With a broad as well as specific approach towards hotel real estate consultancy, services differ as per clients. For hotel chains, Noesis provides strategic consulting and research, with project, property and portfolio management. For hotel developers, consultation is more specific to auctions, capital market and project management. Hotel investors on the other hand are offered corporate finance, capital placement, investment sales and valuation advisory services.Noesis Capital Advisors unveils 'The Conversion Landscape' research report on the hotel-rebranding phenomenon in India.