Accor India’s budget brand Formule 1 is betting big on demand from domestic corporate and leisure tourists to drive its expansion. The company expects to have 10 operational hotels by the end of next year. Currently, the hotel chain has four operational hotels in Greater Noida, Bangalore Whitefield, Ahmedabad and Pune-Hinjewadi.
Philip Logan, Vice-President, Formule 1, Accor India, said, “We are targeting young travellers aged 23-33. Our hotels feature flat screen TVs, high-speed wi-fi and modern sound-proof room. We outsource the food and beverage and have smaller public spaces, but we offer safety and security standards that are as good as an upscale hotel. The consumer pays for what they use.”
The company has 19 committed deals for expansion of Formule 1 hotels in India. Of this, it is building 15 hotels in collaboration with hotel investment and development company, SAMHI. Last year, the company divested 60% stake in the 15 wholly-owned hotels to the firm. In addition, it is striking management contracts with other developers. It recently struck a deal with a developer in Lucknow. “The hotels on an average will have 100-120 keys, which can go up to about 200 rooms,” said Logan.
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