“Business is definitely sluggish and estimated to be lower by 15-20 per cent compared to last year,” said Girish Oberoi, joint honorary secretary at FHRAI (Federation of Hotels and Restaurants Association of India). “The industry was expecting a higher tourist turnout due to heavy snowfall this year, but the ground results have not been encouraging.”
The tourism industry in Himachal Pradesh is worth about Rs 5,000 crore and has a network of about 2,500 hotels and guest houses. Those who cater to niche markets have been less affected, but smaller entities registered lower volumes during Christmas and New Year this season.
“The bird flu scare in Chandigarh, which erupted during the same time, also spread panic among travellers and undermined the travel plans of many tourists travelling from different parts of Haryana, Delhi and Uttar Pradesh to the hills of Himachal,” said Akash Garg, managing director of Asia Resorts Private Limited, which runs Timber Trail.
It was only weekend tourists that provided some cushion to hoteliers, as business remained tepid during week days.
Small players are affected the most by any change in weather. Boutique hotels catering to the high-end segment remained insulated, being equipped with better marketing and sales teams to ensure a consistent flow of business.
Amish Sood of Chalets, Naldhera, near Shimla, said that tourists are enjoying the ‘white cold’ and facilities like the all-weather swimming pool, underwater bar and revolving restaurant at his property have been able to draw tourists from the premium segment.
There may be a few like Sood, who offer specialised services at a cost and are not affected, but conventional players are worried.
Realising the constraints of small players, the FHRAI has been trying to bring them up to speed in avenues such as electronic portals and web-based, cost-effective sales promotion.
Small players often fail to cash in on the boom in demand owing to ignorance about reaching out to target audiences, said Oberoi. Nor do all potential travellers have the necessary information about hotel properties that suit their budgets.
The FHRAI has been organising seminars to empower small entrepreneurs. The availability of trained manpower is a big challenge for small hotels. So FHRAI, under the ‘Hunar Se Rozgar’ scheme of the Union government, has been trying to engage with youth, so that they can get absorbed in local hotels.
The association, he added, has been creating synergies with Food Craft Institutes to train people in the smaller towns, as smaller properties find that untrained manpower is a big hurdle in building brands.
New laws framed by the government, such as the Food Safety and Security Act recently passed by the government, are also discussed with the smaller players to ensure better compliance.
Himachal Pradesh’s poor connectivity is also a problem. Traffic jams in the wake of snowfall aggravated the miseries of travellers and dissuaded many from visiting the snowcapped hills in the peak winters, Oberoi added.
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