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It's F&B that keeps cash register ringing at luxury hotels, not room tariff

Most premium properties earn at least half their revenues from food and beverage sales

Taj Mansingh
Taj Mansingh hotel

A hotel business is not just about rooms.  The fast-growing food & beverage (F&B) division contributes 50 per cent or more to luxury hotels' revenues. The segment had come under pressure following the Supreme Court order in December 2016, which banned the sale of liquor at outlets within 500 metres of a highway. The court, however, clarified eight months later that the order did not apply to cities and municipal areas. Hotels, including Taj, Oberoi, Novotel and Radisson, earn a significant share of revenues from the food and beverage business. Leading ...