India holding the G20 presidency provided an exceptional opportunity for the hospitality sector, as it led to an increase in international tourism, resulting in a surge in demand for accommodation, dining, and other hospitality services. This global event also allowed the country to showcase its diverse tourism sector, local arts, crafts, cuisine, culture, and infrastructure, especially in non-metropolitan cities.
But how is it going to impact the future of the industry? Rajan Bahadur, CEO, Tourism and Hospitality Skill Council, elaborates, “The G20 summit is a major event that is likely to have a significant impact on the hospitality industry in India. The increase in room rates is just one of the ways in which the summit could impact the industry. The long-term impact of the summit will depend on how well the hospitality industry responds to the increased demand for hotel rooms.
Enhanced Reputation: Hosting a major international event like the G20 can enhance the reputation of the host city and country as a desirable destination for business, tourism, and events. This positive perception can attract future conferences, exhibitions, and high-profile events, leading to sustained growth in the hospitality industry.
Infrastructure Development: To successfully host the G20 summit, the host city often invests in upgrading its infrastructure, including transportation, accommodation, and conference facilities. These developments can have a long-lasting impact on the hospitality industry by improving the overall tourism infrastructure, last mile connectivity and attracting more visitors in the future.
Increased Tourism: The exposure and media coverage associated with hosting the G20 summit can increase awareness about the host city and country as a travel destination. This heightened visibility can attract a broader range of tourists, both domestic and international, resulting in increased demand for hospitality services.
Business Relationships: The G20 summit brings together world leaders, policymakers, and business executives, providing a platform for networking, collaboration, and business opportunities. The interactions and connections formed during the summit can foster long-term partnerships, trade relationships, and investments, indirectly benefiting the hospitality industry.
Skill Development: Hosting the G20 summit requires a skilled workforce to cater to the unique needs of the event. The training and skill development initiatives undertaken by the hospitality industry to meet the demands of the summit can enhance the overall skill set of the industry’s workforce. This can lead to improved service standards and professionalism, benefiting the industry in the long run.
Destination Marketing: The G20 summit offers an opportunity for destination marketing, where the host city and country can showcase their attractions, cultural heritage, and hospitality to a global audience. This exposure can contribute to long-term brand building and attract tourists and business visitors even after the summit concludes. However, it’s important to note that the long-term impact on the hospitality industry depends on effective follow-up strategies and sustained efforts to leverage the exposure gained from hosting the G20 summit. The host city and industry stakeholders need to capitalize on the positive momentum generated by the event and continue to invest in infrastructure, marketing, and service quality to ensure the long-term growth and competitiveness of the hospitality industry.
