India’s luxury market, growing at a CAGR of 13 per cent, has given an impetus to luxury travel business as Indian HNIs travel the world seeking bespoke, authentic holiday experiences By Sudipta Dev
The luxury travel market in India is witnessing a new high. A recent report ‘Shaping the Future of Luxury Travel’ commissioned by Amadeus reveals India’s luxury market compound annual growth rate (CAGR) of 13 per cent. This is higher than any of the other BRIC nations, and is the highest of the 25 countries surveyed in the report. From local cuisine to community interactions, from cultural insights to creative engagements – Indian tourists seek authentic and meaningful experiences. While the outbound luxury travel segment has seen a steady growth over the years, within the country many curated products are being offered to the new age traveller for unique experiences of the land.
The definition of luxury travel has changed in the last decade; today for travellers it is all about experiences, and not just the destination. “We are catering to a traveller who has travelled widely and is in search of newer experiences,” says Karan Anand – head, relationships, Cox & Kings. The new luxury tourism destinations in Europe include Scotland and Ireland, the Lake District in the UK, Chamonix Valley in France, and Zurich, Interlaken and Gstaad in Switzerland. “Russia and Japan have also become the flavour for Indian luxury travellers. In Africa, Tanzania and Zambia are the new destinations for spotting wildlife,” mentions Anand, pointing out that for long haul travellers USA, Australia and New Zealand also hold a lot of appeal. He avers that while there will always be a huge demand amongst Indians to travel business or first class and stay in luxurious suites, when they travel across the world, a segment among them are also looking for different experiences. “These range from travelling by a private jet within India to taking a ride onboard the Deccan Odyssey,” states Anand. Cox & Kings was handed over the operation and marketing of the Deccan Odyssey by MTDC in 2014. Cox & Kings refurbished the train and made changes for the contemporary luxury traveller. “It has borne fruit. In 2015-16 our passenger count went up by 40 per cent compared to 2013-14 and we increased the number of departures from 16 to 23,” reveals Anand.
Unique concepts
Rare Destinations and Experiences advocates a different kind of luxury; offerings are as conceptual as they are diverse, ranging from homestays to jungle lodges, palace hotels to hill retreats, wellness spas to luxury camps. “Some unique concepts we have on board which seamlessly align with some of the best luxury hotels in India are Chhatra Sagar, Shahpur Bagh, Ranvas, Niraamaya Retreat, etc. Each one is conceptually unique,” says Shoba Mohan, MD, Rare Destinations and Experiences. She believes the evolution of luxury travel will see more active vacations. For example, cycling, driving, trekking etc and hobby holidays that include painting, photography, cooking etc.
There is also a conscious decision among these luxury travellers to opt for ethical luxury. “Luxury that is insensitive to the destination is something HNI and world travellers are becoming more and more aware of, hence destination hotels that have an intrinsic community development perspective, conservation angle, art or craft initiative or learning objective are some concepts that are driving choices,” says Mohan, adding that luxury offerings in India are yet to strongly promote messages for conservation and development strongly.
Seeking the authentic
Luxury today relates to authenticity and meaningful experiences and focused efforts are being made by a few like Joerg Drechsel, creative director, Malabar Escapes. “Kerala has a lot of authentic experiences to offer – the hills with its spice plantations, the unique backwaters, ayurveda, yoga, cuisine and all the wealth of a composite culture in a rich tropical setting,” says Drechsel. Malabar House in Fort Cochin is the first Relais & Chateaux property in India. All Malabar Escapes properties offer highly personalised and friendly, yet discreet services. “We pamper all your senses with our signatory blend of art, hospitality, fine dining and refined ayurvedic spa treatments at our Purespa,” states Drechsel.
These travellers seek memorable experiences, much more than traditional luxury hotel stays and travel. They want to connect with the local community, understand the local culture, engage in local activities and festivities, but without having to compensate on comforts. “These are evolved travellers who have travelled a lot and now look beyond the confines of a five star hotel. Community, culture, culinary delights, conservation initiatives at offbeat destinations is the new preference of the HNI Indian,” adds Rajnish Sabharwal, COO, The Ultimate Travelling Camp (TUTC). The company promises guests a breathtaking journey across India’s most beautiful landscapes, through super luxury mobile camps at Thiksey and Diskit in Ladakh and Kohima in Nagaland. “We have designed our itineraries for each camp in a way that suit the interests, choices and leisure of our guests. What we aim for our guests is that they just do not simply stay at our camps with good amenities and services or visit tourist attractions, but rather immerse themselves in the entire experience of the local culture and feel a part of it. Each of our camps celebrate the indigenous culture and traditions, unique fairs and festivals,” states Sabharwal. For instance, the Kohima Camp in Nagaland coincides with the Hornbill Festival, which showcases the rich heritage of local tribes.
Global trends
A global trend report, ‘The Future of Luxury’, was recently released in India by Beverly Hills Conference and Visitors Bureau (BHCVB). According to the research, luxury is currently at the epicentre of LUXURY 2.0 – the digitalisation of exclusivity where traditional luxury brands are increasing their digital presence and appeal to a more digitally savvy audience. The future trend will be LUXURY 3.0, where consumers will revert back to ‘old-school’ concepts, such as private members clubs, meeting places for connoisseurs, organic and locally-sourced eating. Pointing out that India is a fast and expanding market, especially in the luxury sector, Julie Wagner, CEO, BHCVB mentions that Beverly Hills has innumerable luxury experiences to offer to Indian travellers. “We strive to provide travellers with unforgettable experiences, whether it be via our world-class shopping, gourmet dining, lavish spas or acclaimed hotels.”
Interestingly, ostentation is no longer associated with luxury, and in that sense, a destination like Seychelles which promotes ‘barefoot luxury’ with modern facilities, appeals well to the new age global Indian traveller. “Unique and luxury are synonymous with Seychelles, ” says Sherin Naiken, CEO, Seychelles Tourism Board, pointing out that the three main islands – Mahe, Praslin and La Digue – have many award-winning luxury and ultra luxury resorts. Naiken acknowledges that the HNI segment is demanding for activities and ideas which also give a flavour of the local way of life of a destination. “For example, we have seen families visiting the islands for only bird watching, group of ladies only for spa and wellness, couples visiting for short diving holidays in the numerous marine parks, honeymooners opting for resorts like North and Fregate Island for barefoot luxury experience, young families taking their children for hiking and trekking to nature reserve islands like Curieuse and Cousin to educate them on unique flora and fauna and many such interesting experiences,” she informs. Seychelles has shown 183 per cent growth in Indian arrivals in 2015, when compared to the previous year and 85 per cent growth from January to April this year.
In a time of understated luxury Malaysia, a popular destination for India outbound, has studied Indian luxury travellers’ preferences and demands. “Luxury today is not a status symbol or ostentatious display. What defines a luxury holiday is a genuine sense of mental, physical and emotional well-being,” says Mohd Hafiz, director, Tourism Malaysia. He believes that while luxury travel involves spending more money than the prudent counterpart, luxury travellers also like to know they’re spending wisely and securing top quality that justifies the price. “Which means destinations and services need to meet and surpass expectations of this evolving tribe,” asserts Hafiz. Tourism Malaysia will be promoting Sabah and Sarawak, a fairly unexplored region, amongst Indian luxury travellers. “We are offering them experiences that range from interacting up close and personal with some of the exotic fauna and flora in the world, feeding orangutans, mud baths originating from dormant volcanoes, taste of culture with the aborigines and more,” informs Hafiz. Among Malaysia’s unique luxury offerings is Banjaran Hotsprings Retreat, nestled in a 16.19-acre valley, among towering Paleozoic limestone hills, verdant rainforest, geothermal hot springs, natural caves and cascading waterfalls. Then there is Atmosphere 360 degree in the heart of Kuala Lumpur – a revolving restaurant situated 282 m above ground level, located at the tallest tower in Southeast Asia, Menara Kuala Lumpur.
Ireland, which is gaining popularity among the Indian HNI, has plenty to offer in luxury tourism. The country has unique accommodation options including castles, cliff-top lighthouses and country homes buffered with forests. “Some of Ireland’s finest luxury castles include Ashford Castle, Crom Castle, Ballygally Castle, Malahide Castle, Dromoland Castle, Cliff House Hotel, Ballynahinch Castle and Lough Eske among others. You could privately hire O’Brien’s Tower at the edge of the Cliffs of Moher, and enjoy tasty seafood and hot whiskeys to the strains of a Celtic harpist,” says Beena Menon, India representative, Tourism Ireland, adding that at some castles and stately homes, one can even be a treasured house guest for a few hours. At Ballywater Park in County Down, for instance, Lord and Lady Dunleath will treat the guest to lunch, followed by an afternoon of archery and shooting on their estate.
In New Zealand, the Indian traveller is seeking experiences like food and wine tours, Maori cultural experiences, luxury experiences, walks, self-drives and adventure sports. “This is good for the industry as it helps to showcase our offerings beyond the stunning landscapes. Escaping a hectic schedule is one of the major reasons a tourist seeking luxury travel comes to New Zealand,” says Steven Dixon, regional manager, South and South East Asia, Tourism New Zealand. He reminds that New Zealand offers bespoke and authentic luxury experiences in stunning natural settings making it a destination perfect for even the most discerning of premium travellers. “These experiences cater to all tastes, set amongst a backdrop of breath-taking landscapes – from heli-picnics atop soaring mountains to personal chefs being helicoptered directly to your charter boat, or private tastings at New Zealand’s best wineries,” states Dixon.
Among the most unique offerings that South Africa is promoting and marketing in India is the iconic Blue Train, unforgettable bushveld experiences, including luxury safaris and luxury game lodges like Malamala. “Today’s luxury traveller is not the one who splurges and spends on everything, but rather the one who likes to experiment and seek newer experiences. For such discerning travellers, luxury is no longer about an extra star on a hotel or restaurant, it is instead about doing the unusual and demanding an experience that has been tailor-made especially for you that nobody else has got,” says Hanneli Slabber, country head, South African Tourism.
Luxury MICE
Luxury MICE in South Africa is a category that has been earning a lot of interest over the years – MICE groups can go on luxury game drives, where they can walk with elephants, be a game ranger for a day and learn business lessons from nature. “Another option for meetings in South Africa is the Cape winelands with its breathtaking views, wine farms, and exquisite Cape Dutch architecture. Here meetings and corporate workshops are combined with wine and olive tasting, vineyard tours, horse-back rides, hot air ballooning, culinary tours and many more exciting group activities. Franschhoek and Stellenbosch are extremely popular among Indian tourists,” says Slabber. Besides, South Africa has excellent golf courses that offer MICE travellers a unique experience, such as the Fancourt Hotel & Golf Estate in George, Arabella Western Cape Hotel & Spa in Western Cape, Legend Golf & Safari Resort in Limpopo, Mount Edgecombe Golf Lodge in KwaZulu-Natal, Conrad Pezula in Knysna and Riviera on Vaal Hotel and Country Club in Gauteng amongst others. “Some of these properties also offer world-class spas, exceptional food and wine choices and several leisure activities for the group,” mentions Slabber.
Ireland has diverse offerings to motivate and inspire a luxury MICE group. The options include exciting outdoor team-building activities, many international and indigenous sporting events, golf and equestrian activities, fine dining, world-class spa retreats, shopping, awe-inspiring scenery and lively evening entertainment from traditional ceilis to medieval banquets, as well as unique gala venues. “Ireland is also known to have some unique and unusual incentive offerings. In the past we had incentive programmes which include Whiskey Tasting Masterclass, private hire of O’Briens Tower at the Cliffs of Moher, where locally sourced seafood and Irish Coffee was served, and many such unique offerings,” informs Menon.
BHCVB is also keen to attract the luxury MICE segment from India. “Known for its sophistication and incomparable bespoke service, Beverly Hills is the perfect choice for meetings or events, whether for 20 or 1,500 people. With over 100,000 sq ft of meeting space at our hotels alone, Beverly Hills is well designed for conferences, small groups, incentive programmes or business gatherings,” said Wagner.
The Beverly Hills Hotel and Bunglows
The Beverly Hilton, Beverly Wilshire, Four Seasons Hotel, and Montage Beverly Hills are few of the hotels that offer options for both large conferences and small, intimate gatherings. Private events can also be organised at the historic Greystone Mansion or at the many high-end restaurants, luxury stores and outdoor public spaces.