THE Wyndham Hotel Group has signed deals for 16 hotels throughout India and Indonesia, 12 of which will be in the former.
The group’s first Howard Johnson in India is scheduled to open next March in Bangalore, joining 16 hotels that are already in operation and another 15 that are currently under development in the country.
“Our focus for India will be similar to our strategy in China. We will concentrate on penetrating secondary and tertiary markets, where there may not even be an international brand, and work to place products where value-driven markets can stay,” said the group’s managing director for APAC, Frank Trampert.
A number of agreements were sealed with India-based firms to plant six Howard Johnson hotels, one Hawthorn Suites by Wyndham, one Days Inn and four Ramada properties.
Trampert said he foresaw great potential for growth in India, with the group anticipated to sign around “60 hotel deals in total over the next five years”. There are also plans to localise the brands. For instance, unlike the Howard Johnsons in the US, those in India would have an F&B facility.
Wyndham will make its first foray into Indonesia when it opens three Howard Johnsons – one each in Bali, Surabaya and Makassar – and a Ramada in Bali.
Trampert said: “Indonesia is an interesting market in comparison to India, as last year the country drew 7.5 million foreign arrivals compared to India’s 6.2 to 6.3 million. There’s therefore a great need for more world-class properties to cater to this demand. From a tourism perspective, Indonesia offers tremendous opportunities.”
Meanwhile, Wyndham still intends to augment its presence in China, where it currently has 470 hotels.
In the longer term, Wyndham hopes to make its mark in Indochina, most notably Myanmar and Cambodia.
“These fantastic markets are seeing an influx of foreign investment, but the primary challenge, as in other developing countries, remains the infrastructure. We are not ruling these destinations out, but we are still in the interim stages of working out how we can plant ourselves there,” said Trampert.
