The Brussels-headquartered hotel chain, Radisson Hotels Group (RHG) has unveiled its expansion strategy and aims to open at least 30 hotels in the current calendar year in India. With an emphasis on opening new hotels especially in Tier II and III cities of India, RHG has strategized to make its hotel accessible in India every 2-3 hours of drive-time, significantly reducing the current four-hour gap.
“Our expansion plans in India are strategically focused on both metropolitan markets and high-growth cities, reflecting our commitment to tapping into the burgeoning domestic demand. With a strong pipeline and a diverse brand portfolio that includes Radisson Collection, Park Inn & Suites by Radisson and Radisson Individuals Retreats; we are well-positioned to meet the evolving preferences of Indian travellers,” said Nikhil Sharma, managing director & area senior vice president, south Asia, Radisson Hotel Group. He added, “Our midscale brand, Park Inn & Suites by Radisson is set to expand by over 150 hotels over the next decade in India and by the end of 2025, our aim is to have 240 hotels in operation and development across India.”
RHG’s brand portfolio is one of the most comprehensive in the Indian hospitality industry, with nine out of 10 global RHG brands present in India. RHG currently operates 128 hotels across India, with an additional 71 hotels in the pipeline. Over 50 per cent of RHG portfolio serves business and leisure travellers in Tier-II and III cities at present. “Radisson’s growth in India is driven by our ability to adapt to evolving traveler preferences and expand into both established and emerging markets. While all our brands cater to distinct segments, Radisson as an upscale brand is experiencing remarkable growth in India, playing a key role in our expansion strategy. To appeal to India’s growing middle-income and upper-middle-class travelers, we emphasize affordability without compromising quality. Park Inn & Suites by Radisson, designed specifically for India, is rapidly expanding to provide comfortable yet cost-effective stays,” he added.
New era of growth
Sharma said that the Indian hospitality industry stands at the cusp of transformation; driven by evolving consumer preferences, rapid technological advancements and strategic policy interventions. As a key contributor to the nation’s economy, the sector accounts for approximately 8 per cent of India’s total employment and is projected to grow at a CAGR of 10.5 per cent over the next three years. The Union Budget 2025-26 reinforced the Indian government’s commitment to the tourism and hospitality industry by introducing measures aimed at enhancing infrastructure, fostering skill development and improving ease of travel. These initiatives, coupled with industry-led innovations, are set to propel India’s tourism landscape into a new era of growth. The Indian hospitality industry faces multiple challenges like high GST rates, complex regulatory processes and a shortage of skilled manpower according to Sharma. “While domestic tourism is thriving, the sector is still recovering from the pandemic’s impact on foreign arrivals. Additionally, the growing need for sustainable practices requires hotels to balance eco-friendly initiatives with cost efficiency,” he added.
The Union Budget 2025-26 recently introduced economic incentives that are expected to boost domestic travel and premium hospitality demand. Tax relief measures are likely to increase disposable incomes, allowing Indian citizens to allocate more spending towards leisure travel, luxury experiences and high-end hospitality offerings.
Simultaneously, the rising demand for spiritual tourism in India is prompting the government’s efforts on pilgrimage circuits. Destinations linked to Lord Buddha’s life, historic temples and key religious sites are receiving targeted infrastructure improvements, boosting accessibility and visitor experiences. Sharma said, “We are also proud to be the first international hospitality brand in Ayodhya, with Park Inn by Radisson Ayodhya and the recently signed Radisson Blu Hotel, Ayodhya, further strengthening our presence in key pilgrimage destinations.”
“As we move forward, a collaborative approach between the Indian government and private hospitality players like RHG will be essential in unlocking the full potential of India’s hospitality landscape. With a robust policy framework in place and strong industry momentum, 2025 promises to be a transformative year, reinforcing India’s position as a leading force in global tourism and hospitality,” said Sharma.
Radisson Hotel Group opened its first hotel in India by the name Radisson Blu Plaza Delhi Airport in 1998 in New Delhi.