Author: Smitha Venkateswaran and Joe Scaria
Publication: The Economic Times
Date: December 29, 2010
Introduction: Indian states are increasingly
trying to woo cash-rich desis seen globe trotting so frequently with their
large families
Gurpreet Singh is in a dilemma… It's
the yearly holiday time, and he is yet to make up his mind. Should he go abroad
to 'attractively priced' beach holiday at Thailand or choose to enjoy the
tranquil backwaters of Kerala? After all Kerala gives both the beach and lush
green hills…Welcome to the new genre of domestic travellers, who are
spoilt of choices to holiday in India. After facing a lull in foreign arrivals
post the global slowdown, Indian states are increasingly trying to woo cash
rich desis seen globe trotting so frequently with their large families. "The
economic meltdown was a sudden shock as our hotels went empty but we saw Indians
travelling abroad on holidays. It has clearly changed way all tour operators
look at Indian visitors," said Subhash Verma, vice-president, Association
of Domestic Tour Operators of India (ADTOI).
The Mumbai terrorist attacks, on top of a
global economic recession, have come as a double whammy for India's tourism
and hospitality industry with room occupancies dropped by over thirty percent.
Luxury hotels in tourist hotspots like Agra and Goa were the worst affected
were only 20-odd rooms of the 90 rooms were filled up. At the same time number
of outbound Indians jumped by a million to 4cross the 10- million mark for
the first time ever.
While sightseeing tops the list for nearly
two-thirds (64%) as the main reason for Indians travelling abroad, it was
followed by exploring a new country for close to one half (47%). The impact
of the recession in India was relatively small with a year-on-year drop of
just 3% in 2009, says PhoCus Wright market search report.
So to keep their itinerary filled, many 'tourist
savvy' state corporations are signing memorandum of understating (MoUs) amongst
themselves. Goa, for example, has already signed such MoUs with Karnataka,
Gujarat and Rajasthan wherein 'both parties will seek to tap tourism potential
by developing tourism packages, services, market products'. Similar requests
have also been sent to Kerala, the north-eastern states, Andamans and Pondicherry.
"By promoting each other's destination,
we are giving our customers variety and value for money. It also ensures that
each state has more travellers coming in every year. As the commercial wing
of the state tourist department, it is our job to keep increasing the numbers,"
said Nikhil Desai managing director GTDC. Simply put, these states in a joint
effort want to tap potential tourism markets in India that refuses to be rattled
by global economic scenario.
For starters, all state departments have decided
to promote the others' destination; customise inter-state holiday package.
There will be fairs, road shows, public display of art and craft, pictures
of locales besides promoting others regional festivals in a bid to attract
locals for a quick weekend break. So, if you are in the deserts of Rajasthan
you will be shown brochures, pictures and pamphlets of the pristine beaches
of Goa and the exotic hills of Kullu-Manali for the next break. Reservations
can be made online.
Tourism boards of Goa/Karnataka and Maharashtra
are planning a joint circuit. The circuit will be part of the currently running
Golden Chariot luxury train that runs from Goa to the ancestral city of Hampi
in Karnataka. "We can complement each other. While Goa has the beaches
and party, Karnataka offers rich culture, forests and history," said
Karnataka's principal Secretary (Tourism) K Jyothiramalingam.
Talks are on to have similar MoUs with Kerala
for a 'southern splendour'. So, a 7/14-day trip blends religious tour with
leisure to cover temples at Bangalore, Chennai, Mammalapuram, Madurai, Tanjavur,
Kanyakumari before heading to the scenic beauty of Pondichery, Trivandrum,
Kovalam, Alleppy and Kochi in Kerala. Here, Goa can be the get away as the
final leg of holidaying, "we are focusing on families where the elders
like to visit religious places while the youngsters want to have some fun",
adds Jyothiramalingam. To bring in more 'high spending' Indian families to
Goa, GTDC wants to revamp Goa's image from a leisure destination to also a
centre for ecotourism, adventure tourism and hinterland tourism. For this,
state is already in talks with reputed consultants for developing projects
under PPP model.
Meanwhile, God's own country, Kerala, too
has been wooing tier-2 and tier-3 cities in the country in a bid to enhance
its domestic tourism business. This year, the state's tourism marketing bandwagon
has toured cities like Vijayawada, Bhopal Lucknow and Bhubaneswar. "We
thought these cities held good potential for domestic tourism, and trade bodies
had also advised us to tap these cities", says Kerala Tourism deputy
director for marketing, Suresh Kumar.
Meanwhile, exotic Rajasthan has for the first
time organised road shows in 19 Indian states like Goa, Kerala, Pune, Bangalore
and Mumbai. The three-day blend of state's wonder locales, art, music and
dance also gives people a chance to sample some authentic Rajasthani cuisine,
"We are basically informing people what Rajasthan has to offer. With
a desert and also rivers and waterfalls, Rajasthan is a year-round destination,
which many do not know," said Ajit Singh, assistant director, department
of Tourism, government of Rajasthan. The desert state was the worst victim
of the recession. Foreign arrivals dropped to half post the economic meltdown
in 2009, admits Singh. Now the state wants to develop a regular flow of Indian
travellers to off-load the deficits that come with a drop in foreign arrivals.
And response has been encouraging, the desert state is witnessing a marked
increase in queries from Indians, he adds.
India has an unparalleled wealth of heritage
sites, festivals and beaches. But by global standards it still spends relatively
little promoting and developing them. The country invests 0.9% of its budget
in tourism. By contrast, Malaysia spends 5.1% and Singapore 9.1%. As India's
middle classes become more wealthy, they are travelling more, some have already
developed a taste for foreign travel. "There is a change in attitude
of the expanding middle class. People want to explore new places but they
also want value for money," points out hospitality analyst Ram Badrinathan,
GM, Asia-Pacific region, PhoCus Wright.
They are the government's next big challenge.
Not only does it need to persuade Indians to choose within the country, but
must also convince its own tourists that the best place for a holiday is the
country they live in.
- smitha.venkateswaran@timesgroup.com
