M.S.

KIMI PAUTU
19BATH112

2nd Semester BATH

Hospitality Management

Report on Effect of Corona

on Hospitality industry
Our world is still coming to terms with the sudden outbreak of COVID-19 and
industries are grappling with the consequences of the economic slowdown. The
impact of the novel coronavirus on India’s hospitality sector is nothing short of
severe. While most economists expect things to rebound in the latter half of the
year, uncertainty still lurks.
HVS India and South Asia, a global consulting firm for hospitality, has released
a report, COVID-19: Impact on the Indian Hotels Sector, that takes account of
how the virus has affected the travel and tourism industry, and what can be
done to restore it.
Currently, inbound tourism has come to a halt with India under lockdown, the
imposition of Section 144, suspension of visas and global advisories against
travel. As of now, there are barely any bookings being made for the future, and
the current ones all stand cancelled. In this scenario, the report alludes, there is
limited scope for quick revival, but for a slow and steady growth instead. There
is little chance of an influx of foreign tourists, and most bookings for October-
March done in the summer have dwindled.
With deteriorating numbers since February, the report predicts that the latter
half of 2020 will be the worst hit. The key to reviving such a market (after the
virus is contained, of course) would be an increase in domestic travel. Airlines
and hotels, with aid from the government, will have to come up with quick and
efficient strategies to deliver quality to their returning customers.
HVS proposes two steps: use this chasm to prepare for the upcoming demand by
focusing on marketing and upgradation. This ‘Stop Gap Plan’ is about
maintaining a thread of communication, using social media and advertisements,
with the consumers. It's also about strengthening the communication within the
company, to make a budget and plan for re-opening and to utilise this period to
fix and upgrade whatever is possible.
The next step is whereall the action is. Once the outbreak of the virus is
contained and the world is set to travel again, HVS suggests that any plan of re-
opening must be done keeping long-term benefits and safety compliances in
mind. It is imperative that hospitality companies reach out to deferred and
cancelled bookings and give due attention to domestic travellers. Staycations,
the report believes, could make for a popular tool. The report insists that hotels
and airlines must slowly roll out their services rather than starting everything
instantly and to not get caught up in spending.
All in all, COVID-19: Impact on the Indian Hotels Sector urges the industry to
understand that like most bad tidings, this too shall pass.