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Ginger Hotels

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Ginger: Smart BasicsTM

Roots Corporation Limited develops and operates a fast-expanding chain of economy hotels across India under the “Ginger” brand. There is currently a lack of competition in the branded economy hotels segment and Ginger is the only branded economy hotel chain in India. The Ginger hotels are built around a concept that provides facilities to meet the key needs of today’s traveler, at affordable rates. Ginger faces challenges in different aspects of its business as it aims to deliver consistently, quality service to the customer and manage customer expectations.

COMPANY BACKGROUND

Exhibit 1: The proportion of hotel segments across Indian cities.
Jaipur Cochin Goa Pune Hyderabad Bangalore Chennai Kolkata …show more content…

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While growth is expected in the upscale hotels, the growth in the economy segment is still minimal. While several chains, both domestic and international, have announced plans for development of hotels in this segment, visible action on the ground is limited. Economy hotel chains in India mainly target value-conscious domestic business and leisure travelers who demand convenient lodging, a consistent product and high-quality services. According to a study conducted by Ginger, currently, 37 percent of economy hotel guests are individual business travelers, 23 percent are contract corporate customers and 20 percent are individual leisure travelers. Economy hotel chains aim to satisfy customers’ basic accommodation needs with affordable pricing, a comfortable lodging experience and a standardized service-product. Lack of

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