Investing in indulgence

Affluence and aspirations are fuelling a luxury hotel and travel boom. With discerning travellers increasingly seeking authentic, immersive, and personalised experiences, the country's unparalleled cultural heritage, combined with innovative luxury hospitality offerings, creates a compelling narrative for the future.

- DEEPALI NANDWANI

for years, there was only one Fairmont in India, in Jaipur, India’s new luxury hotel haven. Eleven years after Accor’s luxury hotel brand opened its doors in the pink city, there are now a slew of Fairmonts on the horizon. Fairmont Mumbai, a homage to Mumbai's art deco architectural heritage, opened about a month ago. Fairmont Udaipur Palace is opening soon, and so is Fairmont Agra. Fairmont Fagu Shimla has been announced, and so has Fairmont Goa Shiroda, along with Raffles Goa Shiroda, which will bring tourists to the unexplored beach belt in north Goa. 

The growth story of Fairmont is indicative of the growth story of India’s travel and hotel segments, which are experiencing a huge boom phase. There are indications that the hospitality industry is placing crucial bets on luxury across all segments—business, resort, and wellness. 

India’s luxury hotel sector is experiencing a dynamic upswing, with a surge in investment and development between 2023 and 2025 reflecting the country's growing appetite for premium travel experiences. Both domestic and international hospitality brands are expanding their footprint to meet rising demand, with industry reports highlighting 481 projects and 57,879 rooms in the pipeline. Notably, the luxury segment accounts for around 20% of rooms signed during this period, signalling a significant shift toward high-end hospitality as India emerges as a key market for luxury accommodation.