Mahindra plans no-frills hotels | business | Hindustan Times
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Mahindra plans no-frills hotels

business Updated: May 26, 2009 23:13 IST
Suprotip Ghosh

After low-cost housing and low-cost hybrid technologies, the Mahindra Group is foraying into low-cost holiday business. The company’s leisure and holiday division, Club Mahindra Holidays, is planning to enter what it describes as “no-frills leisure” space.

“We see opportunity in catering to the no-frills holiday space, which has practically no organised players,” said Ramesh Ramanathan, managing director, Club Mahindra. He did not give a timeline on when the operations are starting.

Service in these hotels may not include necessary frills such as freebies and meals that are standard with most holiday packages in upper and middle ranges that may cost at least Rs 1,500 per day in most cases.

Club Mahindra’s business would include hotels that would offer low-cost accommodation that may have bare-bones service and skeleton staff, similar to Tatas’ Ginger brand, which caters to the business traveller. CLub Mahindra has recently entered the homestays business, where they act on a revenue-sharing basis with private home-owners who want to be in the hospitality business.

Ramanathan however, refused to divulge price points at which the venture would operate.