Achieving an impressive 85% occupancy rate in Hyderabad’s competitive hospitality market requires a well-rounded approach. Marriott Executive Apartments Hyderabad has mastered this with its strategic focus on long-stay guests, innovative service offerings, and unique property design. By blending tailored services with innovative amenities, the hotel ensures a holistic guest experience. In an insightful conversation with Asmita Mukherjee, Ashwin Vaidya, General Manager, Marriott Executive Apartments Hyderabad, sheds light on the property’s winning formula and commitment to excellence.
How do you ensure that Marriott Executive Apartments, Hyderabad remains a top choice for long-stay guests in this competitive market?
Our approach is three-fold, beginning with our unique product design. No other competitor in this market offers such a premium product for long stays. Our base room category starts at 420 square feet, while our one-bedroom apartments, which form the largest inventory, are 920 square feet. We also have two-bedroom units ranging from 1,300 to 1,700 square feet. These spacious accommodations come equipped with a full kitchenette and washing units embedded within the room, a concept designed from its roots as an apartment. Unlike some competitors who merge existing rooms, our property was purpose-built as an executive apartment hotel.
Secondly, curating personalised guest experiences for these long-stay residents is crucial. Unlike other hotels that cater to a predominant regular business clientele, our focus is almost exclusively on long-stay guests. This allows us to offer extensive personalisation. For instance, when families relocate to Hyderabad, particularly from the US and other parts of the world, we assist them by providing lists of nearby schools for their children. We also foster a strong sense of community by organising weekend activities for kids, bringing families together and creating a unique communal living concept. Guests often interact and get to know each other, a stark contrast to typical business hotels.
Finally, our service approach prioritises exceptional care for long-term guests. Maintaining a fine balance, we avoid intruding on privacy while providing added services. For instance, unlike some residential concepts abroad, our housekeeping team offers vessel washing. We also make guests feel at home by creating photo frames from their pictures for their rooms. Weekend activities like guided walks, yoga, and jogging at the adjacent botanical garden are curated. This level of personalised service is achievable with our 75-apartment size, distinguishing us from larger five-star hotels.
What is the primary guest profile at Marriott Executive Apartments Hyderabad, and what is the average duration of their stay?
Our major guest segmentation comprises corporates relocating to Hyderabad, including Indian and US nationals. The United States is our biggest source market, followed by Southeast Asia such as Korea, Japan and then India. The typical length of stay is 10 nights or above. We do entertain shorter stays during off-peak periods, maintaining a 60% long-stay to 40% short-stay ratio. The hotel has 75 apartments, consisting of nine studio apartments, four two-bedroom units, and 62 one-bedroom units. While we don’t offer butler service, a dedicated concierge service is available via a unique chat number or an in-room scanner for guest convenience.
What strategy do you implement to optimise RevPAR and occupancy rate for the hotel?
Our occupancy rate has consistently been about 85% for the last three years, which is an excellent figure for a hotel of our size given the city’s demand for long-stay accommodations. We typically operate at nearly 100% occupancy from Monday to Thursday. To optimise weekend occupancy, which is usually slower, we strategically divert into the staycation market. The hotel’s amenities, including a great pool, proximity to the botanical garden, direct connectivity to a mall with a movie theatre, a lovely spa, and a rooftop bar, make it an ideal staycation destination. These elements help us effectively plug any gaps in lower occupancy periods.
Can you tell us about your new banquet space, Altair, and your strategy to focus on this product?
Altair is our new banquet space on the ninth floor and has been operational for just over a year. It features a 4,500 square feet indoor area and an equally expansive outdoor balcony. Our strategy is to upscale it through aggressive marketing, driving higher volumes, and showcasing our product quality and service value. We aim to offer an affordable five-star option to consumers in this market. Altair is versatile, suitable for all kinds of events, including engagement ceremonies, birthday parties, social gatherings, family get-togethers, and corporate trainings for up to 150 guests. The banquet can be divided into three separate halls with a beautiful pre-function area, enabling us to host multiple clients simultaneously.
What significant changes have you implemented at this hotel that helped to improve the balance sheet?
We strongly believe that excellent service commands a good price. Over the last year, we significantly uplifted our service standards and invested approximately 1.5 crore in soft refurbishment of our rooms, enhancing upholstery and upgrading products. Offering a better, refurbished product and elevating staff service standards generates strong word-of-mouth, particularly vital in the relocation business. This leads to substantial repeat business, with our second-stay repeat clientele at 45% for guests booking via marriott.com. This has helped us achieve a 12% increase in our Average Daily Rates (ADRs) over last year. We are proud to be ranked among the top 10 hotels in South Asia within the Marriott portfolio for guest satisfaction scores. The pulling power of the Marriott Bonvoy loyalty program also significantly attracts guests.
What are the key ancillary revenue sources for Marriott Executive Apartments Hyderabad, and how do they contribute to the overall revenue?
Our ancillary revenue primarily comes from outdoor catering services, spa offerings, and our versatile banquet space, Altair. Corporate events and social gatherings, including smaller events like Diwali parties, are key contributors. F&B operations, driven by our rooftop restaurant Mazzo, contribute 35% to total revenue, while rooms account for 65%. Ancillary streams, including banquets, make up about 12%, showcasing their significant role in our revenue strategy.
What are your views on tackling the talent crunch in the market?
The talent crunch is a prevalent issue across many industries, not just hospitality. We address this by leveraging the strong brand power of Marriott. Our digital learning platform provides extensive training avenues, developing associates in Marriott profiles, leadership skills, and soft skills. This platform is accessible via mobile phones or our training rooms. Additionally, we actively nurture talent through industrial trainee programs. We induct batches of 10 trainees twice a year. Out of 20 trainees annually, we convert approximately 11 into permanent associates. By treating them as employees, involving them in our culture, providing responsibilities, and offering consistent feedback, we maintain a ready and capable talent pool. This approach makes our recruitment process more efficient as these trainees willingly join us, having experienced our hotel culture firsthand.
