As India’s hospitality sector recovers after the pandemic, Clarion Hotels, the upscale brand of Choice Hotels International, is establishing a strong presence in the mid-to-upscale market. In a conversation with Asmita Mukherjee, Chiradeep Bhattacharjee, Group General Manager of Multiverse and KSR Hotels, Franchise Owners and operator of Clarion Hotel Hyderabad by Choice Hotel discussed the brand’s plans for growth, its operational approach, and how its Hyderabad property set an early success example.
How has Clarion’s journey evolved in India?
Clarion operates as an upscale, full-service brand under Choice Hotels International, positioned similarly to Marriott in brand metrics. We focus on the upper-scale segment, where there’s a 36% gap between demand and supply for hotels with up to 100 rooms. Each Clarion property must meet strict brand standards, including a minimum room size of 400 square feet, a 56-square-foot bathroom with a shower cubicle, an all-day diner, a bar, a pool, and a gym. We are primarily expanding through brownfield and conversion projects, targeting tier-II cities with properties ranging from 70 to 100 rooms. These sizes are more viable than larger hotels in smaller markets. As we believe India’s tier-II cities are our growth engine. Currently, we have 26 hotels planned across India under our main brands: Clarion, Quality, and Comfort.
Which regions are driving this expansion?
The North remains our main area for growth, with important projects in Uttar Pradesh, Haryana, and Uttarakhand. In the South, we have strengthened our presence with multiple hotels in Bangalore, Hyderabad, Visakhapatnam, Vijayawada, and the newly opened Clarion Hotel Khayal in Kochi.
The Hyderabad property has become a case study. What sets it apart?
It was the first international brand to open in Hyderabad after COVID. With 95 rooms and 36 serviced apartments, totaling 135 keys, it also has a 100-seat all-day diner and a 24-hour café. A unique decision was to outsource food and beverage operations to Iron Hill Café, a group that manages over 100 restaurants in the region. This revenue-sharing model ensures profit while allowing us to concentrate on guest experience. Housekeeping services were also outsourced for better efficiency. Notably, the hotel reached break-even in just four months, thanks to good coordination among ownership, operations, and the brand.
What drives Clarion’s high retention and satisfaction levels?
Our philosophy is built on three pillars: customer satisfaction, employee satisfaction, and vendor satisfaction. For guests, we focus on empathy, recognition, and quick resolution. For staff, we prioritize welfare, which includes shared accommodation, good meals, timely pay, and transportation for female employees. We even consider their families by ensuring enrollment in ESI and PF and timely payments home. This is why our entire pre-opening team has stayed intact. Vendors and partners receive the same respect—payments are always on time, and we even send birthday gifts to their children. These actions help build genuine relationships that last, even during tough times.
How does Clarion approach technology in hotel operations?
We prefer efficient simplicity over expensive systems. A basic Property Management System (PMS), backed by Excel-based data tracking, allows us to maintain guest histories and consistent service. Our staff use company mobile phones for quick updates on housekeeping and maintenance tasks. Our systems connect directly with the brand’s booking engine and online travel agencies through a two-way interface, ensuring real-time synchronization of revenue data.
And what about the human side of service?
We believe in what we call “emotional technology.” Every employee, regardless of their role, can respond to guest requests immediately—no hierarchy and no delays. Check-ins take less than seven minutes, making it clear to guests what the house rules are. This approach has led to a 99% satisfaction rate. We also train staff in local languages, such as Hindi, Bengali, Odia, and Telugu, using visual SOPs and hands-on demonstrations instead of lengthy English manuals. Training is practical and happens monthly, ensuring every global standard is met locally.
What makes Telangana and Andhra Pradesh strategic for Clarion?
Both states offer great potential for businesses to grow significantly. Andhra Pradesh has given industrial status to tourism and is using its 1,000-kilometer coastline to attract investment. Meanwhile, Telangana is diversifying beyond Hyderabad’s main business tourism by including sports, medical, and leisure opportunities. In Hyderabad, the Western Corridor, especially near HITECH City and the Financial District, drives business demand due to its proximity to the airport, DLF Road, major hospitals, and the U.S. Consulate, which now offers the shortest visa waiting period in India.
How does Clarion stay competitive on pricing?
Unlike many hotels that raise prices during peak events, we keep our rates stable. This builds long-term loyalty. For example, even after large exhibitions, corporate clients in poultry and pharmaceuticals return because they value our consistency and fairness.
Is there a rise in rebranding among local hotel owners?
Absolutely. Hyderabad’s hotel market is mainly made up of single-unit owners, and many are now partnering with international brands for rebranding and conversion opportunities. Given the current demand-supply gap, global chains are teaming up with these owners to launch properties with 60 to 100 rooms, aligning with the asset-light model that is becoming standard in modern hospitality.
