February 27, 2025 TnH Global

Hotels cashed in on 2024 wedding boom, eye big wedding growth in 2025

The Indian hotel industry experienced significant success in the wedding segment in 2024, with leading players reporting significant growth in occupancy, revenue, and average daily rates (ADRs). This surge was fuelled by a confluence of factors, including a post-pandemic revival of grand celebrations, a growing preference for personalized experiences, and the increasing demand for destination weddings.

Leading the Charge

“2024 was exceptional for Radisson Blu Palace Resort & Spa, Udaipur, with our wedding segment outperforming all other segments,” stated Somesh Agarwal, Chairman, and Managing Director of Radisson Blu Palace Resort & Spa, Udaipur. “Compared to last year, we have witnessed a growth of about 24 per cent, reflecting the success of our strategic efforts and the growing demand for premium wedding experiences.” Agarwal further highlighted the segment’s significant contribution, stating, “Nearly 40 per cent of our room occupancy came from guests visiting our property for the wedding. Our average daily rate exceeded Rs. 44,000, excluding the additional personalized service request charges.”

Somesh Agarwal, Chairman, and Managing Director of Radisson Blu Palace Resort & Spa, Udaipur

This strong performance was echoed across the industry. Sakshi Sehdev Dogra, Head of Sales & Marketing Eurasia, Wyndham Hotels & Resorts, observed a 15 per cent growth in wedding and social segments for their hotels in 2024. “The strong performance of our wedding business in 2024 was driven by exceptional guest delights, diverse food offerings, prime locations, and a robust presence on online aggregators,” she explained, stating further, “Our versatile venues, including closed-door banquet halls and open wedding lawns, catered to varied preferences, ensuring memorable experiences for all.”

Neelabh Sahay, the hotel’s director of operations, stated that Novotel Mumbai Juhu Beach saw a steady rise in the wedding segment’s performance in 2024. At the peak of wedding season (months from November to January), the wedding segment contributes a major chunk to overall hotel occupancy and revenue. Consequentially, ADR during this time typically tends to be higher than the rest of the year.

Neelabh Sahay, Director of Operations, Novotel Mumbai Juhu Beach

Navigating Changing Landscape

While Royal Orchid Hotels experienced a slight decline in room nights for weddings, they witnessed an 8 per cent increase in rates, reflecting a strategic shift towards premium services and curated experiences. “Our emphasis on premium services and curated experiences helped offset some of the volume decline,” stated Philip Logan, Chief Operating Officer, Royal Orchid Hotel Ltd. “A preference for intimate and customized weddings has impacted larger-scale bookings,” he added, acknowledging the changing dynamics of the wedding market. “Increased competition from emerging wedding venues in Tier-2 cities” also posed a challenge, as highlighted by Logan.

Philip Logan, Chief Operating Officer, Royal Orchid Hotel

Driving Future Growth

Despite some variations in performance, all hotel executives unanimously agreed on the segment’s continued importance and its potential for further growth. “The outlook for weddings in 2025 is very optimistic,” predicted Agarwal. “The industry will remain resilient and witness growth despite economic challenges such as inflation.” He further elaborated on the factors driving this optimism, stating, “In the past year, we have seen a growing trend of couples prioritizing grand wedding celebrations, even if it involves adjusting their budgets and guest lists. Gen Z’s increasing enthusiasm for celebratory and unique weddings is expected to further drive demand in the coming years.”

Dogra also expressed a positive outlook, anticipating steady demand driven by a favourable balance of auspicious dates throughout the year. “The wedding business outlook for 2025 is positive, with an increase in auspicious dates by 10 per cent,” she stated. “This balance between the summer and winter months (April-June and November-February) is expected to drive steady demand.”

Sakshi Dogra, Head of Sales & Marketing Eurasia Wyndham Hotels & Resorts

To capitalize on this growth, hotels are implementing various strategies. “We will embrace sustainability in our operations by increasing the use of eco-friendly materials on our property and selecting energy-efficient solutions,” said Agarwal. “Along with sustainability, we plan to increase the usage of AI-driven tools to streamline planning processes, from vendor selection to guest management. Incorporating VR and AR to offer immersive experiences for in-person and virtual attendees is also on the cards,” he added.

Dogra of Wyndham highlighted the importance of strengthening their online presence and introducing innovative food presentations. “In 2025, we plan to enhance our wedding business by strengthening our online presence through leading aggregators. We will introduce themed food menus and focus on innovative food presentation layouts to elevate the guest experience, ensuring a memorable and unique celebration for all,” she stated.

Logan of Royal Orchid talked about the significance of customization, expanding offerings, and collaboration with wedding planners in the wedding business. “To enhance wedding business in 2025, we will focus on several key areas, including launching new all-inclusive wedding packages tailored to varying budgets and preferences, expanding destination offerings to include hill stations and beach resorts, and partnering with wedding planners, florists, and décor companies to offer seamless experiences,” Logan stated, outlining his strategic approach.

Sahay, on the other hand, focused on enhancing the guest experience by incorporating experiential elements into wedding packages and investing in staff training to improve customer relationship management. “We’re always looking to provide the best possible experience to our guests. The coming years will focus largely on experiential events. We aim to jump on this curve and incorporate wedding packages that provide a personalized and unique touch to wedding events,” he stated. “Novotel Mumbai Juhu Beach offers the unique experience of a beachside wedding in a city as metropolitan as Mumbai. We offer all the convenience and attention-to-detail of a hotel wedding, with the view and experience of a destination wedding,” he further emphasized.

Investing in the Future

Furthermore, significant investments are being made in technology, marketing, and staff training to enhance the wedding business. “In technology, we will invest in AI and automation tools to simplify planning processes and VR and AR solutions for immersive venue tours. We also plan to upgrade our Customer Relationship Management (CRM) systems to enhance client interactions and personalize services,” said Agarwal of Radisson Blu.

“In marketing, we will expand our digital presence with targeted social media campaigns, influencer collaborations, and virtual wedding fairs to reach a broader audience. Staff training will focus on customer service excellence to ensure seamless client experiences, technology proficiency to optimize operations, and education on sustainability practices to align with eco-conscious client expectations,” he added.

Sahay also underlined the importance of continuous improvement in this area. “Innovation and improvement never stops. We aim to ramp up our marketing efforts with increased and consistent communication via digital media. Customer relationship is a priority when it comes to event handling, staff training sessions on staying up-to-date with customer relationship management is a frequent practice at the hotel, one we will be keeping up with for years to come,” he stated.

Regarding initiatives in these key areas in the New Year, Logan said that Royal Orchid will enhance its digital presence with virtual venue tours and AI-driven booking platforms for smoother customer engagement. “Moreover, we will be running targeted campaigns on social media and digital platforms to reach prospective wedding clients,” he stated, adding that Royal Orchid will invest in up-skilling its staff to handle the evolving demands of luxury and personalized weddings.

To summarise, the wedding segment played a crucial role in the success of the Indian hotel industry in 2024, contributing significantly to occupancy, revenue, and ADRs. While the performance varied across different chains, the overall trend indicates a positive outlook for the segment in 2025. By leveraging technology, focusing on personalized experiences, and investing in staff training, the hotel industry is well-positioned to capitalize on the growing demand for unique and memorable wedding celebrations in the years to come.