Ram Mandir spurs demand for rooms in branded hotels across Ayodhya
Strategic focus on developing Ayodhya will trigger India’s spiritual and religious tourism
Religious and spiritual hubs (including Varanasi, Rishikesh, Katra, Haridwar, Tirupati, and Dwarka) generated revenue of about Rs. 1.3 lakh crore in 2022 from a combined footfall of 140 crore. This roughly translates to one religious trip per capita per year
A leading hotel management consultancy has projected that Ayodhya, which is expected to receive 10.61 crore tourists annually by 2031, thanks to the Ram Mandir boost, will ‘require an inventory of 8,500-12,500 branded keys in the medium to long term to cater to this demand’.
That will make the holy city a major development hub for hotels, opening up huge business opportunities in a market that was all but non-existent before 2017, according to Hotelivate.
Just two branded hotels in the budget and economy segment, however, have opened in the run-up to the Ram Mandir consecration, and bigger players have just inked agreements or MoUs, which means their hotels will take another three to five years to come up.
A report, co-authored by Mihir Chalishazar and Hotelivate CEO Manav Thadani, points out that the government's strategic focus on developing Ayodhya aligns with the trend of burgeoning spiritual and religious tourism across the country.
Data from the Ministry of Tourism indicates that in 2022, religious and spiritual hubs (including Varanasi, Rishikesh, Katra, Haridwar, Tirupati, and Dwarka) generated revenue of about Rs. 1.3 lakh crore ($16 billion) and witnessed a combined footfall of 140 crore.
This roughly translates to one religious trip per capita per year in India.
Interestingly, the report points out, this footfall was not confined to mainstream destinations; lesser-known markets such as Pushkar, Vrindavan, and Sabarimala are also experiencing a surge in tourism.
"Ayodhya's tourism boom began with the annual Deepotsav celebration in 2017 and gained momentum after the Supreme Court's 2019 Ram Temple judgment in 2019. In 2023, more than three crore tourists visited Ayodhya and projections from the Ministry of Tourism are about three lakh tourists per day by 2031," the report states.
It emphasises that this clearly indicates a massive opportunity for hospitality in Ayodhya.
