Transcript - Rural Tourism Network Enterprise

NE Rural Tourism Private Ltd. [RTNE]
www.rtne.co.in
The Indian Leisure Travel
Travel Agent
Hotel website
Online Travel Agents
 10,000 listed properties
 828 destinations
 www.makemytrip.com
has just 2,500 listed
properties
Indian Travel & Tourism Consumption Trends
 Focus on robust domestic market as compared to volatile Inbound tourists.
 Domestic leisure traveller - 4.5 % of the population.
 Mostly originating from 13 major cities in India.
 Looking for better deals (price point INR 1000), shorter breaks, through
online markets.
 Intra regional travel - trips < 3 days; growing @ 17%
From to
West
North
South
East
Northeast
West
81%
8%
8%
1%
1%
North
21%
66%
9%
2%
2%
South
6%
3%
90%
1%
0%
East
2%
12%
4%
77%
6%
Demand – Supply Gap
 India has peak season of 100 nights, almost 80% of tourist traffic
originates during these nights.
 Shortage of 100,000 rooms per day (2008) during peak season.
 Of the 828 known destinations in India; 50% of the tourist traffic visits top
50 destinations.
No. of beds/ day ('0000)
140
120
100
80
No. of bed nights required
60
No. of bed nights available
40
20
0
2007
2009
2011
2013
2015
2017
Consequences of Skewed Demand - Supply
 Paucity
of
accommodation
destinations
peak
season
in
top
50
 Unreasonably high tariffs
 Pressure
on
the
carrying
capacity
of
the
destination
leading
to
environmental
degradation
Opportunity for Rural Tourism
Case of high potential, invested capital & missed
opportunities
The Gap…
The Traveller
How do I find these
destinations?
How can we reach
more travellers?
What is the level of
quality?
How do we
compare to our
competition?
Are rooms
available?
Can I reserve one?
What
improvements
should we make?
Result:
 Lower occupancy for rural
operators
Traveller visits higher priced,
more common destination or
forgoes trip
Rural Tourism
Operator
Rural Tourism Supply Chain
Gap 1
Demand
Information
Gap 2
Sales
Gap 3
Accommodation
Gap 4
Accreditation
Customers
Destination
Booking
Quantity
Quality
Distributors
Accommodation
Payment
Standard
Quality
 Travel Agents
25000
 Preferential
price point INR
1000
per night
 50 mn middle
class to become
250 mn.
Back-End Platform
NE Rural Tourism Pvt. Ltd. has created
Back-end
www.rtne.co.in
On-line Booking Network
The Traveller
 Real time Inventory
 Instant booking & confirmation
 Convenient payment options
 User generated content
describes destination quality and
experience
Result
•Information asymmetries drastically reduced
•Architecture created for multiple players along the supply
chain to leverage
Rural Tourism
Accommodation
Travel Agent
Online Travel Agents
Hotel website
Hotel website
Gap 1
Back-End Platform (www.rtne.co.in)
Destinations
Properties
Local tour operator
Inventory
Local tour operator
Gap 2
Rural Tourism Supply Chain
Gap 1
Demand
Information
Gap 2
Sales
Gap 3
Accommodation
Gap 4
Accreditation
Customers
Destination
Booking
Quantity
Quality
Distributors
Accommodation
Payment
Standard
Quality
Travel Agents
25000
Preferential
price point INR
1000
per night
50 mn middle
class to become
250 mn.
Back-End Platform
Partnerships
Capacity Building Strategy
Stage 1
RTNE's role
Potential
partners
Stage 3
• Interim period to
consolidate back-end
Standard
• Scale up in top 50
destinations
Quality
• Scale
up to market
requirements
Quality
• Largely actively driving
(as operator and investor)
• Build partnerships
• Create service lines
along business models
• Present in Coastal
Maharastra
• Rally stakeholders
• Create a back-end
Theme
Stage 2
• Create
successful
Accommodation
franchisee like templates
• Existing local private
entrepreneurs
• Online/Offline Agents
• Training/Audit Program.
• Create awareness
• Uttarakhand/HP/Karnatak
a/TN
• Networks of local private
entrepreneurs and local
people
• VTNE and other training
institutions
• Fund expansion/debt
guarantee (scale-up) if
required
• Networks of local
entrepreneurs
• Financial Institutions
Karmveer Rathore
[email protected]
www.twitter.com/RuralTourismNE
+91 97909 23774