Radisson Hotel Group has surpassed its own development targets in the Indian Ocean area, announcing that its Indian Portfolio is set to triple by the end of 2020.
Radisson Hotel Group targets African expansion
When Radisson Hotel Group (RHG) rebranded in 2018 to take on its current name (built on the fame of its most famous brand), the changes were far more than cosmetic. They came as part of a five-year plan that aimed to propel the group to the top of the industry by 2022.
Development in Africa has been a major element of the group’s strategy. And, in the Indian Ocean area (a key target market), this meant aiming to double its property portfolio – also by 2022. However, RHG has gone beyond its initial target and looks likely to triple the number of hotels it operates across the area.
Currently, RHG has seven properties in operation and under development in its Indian Ocean portfolio. This contributes to a total of 100 hotels across 33 markets the group has in Africa – a number it is working to increase in response to growing competition.
Debut developments in the Indian Ocean islands
In 2019, RHG increased its presence to three of the four main Indian Ocean islands – debuting new signings in both Madagascar and Reunion Island. It also plans to drive further growth across the islands, expanding the reach of its seven brands:
- Reunion Island
The Radisson Hotel Saint Denis became the group’s first signing on the island, bringing a new upscale property to the capital city. RHG’s next step is to enter Saint Pierre with both its Radisson Blu and Radisson brands.
A portfolio signing of three hotels and 254 rooms in 2019 marked RHG’s first activity in Madagascar. All three properties are due to open in the capital of Antananarivo this year, with plans to sign Radisson Blu and Radisson hotels in Nosy Be.
RHG already operates two Radisson Blu hotels on Mauritius: the Radisson Blu Azuri Resort & Spa and Radisson Blu Poste Lafayette Resort & Spa. It aims to diversify its offering by introducing its Radisson Collection and Radisson RED brands to the island.
The group doesn’t currently have any properties in operation or under development on the Seychelles but has identified it as a priority market for resort expansion. It aims to bring its Radisson Collection and Radisson Blu brands to the islands of Mahé and Praslin.
Bringing new brands to a growing market
RHG is certainly pleased with the rapid pace of development in the Indian Ocean – and what it means for expansion across Africa.
“2019 was a milestone year for the group,” says Erwan Garnier, Radisson Hotel Group’s Senior Director of Development for French and Portuguese Speaking Africa. “We debuted in two Indian Ocean Islands, Madagascar and Reunion Island, with Mauritius remaining a priority market for further expansion.”
In terms of its brand strategy, the group aims to introduce more upscale and lifestyle properties to the region.
“As part of our aggressive African development plan, 65% of our future hotel supply will come from our newer brands – specifically Radisson, Radisson Collection and Radisson RED. We will continue to take advantage of the success of Radisson Blu, our flagship upper upscale brand, that remains the fastest growing hotel brand on the continent.”