Luxury hotel chains are rolling out premium staycation packages this summer as they seek to attract affluent Indians who may be rethinking overseas holidays amid disruptions linked to the West Asia conflict and Prime Minister Narendra Modi's recent appeal to curb overseas travel. Hotels including ITC Hotels, The Leela, Marriott International and Roseate Hotels are packaging butler services, chauffeur transfers, spa treatments, dining credits and club access into short-break offers aimed at travellers looking for luxury experiences closer to home. As per Mint, Anil Chadha, managing director of ITC Hotels Ltd, noted that "urban and in-city hotels are seeing stronger relevance as consumers look for premium experiences without long-distance travel." Long weekends have emerged as a big magnet for those who want to make the most of the 72-hour window, with industry executives saying affluent travellers are increasingly opting for shorter, premium domestic getaways.
Leading luxury hospitality players are reporting robust demand for domestic leisure travel this summer as affluent Indians increasingly choose destinations closer to home amid geopolitical tensions in West Asia. According to reports from Business Standard, ITC Hotels booking trends are running ahead of last year in several leisure markets, with Managing Director Anil Chadha noting that "the summer travel season is progressing well, with booking trends across our leisure portfolio remaining encouraging and demand tracking ahead of the same period last year in several destinations." Radisson Hotel Group is witnessing a strong summer travel season across its India portfolio, with overall occupancy levels up 5 per cent compared to the same period last year, as reported by Nikhil Sharma, Managing Director & COO, South Asia. Hari Sukumar, General Manager of Jaypee Palace Hotel & Convention Centre, Agra, confirmed that "this summer season has been significantly stronger compared to last year, with occupancy levels across our portfolio witnessing a growth of approximately 8 per cent year-on-year."
The shift toward domestic travel is driven by near-term geopolitical uncertainty and elevated travel costs that are encouraging consumers to explore premium domestic alternatives. As reported by Business Standard, The Leela Palaces, Hotels and Resorts CEO Anuraag Bhatnagar explained that "while affluent Indian travellers continue to maintain strong long-term interest in international travel, near-term geopolitical uncertainty, airline disruptions and elevated travel costs have encouraged many consumers to increasingly explore premium domestic alternatives." Radisson's strongest growth is coming from Indian destinations that offer either climatic relief or deeper cultural and spiritual experiences, with hill station properties recording 69 per cent growth over last year and spiritual destinations growing by 41 per cent. HVS Anarock's India Hospitality Industry Overview 2025 report confirms that demand for shorter, more frequent breaks, wellness escapes, family celebrations and premium leisure stays is expected to support city hotels this year, with April to June typically a softer period for occupancies at city hotels.
Luxury hotel chains are reporting a deeper shift toward experience-led tourism, where travellers are choosing destinations based on wellness, culture, food and local immersion rather than traditional sightseeing. According to Business Standard, ITC Hotels MD Chadha noted that travellers are increasingly seeking "heritage-inspired stays, wellness retreats, forest and nature-led experiences" while showing a growing appetite for "immersive experiences that combine wellness, gastronomy and destination storytelling." The Leela is observing highly diversified demand with experiential luxury resorts, heritage destinations, wellness retreats and nature-led escapes seeing particularly strong traction, as reported by CEO Anuraag Bhatnagar. The Leela has introduced packages that include butler services and club-access experiences, with offers such as 'Royal Summer Escape', which allows guests to pay for two nights and stay for three. At Roseate Hotels & Resorts, the focus this year is on wellness-led staycations, with Ayurveda-inspired therapies, hammam rituals, personalised spa treatments, premium suite stays and brunch experiences, as noted by CEO Kush Kapoor.
Destinations such as Jammu & Kashmir, Manali, Mussoorie, Udaipur and Ayodhya have emerged as standout performers within Radisson's network, while beach destinations including Goa and coastal resorts in South India continue to attract strong demand. As reported by Business Standard, ITC Hotels reports growing demand in Tier-2 and Tier-3 locations, driven by travellers seeking less crowded and more authentic experiences, with destinations such as Prayagraj, Katra, Amritsar and Bhubaneswar benefiting from increased interest in spiritual tourism and cultural exploration. Grand Hyatt Gurgaon said demand for staycations has started the season on a strong note, with families, couples and professionals gravitating towards packages that combine accommodation with dining, wellness and family experiences. Marriott International said it is seeing stronger demand at its resort properties during the school holiday season and expects city hotels to benefit from the staycation trend, with Monisha Dewan noting that loyalty-led offerings are helping attract leisure guests seeking greater value from short breaks.
