ICC World Cup to boost hotel fares by 150%: Jefferies
Global investment bank Jefferies predicts that hotel and airline fares will increase by an average of 150% and 80%, respectively, on match days during the ICC Cricket World Cup 2023. The event, scheduled from October 5 to November 19, will be held in 10 cities across India. The surge in demand is expected to be most significant in major cities, but smaller cities like Dharamshala are also experiencing high demand.
India welcomes ICC Cricket World Cup after 12 years
The ICC Cricket World Cup is returning to India after a gap of 12 years. The tournament will see the participation of 10 countries, with matches held in Ahmedabad, Bengaluru, Chennai, Delhi, Dharamsala, Kolkata, Lucknow, Mumbai, Pune, and Hyderabad. The event is expected to generate significant demand for hotels and airlines as fans from around the world flock to India to witness the matches.
Hotel rates skyrocket amid high demand
According to Jefferies' report, hotel rates are expected to surge by an average of 150% on match days featuring India. The surge in demand is being felt most acutely in major cities, but smaller cities are also experiencing high demand. The report notes that rooms are completely sold out for multiple days in small cities like Dharamsala. The surge in demand is due to the World Cup coinciding with the seasonally strong third quarter for the hospitality industry.
Airline fares to soar too
In addition to hotels, airlines are also expected to see a surge in fares during the World Cup. The Jefferies report predicts that airline fares will increase by an average of 80% on match days. The surge in demand is expected to be most significant during the October-November festival season, which is traditionally a peak period for airlines. The report notes that the surge in demand for hotels and airlines is likely to continue closer to the match dates.
