New Delhi: Tata-owned Taj Group is to increase the share of food & beverage (F&B) to the total revenue by 50 per cent during the current financial year 2002-03 from the level of 37 per cent previous year.

The Group is aggressively promoting its F&B business to maintain the topline, as room revenue is likely to remain under pressure due to the low volume of foreign visitors during the tourist season. "Taj hotels has initiated strategic tie-ups and launched marketing campaigns to step up revenue from the F&B business and domestic tourists as the inflow of foreign visitors is expected to remain low during the forthcoming tourist season," Taj Hotels director-Direct Marketing & Loyalty Programme Zaid Farooqi said. With various promotional campaigns and strategic tie-ups the company’s F&B revenue is likely to touch Rs 350 crore.

The company earned Rs 212.19 crore from the F&B business in the fiscal 2001-02, which was about 37 per cent of its total revenue of Rs 580.36 crore from rooms, restaurants and banquets. With other income included the company’s total revenue was Rs 601.88 crore during the fiscal.

"An aggressive campaign to promote the F&B business in India though about 200 outlets in 42 hotels has already resulted in an increase in F&B’s share to 47 per cent," he said.

In the previous financial year ended March 2001, the company earned Rs 292.10 crore from F&B which was about 42 per cent of total revenue of Rs 687.5 crore (excluding other income). The total turnover of the company during 2000-01 was Rs 716.34 crore.

"F&B is one of Taj’s core strengths. We have been earning significant revenue from F&B, which is not a trend of any five-star hotel chain globally. F&B can make up the revenue loss from other sources to a great extent," Mr Farooqi said.

Explanining the reason for focusing on F&B and domestic tourists, he said, there is a drop in the number of international leisure and holiday travelers visiting India due to 9/11, the Afghanistan war and the border tension. "The situation is likely to continue even in the tourist season (October-March). Hence, we have taken steps to boost the topline by focusing on F&B and domestic travelers," he added. "We have tied-up with Citibank to offer value-added service to the customers. With Citibank, we will offer Taj Epicure Diners Club International Card which is likely to attract over 20,000 customers in the first year," he said. Citibank has 110,000 Diners Club members in India.

In order to attract domestic travellers and Indian corporate clients, the company has launched a package, which allows a customer to avail two-room nights-free in any of the Group’s hotels anytime, on an average spent Rs 25,000 in any property of the Taj Group.

Similarly, they have tied-up with Indian Airlines to offer free stay in any of the Group’s hotels after shelling out an additional Rs 1,000 for the airline’s ticket.