Bengaluru Luxury Hotel F&B Report · FY 2025-26

Market at a Glance

Key Market Shifts

01
Revenue rose +0.7%, but covers fell -2.9%. Growth in FY 2025-26 was held together by price, not traffic.
02
Specialty Restaurant represented 142.7% of net outlet-category growth — the only format gaining meaningful share.
03
Dinner accounted for 62.4% of total revenue mix. Bars remain heavily evening-dependent at 81% dinner share.
04
Q4 (Jan–Mar) was the pivot point: revenue fell -4.5%, covers collapsed -8.9%. March showed the sharpest stress.

Management Implications

Defending price alone will not be enough if cover softness persists — the market needs a genuine traffic recovery programme, not just a pricing lever.
Bars and Coffee Shops are losing both share and absolute revenue. Beverage attachment and format differentiation must be addressed before Specialty's momentum narrows further.
Use weekdays and weekends differently in commercial planning. Wednesday's ₹17.2L peak is corporate-led; weekend upside remains undermonetised.

Methodology Note

Market Baseline: Revenue and cover volumes reflect 33 participating hotels. No extrapolation adjustments applied.

Period Covered: FY 2025-26 (April 2025 – March 2026) vs. FY 2024-25 (April 2024 – March 2025).

Ratios: APC, seat occupancy, and RevPAS computed directly from the reporting universe without market-wide extrapolation.

Quarterly & Monthly Dynamics

Quarterly Performance — Revenue & Covers YoY %

Growth Decline

Q4 Stress Test — Monthly Revenue & Covers YoY %

Quarter	Revenue YoY	Covers YoY	APC YoY	RevPAS YoY	Signal
Q1 Apr – Jun	+3.8%	+0.2%	+3.6%	+2.2%	Strong
Q2 Jul – Sep	-0.7%	-4.4%	+3.8%	-0.7%	Mixed
Q3 Oct – Dec	+4.4%	+2.1%	+2.3%	+4.4%	Recovery
Q4 Jan – Mar	-4.5%	-8.9%	+4.9%	-5.2%	⚠ Stress

"March is the key signal: weekday revenue per outlet fell -12.8% vs. -4.6% on weekends — corporate demand softened faster than leisure."

Monthly Performance

Market Revenue — Total ₹ Cr

FY 2025-26 vs FY 2024-25 · 23-Hotel Market

Avg Revenue Per Hotel — ₹ Crores

FY 2025-26 vs FY 2024-25 · Per Participating Hotel

Average Per Cover (APC) — ₹

FY 2025-26 · Bars above ₹2,000 highlighted

Even the softest month (August) still traded above the prior-year floor — base demand is intact. Per-hotel, November was the standout at ₹5.64 Cr avg revenue vs ₹5.00 Cr last year (+12.9%). February delivered the highest APC at ₹2,285 — a pricing high for the fiscal year.

Outlet Dynamics & Mix

Revenue by Outlet Category — FY 2025-26 (₹ Cr)

Net Growth Contribution by Category (%)

Outlet Category	FY26 Revenue	Share %	Share Δ	Avg Monthly	YoY %
Banquets	₹847.2 Cr	48.4%	-0.3 pp	₹2.1 Cr	+0.2%
Coffee Shop	₹319.8 Cr	18.3%	-0.2 pp	₹80.7 L	-0.2%
Specialty Restaurant	₹283.7 Cr	16.2%	+0.9 pp	₹33.9 L	+6.4%
Bar	₹152.3 Cr	8.7%	-0.3 pp	₹22.5 L	-3.0%
IRD	₹146.5 Cr	8.4%	-0.1 pp	₹35.6 L	-0.8%
Total Market	₹1,749.5 Cr	100%	—	₹145.8 Cr	+0.7%

"Specialty Restaurant's +6.4% revenue growth against a market that grew just +0.7% signals a clear consumer preference shift toward premium, defined dining experiences."

Revenue Mix Breakdown

Revenue Segment %

Food · Beverage · Other by outlet category

Meal-Period Distribution %

Breakfast · Lunch · Dinner by outlet category

62.4%

Dinner Share

₹1,992

Avg Per Cover

48.4%

Banquet Share

16.2%

Specialty Share

The Weekly Spine

Avg Revenue Per Outlet Per Day · FY 2025-26 · ₹ Lakhs

Wednesday Peak — ₹17.2L The economic spine remains mid-week corporate and MICE demand. Conference-driven dining is the single largest weekday revenue engine.

Weekday Premium — ₹0.5L The gap between the best weekday and best weekend day is narrower than expected. Weekends are underperforming their leisure potential.

Monday Trough — ₹11.4L Monday sits 34% below Wednesday. Corporate arrivals don't land until Tuesday — consider activating Monday-specific F&B programming.