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Accor and InterGlobe Redefine Budget Travel in India with Massive Hotel Expansion

Travel and Hospitality

Business Honor
14 April, 2025

Affordable, tech-savvy accommodations set to reshape India’s fast-growing budget travel market.

In a transformative move for India’s budget hospitality sector, global hotel giant Accor and Indian conglomerate InterGlobe Enterprises have announced a landmark joint venture aimed at expanding affordable, quality lodging across the country. The collaboration sets an ambitious target of operating 300 hotels by 2030, specifically focused on delivering accessible and consistent stays for India’s rapidly growing base of budget-conscious travelers.

At the heart of this venture is a strategic stake in Treebo Hotels, a leading player in India’s budget segment, known for its advanced technology platform and pan-India presence. With more than 800 properties in over 120 cities, Treebo will now serve as the domestic driver of Accor’s popular Ibis and Mercure brands, reinforcing their presence in the midscale and economy segments.

Ten new Mercure hotels have already been signed under this initiative, showcasing the swift momentum behind the plan. Leveraging Treebo’s operational expertise and technology stack, the partnership aims to standardize guest experiences across India’s vast yet highly fragmented unbranded hotel market—a challenge long faced by global hospitality brands entering the region.

Accor will continue to oversee global brand standards, marketing, and access to its international systems, while the new entity, jointly backed by InterGlobe, will manage local development and operations. This balance ensures that guests benefit from international service benchmarks while enjoying the affordability and familiarity of domestic travel options.

With India’s domestic travel market experiencing double-digit growth, particularly among millennials and emerging middle-class consumers, the Accor–InterGlobe initiative is poised to make a significant impact. By combining global expertise with local insight and scalable technology, the partnership is set to become the third-largest hotel operator in India by room count—firmly positioning itself as a leader in budget hospitality.