Leela Ventures ties up with Kempinski for global markets

Bangalore: Hospitality major Hotel Leela Ventures, which was earlier planning to go it alone globally, has decided on co-branding with its long standing partner Kempinski for the overseas operations.

Leela and Kempenski are now working on a royalty deal and Leela Ventures international foray would use the Kempinski brand. Leela is working on overseas ventures in Dubai, Abu Dhabi and in Mauritius through contract management route.

Leela would pay a royalty for the use of the partner's brand globally, which would be around 2 per cent. Currently, Leela has a strategic marketing and sales tie-up with Kempinski, for its domestic properties and pays the latter an annual transaction fee, estimated at around 0.9 per cent.

The Kempenski name will be extended to all the upcoming projects in Delhi, Udaipur, Chennai, Hyderabad and Pune. Currently except for The Leela-Goa, which is associated with General Hotel Management (GHM) Kempenski name is associated with all the three Leela properties in Mumbai, Bangalore and Kerala.

Hotel Leela Ventures will also become a member of Global Hotel Alliance (GHA), which will further help in generating more business with wider market reach globally. Kempinski is also a GHA member.