Brands are aggressively expanding to religious cities as growing tourism is attracting retail brands to establish a footprint in these potential market.
Cities like Ayodhya, Ajmer, Katra, Somnath, Shirdi, Mathura, Bodh Gaya, and Madurai have seen entry of brands such as Blackberrys, Manyavar, Spykar, Decathlon and Fab India among others.
According to CBRE, retail brands across segments, including fashion & apparel, food & beverage, hypermarkets, homeware & department stores and consumer electronics brands, are expanding by tailoring the offerings to the pilgrim’s needs.
“Government initiatives to promote tourism and improve connectivity between pilgrimage sites are further boosting this growth. The rise of online retail platforms offering easy access to faith-based products and services is also a key factor,” said Anshuman Magazine, Chairman & CEO – India, South-East Asia, Middle East & Africa, CBRE.
This trend reflects a broader shift in tourist preferences, with travelers seeking transformative experiences beyond traditional rituals. The rise of urban spiritual tourism is catering to this desire, attracting visitors to cities known for their deep religious and spiritual significance.
The report identifies Amritsar, Ajmer, Varanasi, Katra, Somnath, Shirdi, Ayodhya, Puri, Tirupati, Mathura, Dwarka, Bodh Gaya, Guruvayur, and Madurai as key cities witnessing this retail boom. Retail brands are strategically adapting their offerings in both established mall clusters and high-street locations to cater to the growing tourist population.
The surge in spiritual tourism can be attributed to enhanced infrastructure, including well-connected roads, airports, and public transportation, as well as the development of various accommodation options such as hotels, guesthouses, and wellness centres.
To meet the growing demand for spiritual travel, local governments and businesses are joining forces to create unique retail experiences.
Major hotel chains are also adapting to the evolving preferences of spiritual tourists, offering clean, hygienic, and family-friendly accommodations that command premium pricing.
Several cities have a strong pipeline of new hotel projects, with well-known brands like Marriott, Taj, and Hyatt showing keen interest in entering this market. Branded hotels are emerging as key players, offering a blend of comfort and traditional hospitality tailored for spiritual seekers.
The guide features a diverse range of tourist events, including iftar and suhoor offerings, as well as luxurious accommodation packages, ensuring an unforgettable experience for tourists during the holy month of Ramadan. From live performances to traditional bazaars, food and beverage vendors, and more, participants can immerse themselves in the essence of Ramadan in Bahrain.
In India, a partnership has developed between wellness centres and hospitality brands to serve the needs of spiritual tourism. Wellness centers offer services like yoga and Ayurveda to enhance physical, mental, and spiritual health.
“Driven by the growing popularity of spiritual tourism, investors are flocking to capitalise on the market’s potential. This trend has created opportunities for the hospitality and retail sectors to thrive in these destinations,” said Ram Chandnani, Managing Director, Advisory & Transaction Services, CBRE India.
