About LGT Business Connextions Limited
BUSINESS OVERVIEW
Founded in 2016 by Wilfred Selvaraj, Padma Wilfred, Aruldas Arulandu, and Singaravelou, the company operates as a service aggregator in the travel and tourism industry. The current promoters are Wilfred Selvaraj and Padma Wilfred. The business aggregates services from third-party hotels, airlines, car rentals, cruise companies, and other travel service providers directly or via other aggregators to deliver tailored travel solutions.
The company offers a comprehensive portfolio including MICE travel, cruise bookings, hotel reservations, in-transit arrangements, sightseeing tours, customized travel plans, and arrangements for trade fairs. Services also cover standalone hotel bookings, ticketing, and visa processing for both corporate and individual clients in domestic and international segments. A dedicated corporate travel team manages Meetings, Incentives, Conferences, and Exhibitions, along with unique offerings such as "Let’s Reward" or "Gift a Tour" for employees and channel partners.
Travel packages are designed as all-inclusive solutions, meeting diverse customer needs. Client acquisition strategies include corporate pitching, word-of-mouth referrals, and online presence through www.lgthotelstays.com. While there is no API-based automated booking, inquiries are processed by a dedicated sales team to ensure personalized service.
The pricing model operates on commission-based earnings from third-party partners or direct customer billing, with a strong focus on transparent, upfront costing to eliminate hidden charges. Customer support is provided before, during, and after trips via phone and email, with e-tickets and alerts sent through text and online messaging platforms.
Business Model
The company consolidates travel services from multiple third-party providers according to client requirements. No hotel, ticket, or transport inventory is owned, except for three leased flats in Chennai and Thiruvananthapuram. Service arrangements rely on long-standing partnerships without exclusive contracts, while visa services are managed by an in-house team.
MICE Services
The MICE division delivers end-to-end corporate event solutions, including:
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Venue selection and contract negotiation
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Travel and accommodation
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On-ground logistics and hospitality
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Event design and technical support
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Post-event reporting
Events cover meetings, incentive travel, conferences, exhibitions, and ancillary services like ticketing, leisure travel, visas, insurance, and transfers.
Accommodation
Accommodation is arranged through domestic and international hotel networks and booking aggregators. The company holds Onyx accreditation, enabling commission earnings on eligible international bookings. Corporate hotel bookings are serviced through formal agreements with clients.
Ticketing & Visa
Ticketing covers domestic and international airline bookings, primarily for corporate and bulk requirements. Bookings are processed through airline vendor logins without inventory purchase, with revenues generated via commissions and incentives. The company is IATA-certified and operates on the Billing and Settlement Plan (BSP) platform for secure, efficient ticketing.
Visa services include tourist, transit, business, and conference categories, managed entirely in-house. Most visa-related revenue comes from bundled travel packages, with standalone services offered mainly to corporates or bulk applicants.
Business Process
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Enquiry via call, email, or website request is routed to the sales team.
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Contracting with third-party service providers to match client needs.
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Client decision & initial payment after proposal approval.
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Service arrangement including tickets, hotels, and visas.
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Execution in coordination with clients and providers.
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Post-service feedback and final payment collection.
As on March 31, 2025 the company have 81 employees including top management and KMP. The Banker to the company is IndusInd Bank Limited.
INDUSTRY ANALYSIS
Tourism and Hospitality – Industry Overview: India
According to the Travel and Tourism Development Index 2024 (TTDI) by the World Economic Forum, India ranks 39th among 119 countries, showing notable improvements in prioritisation of travel and tourism, safety and security, and health and hygiene. With global international tourist arrivals rebounding post-pandemic, India is working to position itself as a world-class tourist destination and a key contributor to its vision of becoming a developed nation by 2047.
The Government of India views tourism as a powerful engine for social inclusion, employment generation, and economic progress. Initiatives such as e-visa facilitation, a 24x7 multilingual helpline, and the introduction of programmes like Paryatan Didi and Paryatan Mitra aim to provide a hospitable and memorable visitor experience.
Strong Post-COVID Recovery
In 2023, India welcomed 9.24 million foreign tourist arrivals (FTAs), marking a 43.5% growth compared to 2022. This surge generated foreign exchange earnings (FEEs) worth ₹2.3 lakh crore (provisional), an impressive 65% increase over the previous year. From January to June 2024 alone, FTAs reached 4.78 million, with earnings of ₹1.27 lakh crore.
The travel and tourism industry contributed over US$ 199.3 billion to India’s GDP in 2023, with projections to reach US$ 512 billion by 2028. Notably, religious tourism revenues nearly doubled in 2022, driven by destinations such as Ayodhya, which is undergoing massive infrastructure development worth ₹85,000 crore to become a global hub for spiritual tourism.
Employment and Investment Growth
The tourism sector accounted for 35 million jobs in FY23, an 8.3% increase from the previous year, and is projected to generate 50 million direct and indirect jobs over the next 5–7 years. Investment support has also been significant, with infrastructure status granted to major exhibition-cum-convention centres and liquidity support schemes like the Emergency Credit Line Guarantee Scheme (ECLGS) expanded to include tourism and hospitality.
Cruise and lighthouse tourism have been identified as emerging niches, with five ports designated as cruise hubs and 78 lighthouses earmarked as tourist attractions.
Emerging Segments Driving Growth
India’s tourism evolution now extends beyond traditional sightseeing to niche and experience-based travel:
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Rural tourism promotes local culture, heritage, and community-based economic development.
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Spiritual tourism is booming, with a growing domestic and diaspora audience.
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Eco-tourism is projected to grow 15.7% annually between 2019 and 2027, driven by India’s rich biodiversity and natural landscapes.
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Luxury tourism in India is expanding faster than in any other BRIC nation, with a CAGR of 12.8% (2015–25).
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Medical tourism, combining world-class healthcare with traditional healing, attracts 21% of international travellers.
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Adventure tourism benefits from India’s Himalayan terrain, extensive coastline, and diverse climate zones.
Rising Contribution to GDP
The sector’s share of India’s GDP stood at US$ 199.6 billion in 2022, or 5.9% of the economy, and is expected to grow at 7.1% annually. Tourism is also India’s third-largest foreign exchange earner, with FEEs touching US$ 28.1 billion in 2023.
Delhi and Mumbai airports handle nearly half of all FTAs, while upcoming campaigns like Namaste India and the global exposure from India’s G20 Presidency are expected to enhance its global tourism profile.
Growth Drivers and Policy Support
Four key forces are shaping the sector’s trajectory:
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Rising FDI: The hotel and tourism industry has received US$ 17.2 billion in cumulative inflows since 2000.
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Infrastructure expansion: Massive government spending under schemes like Swadesh Darshan and PRASHAD is creating world-class tourist facilities.
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Growing domestic demand: Higher incomes and niche offerings like medical and eco-tourism are fuelling local travel.
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Policy push: The 2024 Interim Budget allocated ₹2,449.62 crore to tourism, marking a 44.7% increase from the previous year.
Untapped Opportunities
India is now targeting medical tourism through AYUSH, cruise tourism leveraging its 7,500 km coastline, and eco-tourism showcasing pristine forests, mountains, and wetlands. Cruise passenger traffic is projected to rise tenfold to 4 million by 2032, generating US$ 5.5 billion in economic value.
State-Level Initiatives
States are competing aggressively to attract both domestic and international travellers:
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Jammu & Kashmir is promoting leisure, adventure, and MICE tourism.
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Uttarakhand is enhancing wildlife and adventure offerings at Corbett Tiger Reserve.
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Kerala has launched unique rural tourism projects worth ₹60 crore.
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Gujarat is developing the National Maritime Heritage Complex and implementing real-time tourist data tracking.
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Tamil Nadu is upgrading over 300 tourist sites with better roads, hotels, and lighting.
The Road Ahead
A new national tourism policy is under development, focusing on medical, religious, and lesser-known destinations. Modern reforms such as the All India Tourist Vehicles Authorisation and Permit Rules (2021) and air bubble agreements with multiple countries are expected to make travel easier and more attractive.
With strategic investments, policy support, and niche offerings, India’s tourism and hospitality sector is on course to become one of the world’s most dynamic markets, driving economic growth, creating millions of jobs, and reinforcing India’s image as a premier global travel destination.
BUSINESS STRENGTHS
1. Organizational Stability & Management Expertise
Founded by travel industry veterans, including promoters with over three decades of experience, ensuring operational resilience and strategic decision-making. Leadership is supported by an experienced executive team overseeing all business operations.
2. Comprehensive Service Offering
End-to-end provider of domestic and international travel services, including events, meetings, exhibitions, and management services. Capable of handling all travel requirements—visa, ticketing, and holidays under one roof—enabling strong cross-selling opportunities. Constant product innovation and flexibility enhance competitiveness and differentiation in the market.
3. Skilled & Quality Workforce
A team of 81 employees (as of March 31, 2025), including top management and key personnel, with deep industry knowledge and commitment to service excellence. Competitive compensation, regular training programs, and dedicated teams for special assignments, HR, operations, quality, and international business ensure high productivity and service quality.
4. Scalable Business Model
An order-driven model that optimizes resources to achieve economies of scale. Growth driven by new market development, aggressive marketing, expanded packages, and consistent service quality.
5. Strong Client Relationships
Established and long-term ties with major customers, fostering repeat business and high client retention. These relationships serve as a competitive advantage for acquiring new clients and expanding business reach.
BUSINESS STRATEGIES
1. Cost Effectiveness
Focus on reducing operational costs through measurement and evaluation at each cost centre, benchmarking against industry standards, and adopting best practices to remain competitive.
2. Expansion in Domestic Markets
Currently generating most revenue from Telangana (29.71%), Tamil Nadu (23.48%), and Kerala (16.13%). Strategy includes deepening presence in these high-revenue states and expanding into Delhi, Odisha, Goa, Maharashtra, West Bengal, and Puducherry to increase geographical reach and customer base.
3. Strengthening Customer Relationships
Leverage existing relationships and diversify services to increase customer-specific knowledge and deliver tailored packages, fostering loyalty and repeat business.
4. Brand Development
Build a strong LGT brand identity in the tourism sector, emphasizing quality, innovation, sustainability, and credibility to deliver memorable experiences that inspire trust and loyalty.
5. Professional Organizational Growth
Operate with transparency, commitment, and coordination, supported by a balanced team of experienced and dynamic professionals to ensure scalable and efficient operations.
6. Talent Attraction & Retention
Attract and retain top talent through competitive recruitment, retention initiatives, and ongoing training programs to enhance service quality and strengthen long-term organizational capability.
BUSINESS RISK FACTORS & CONCERNS
1. Revenue Concentration in Specific Services
A substantial portion of revenue—99.92% in FY 2025 and 99.93% in FY 2024—comes from MICE packages and hotel bookings. Any inability to deliver these services may significantly impact brand loyalty, operations, and financial performance.
2. Geographical Concentration of Sales
Sales are heavily concentrated in Southern India, accounting for 69.32% in FY 2025 and 79.73% in FY 2024. Telangana alone contributes 29.71%, 37.98%, and 50.37% in FY 2025, FY 2024, and FY 2023 respectively. Adverse developments in these regions could materially affect operations and revenue.
3. Dependence on Corporate Clients
A major share of revenue is generated from corporate clients. Economic downturns, corporate budget cuts, or changes in travel policies could reduce demand for corporate travel services, impacting financial stability.
4. Reliance on Travel Suppliers and Key Relationships
Business success depends on maintaining relationships with travel suppliers, hotels, airlines, transport providers, corporate customers, and IATA. Absence of definitive agreements with suppliers increases the risk of losing them to competitors or facing less favorable terms, which could erode competitive advantage.
Summary:
Gem Aromatics faces high revenue dependency on specific services and markets, particularly MICE packages, hotel bookings, and Southern India operations. Reliance on corporate clients and non-contractual supplier relationships further amplifies vulnerability to market, economic, and competitive pressures.
