Moustache Group Rebrands, Eyes Expansion Across Three Verticals With 12 Properties

Moustache Group of Hotels has announced a rebrand after completing ten years in the hospitality business, reflecting its evolution from a backpacker hostel brand into a multi-format hospitality company. Founded in 2016, Moustache began with a simple idea of creating social spaces where travelers could connect. Today, it operates across 20 hostels, 10 mid-market hotels, and 8 boutique luxury stays and aims to operate 100 more properties by 2030. The rebrand brings clarity to this evolution and aligns the brand with how the business operates today.

Moustache started with a simple focus on community, affordability, and local experiences. That approach worked. Over the last decade, more than 15 lakh travelers have stayed at its properties. During this time, travel patterns in India have changed. While hostel travel continues to be a strong and growing part of the business. India’s hostel and backpacker market reached an estimated ₹1,413 crore in 2024, driven by millennials, Gen Z, and solo travelers seeking community-focused stays.

At the same time, India’s broader travel market has expanded rapidly. Domestic leisure travel, business travel, and short stay trips have increased across cities and emerging destinations. Mid-scale hotels have become the fastest-growing segment in Indian hospitality, with nearly three million additional rooms expected to be required by 2030. Luxury travel is also growing steadily, with demand rising faster than supply, particularly for smaller, experience-driven properties.

In response to these shifts and to meet the changing traveler expectations, Moustache expanded its offerings beyond hostels. However, a gap remained between perception and reality, with mid-budget and premium travelers continuing to view Moustache as a hostel-only operator. The rebrand was undertaken as a strategic correction to improve clarity, as the future of hospitality demands reduced market confusion.

Speaking about the rebranding, Mr. Deepak Agarwal, Founder-Director, Moustache Group of Hotels, said, “Travelers today are overwhelmed by options, platforms, and formats. In such a market, the structure itself becomes a competitive advantage. This clear brand architecture will reduce confusion for the consumer and decision friction for the business.”

The refreshed brand structure clearly defines three verticals. Moustache Hostels remain social and community driven. Moustache Select focuses on comfort-first stays for families, professionals, and value-focused travelers. Luxuria by Moustache caters to boutique and experiential luxury stays. Moustache Targets ₹100 crore in revenue by FY 2027, with growth increasingly driven by Select and Luxuria. The company plans to add up to fifty new properties by 2028, with a strong focus on mid-market and boutique luxury formats.According to Aditya Singh Ranawat, Assistant Vice President, Marketing, “One of the biggest concerns we had was perception. We had evolved beyond hostels, but people still saw us as just a hostel brand. The rebrand closes that gap and removes confusion for the traveler.”

This rebrand marks Moustache’s transition from a single-format brand to a structured hospitality platform designed to serve multiple traveler needs without dilution, improving discoverability, and sharpening its positioning.