REGION OVERVIEW
Kerala, situated along the tropical Malabar Coast of southwestern India, is bordered by the Western Ghats to the east and the Arabian Sea to the west. Known for its natural beauty, wellness offerings, and cultural heritage, the state attracts over 21 million domestic and 5 lakh international tourists annually. The tourism landscape is traditionally anchored by well-established destinations such as Munnar, Kochi, Alappuzha, Thekkady, Kovalam, and Wayanad, which offer a blend of hill tourism, backwaters, wildlife, Wellness, and heritage experiences. Infrastructure improvements such as the Hill Highway and upgraded cruise terminals combined with growing interest in Ayurveda, Homestays, and Houseboats, are driving the emergence of new tourism nodes.
This blog explores the rising tourism and hospitality potential of Bekal and Varkala, two emerging coastal destinations in Kerala.
TOURISM OVERVIEW:
Varkala: Cliffside Wellness and Beach Destination
- Varkala is an emerging cliffside beach destination in Kerala’s Thiruvananthapuram district, offering a unique mix of spirituality, wellness, and coastal leisure. In 2024, it recorded an estimated 5 lakh tourist footfalls, with an average stay of 2–2.5 days.
- The destination attracts 90 per cent domestic tourists, primarily from Bengaluru, Chennai, and various parts of India, along with other regions of Kerala. International arrivals, mainly from Europe and Russia, typically visit during the peak season from October to February, with a smaller shoulder season from March to May.
- Varkala’s key attractions include Janardhana Swami Temple, Sivagiri Mutt, and the Varkala Cliff Walk. The destination’s appeal lies in its Ayurveda and yoga retreats, surfing, and bohemian café culture, making it ideal for solo travellers, FITs, small leisure groups, and corporate wellness retreats. Proximity to Thiruvananthapuram International Airport (40 km) supports its growing potential for boutique resorts, destination events, and wellness tourism.
Bekal: Emerging Heritage and Beach Destination
- Bekal, located in Kerala’s Kasaragod district, is emerging as a premium beach and heritage destination, anchored by the iconic Bekal Fort and a largely untouched coastline. Since 1 April 2025, the destination has recorded approximately 1.5 million visits surpassing all previous records. The average length of stay ranges between 2 to 2.5 days, with peak tourist activity observed during the October–February season.
- Tourist inflow is predominantly domestic, with source markets including Bengaluru, Kochi, and Mangalore. With improved access via Kannur and Mangalore International Airports, the region is witnessing growing interest from outside Kerala.
- Bekal’s appeal lies in its blend of coastal charm, heritage landmarks, and serene backwaters. Key attractions include Bekal Fort, Bekal Beach, Kappil Beach, and Chandragiri Fort, complemented by regional cuisine and traditional experiences. As part of the Malabar Tourism Circuit, Bekal is gaining traction as a destination for luxury getaways and weddings.
HOSPITALITY OVERVIEW
Varkala: Boutique and Wellness-Focused Growth
- Varkala currently hosts approximately 200 operational keys, primarily in the boutique, mid-segment, and wellness resort categories. Key properties include B’Canti Boutique Resort (20 keys), Gateway Varkala (30 keys), Fragrant Nature Resort (29 keys), and Elixir Cliff Beach Resort (30 keys), catering to solo travellers, wellness seekers, and digital nomads.
- The town is experiencing steady growth in homestays and experiential resorts, supported by its appeal as a yoga and Ayurveda hub. The Kerala government’s Master Plan aims to streamline infrastructure and encourage responsible development. However, CRZ restrictions and cliffside development limitations remain significant barriers to large-scale hotel expansion.
Bekal: Luxury and Resort-Led Expansion
- Bekal, in contrast, has established itself in the luxury leisure segment with 289 operational keys, including flagship properties like Taj Bekal Resort & Spa (75 keys) and The Lalit Resort & Spa (38 keys). The region also boasts upscale retreats like Kanan Beach Resort and Gateway Bekal. A confirmed pipeline of ~150 additional keys—including Ginger Bekal and new luxury developments by the Raj Group.
- The Kerala government has identified nearby locations such as the Valiyaparamba Islands and Pallikkara for focused tourism infrastructure development. Bekal’s serene coastline and heritage-rich backdrop support its positioning as an ideal destination for eco-resorts, Ayurvedic wellness retreats, and destination weddings. Enhanced air connectivity via Kannur International Airport further strengthens investor confidence in the region’s premium coastal hospitality potential.
OUTLOOK
- Varkala and Bekal are emerging as high-potential coastal destinations in Kerala’s hospitality landscape, each leveraging unique geographic and experiential strengths. Varkala, with its cliffside beaches and proximity to Thiruvananthapuram, is transitioning into a wellness and leisure hotspot, attracting yoga tourists, destination weddings, corporate events, and leisure travel. Bekal, anchored by its iconic fort and serene backwaters, is evolving into a premium beach destination supported by improved access via Kannur Airport.
- Backed by state-driven infrastructure plans and rising investor interest, both towns are expected to witness significant resort and wellness tourism development over the next 3–5 years targeting eco-resorts, boutique stays, and wellness retreats. However, regulatory constraints such as CRZ norms and ecological sensitivity remain key factors influencing the future hospitality expansions.
To explore more insights into emerging hospitality markets, read our latest article: Top Emerging Tourist Destinations for Resort Development in South India.
