Adani, Encalm end lounge service agreements with Dreamfolks

Mumbai: Adani Airports and Encalm Hospitality have ended their lounge service agreements with Dreamfolks Services, marking a major shift in India’s airport hospitality landscape. 

The move brings to a close long-standing partnerships that had played a central role in providing premium lounge access to passengers across the country.

Adani Group, which manages key airports including Mumbai, Ahmedabad, Lucknow, Mangaluru, Guwahati and Jaipur, had collaborated with Dreamfolks for years to facilitate lounge entry through credit card tie-ups and loyalty programs. 

Encalm Hospitality, operator of lounges at airports such as Delhi, Hyderabad and Goa, also relied on Dreamfolks’ aggregator model. Together, these arrangements had given Dreamfolks a dominant position in India’s lounge access market.

Industry executives note that both Adani and Encalm are now moving towards direct agreements with banks and financial institutions. This shift is expected to give operators greater control over pricing, service standards, and the overall customer experience.

For passengers, the change could alter how lounge access is offered, particularly for those who currently enjoy complimentary entry through bank card benefits. While some disruption is likely in the short term, analysts believe the transition will eventually result in better facilities, more tailored services, and a stronger focus on premium experiences.

The development also intensifies competition in the airport lounge sector. Without the support of Adani and Encalm’s networks, Dreamfolks may face challenges in retaining market share, while airport operators are expected to strengthen their own lounge brands to attract frequent and corporate travellers.

Experts see the move as part of a broader trend in which airport operators seek greater autonomy over non-aeronautical revenue streams and passenger services. With air travel demand in India continuing to grow, control over lounge management is increasingly being viewed as a differentiator in delivering value-added services.

Travellers have been advised to check with their banks and airlines for updated lounge access arrangements, especially during the upcoming festive travel season.