In August 2014, OYO raised Rs 40 million from Lightspeed Venture Partners (LSVP) and DSG Consumer Partners, at a pre-money valuation . By the end of 2014, it had expanded its presence to 350 plus hotels and more than 4,000 rooms in 20 cities like Delhi, Gurgaon, Noida, Bengaluru, Mumbai, Pune, Goa, Jaipur, Hyderabad, and more. In March 2015, OYO raised a total of another Rs 1.76 billion from LVSP and Sequoia Capital . With its expansion into multiple cities, OYO launched its mobile application (OYO App) in April 2015 through Google Inc.’s (Google) “Play Store”...

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PARTNERSHIPS AND ACQUISITIONS

OYO established a partnership with travel website Yatra.com in October 2017, to widen its access to customers. In February 2018, OYO partnered with MakeMyTrip Ltd. and GoIbibo. Under the partnership, OYO’s chain of hotels were listed and were available for booking on both the websites. .

GLOBAL EXPANSION

In 2016, OYO marked its entry into the Southeast Asian market by launching in Malaysia. Commenting upon the launch, Agarwal said in 2016, “Malaysia is our first port-of-call given the attractive characteristics of the market such as higher-than-average mobile penetration and a large internet population. Unbranded hotel room supply accounts for a majority share of hotel supply worldwide. OYO’s model is suitable for markets with large share of unbranded budget supply such as South-east Asia, Africa and South America” ..

TECHNOLOGY TO ENHANCE CUSTOMER EXPERIENCE

OYO had been investing heavily in technology to make sure of the accuracy of its services. There was a huge disconnect between demand and supply of quality living space, forcing travelers and city-dwellers to compromise on location, comfort, and pricing. Agarwal said, “OYO is using technology and talent to fix this socio-economic problem.”(We are focusing on this) so that people and property are in perfect equilibrium. ..

BUSINESS PERFORMANCE

By March 2018, OYO was operating in 8,500 exclusive hotels and 75,000 rooms across its verticals in India, Malaysia, and Nepal. Post the change in its business model, OYO witnessed a surge in its bookings. An analyst at OYO opined,..

THE JOURNEY AHEAD

As of 2019, OYO aimed to emerge as the world’s largest hotel brand, overtaking Marriott, by adding over a million rooms globally in four to five years (2023) . China had approximately 35 million unbranded rooms (as of FY 2018) and Agarwal saw in that a big opportunity to scale up further. India, in comparison, had only 4.3 million unbranded rooms...