No compromise, a flexible model, new products regularly invented to conquer new markets, increasingly numerous partnerships, in short a war machine to conquer market shares in commercial accommodations. And it works.
Room supply multiplied by 8.7 in 2018 propelling the Indian dans le Top 10 mondial. Far from slowing the growth rate, the young Indian multiplied partnerships and expanded its reach from Asia to Europe at an unbridled rate.
After announcing its position as second hotel chain in China on May 23 after 18 presence there, or 450,000 rooms in 320 cities, for 2% of the total supply in China.
Sam Shih, COO, OYO China, indicated:
OYO Jiudian (Hotels) operates like a Chinese company and offers a better quality of life to people with average revenues throughout the country. Each day, more than 200,000 heads rest on OYO Jiudian pillows in China
OYO indicated at that time that it wanted to set up a partnership with Ctrip. 4 days later, the partnership was officially announced. The Indian company has thus succeeded in reversing the trend of its relations with the Chinese OTAs who had blocked the OYO rooms from their platforms. The partnership includes several joint actions in the following areas:
- Exchange of traffic,
- Interoperability of of platforms,
- Use of data,
- Brand promotion.
How does a soon-to-be giant of commercial accommodations join forces with a web giant owned by one of the BATX (Chinese GAFA): Tencent. According to OYO, synergies will also be found to "support hotel owners in terms of brand image, talent, technology, traffic and operations".
On May 30, OYO announced a partnership with the "super-app" Meituan, which carried out its IPO on the Hong Kong market last September. More specifically, the partnership with Meituan Hotels was based on the same principles as that with Ctrip (traffic, data, brand promotion). Meituan claims 78.5 million hotel reservations in the first quarter of 2019.
After the United Kingdom, OYO is showing interest in the Iberian peninsula to reach a European market.
To be continued... for sure!