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Oravel shuts; Shifts focus to hotel chain OYO Rooms


Oravel Stays Pvt Ltd which operates the online short stay accommodation booking site Oravel.com has shut, reports Techcircle citing a source. When we tried accessing it, we received a blank page at the time of writing this article.

Following this shutdown, Oravel is now focusing on its budget hotel chain OYO Rooms which was relaunched recently. It’s worth noting that Oravel had recently raised investment from DSG Consumer Partners and Lightspeed Venture Partners. While the investment size wasn’t disclosed, sources had pegged the investment at Rs 4 crore, with majority of it from Lightspeed Venture Partners.

OYO Rooms currently offers a chain of branded budget rooms with “standardized experiences”, although the company doesn’t own any of these rooms, as indicated by the report. When we checked, we noticed that one cannot book rooms on the site, although it allows users to send room enquiries. The service is however currently available only in Gurgaon, wherein it offer rooms from 11 hotels.

This was probably in the offing since the Oravel has been facing issues with its website and booking services. One of the two telephonic booking numbers mentioned on its website had then mentioned that it was currently allowing bookings only for OYO Hotels (now OYO Rooms) while the other one was not functional. OYO Hotels were also the only ones available on Oravel back then.

Agarwal had then mentioned that they had temporarily scaled down operations after two senior executives on the tech side had left the company. He had then claimed that the company is hiring in tech and all their operational issues should be sorted within a couple of weeks. (More on operational issues at Oravel here)

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Founded in February 2012, Oravel allowed users to search for short stay rooms and apartments in India, quite similar to how AirBnB works. Users could list their serviced apartments, boutique properties and villas and travelers can book these properties from the site, although Oravel had claimed it lists only hand picked properties, based on the quality of the apartment.

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