wordpress blog stats
Connect with us

Hi, what are you looking for?

Zo Rooms secures $30M in fresh round of funding from Tiger & Orios

zorooms

Room rental service Zo Rooms has raised $30 million from existing investors Tiger Global Management and Orios Venture Partners, reports ET. The startup will use the funds for expanding to other cities. Note that just last month Zo Rooms had raised an undisclosed amount from the same investors, an amount to be pegged at $5 million by the current ET report. The company had said then that it would use the funds for marketing, brand building and improving its technology.

Interestingly, the Zo Rooms funding comes within a week of competitor OYO Rooms raising $100 million in funding led by SoftBank Group and with participation from existing investors Greenoaks Capital, Sequoia Capital and Lightspeed India. OYO rooms had also raised $20 million from Greenoaks Capital and other existing investors in March.

As of now, Zo Rooms offers room rentals in 25 cities, including Delhi, Chennai, Mumbai, Pune, Mysore, Varanasi, Hyderabad and Bangalore. To book a room, users need to select the city they want the room in, the check in and check out dates, number of rooms, and number of people in the room. If not booking online, users are provided with a number to call the company and rent the room. Zo Rooms claims that it will have 2000 hotels in 60 cities by the end of this year.

Competition:

– In February, Chennai-based Insara Technologies, which operates hotel booking site Stayzilla, raised $20 million in a Series B round of funding led by Nexus Ventures with participation from existing investor Matrix Partners India. In 2013, Stayzilla had raised an undisclosed amount of funding from Matrix Partners, in return of a minority stake in the company. In 2012, the company had raised $500,000  from Ravi Krishnappa, one of the founding partners of the angel fund VertExperts, who led the investment as part of the Indian Angel Network (IAN).

Advertisement. Scroll to continue reading.

– Other than this, more established online travel agents such as MakeMyTrip, Cleartrip and Yatra etc., have hotel booking services that have been growing at an impressive rate. At MakeMyTrip, hotels and packaging business contributed for 44.2% of the company’s net revenues for the quarter ended December, and the segment’s revenues grew by 43.5% to $15.8 million for the quarter, from $10.99 million in the same quarter last year. Meanwhile Cleartrip, reported a 98% rise in hotel bookings in the third quarter. Cleartrip, which is an unlisted company, did not give the increase in searches and bookings in terms of absolute terms, but said that it saw an average of 2,500 room-nights booked per day. Over a 90 day period that translates to about 2,25,000 hotel bookings.

– Zo Rooms also has to contend with reverse bidding sites such as Findmystayand 90bids.com where travellers quote prices they are willing to pay and the website offers them hotels with closest fares.

Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

The US and other countries' retreat from a laissez-faire approach to regulating markets presents India with a rare opportunity.

News

When news that Walmart would soon accept cryptocurrency turned out to be fake, it also became a teachable moment.

News

The DSCI's guidelines are patient-centric and act as a data privacy roadmap for healthcare service providers.

News

In this excerpt from the book, the authors focus on personal data and autocracies. One in particular – Russia.  Autocracies always prioritize information control...

News

By Jai Vipra, Senior Resident Fellow at Vidhi Centre for Legal Policy The use of new technology, including facial recognition technology (FRT) by police...

You May Also Like

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ