New Delhi:IPO-bound global travel tech platform OYO on Friday said it expects to raise booking revenue from company-serviced hotels to 44 per cent from 22 per cent by the end of current financial year, as part of its increasing focus on India and premium property expansion.OYO presently operates over 1,300 company-serviced hotels in India, primarily featuring its mid to premium segment brands, including Townhouse, Townhouse Oak, Capital O, Palette, and SUNDAY.
The share of company-serviced hotels in OYO's portfolio is also set to double, expanding their presence from 124 cities to over 300 cities across India, the company said.OYO introduced company-serviced hotels in FY23, initially contributing less than 2 per cent of its booking revenue. Since then, the rapid expansion of this segment has made it OYO's fastest-growing business globally.
OYO is currently focusing its company-serviced model expansion in leisure cities, pilgrimage destinations and business corridors, where demand remains strong, and property owners are open to long-term partnerships with the company.
These include cities such as Mohali, Faridabad, and Jalandhar in the north; Cuttack, Asansol and Darjeeling in the east; Mangalore, Kollam, Port Blair, and Kasaragod in the south and Bhilwara, Vapi, Junagarh and Jalgaon in the west.
Varun Jain, Chief Operating Officer, OYO said, "The program is in line with OYO's strategic focus for 2025 for the India market, which aims to drive profitability by enhancing the overall guest experience.
These hotels record a higher customer rating of 4.6, compared to the overall average of 4.0".He further stated that the occupancy rate of these hotels is also 2.7 times higher than other hotels.
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