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Hospitality technology company Oyo announced on Tuesday that it has achieved 250% growth in its “company-serviced” hotels business, within just a year of its launch.
Surpassing its target of 200 properties, Oyo said it has managed to add 700 hotels to its portfolio, highlighting its ambition to dominate the mid-premium and upper-budget segments.
Launched in September 2023, Oyo directly manages its company-serviced hotels in a departure from its traditional franchising model.
Branded under premium Oyo labels like Townhouse and Collection O, these hotels are tagged as “company serviced” on the Oyo app and website, and cater to both business and leisure travelers.
Oyo said it employs dedicated business managers and leverages a robust channel partner network to ensure operational efficiency at the properties.
“These hotels have driven substantial improvements in key metrics, including occupancy rates and customer satisfaction,” said Varun Jain, chief operating officer of Oyo India. “With 95% of guest reviews expressing satisfaction, we see a growing preference for our seamless booking processes, modern amenities, and attentive staff.”
Oyo’s Expansion Strategy
Oyo said its data-driven strategy has been central to the success of its company-serviced hotels. By identifying cities with rising business travel demand, such as Bengaluru and Chennai, and optimizing resources, the company has streamlined operations and reduced operational inefficiencies.
Spread across 124 cities in India, Oyo said the South region has been a standout performer, with over 200 properties. Cities like Bengaluru, Hyderabad, and Kolkata lead in terms of the number of company-serviced hotels.
Oyo said it is also strategically expanding into pilgrimage hubs such as Varanasi and Haridwar, Puri and leisure destinations such as Jaipur, Kochi and Goa, showing its adaptability to diverse traveler needs.
Earlier this year, Oyo also launched a brand campaign to “reintroduce” these company-serviced hotels.
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Oyo Brings Premium Hotel Brand to UK and Dubai
To further strengthen its premium property portfolio, Oyo-parent Oravel Stays has announced the launch of its premium hotel brand Sunday in UK and Dubai.
Oravel Stays will now operate Sunday Lansbury Heritage, a boutique luxury stay near London’s business district Canary Wharf. In Dubai the brand launched the 200-key Sunday Holiday International Hotel at Bur Dubai. Oyo said it has identified popular tourist regions such as Deira, Sheikh Zayed Road, Palm Jumeirah and Dubai Marina for the expansion of its Sunday brand of hotels in Dubai.
Originally launched in May last year in India through a joint venture between Softbank and Oravel Stays, the first Sunday opened in Jaipur. So far, India has three Sunday properties with a plan to take this count to 25 by the end of March 2025.
Oravel Stays has also announced its plans to launch Sunday in Malaysia.
Earlier this year, Oyo also announced the launch of its first luxury hotel, the Palette Royal Reflections Hotel and Spa, in Dubai.
Corporate Travel: The Next Frontier
In a parallel move, Oyo last month launched Oravel Travel Solutions, a dedicated B2B platform aimed at capturing the booming corporate travel market, which is projected to double to $21 billion by 2030, according to a Deloitte report.
Through its company-serviced accommodations, Oyo is positioning itself as a one-stop solution for business travel offering “end-to-end event solutions.”
“The corporate travel market is undergoing rapid transformation,” said Ritesh Agarwal, CEO of Oyo, who was also featured in the Skift Power rankings. “Our new vertical will cater to both large enterprises and small and medium businesses, ensuring a hassle-free experience from check-ins to conference setups.”
Oyo has already secured partnerships with major clients such as Tech Mahindra and Reliance, highlighting its credibility in the corporate space.
