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    OYO International Expansion

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    Vamsi Krishna
    OYO is India's largest branded network of hotels that has expanded internationally. It began operations in India in 2013 and has since expanded to over 259 cities in India with over 8,700 hotels and 173,000 rooms. OYO has also expanded internationally to countries in Southeast Asia, the Middle East, Europe, and China under the brand name OYO-Jiudian, operating over 500,000 rooms across 337 Chinese cities. As OYO looks to continue its international expansion in 2019, it is targeting new markets in Japan, Saudi Arabia, and the Philippines.

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    OYO International Expansion

    Uploaded by

    Vamsi Krishna
    255 views19 pages
    OYO is India's largest branded network of hotels that has expanded internationally. It began operations in India in 2013 and has since expanded to over 259 cities in India with over 8,700 hotels and 173,000 rooms. OYO has also expanded internationally to countries in Southeast Asia, the Middle East, Europe, and China under the brand name OYO-Jiudian, operating over 500,000 rooms across 337 Chinese cities. As OYO looks to continue its international expansion in 2019, it is targeting new markets in Japan, Saudi Arabia, and the Philippines.

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    OYO INTERNATIONAL EXPANSION

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    OYO is India's largest branded network of hotels that has expanded internationally. It began operations in India in 2013 and has since expanded to over 259 cities in India with over 8,700 hotels and 173,000 rooms. OYO has also expanded internationally to countries in Southeast Asia, the Middle East, Europe, and China under the brand name OYO-Jiudian, operating over 500,000 rooms across 337 Chinese cities. As OYO looks to continue its international expansion in 2019, it is targeting new markets in Japan, Saudi Arabia, and the Philippines.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    255 views19 pages

    OYO International Expansion

    Uploaded by

    Vamsi Krishna
    OYO is India's largest branded network of hotels that has expanded internationally. It began operations in India in 2013 and has since expanded to over 259 cities in India with over 8,700 hotels and 173,000 rooms. OYO has also expanded internationally to countries in Southeast Asia, the Middle East, Europe, and China under the brand name OYO-Jiudian, operating over 500,000 rooms across 337 Chinese cities. As OYO looks to continue its international expansion in 2019, it is targeting new markets in Japan, Saudi Arabia, and the Philippines.

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    of 19

    I N D I A ' S LA R G E S T B R A N D E D N E T W O R K O F H O T E L S

    OYO`s INTERNATIONAL EXPANSION


    ON YOUR OWN ROOMS – A MANCHISE THRILL!

    ACROOMSWITH TV | SPOTLESSLINEN | COMPLIMENTARY BREAKFAST| FREEWI-FI | HYGIENICWASHROOMS


    Agenda

    Industry Overview

    What is OYO Rooms

    Competition

    International expansion

    The road ahead


    Travelling Accommodation

    Tourism Tourism &


    Hospitality

    Food and
    Beverages

    3
    Industry Trends

    • Tourism has now become a significant source of foreign exchange and major
    employment generator in India. The booming tourism industry has had a
    cascading effect on the hospitality sector with an increase in the occupancy
    ratios and average room rates
    • The tourism and hospitality sector is among the top 10 sectors in India to
    attract the highest Foreign Direct Investment (FDI). The hotel and tourism
    sector attracted around US$ 10.6 billion of FDI between April 2000 and
    September 2017
    • There is an emergence of budget hotels in India to cater to much of the
    population who seek affordable stay as hotel industry is growing too.
    • Around 40 international brands are said to enter the country in the next five
    years (as per Cygnus estimates).
    Industry Trends

    • It is expected that the hotels industry is expected to fall short of meeting the
    long term demands of an economy growing at about 7% p.a.
    • The growth rate in room demand (about 6.8%) has been consistently
    outpacing the supply (about 3%) growth in India for the past few years.
    • India, after China, is considered as one of the most lucrative hotel markets in
    the world.
    • The long-term outlook for the Indian hospitality business continues to be
    positive, both for the business and leisure segments. The sector has potential
    for growth on the back of increases in disposable incomes, increase in foreign
    tourist arrivals, momentum from government-led initiatives, and the
    burgeoning middle-class population.
    The OYOStory

    RITESH AGARWAL:
    Ritesh is the Founder and CEO at OYO Rooms. He was
    selected for the 20 under 20 Thiel Fellowship which
    makes him the only Asian to be selected. He started
    working early at the age of 13and by 18 he was building
    OYO Rooms.
    Our Mission

    “Building TheWorld’s Largest


    Technology Driven Hotel
    Network”
    OurVision

    “ChangeTheWay People
    Stay Away FromHome”
    COMPANY OVERVIEW

    • FOUNDER: Ritesh Aggarwal

    • FIRST BUSINESS : ORAVEL in 2012 ---------> OYO in 2013

    • PAIN POINT WHICH HE TRIED TO SOLVE : He always felt that the biggest
    problem people in India while travelling face is to find affordable hotels to stay in
    and are not able to get very basic facilities from the hotels.

    • 2018 STATISTICS : Present in more than 200 cities


    With 6500 rooms across nation.

    • 2019 STATISTICS: Present in over 259 cities.


    have around 8700 hotels and more than 173,000 rooms
    Barriers to entry
    Economic risks, high capital costs, competition in the
    industry, poor infrastructure facilities and scarcity of land

    Bargaining power of suppliers


    Limited due to higher competition, especially in
    Competition metros.

    Bargaining power of customers


    Higher in metros due to increasing room supply

    Competition
    Intense in metros, slowly picking up in tier-2 and tier-3 cities. Competition has picked up due
    to the entry of foreign hotel chains. Also, there is an increasing competition from the
    startups/online industry due to the increasing penetration of the internet.
    COMPETITORS

    Airbnb
    MakeMyTrip

    Goibibo

    Yatra
    International Expansion
    THE JOURNEY

    • MALAYSIA - Oyo board to hoist its flag in Malaysia for several reasons like of
    being one of the countries where the growth of the tourism us the fastest
    pertaining to $ 19 billion and 25.8 million arrivals as per the year 2018.

    • NEPAL - It ventured its first hotel in Nepal – Oyo Rooms 001 – Kathmandu,
    located in the centre of the city with the idea of “Kuala Lumpur to Kathmandu”

    • CHINA - Operating with the name of OYO – Jiudian, in China the company
    had become the largest hotel chain with 320 cities and 450,000 rooms till late
    May 2019 to over 337 cities and 500,000 rooms.

    • SRI LANKA - After its presence in 7 countries including UAE, UK, Malaysia,
    China and Nepal, In the late 2018, it launched its operations in Colombo, with
    the establishment of 10 properties as a sequence of events when Aditya
    Ghosh (Former Indigo President) was appointed its CEO
    • Indonesia, UK, UAE - The company entered Indonesia in October 2018 with an
    inventory of 30 – full franchised and operated hotels comprising of 1000 rooms
    in 3 cities of Indonesia – Jakarta, Palembang and Surabaya.

    UK for OYO was the first destination out of the Asian region. It aimed to shiver up
    the Britain’s hospitality industry by the model of franchising using strategic
    planning of offering 300 independent hotels before the year 2020.

    In the UAE market, it launched its Capital- O segment for offering its premium
    services to business travellers.

    • SINGAPORE - the company faced much difficulty and challenges from the
    Accor Hotels which marked the deal of 15 budget hotels in Singapore branded
    as “Fragrance Hotels”.
    2019`s
    BREAKTHROUGH

    JAPAN

    SAUDI
    ARABIA

    PHILIPPINES
    THE ROAD AHEAD
    THANK YOU

    ACROOMSWITH TV | SPOTLESSLINEN | COMPLIMENTARY BREAKFAST| FREEWI-FI | HYGIENICWASHROOMS

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