Technology-led hotel group, Oyo has launched an innovative new business development model to help scale the UK business by partnering with hospitality professionals and entrepreneurs.
As part of the company’s overarching business growth strategy, Oyo has created the Network Developer programme to both support expansion of the hotel network and present entrepreneurs in the hospitality and real estate space with a valuable revenue opportunity. The developers may be existing hotel owners, hospitality professionals, or real estate agencies.
The move is testament to Oyo’s unique entrepreneurial ethos and the challenger brand’s aim to disrupt the hospitality market. Oyo was founded by Indian entrepreneur, Ritesh Agarwal, in 2013 and has grown to a global hotel group with 43,000 hotels operating in 80 countries and 800 cities around the world.
The network developers will focus on a dedicated region on an exclusive basis and will bring their own team on board to support them in signing new properties to the Oyo brand. They will be provided with ongoing support from Oyo’s experienced in-house teams.
The programme presents a sizeable business opportunity for Oyo Network Developers who receive an ongoing share of Oyo earnings at the property level.
In addition, the partner can generate further revenue streams by offering their own services, ranging from a full management contract to operational services such as food and beverage, staffing, maintenance, guest amenities, housekeeping, WIFI and financial management. The scheme also allows consultants to generate returns across multiple hotels without the time commitment of day-to-day property management.
Launching in the UK just over two years ago, Oyo now has a network of over 200 properties across the country. The hotel company partners with independently-owned small and midsize hotels, providing a suite of services including sales and distribution, channel management, revenue management, property management, customer service and brand.
With technology hard-wired into Oyo’s DNA, services are operated via a full stack of industry-leading proprietary technology products designed to maximise revenues and give time back to owners.
“As the hospitality and tourism sector begins to open up over the coming months, UK hotels have a great opportunity to benefit from an upsurge in consumer demand and leverage a bumper year for domestic tourism,” says Simarjit Manaktala, OYO Regional Head - UK & Europe.
“In this context Oyo’s unique technology-driven services are more relevant than ever,” Manaktala continues, “allowing hoteliers to capitalise on demand and maximise their revenues.
'We are delighted to launch this Network Developer scheme which will allow us to supercharge the expansion of our hotel network so we can support hoteliers in achieving their commercial goals. But most importantly – as a business with entrepreneurialism at our heart – we’re excited to be able to provide business people with a rewarding financial opportunity and invite them to be a valued and central part of Oyo's onward story.”
The first network developer to sign up to the programme is experienced hotel owner, Irfan Chaudhary, who said, “My family has been operating hotels for almost 40 years and Oyo's appetite for growth made me interested in becoming a Network Developer. Apart from the revenue incentive, it makes me feel part of a company that is giving independent and small hoteliers the opportunity to compete with the big chains.
'I have personally seen the benefits of the network developer scheme and I now have five sites franchised with Oyo. I don't have to manage the day to day room rates and inventory so I can use my efforts to acquire more hotels both personally and through the network developer initiative.”
Another of Oyo’s first Network Developers, Suman Mitra, said, “I am delighted to be part of this project which not only gives me the opportunity to work on a revenue-sharing incentive but also to be part of the growth trajectory of one of the most exciting hotel companies in the UK.”
Mitra continued, “I have been working in the hospitality business for over 20 years and own and operate four hotels in London, Oxfordshire and Worcestershire. I have seen how the hospitality industry has changed in the last two decades and believe it is now more critical than ever for hoteliers to have access to an innovative technology platform to keep connected with our customers.”