Oyo said that it aims to double its share of bookings from properties serviced by the company, going from 22% to 44 % in the current financial period.
The company, which currently operates 1,300 serviced hotels across 124 cities, plans to expand its portfolio to include 1,800 hotels across 300 cities. They are mostly under the mid-segment Townhouse Oak and Capital O brands, as well as Sunday, its premium brand.
Oyo has departed from its franchising model since the launch of company-serviced hotel in September 2023.
Oyo will concentrate on leisure cities and pilgrimage destinations as well as business corridors, where there is a high demand for expansion.
What’s driving this decision? The hospitality company claimed in a statement that the occupancy rate of these hotels is twice as high as franchise hotels. The company added that the properties have a higher rating from their customers.
Oyo announced in December that the company had achieved a 250% increase in sales within a year after its launch.
Varun Jain is the chief operating officer of Oyo. He said: “The program aligns with Oyo’s strategy for 2025 in the India market which aims to increase profitability by improving overall guest satisfaction.”
According to the company, Oyo’s fastest growing business segment in the world is its hotel segment. It added: “This shows their greater revenue-generating potential driven by standardised operation, superior service quality and enhanced customer experience.”
Oyo’s Premiumizat
