OYO forms JV with Yahoo to Launch Operations in Japan

Gurgaon-headquartered budget accomodation company, OYO has commenced of its operations in Japan, through a joint venture (JV) with Yahoo Japan Corporation to form OYO Technology & Hospitality Company, Japan.

With this new entity, OYO will bring its successful housing rental product from India, OYO Living, re-christened as OYO LIFE to Japan in beginning of March 2019. Geared to provide upgraded living experiences at an affordable price, OYO LIFE aims to enter the housing rental segment in the country, targeting the young and growing population of Japan, starting with students and young professionals.

Japanese entrepreneur and former Japan market leader for Handy and Booking.com, Hiro Katsuse, has been appointed as the CEO of the newly formed joint venture company.

Ritesh Agarwal, CEO & Founder, OYO Hotels and Homes said, "After successfully growing our business in our home markets, India and China, and expanding our presence to nine countries, we are really excited about commencing our operations in our third and potentially the largest home market - Japan, through a joint venture with Yahoo! Japan to form OYO Technology & Hospitality Company, Japan. This new entity will be focused on creating unique living experiences for the Japanese citizens, students, and young professionals, looking for good quality affordable accommodations, starting with our fully managed homes brand - OYO LIFE."

OYO LIFE offers a new housing rental solution - ready to move in beautifully designed homes, that eliminates the hassles of finding, accessing and managing everyday housing. This is one of OYO LIFE’s biggest advantages. Customers can now choose a lifestyle which gives them the freedom to live their life their own way - financial freedom with minimal deposits and no lock-in periods and privacy so that they can save and spend the way they like.  These accommodations - apartments, homes, and shared spaces are easy to find, easier to move in,  and easiest to live in as they can enjoy essential amenities which include furniture, Wi-Fi connectivity, television, electronic household appliances, regular housekeeping, CCTV surveillance, digitally enabled locks for additional security and 24/7 assistance, at no extra costs.

To recall, a recent report revealed that OYO is in talks to acquire India business of Keys Hotels, a brand of full-service hotels in India that operates under its parent chain of Berggruen Hotels.

"We are really happy to partner with OYO, through this joint venture and are certain to deliver good quality fully managed homes at affordable prices. With our local know-how, online distribution network and marketing support, OYO LIFE will soon emerge as the most preferred abode for the Japanese citizens and visitors in the country," said Kentaro Kawabe, CEO, Yahoo! Japan.

Earlier this week, Softbank backed startup kicked launched its services in Saudi Arabia by signing pact with 50 hotel having more than 3,000 rooms across seven cities.

Prior to this, Oyo had just raised $100 million from Star Virtue Investment, an entity controlled by the Chinese cab-hailing giant Didi Chuxing.

Source - The News Minute

This London-Based Startup Has Chosen India To Set Up INR100/day Hotel

London-based technology startup Chototel having a tagline - "The People's Hotel", has chosen the Indian land as its destination to set up its pilot "super-budget" hotel.

According to whispers going round in the hospitality industry, the startup is currently in final level talks of acquiring lands in Chakan, Goa and Gujarat so as to get started with its next round of projects in the Asian country. Chototel aspires to build some 100,000 rooms on the Mumbai-Pune-Goa corridor in the period of next five years.

There are various factors that distinguish a Chototel hotel from any other. For example: in its super budget Chototel hotel, the tariff will start at a minimal 100 rupees per day and facilities such as uninterrupted water, electricity, gas and social infrastructure like gardens, community kitchen, daycare and infirmaries etc. will be provided. In order to make the project successfully deliver efficiencies from construction through to maintenance and hotel operations, a diverse array of Internet of Things, closed loop, real-time cash transfer, digital health and Big Data technologies are being employed.

In a statement to a website, Chris Phillips, Chairman, Chototel, divulges what made the company choose India over any other country. According to him, the country's diversified economy and promising growth prospects helped it make the cut. Further, Phillips also added that, he is hopeful the country's policy-makers will take suitable actions to enhance the country’s economic strength and, in turn, its financial strength in the coming years.

[caption id="attachment_105915" align="aligncenter" width="628"] Chototel's Typical Room [/caption]

Rhea Silva, Managing Director, Chototel, describes the upcoming Chototel project as a technological super machine. According to her, the company would make use of innovative technologies to build, operate and manage in such a way that will allow them to keep the tariff low and the efficiencies being provided to the customers high. She also talked about the company's plan for India and added that they're committed to make India the cornerstone of their market entry strategy.

Chototel's first project has already hit the ground and is currently under-construction in the Nagothane area, an industrial town located on the newly constructed Mumbai-Goa expressway. Spread spread across 1.5 acres and 75,000 square feet of constructed area, the 240-room hotel will be able to host upto 1,000 guests. According to the figures made available to IndianWeb2, the project will cost around GBP 1.75M (or INR 175 million), meaning a price of approximately GBP 7000 (or INR 700,000) for a 290 square feet room.

The first Chototel situated at the large bank of industrial workers, is looking to target people
within its 15-kilometre radius, and also travellers, tourists travelling on the National Highway 17 (Mumbai – Goa) expressway.