News: OYO to invest $100 Mn in Indonesia within half a decade

Recruitment

OYO to invest $100 Mn in Indonesia within half a decade

Hospitality firm, OYO plans to quicken its pace of growth in Indonesia with a goal to add 70 hotels per month and a target to reach 100 cities in the country by end of 2019.
OYO to invest $100 Mn in Indonesia within half a decade

OYO plans to add 70 hotels every month in Indonesia with a target of about $100 Mn over the next five years in order to maximize its reach in different parts of the country. According to a company statement, OYO wants to make its presence felt in about 100 cities in the Southeast Asian nation.

The investment will focus on partnering with the right hotels across the country, training local talent to assume roles of on-grounds captains and skilling the frontline hotel staff in order to maintain the quality of service across various properties.

“We intend to invest over $100 million in this high-growth market and plan to expand our presence to the top-100 cities in Indonesia, including Yogyakarta, Bandung, Surabaya that we recently entered, and break into Bali over the next 11 months,” said Ritesh Agarwal, OYO Hotels and Homes Founder and Group CEO.

Indonesia’s burgeoning hospitality industry coupled with the use of technology in operations and on-boarding mechanisms has helped firms like OYO develop its own brand in the country. Moreover, the demand for quality living spaces in Indonesia is higher than its supply. OYO plans to cater to this demand in the market, according to the firm.

At present, OYO operates about 150 hotels in 16 cities of Indonesia.

OYO’s business model is based on skilling hoteliers across different cities. Tapping into the local talent is crucial for the smooth and cost-effective operations of this hospitality firm that specializes in on-the-grounds partnerships with local B&Bs and hotels. In India, on-ground captains in 100 different cities are appointed in order to resolve customer queries in-person. Skilling institutes have been set up in about six cities in India as well.

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Topics: Recruitment, #GlobalPerspective

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