OYO Hotels and Homes announced the milestone of expanding its chain to 180,000 rooms in China, in less than 12 months of operation. The company celebrates its first year of operations in China.
Launched in November 2017, China operates as a home market for OYO, along with India. Today, it has 180,000+ franchised & leased rooms and 4,000+ hotels under franchise, manchise and leased format as part of its chain in China.
Prime cities include Hangzhou, Xian, Nanjing, Guangzhou, Chengdu, Shenzhen, Xiamen, and Kunming, among others. Some franchised and leased hotels are present in Hulunbeier City, Sanya City, and Hainan Provinces.
Buoyed by rapid economic growth, China’s burgeoning $150 bn hotel industry will continue surging ahead despite being fragmented. It enjoys a strong influx of both domestic and international tourists. With this economic boom, there’s a steep rise in the middle-income group where more than 500 million Chinese locals scout for good-quality accommodation at affordable prices, voiced Ritesh Agarwal, Founder and Group CEO, OYO Hotels & Homes.
He further added, “It is here that we at, OYO Hotels, are redefining China’s hospitality industry, which is also a home market for us, by creating a unique combination of predictability, standardisation, quality, and affordability. We want to thank the government of China for its support and are thankful to our business associates, asset owners, guests, 5,500 OYOpreneurs and 60,000 Chinese who are working at our hotels for their continued love and support in making our vision for China a reality. We strongly believe that our journey of adding value to the travel experience for the middle-income individuals while creating jobs and skill development has just begun.’’
Over the past five years, OYO Hotels has built strong and robust operational and transformational, construction and distribution capabilities, making it possible to franchise, lease and renovate hotels in a record time of 3-14 days.
“During our last round of funding, we had committed approx $600 million to the China market, of which $300 million will be used for renovation and infrastructure investments. This additional investment we believe will help us drive the next wave of growth in China, which is already ahead of India, that too in a much shorter span. This is a testament to the acceptance OYO has got in China, the relevance of our business model in the market and the opportunity ahead,” he added.