The 21st century is marked by disruptive changes in spheres of life and businesses. In fact, the pace of disruptions had been unprecedented. The first decade of the new century witnessed financial turbulence- led by collapse of financial giants and USA housing mortgage led global slump. Also, it has seen companies on top of the ladder like Nokia and BlackBerry to name a few nosedive.
India too has also witnessed several disruptive changes. In FMCG, a new Ayurveda centric Patanjali has risen to top of the ladder; auto sector is working on newest form of infotainment options to lure consumers to its world class offerings; and so many others in a new India that has embraced a truly digital avatar. One of the interesting battles has lined up in the hospitality space, where new forms of affordable accommodation options had been made available to consumers through digital companies, who have revolutionised the way and options people book.
One of the leading companies in this space is OYO, which likes to redeem itself as: A global disruptor from India. Founded in 2013, OYO today operates 7000 hotels and 70,000 rooms in more than 200 Indian cities. These include major metros, regional hubs, top leisure destinations as well as pilgrimage towns. OYO is also present in Malaysia and Nepal. In January 2017, OYO launched Townhouse – a managed hotel-brand designed to function as social hotspots to cater to city dwellers and a new generation of guests.
On 10 May 2017, OYO launched Townhouse to Hyderabad. This is the first launch of OYO Townhouse – a brand-new category of “friendly neighbourhood hotel” – outside Delhi NCR. Hyderabad’s first OYO Townhouse is situated at Road no. 55, Jubilee Hills, besides Peddamma Temple main gate. This will be the 5th hotel in the Townhouse portfolio since it was launched in January this year. After Jubilee Hills, the company plans to introduce OYO Townhouse hotels at other popular locations in the city such as Banjara Hills, Hitech City, Gachibowli and Panjagutta. The rooms will be priced at INR 2500 and upwards.
Ritesh Agarwal, Founder & CEO – OYO, said “This is our first Townhouse offering outside Delhi NCR and we are excited to choose Hyderabad for our debut outside home turf. Hyderabad has transformed into a cosmopolitan city representing a millennial outlook towards experiences and expectations. OYO Townhouse’s efficient hospitality and multi-utility concept fits perfectly into this millennial lifestyle. It delivers a seamless experience through a format that operates as 25% hotel, 25% home, 25% cafe and 25% merchandise store in one place, providing a perfect complement to our guests’ lifestyle. OYO Townhouse represents our ongoing commitment to innovate and create world-class hotel experiences from India.”
Elaborating on the philosophy behind Townhouse, Ritesh added, “Townhouse will deliver an all-encompassing experience to guests. We are excited to showcase and deliver this proposition in Hyderabad today. We are confident that our guests will love the experience of these tastefully done hotels staffed with Managers trained to deliver authentic and unique Townhouse service.”
The hospitality industry in India suffers from a major disconnect between demand and supply of quality living space, forcing travellers and city-dwellers to compromise on decision variables of location, comfort and pricing. OYO Townhouse addresses this gap by creating a perfect equilibrium between location, comfort and pricing using OYO’s proprietary technology and skilled talent pool of hospitality experts. OYO undertakes complete operations of these units along with interior and exterior construction with a group of highly qualified architects and structural engineers.
Commenting on OYO’s business performance in the city, Ritesh said “We are very happy with the response to our offerings in Hyderabad. Our occupancy rates here are higher than our national average. OYO’s strong performance is driven by our focus on delivering convenient access and superior guest experience. Hyderabad’s hotel market has the potential to expand further. We are exploring partnerships with hotels that are willing to be transformed to OYO standards and come onto our platform.”
OYO’s strong performance in the region is driven by an unrelenting focus on delivering convenient access and superior guest experience. “Today, most of the Indian millennials admit to unplanned spending – from relationships to shopping, instant gratification is the new norm. At the same time, they are increasingly looking at discerning or standardised experiences; even if the purchase decision was driven by impulse. Interestingly, the travel and hospitality sector in India is also witnessing the phenomenon of Impulse planning. Despite the last-minute or impulsively planned bookings, travellers’ expectations in terms of service, facilities and experience are pre-determined and non-negotiable. The new Townhouse in Hyderabad will offer a compelling proposition to the impulse travellers. We are also engaging with various stakeholders to create partnerships that help us make new experiences accessible to tourists”, said Ritesh.