OYO has launched a ‘Prime Partner Program’ to recognize and reward its most professional hotel operators by offering them an opportunity to grow and expand their business. OYO is also looking for partnership with real estate developers to identify and develop new hotel properties across various regions.
During the pilot phase of the program, OYO has partnered with 30 realtors and started operations in more than 35 hotels. These hotels are spread across key cities such as Delhi, Bangalore, Hyderabad, Kolkata, Goa, Jaipur, Mumbai, Chennai, Pune, Pondicherry and Vadodara.
OYO plans to accelerate the expansion by combining OYO’s innovative technology and hospitality solutions with the real estate sector’s insights and local knowledge. As part of the program, OYO will secure annual to long term management contracts on revenue share basis of 200 premium hotels across Indian metros and give its top hotel operators an opportunity to leverage their expertise in maintaining operational excellence and high customer satisfaction.
The program will allow its top hotel partners to earn additional revenue without taking the risk of leasing or the overhead costs of starting a new hotel. These operators will get dedicated relationship managers and access to OYO’s network of over 15,000 corporate accounts and more than 10,000 travel agents.
Most of these hotels will be onboarded under the company’s premium hotel offerings such as Townhouse, Townhouse Oak and Collection O.
In the process, OYO is also providing property or hotel owners an opportunity to give out their property to a large organization at a fixed rental, revenue sharing or management contract basis and be assured of safe upkeep of their property.
These hotels will be tagged as ‘Managed by OYO’ on the company’s App and Website to signal OYO’s active involvement in their operation. The company will closely monitor the hotel’s upkeep and customer reviews to evaluate and reward the top operators.
Anuj Tejpal, Chief Merchant Officer, OYO said “The program recognizes the evolving travel and hospitality landscape where hoteliers are looking at expansion and guests are seeking well-managed accommodations. By offering hoteliers and property owners the opportunity to participate in this program, OYO aims to create a win-win situation that benefits landlords, professional hotel operators as well as travelers. We are getting encouraging responses from our top hoteliers and planning to increase the current target of 200 hotels under this program”.
Commenting on the opportunity, Ganesh K, Director, GSILVER Hotels Private Limited said “
“I began my partnership with OYO with one hotel in Chennai, and in three years, expanded to 13 properties in Chennai, Bangalore, and Ooty. This program will serve as a catalyst for launching operations nationally in cities such as Pondicherry, Mumbai, Bangalore, and Hyderabad, without the need of signing lease agreements. It gives a small hotelier like me substantial financial flexibility”.
The Prime Partner Program indicates the positive momentum in the hotel industry. A recent report by CBRE South Asia, ‘Indian Hospitality Sector: On a Comeback Trail’, anticipates the addition of approximately 12,000 hotel rooms in the Indian hospitality sector in 2023. The report adds that the sector is projected to attract over $2.3 billion in investments over the next 2-5 years.
