Akshay Kumar – Mumbai
Zo Rooms, one of the fastest growing chain of premium budget hotels, is all set to introduce 2000 hotels across 60 cities by 2015. Currently, Zo Rooms has 200 properties across 13 cities in India. Recently, Zo Rooms received a major funding which was led by Tiger Global.
Speaking about the expansion, Paavan Nanda, co-founder, Zostel Hospitality said, “We are looking both in terms of geographical and technological expansion. In 2015, we plan to introduce around 2000 hotels in 60 cities. Recently we received a major funding led by Tiger Global. It was a great moment for us and we will carry this partnership for long-term.”
Talking about the USP of the chain, Nanda said, “The key USP of our hotel is experience. We do not say that we are the cheapest, but we surely offer a value for money experience. In terms of technology we are much ahead than the other players.”
Launched in August 2013, Zostel Hospitality (ZHPL) initially launched Zostel which is a chain of budget hostels for backpackers. Nanda added, “Currently we have eight Zostels across the nation. We are planning to introduce 35 Zostels within the next three months in multiple locations. Zostel is India’s first and largest brand of backpackers’ hostel and it has a vast community of passionate travellers.”
Speaking about the challenges, he said, “Presently, the major challenge is that the hotel owners do not understand the new travellers. The young travellers or backpackers demand cleanliness and hygiene, and Wi-fi. Quality supply of these basic needs are lacking in most of the budget hotels. The is no player in the industry who has bridged this gap in this segment.”
Zo Rooms is also looking to tap the MICE segment. Some of the properties also have conference facilities. Nanda stated, “We are also targeting the MICE segment, which is one of the most important spaces for us. We also offer multiple offers for corporates as most of our properties are located near corporate hubs.” Speaking about technology, Nanda concluded, “We want to further develop our mobile application. Presently, our app is integrated with Uber and foodpanda, who provide exclusive offers to our members. In future, we will definitely partner with more companies.”