After recently announcing its foray into Europe, OYO Hotels & Homes has made another bold statement — that in a span of 1.5 years, it has become the second-largest hospitality group in China. To date, OYO in China has expanded its presence to 320 cities, nearly 10,000 OYO-branded hotels and 450,000 rooms, surpassing the scale of traditional and established hotel chain brands in the country.
“Like a Chinese company”
Sam Shih, COO, OYO China, said: “OYO Jiudian (Hotels) operates like a Chinese company and delivers better living for middle-income people across the country.
“We have ensured that for the first time, you can get a great living space in less than RMB 150 as well. Every day, over 200,000 heads are on OYO Jiudian pillows in China due to the great experience at low cost. Also, we have enabled jobs for over 100,000 young people due to the occupancy rise and, as more people stay in our hotels, more economic opportunities are created.”
Dominating the landscape
OYO is changing the landscape of the budget hospitality space by building its brand, optimising costs, hiring talent, as well as leveraging brand channels. The group is focused on China’s second-tier cities and extends up to the deeper level of tier-6 cities.
Furthermore, asset owners, who have joined the OYO Jiudian (Hotels) group for three months or more, have, on average, seen a double increase in occupancy.
“We are just getting started”
Shih added: “I am humbled to see that over 97% of franchise partners have come back and renewed their contracts, a testament to the impact we have had on their business, both at occupancy and revenue levels.
“We have an incredible opportunity ahead of us and we are just getting started.”