MAJOR 5 PLAYERS IN INDIA

1) OYO HOTELS

OYO HOTELS & HOMES is an indian multinational company.It was founded in the year 2013
by RITESH AGARWAL. It is mainly considered of Budget hotels.The startup expanded globally
with thousands of hotels, also called as vacation homes, and millions of rooms across more than
80 nations. It mainly includes India, Malaysia, UAE , Nepal, China, Brazil, Mexico, UK,
phillipines, Japan, Saudi Arabia, sri lanka, Indonesia, Vietnam, The united States and many more
countries.

OYO ROOMS & HOTELS

Trade name OYO rooms

OYO hotels and homes
Type of company Private
Type of industry Hospitality
Founded 2012
Founded by Ritesh agarwal
Headquarters Gurgaon, Haryana,India
Revenue earned Rs 2345 crores
No. of employees 5130

HISTORY

RITESH AGARWAL launched the ORAVEL STAYS to enable listing and booking of
budget accomodations.Later on, he renamed the firm to OYO in 2013. After launching
ORAVEL STAYS, RITESH AGARWAL received a grant of 100,000 dollars as a part of
the THIEF FELLOWSHIP , a two year program from paypal co founder PETER THIEF.

Its network has spreaded over 230 Indian cities which includes all major metros, regional
commercial hubs, leisure destinations, and key pilgrimage towns. It also has an
international presence with hotels in Malaysia and Nepal. The company’s vision is to
become the most preferred and trusted hotel brand in the world.RITESH AGARWAL was
featured in Forbes 30 under 30 in Consumer Tech for creating a global disruptor. OYO
was recently chosen as India’s Most Promising Hotel Network and has received several
accolades which includes Express IT Startup of the Year Award (2015), NDTV Dream
Chaser of the Year (2016) and IAMAI Digital Startup of the Year (2016).
It was recognized by Business Today amongst the Coolest Start-Ups in India (2016) and
ranked by LinkedIn as one of the top employee attractors in India two years in a row
(2016, 2017). OYO is backed by leading global investors, including the SoftBank Group,
Lightspeed India, Sequoia Capita, Greenoaks Capital, Hero Enterprise and China Lodging
Group.
PRODUCTS OFFERED BY THEM:

OYO TOWNHOUSE: It is promoted as the neighborhood hotel which is in the midscale segment
targeted at millennial travellers.

OYO HOME: It offers private homes in different locations and are fully managed by OYO.

OYO VACATION HOMES: It is identified as the 3rd largest vacation home brand with vacation
rental management brands.

SILVER KEY: It helps in identifying the needs of corporate travellers in short term and long
term duration.

CAPITAL O: It offers hotels booking services.

OYO LIFE: It is mainly for the young professionals in search of fully managed homes on long
term rentals at affordable prices.

OYO HELP: It is a tool that helps in supporting check ins , check outs, and payments.

OYO 360: It is a tool that helps in listing your property on OYO. It is mainly built to facilitate
small owners and home owners for a fast track onboarding process.
VISION AND MISSION:

VISION STATEMENT:
OYO ROOMS vision is to become the most preferred and trusted hotel brand in the world.

MISSION STATEMENT:
OYO ROOMS mission is “ Bringing affordable and accommodation that guests can book
instantly.

VALUE PROPOSITION:
VALUE PROPOSITION mainly refers to the unique strategies which every company uses to
gain a greater market space.

OYO HOTELS mainly includes the standards of services.The app of OYO HOTELS is easy to
use and enhances the accessibility .OYO HOTELS has also created many services in line with its
core business.l.

TARGET CUSTOMERS
OYO welcomed over 180 million visitors from over 120 countries. Every night in December
2019, an average of 750,000 people stayed at an OYO. They continued to amaze our customers,
with an average rating of 7.5+/10 on OTA (Online Travel Agency) platforms. Because of its
inclusion on travel aggregators such as MakeMyTrip, cleartrip, and hotels.com, OYO's market
coverage has exploded. Their goal is to attract small business travellers and budget visitors who
are eminently quick-cash, which benefits OYO because revenue is received faster as well.
POSITIONING STRATEGY

OYO Rooms' approach is to attract clients by offering a lower room rate than the hotel's base
rate. The main goal is to offer an unbeatable pricing that fits into the user's budget. The cost of a
room varies depending on the hotel's location and level of luxury, ranging from Rs. 399 to Rs
1000.

PORTER 5 FORCES MODEL

The Porter Five Forces model is significantly influenced by classical microeconomics. In the
case name case study, the five forces that define the industrial structure of the business are:

1. Rivalry among current players — When competition is fierce, existing players such as Oyo
Vit find it difficult to make long-term profits.

2. Buyers' bargaining power — If buyers have a lot of bargaining power, they will drive the price
down, restricting the Oyo Vit's ability to make long-term profits.

3. Suppliers' bargaining strength - If suppliers have considerable negotiation, Then they will
charge higher price from OYO Vit.

4. Threat of substitute products and services - If the threat of substitute products and services is
strong, Oyo Vit must either continue to invest in R&D or risk losing market share to disruptors.

5. Threat of new entrants - If there is a significant risk of new entrants, present players will be
willing to accept lower profits in order to mitigate the risks.

COMPETITORS
MakeMyTrip, ClearTrip, Yatra, Treebo, and Fabhotels are among OYO Rooms' main
competitors. OYO Rooms is an online marketplace that allows people to post and book hotels,
residences, and other living spaces. MakeMyTrip is an online travel agency that offers a variety
of travel services and goods.

Cleartrip, based in Bangalore, India, is a global online travel company. In India and the Middle
East, the company operates an online travel aggregator website for booking flights, train tickets,
hotel reservations, and activities. It has offices in India, the United Arab Emirates, Saudi Arabia,
and Egypt.

Yatra is an online travel agency whuch helps the customers to book their tickets online.
In contrast to other aggregators and networks such as OYO Rooms, Treebo Hotels aspires to be a
low-cost hotel brand.

Bengaluru, India is the headquarters of Treebo Hotels.

Fabhotels are the 3 star budget hotels which are headquartered in gurugram, harayana. They are
the good competitors of OYO rooms.

CUSTOMERS
Oyo mainly targets the people’s who comes under the age group between 20-30.So, that they
can easily gain more and more profits.

SUPPLY CHAIN NETWORK

Supply Chain Planning :

- Demand planning, sharing rolling forecast with vendors, releasing purchase orders, tracking
reorder level of SKUs at warehouse and ensuring timely replenishment, relationship management
with vendors and payment processing

- Coordinate with launch team and ensure launch work is on track with timely delivery of orders
at a launch site

- Maintaining a good rapport with the vendors to ensure our orders get priority in their
production schedules and helping vendors meet our expectations in terms of cost, quality and
service SLAs

Logistics and Warehousing Management:

- Managing Oyo's distribution network, coordinating vendor delivery at site movements,
warehouse inventory management, 3PL management, and monitoring transporter and courier
SLAs and TATs

- Ensuring reorders, consumables, and complementary goods are fulfilled, as well as managing
asset reverse logistics.
- Tracking OTIF, eliminating delays, identifying and controlling essential pathways, and sharing
dashboard with entire team.

Human Resource Management (HRM):

- Interacting with multiple people for multiple projects and ensuring supply chain transparency.

Capabilities Development:

- Taking up short-term process improvement projects and completing them within a set time

frame

- Putting process automation projects in place, such as WMS and OMS.

VALUE CHAIN NETWORK

COMPETITIVE ADVANTAGE
Oyo can help their hotels with marketing at a fraction of the amount they would have had to pay
if they did it themselves. Any independent hotels that were not part of Oyo's marketing network
gained a competitive edge as a result of this level of dissemination.

CORE COMPETENCIES
Our core competency is three-fold: we can decide on acquiring real estate in real time—much
faster than others—and quickly share an offer with asset owners; we renovate our assets quickly
using data science, for example, we know what interior design increases revenue the most; and
we operate our assets.
MARKETING STRATEGY OF OYO HOTELS:

SEGMENTATION
To understand the changing demands of clients in a competitive market, OYO use a combination
of demographic, regional, and psychographic segmentation tactics. OYO divides the market into
the following categories:-

1) The OYO Townhouse caters to Millennials.

2) OYO SilverKey is designed to meet the needs of business travellers.

3) People who come on vacation to the beach or to a villa on an exotic island are the target
market for OYO Vacation Homes.

4) OYO Life is a living space provider.

TARGETING STRATEGY:
The cornerstone of the product development process is the targeting strategy. For different
product categories, OYO employs a customised targeting technique.

1) For airline passengers, there are corporate tie-ups.

2) Tours and excursions.

3) College students or working professionals looking for properly managed long-term rentals at a
reasonable price.

POSITIONING STRATEGY
For its customers, OYO employs a value-based positioning strategy that includes:-

1) Budget hotels that are all the same.

2)A luxurious and productive environment.

3)Greenery of open grass.

4) Room service might be better.

MARKETING MIX
OYO Rooms operate differently from OTAs since they focus on co-branding (Online Travel
Agency). They claim to be working with zero-to-two-star hotels and guest houses,'standardizing'
them and bringing clients to them via their website and applications. Other hotel aggregators
usually merely connect customers with hotels by advertising hotels on their website and charging
a commission. They'd work out an agreement with the hotels with a monthly minimum order
guarantee, and they'd be able to provide lower rates and bargains on room rates compared to
what the hotels would charge a regular guest.

PRODUCT
Oyo offers a diverse selection of products and services to meet the needs of their customers.
OYO Rooms, OYO Hotels, and OYO Homes follow a multi-brand strategy. These are some of
them:

1)Townhouse OYO

2) Home OYO

3) OYO Vacation Homes is a company that provides vacation rentals.

4) SilverKey

5) Capital O

6) Palette

7) Collection O

8) YO HELP

9) OYO Help
PRICING
1) OYO Rooms' approach is to attract clients by offering a lower room rate than the hotel's base
rate.

2) The main goal is to offer an unbeatable pricing that fits into the user's budget. The cost of a
room ranges from Rs. 399 to Rs. 4000, depending on the hotel's location and level of luxury.

3) Overall, Oyo Accommodations takes a very practical approach, aiming to provide rooms with
excellent amenities at a reasonable price while also cultivating client loyalty.

PLACE
1) Oyo rooms is a totally online hotel booking service that allows users to book available hotels
for a nominal cost via an app or web platforms.

2) Once booked and confirmed, the service can be used by arriving at the booked hotel on a
certain date.

PROMOTION
1) OYO loves to advertise on social media platforms like Facebook, Twitter, Instagram,
Pinterest, and others. Oyo leverages the internet platform to attract new clients with its special
products and low prices.

2) OYO has a number of online initiatives, including #AurKyaChahiye on YouTube, the

#OneForEveryone contest, #OYOnauts, and the Father's Day Celebration campaign.

3) To make the promotions more enticing, several of them featured Bollywood artists. OYO's
brand ambassador is Sonu Sood.