Over the next 12 months, RedDoorz will expand into nine news cities in Indonesia, in addition to scaling operations in seven cities it is currently operating in

Singapore-headquartered budget hotel booking platform RedDoorz has announced it will invest US$10 million to expand operations in Indonesia over the next 12 months.

The company will expand into nine new cities, including Aceh, Balikpapan, Batam, Lombok, Makassar, Manado, Medan, Palembang and Solo. This is in addition to its plans to scale operations in the existing cities, which include Bali, Bandung, Bogor, Jakarta, Semarang, Surabaya and Yogyakarta.

To date, RedDoorz claims to have serviced over half a million customers, and has partnered with 500 properties in Indonesia.

Also Read: No time to have your car serviced? MisterTyre comes to your aid at the tap of a button

“To date, RedDoorz spans over 3,000 rooms. Our top three performing cities are Bandung, Jakarta and Yogyakarta. Our aim is to expand to 16 cities in Indonesia by 2018, targeting young adults who are tech savvy,” said Amit Saberwal, Founder and CEO, RedDoorz, said.

With a local team on-the-ground, RedDoorz runs a full operations unit in Indonesia — ranging from customer service, operations and product sales to branding, finance and marketing. RedDoorz has developed its own proprietary technology using data analytics to forecast demand on areas that could have more hotels or properties to drive more footfall for travellers.

“Our team in Indonesia is a great mix of local talent, who have been nurtured and have had immense experience in the local startup market. Our staff strength currently here is 120 people and we plan to double this team over the next 12 months and become profitable in Indonesia by the third quarter of 2018,” Saberwal added.

 

“The Indonesian market has proved to be a great starting point for RedDoorz. We have worked closely with the mid-sized budget hotels, independent properties and guest houses to innovate, collaborate and focus on creating unique experiences to attract guests from within Indonesia and actively reach out to the 250 million tech-savvy consumers. Through our platform, the hotels are able to carve out niches that will sustain sufficient occupancy,” said Rishabh Singhi, COO, RedDoorz.

Established in 2015, RedDoorz helps hoteliers and guesthouse owners to showcase their property over a responsive platform, allowing them to reach out to larger audiences, increase their distribution, earn a brand name and streamline operations.

Also Read: 500 Startups invests in budget hotel booking platform RedDoorz

Apart from Singapore and Indonesia, RedDoorz is also present in India and will soon expand to the Philippines. The company is backed by the liked of International Finance Corporation (private investment arm of World Bank Group), Asia Investment Fund of Sushquehanna International Group, 500 Startups and Jungle Ventures.

Earlier this year, RedDoorz raised additional US$1million in venture debt from InnoVen Capital, a venture lending firm owned by Temasek Holdings and United Overseas Bank.

In May 2016, a joint study “e-conomy SEA” by Google and Temasek Holdings found that Indonesia ranked top as the world’s fastest-growing internet market — spelling a huge potential for the online travel market. It also predicted that the regional market for online travel including hotels, airlines and rides will increase to close to US$90 billion by 2025, compared to US$21.6 billion in 2015, with Indonesia expected to generate a third of this growth.

 

The post Budget hotel aggregator RedDoorz to invest US$10 for expansion in Indonesia appeared first on e27.