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Hotel booking and management startup RedDoorz was first launched in Indonesia four years ago, but lately their presence has been growing strong in Singapore, where the firm is based.

You may have seen their hotels and hostels sprouting up over the past two years in places like Bugis and Little India, marked by their bright red signs.

So far, RedDoorz has already built a network of 18 budget hotels since launching here in 2017.

Today, they announced plans to open 11 more by 2020, which will bring their total number of budget hotels in Singapore to 29.

This expansion is about to make them the second largest hotel chain in the country.

Their growth has likewise been rapid across their other Southeast Asia markets including Indonesia, Philippines and Vietnam.

In June this year, Forbes reported they had “over 1,000 properties” in the region, which then grew to “more than 1,200” as told by Tech In Asia’s piece in August.

Now, their network has reportedly exceeded 1,500 properties across Southeast Asia.

The Door To Tech For Small Hotels

When we think of budget hotel chains in Singapore, names like Hotel 81 and Fragrance Hotel come to mind—but RedDoorz isn’t just an equivalent.

Their properties here span a variety of options, from the more barebones hostels to full 65-room hotels, servicing a range of needs.

RedDoorz Hostel @ Lavender MRT
RedDoorz near Marine Parade Central

The startup uses a technology-driven approach to provide both accommodation booking for guests, and management services for hotel owners.

In 2015, Amit Saberwal founded RedDoorz to be a “technology enabler” for small hotels and properties that couldn’t afford access to technology individually.

They use an AI forecasting metric to gauge demand in an area, and determine how many properties can be added before hitting saturation.

When property owners onboard their hotels to join the RedDoorz brand, RedDoorz will help them manage distribution, pricing, marketing, and customer experience as well. They provide their solutions through both franchise and leasing models.

For guests, they get a consistent standard of quality across the entire network of hotels wherever they stay, and this assurance brings back higher occupancy rates for RedDoorz’s partners.

RedDoorz is seeing quite a lot of confidence from investors, having just raised US$70 million in their Series C financing round in August 2019, from backers like Asia Partners and Rakuten Capital.

This is right after their US$45 million Series B round in July, counting Qiming Venture Partners and Jungle Ventures as some of their investors.

The company’s total funding since 2015 comes up to US$134.4 million.

Featured Image Credit: RedDoorz

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Vulcan Post aims to be the knowledge hub of Singapore and Malaysia.

© 2021 GRVTY Media Pte. Ltd.
(UEN 201431998C.)