OYO company just after announcing its entry in UK market, it is now understood that a Gurugram based hospitality company OYO is now testing waters in Japan.
OYO is already operating in other countries like China, Malaysia and Nepal.This will be fifth foreign base explored by OYO.
The ecommerce company which is known for travel and hotel booking Ixigo is showing nearly 15 properties within the Tokyo city thereby offering rooms those range in $61-$620 (INR 4510-INR 45,857).
On the other hand, OYO is planning to expand its base in the countries wherein it can get a smooth support from SoftBank which is one of the primary backers of the company.
Peviously, SoftBank had announced in the month June 2018 which will support the OYO hotels in its invasion into China with a joint venture. Since that OYO is landing in the SoftBank’s own territory.
In addition to that, Tokyo is a well known touris destination. As per the report made by the global real estate focused consultancy in Japan, the accomodation accounts for the average of 28 per cent of the tourist spend only for shopping.
The city has scheduled to host the 2020 Summer Olympic Games and hence this would surely be useful for OYO.
The OYo’s plan of entering into Japan has come in to public attention after its latest round of funding. In the recent days, the company had raised nearly $800Mn and got a commitment of another $200 Mn in the round led by SoftBank Vision Fund.
The company is also planning to utilise the funds raised by strengthening its position in India as well as in China.
OYO has also set apart $600Mn for penetrating deeper into China.
As per the reports from the media, OYO would mark its entry in Japan in the upcoming three to six months.