#hoteltechnetwork

27-28 May

2020

Warsaw,
Poland

How Millennials Helped this Founder to Create Indonesia’s Leading Budget Hotel Chain

hotel tech news 2

RedDoorz’s Amit Saberwal is planning to expand its presence across Asia

Just over three years ago, when Amit Saberwal founded RedDoorz, it was a SaaS-based company to help hotel owners in the hospitality business in Indonesia and Singapore. In a year of its inception he realized there was something amiss in his business, which was hindering its growth and preventing him to attain success.

Saberwal, who had worked for more than two decades in the hospitality industry including Makemytrip, which is one of the leading travel booking sites, analyzed that there is a huge demand from millennials, business owners and the small & medium hotel owners. That’s when he decided to break the traditional hospitality market of Southeast Asia in 2015, which is expected to cross the mark of $17 billion by 2023

“We saw business models making it easier for customers to book a property and for property owners to make more money, which makes a lot of sense. Tradition hotel chains still remain ‘traditional’ and this is why our business model is a disruptor in the industry,” says Saberwal.

RedDoorz now aggregates existing low-cost hotels on one platform and provides his staff with technology training as well as basic customer service, language, and cleaning lessons to ensure a uniform level of service across the entire network. Each location is then branded as a RedDoorz hotel.

In a span of 48 months, the startup expands its presence in three prominent markets of Southeast Asia that include Singapore, Indonesia and the Philippines, and targets its fourth market Vietnam with its latest entry.

How he did It?

Saberwal says that the secret to his instant success in the industry is his past experience, which played a vital role in propelling RedDoorz to a formidable position in the market.

“We saw Southeast Asia has a huge market and this means there is a huge opportunity for many market players in this field. Our first market was Indonesia to start with,” recollects Saberwal. With rooms available from just 99,000 Indonesian Rupiah ($7.30), RedDoorz specifically targeted the region’s domestic travelers, especially its large youth demographic.

“The market was under served by the current industry, that’s why it was most likely to produce the levels of repeat business required by low-cost hotels,” he adds. According to its sole founder, what made the huge difference in the market were the three key elements, which were customer engagement, rapid scale and repeat behaviour.

The company has raised $20 million till date. “We have continued to receive strong interest and funding since the announcement – sufficient capital for us to meaningfully execute our plan for the next 18 months,” says Saberwal.

What works in SEA?

As the bigger players capture large market in Southeast Asia, how a company can differentiate itself in the market is something to be learnt from the journey of RedDoorz.

In a rapidly fluctuating market of Asia, placing a startup in the travel industry was not at all easy. Saberwal says, “Understanding the market of different regions in Asia was tough. From Indonesia to the Philippines, the demand and the target audience was different. Therefore, we made a strategy to be focused on asset-light business model.”

“In close to just four years, we have stayed asset-light even as a tech firm and we have more than 700 properties across 40 cities in four countries currently. We are able to serve a wide audience who travel domestically and are looking for a fuss-free stay near their activity or business,” Saberwal says.

With the tech embedded in its DNA, the company is able to engage with the millennials (an average customer repeats more than five times a year) deeply through all digital platforms (on the app, mobile, web) and digital marketing efforts. The company’s AI-enabled system predicts price and changes property rates automatically on hourly basis.

How to position in market?

With the middle-class adopting travelling as a lifestyle, with a focus on cost-efficiency, the budget travel is undergoing a huge transformation across Southeast Asia. Amid which, RedDoorz makes a special place in the market.

Since December 2017, RedDoorz has grown by seven times with a run rate of four million occupied room nights annually. What has been the strategy of its rapid expansion?

“The reason we excel here lies in our core business roots to the hospitality and technology industry. Our focus is on the three-star-and-below property segment, a highly-fragmented market. Our properties have a simple service guarantee for our customers. We ensure that we saturate an area of high demand in our segment before moving on to the next area,” explains the 49-year-old founder.

The company now operates across 40 cities with more than 700 properties (17,000 rooms) in Indonesia, Singapore, the Philippines and Vietnam. However, its largest market remains the same, which is its first market Indonesia.

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Barco

Barco ist ein weltweit führendes Technologieunternehmen, das vernetzte Visualisierungslösungen für die Märkte Unterhaltung, Unternehmen und Gesundheitswesen entwickelt. Unsere Lösungen haben eine sichtbare Wirkung, indem sie den Menschen fesselnde Unterhaltungserlebnisse ermöglichen, den Wissensaustausch und die intelligente Entscheidungsfindung in Unternehmen fördern und Krankenhäusern helfen, ihren Patienten die bestmögliche Gesundheitsversorgung zu bieten.

Barco hat seinen Hauptsitz in Kortrijk (Belgien), erzielte 2021 einen Umsatz von 804 Millionen Euro und verfügt über ein globales Team von mehr als 3.000 Mitarbeitern, deren Leidenschaft für Technologie in über 500 erteilten Patenten zum Ausdruck kommt. Barco ist seit 1985 an der Brüsseler Börse notiert. (Euronext: BAR; Reuters: BARBt.BR; Bloomberg: BAR BB)

Für weitere Informationen besuchen Sie uns auf www.barco.com, folgen Sie uns auf Twitter (@Barco), LinkedIn (Barco), YouTube (BarcoTV), Instagram (barco_nv) oder liken Sie uns auf Facebook (Barco).

Barco is a global technology leader that develops networked visualization solutions for the entertainment, enterprise and healthcare markets. Our solutions make a visible impact, allowing people to enjoy compelling entertainment experiences; to foster knowledge sharing and smart decision-making in organizations and to help hospitals provide their patients with the best possible healthcare.

Headquartered in Kortrijk (Belgium), Barco realized sales of 804 million euro in 2021 and has a global team of 3,000+ employees, whose passion for technology is captured in +500 granted patents. Barco has been listed on the Brussels Stock Exchange since 1985. (Euronext: BAR; Reuters: BARBt.BR; Bloomberg: BAR BB)

For more information, visit us on www.barco.com, follow us on Twitter (@Barco), LinkedIn (Barco), YouTube (BarcoTV), Instagram (barco_nv) or like us on Facebook (Barco).  

MICROSENS GmbH & Co. KG

Transmitting information via fiber optic connections offers numerous benefits. MICROSENS GmbH & Co. KG recognised this very early on. As one of the pioneers, the company has developed and produced high-performance communications and transmission systems in Germany since 1993. Individually matched to the demands of diverse usage areas and embedded in comprehensive concepts for individual sectors. But, above all, close to the customer. Technical challenges from customer projects are incorporated directly into product development. This way, IP-based automation solutions are created for modern buildings, cost-efficient network concepts for the office and workspace, robust and fail-safe solutions for industrial environments, optical transport systems future-oriented wide area networks and efficient coupling of sites and computer centres. 

Company Profile:

Since 2001, m3connect has grown to become one of the largest wireless Internet service providers in Europe.

Globally, m3connect serves around 13,000 of its customers‘ sites in over 23 countries. As a thought leader in cloud technologies, m3connect has been extending its self-developed platform for more than 20 years.

M3connect provides best-in-class wireless Internet networking with flexible design, works with state-of-the-art technologies such as WiFi, private LTE and 5G and creates innovative software solutions such as SD-WAN. The range of services is extended to include WiFi portals, digital signage, in-room TV solutions and even VoIP. 

Company Profile:

HRS Hospitality & Retail Systems is an international company with an excellent reputation for service. With over 10,000 customers spanning 90 different countries, HRS is a leading supplier of IT solutions for the hospitality industry. We are Oracle Hospitality’s largest partner with a team of experts ready to support you 24/7. HRS offers a wide range of innovative solutions, including Property Management, POS, Spa & Guest Activities, Business Analytics, Payment Gateway, Mobile Applications, Channel Manager, Online Distribution Services, Finance and HR Systems, Passport Scanning & Recognition, and much more.

HRS Hospitality & Retail Systems is your one-stop supplier of top-quality service, outstanding support, and the best products in the hospitality sector.”

Statement:

We are excited that in-person events are coming back and look forward to many interesting conversations. The Hotel Technology Network Summit 2022 is an excellent opportunity to exchange ideas and connect with friends and partners.

Hospitality & Retail Systems is a market leader in IT for the hospitality industry and provides innovative solutions for all your software-, hardware-, consulting- and support needs to maximize your company’s efficiency – Maurice Piesker, Sales Manager DACH-Region  

Company Profile:

Legrand Integrated Solutions is the Legrand group brand focusing on Guest Room Management Systems (GRMS) and integrations.

This team is focused on delivering not only the tailor-made Guest room automation solution to your hotel project but is also specialist by smart third-party integrations with other technologies existing in the project such as access control systems, booking software’s etc. The ultimate goal is to reach the highest guest comfort but also to enhance the staff service and the hotel energy efficiency all at ones.

As technology expands, hotel guests continue to search out new and original experiences during their stay, and that’s why next to the integration of the light, shutter and temperature a full integration with a hotel management software, access control, 3rd party heating cooling systems & full building automation is highly required.

Legrand Integrated Solutions offer a wide range of integrated solutions for all project types

Quote:

Legrand integrated Solutions is delighted to announce their participation at “hotel technology network summit 2022” in Berlin. We look forward to this opportunity to demonstrate, hotel investors, how to reach enhanced guest comfort, best staff service and energy efficiency all at ones with our Legrand Guest Room Management System- Davide Zanzi, General Manager 

NFON

NFON GmbH, based in St. Pölten, is a subsidiary of NFON AG. Headquartered in Munich, NFON AG is the leading European provider of voice-centric business communications from the cloud. The listed company (Frankfurt Stock Exchange, Prime Standard) includes over 3,000 partners in 15 European countries, seven subsidiaries and counts 50,000 companies as its customers. With the core product Cloudya, the smart cloud communications platform, NFON offers simplified voice calling, easy video conferencing, and seamless integrations for CRM and collaboration tools for small and medium sized companies. The NFON portfolio consists of four segments: Business Communications with Cloudya, Customer Contact, Integration and Enablement. NFON guides companies into the future of business communication with intuitive communication solutions.

Mitel

Customer satisfaction is of utmost importance for hotels and any business offering guest management services. The entire staff strives for this. A communication solution, seamlessly integrated into the business processes, perfectly supports employees in their day-to-day work serving the guests. It increases productivity and quality of services, while keeping operating costs low. This is why smooth communication is at the heart of every successful hotel. Mitel customers enjoy flexible, scalable, secure communications, optimized to meet the needs of the hospitality industry, from small economy hotels through to some of the world’s most famous luxury hotels. Powering more than 2 billion connections every day, Mitel helps businesses connect, collaborate and take care of their customers. Mitel’s business communications experts serve more than 60 million users with over 2500 channel partners in more than 100 countries. Doing so Mitel is also close to you

Schneider Electric

Schneider Electric is leading the Digital Transformation of Energy Management and Automation in Homes, Buildings, Data Centers, Infrastructure and Industries. With global presence in over 100 countries, Schneider is the undisputable leader in Power Management – Medium Voltage, Low Voltage and Secure Power, and in Automation Systems. We provide integrated efficiency solutions, combining energy, automation and software. In our global Ecosystem, we collaborate with the largest Partner, Integrator and Developer Community on our Open Platform to deliver real-time control and operational efficiency. We believe that great people and partners make Schneider a great company and that our commitment to Innovation, Diversity and Sustainability ensures that Life Is On everywhere, for everyone and at every moment.

Worldline

Worldline is the European leader in the payments and transactional services industry. Worldline delivers new-generation services, enabling its customers to offer smooth and innovative solutions to the end consumer. Key actor for B2B2C industries, with nearly 45 years of experience, Worldline supports and contributes to the success of all businesses and administrative services in a perpetually evolving market. Worldline offers a unique and flexible business model built around a global and growing portfolio, thus enabling end-toend support. Worldline activities are organized around three axes: Merchant Services, Mobility & e-Transactional Services and Financial Services including equensWorldline. Worldline employs more than 9,400 people worldwide, with revenue of circa € 1.6 billion on a yearly basis. Worldline is an Atos company.

Siemens

Smart infrastructure (SI) from Siemens makes the world a more connected and caring place – where resources are valued, where impact on the world is considered, where sustainable energy is delivered reliably and efficiently. It provides the flexible infrastructure to allow society to evolve and respond to changing conditions. SI addresses the urgent challenges of Urbanization and Climate change by connecting Energy systems, Buildings and Industries. Technology and the ingenuity of people come together to be at one with our environments and to care for our world. Siemens Smart Infrastructure is doing this from the macro to the micro level, from physical products, components and systems to connected, cloud-based digital offerings and services. Siemens offers a broad portfolio of grid control and automation; low- and medium-voltage power distribution, switching and control; and building automation, fire safety and security, HVAC control and energy solutions. The headquarters of Siemens Smart Infrastructure is located in Zug (Switzerland). The company employs worldwide approximately 71.000 employees.

Otrum

Otrum is the market leading hosted solutions partner to the hospitality industry, with software operating across multiple platforms including TVs, signage and smart devices. Research and development is an integral in-house function and, with full control of product IPR, Otrum can rapidly address market needs. Otrum Enterprise is the in-room segment leader in functionality, stability and ease of use, all of this over existing infrastructure. Otrum Enterprise is used by over 1.5 million guests each month. Otrum Digital Signage provides powerful communication throughout an entire property, with a superior wayfinding service, meeting overview screens and digital door signs. Otrum Digital Signage is installed in over 600 hotels. Otrum operates with a network of strategic partners throughout Europe, the Middle East, Africa and Central Asia. The company been at the forefront of in-room guest centric technology since 1985. For more information, visit www.otrum.com.