India’s unicorn for hospitality service, OYO, is anticipating a recovery in co-living and co-working businesses. Along with free voucher discounts promo, the company plans on offering additional services to attract more customers in.
OYO hopes for a steady recovery in co-living and co-working business
According to Mint, Ankit Gupta, CEO-Frontier of OYO LIFE & Workspace of OYO India and South Asia revealed that OYO gained 30-35% demand growth in OYO LIFE (co-living) and OYO Workspaces (co-working) businesses.
Despite the company’s assurance in co-living and co-working business recovery, officials doubt that the figure might exceed the pre-covid record. As quoted from Mint, Gupta mentioned, “having said that, there is still a long way to go before we reach pre-covid operational and occupancy numbers, especially since prices, like other hospitality chains, short term rental options, and co-working offerings, are still below pre-covid level.”
OYO to provide more services in the future
OYO is firm on maintaining its unicorn prestige. Recently, OYO has offered a 20% discount vouchers to draw guests back in. OYO is also trying to work with asset partners to shift into a revenue-sharing model. Compared to the traditional fixed lease, the strategy could help OYO manage to hold on with lower rental yields. Along with it, OYO is determined to offer more services and multi-brand partnership with laundry, shared mobility, and up-skilling.
As noted from Mint, OYO Workspaces has also been giving out Flexi Pass with ₹1999 a month and other offers such as Hotdesk at ₹5,000 to ₹8,000 a month. To cater to its customers’ demand amidst the pandemic, OYO also suggested a restructuring for the deal basis. With the virus being the main concern for most of its customers, OYO also pointed out that safety and hygiene are their main priorities. OYO also has “OYO Workpad” plan up its sleeves to keep up with the current trend. The new business will offer inexpensive co-working spaces accommodated in its OYO Townhouse hotels.
“The focus is on retention or signing new customers and give them viable offers, even as occupancy remains a new challenge,” Gupta explained.
Read also: Founder of OYO Humbles Target for Growth