Travel booking company OYO has made a major change in its check-in policy on Sunday. According to the new rules, now couples will have to provide proof of their relationship to check-in at the hotel. These documents will be necessary for booking both online and offline. At present, this rule of the company has been started as a trial in Meerut. But the question arises that why is Oyo planning to change the image due to which it became so famous and became a big brand. Is this part of the company’s strategy? What are the examples when a country or company has strengthened its brand by changing its image?
When Thailand changed its strategy
There was a time when Thailand was known for its sex tourism. But by 2000, the demand for Thai restaurants suddenly started increasing around the world. Thai dishes gained immense popularity. A dish called Pad Thai became famous in every corner. The situation was that between 2001 and 2019, the number of tourists in Thailand increased from 10 million to 39.8 million. Before the Corona pandemic started, Thailand was the eighth most visited country in the world.
Actually, there was a big strategy of the government behind this change in the image of Thailand. People were given training. Many initiatives were taken at the global level. The dishes were widely publicized. People were given offers.
A story from America too…
There was a time in the whole world that there was a perception about America that only burgers and hot dogs are better to eat there. But America made a strategy to change this image. America prepared a team of about 80 chefs for the White House and asked them to prepare local and South American dishes. These chefs were sent all over the world. Food related events were organized.
Similarly, many countries and companies have created a strong branding by changing their image. Now the question arises whether OYO is also on the same path. To understand this, first we have to understand the journey of this company.
Company started in 2013, this was the business model
OYO was started in 2013 by Ritesh Aggarwal. Then the company had targeted cheap hotels. There were two big reasons behind the company getting recognition. Firstly, the company used to provide rooms at very cheap prices. Due to which cheap hotels started opening even in small cities. Second- These hotels were also available for unmarried couples without any problem. Due to this specialty, Oyo started appearing on every tongue. What happened was that instead of booking a hotel, people started saying ‘Let’s book Oyo’.
This identity also became the cause of controversy
This specialty of Oyo also became the cause of its controversy. There have been controversies regarding its policy many times. There was a protest in Meerut also regarding the policy regarding unmarried couples. Oyo was also in the news for illegal activities due to video leaking from the hotel and lack of verification. Some social organizations had also filed a petition against Oyo.
…so OYO is changing its strategy
Oyo’s initiative started from Meerut can also be called a part of its strategy. Actually, amidst all these controversies, OYO is now trying to change its old image. The company is trying to make itself safe and convenient for families, students, business trips, religious trips and solo trips. Now she also wants to take her branding forward with these changes. The purpose of this change of the company is to strengthen the credibility among the visitors.
These efforts of OYO are also examples
Before the change in check-in policy, Oyo had started changing its strategies. Actually, OYO is organizing joint seminars with police and hotel chains on safe hospitality across the country. OYO is continuously blacklisting hotels involved in unethical activities and also taking action against fake hotels running in the company’s name.
OYO does business in more than 80 countries
OYO’s business model can be gauged from the fact that according to 2020 data, this company’s network is spread across 800 cities in 80 countries including Asia, Europe and America. More than 43 thousand hotels operate under the Oyo brand. OYO first entered Malaysia outside the country when it started operations there in 2016. According to company data, by 2021, more than 100 million people had downloaded the OYO app globally.
According to the report in 2019, Oyo had provided employment to more than 17 thousand people globally. In which more than 8 thousand people are from India and South Asia.
In terms of revenue, the company’s revenue in the financial year 2019 was Rs 6329 crore. Which increased to Rs 13,168 crore in 2020. It was Rs 4781 crore in 2022, Rs 5464 crore in 2023 and Rs 5388 crore in the financial year 2024. According to the report, the company made profit for the first time in the year 2024. Let us tell you that Japanese multinational company SoftBank has about 47 percent stake in this company, while Ritesh Aggarwal has more than 33 percent stake in this company.
