Industry Update
Press Release15 October 2019

RedDoorz Poised to be Singapore’s Second-Largest Hotel Chain by end 2020

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  • RedDoorz will expand from its current network of 18 to a total of 29 properties in Singapore by the end of 2020, making it the second-largest hotel brand in the country
  • RedDoorz is already the largest and fastest-growing affordable hotel chain in Southeast Asia with over 1,500 properties across four countries, and is highly tipped at becoming Singapore's first "travel-tech unicorn"
  • RedDoorz's hyper-local approach with its innovative tech solutions has been a key driver to boost occupancy for budget hotels and hostels across Southeast Asia

Singapore-based RedDoorz, Southeast Asia's largest and fastest-growing hotel management, and booking platform, today announced it is poised to become Singapore's second-largest hotel chain with 29 properties by end of 2020. The firm - currently Singapore's third-largest hotel chain - operates both franchise and lease models in the country and has 18 properties spread across the nation-state. Throughout Southeast Asia, RedDoorz operates a network of over 1,500 properties in more than 100 cities spanning Indonesia, Singapore, The Philippines and Vietnam making it the clear leader in the affordable accommodation space in the region.

Hotly tipped at becoming Singapore's first "travel-tech unicorn"[1], RedDoorz's vision to provide quality, standardized accommodation at every relevant street corner in major cities and tourist destinations, has been a key driver in standardizing affordable hotels and hostels in Singapore to cater to both domestic and inbound travelers. According to the Q1 2019 Tourism Sector Performance Report from Singapore Tourism Board[2] (STB), Indonesia, Vietnam, and The Philippines - where RedDoorz operates in - are the top 15 markets for international visitor arrivals to Singapore. Based on the Singapore Tourism Board's Annual Report on Tourism Statistics 2017[3], 50 percent of Southeast Asia travelers have visited Singapore more than once. This is especially so for Indonesians - 75 percent have made repeated visits to Singapore.

Amit Saberwal, Founder and CEO of RedDoorz, said, "RedDoorz has built-up strong brand awareness and loyalty across all of the markets we operate in. Indonesia in particular, is our strongest market given its robust domestic travel ecosystem, whereas Singapore is generally considered a premium travel destination. Through our efforts in making standardized affordable accommodation more easily and readily available, we aim to encourage more travelers to visit Singapore, whether for work or for leisure. This is especially so for our customers who are used to the quality and standards that RedDoorz provides across the region."

"RedDoorz has also established itself as a trusted and reliable partner for property owners who rely on us to provide access to technology, revenue management, training, and hospitality management skills. Property owners have benefited immensely from being part of a larger hotel chain like RedDoorz. Our hyper-local approach has been of immense value to them be it strategic collaborations with local government, preferred payment methods, and city-level brand partnerships," Saberwal further added.

In 2018, RedDoorz launched its first fully-leased and operated hotel property in Singapore. The 65-room property, now called RedDoorz near Marine Parade, is aligned with RedDoorz's long-term strategy to grow deeper in the hospitality value chain. Under this model, RedDoorz manages the day-to-day operations of the establishments, which is especially beneficial for property owners who prefer to be more hands-off or do not run hotels as part of their core business.

Adil Mubarak, Vice President of Operations, RedDoorz, shared, "Partnering with RedDoorz is a win-win, whereby the property owners and RedDoorz see mutual benefits. We provide hotel staff with quality training programs across all properties in our network. Furthermore, by partnering with RedDoorz, properties are granted access to our proprietary tech solutions like RedFox, a dynamic pricing and inventory management tool for revenue optimization and operational excellence. This helps us to ensure that RedDoorz guests receive the same quality stay across all properties, which in turn allows us to build trust over time."

"Our guests are increasingly on the lookout to stretch their dollar by looking for affordable but quality accommodation. They are also increasingly tech-savvy who look to mobile apps to search for travel and accommodation options. Through our partnership with RedDoorz, we are able to leverage their technology and training, which leads to better customer experience. With RedDoorz's SaaS solutions, we have been able to streamline operations, manage distribution and pricing more efficiently leading to increased bookings and revenues," commented Chris Ho and Edmund Koh Chee Ming, owners of RedDoorz Hostel @ Little India and RedDoorz @ Clarke Quay.

RedDoorz achieved many significant milestones in 2019, including its first close of US$70 million as part of its larger Series C round, and the launch of a new regional tech hub in Vietnam. The company has raised approximately US$140 million since its inception in 2015. In addition, it is the first hotel brand to achieve 600,000 occupied room nights per-month within the affordable accommodation space in September 2019. RedDoorz is on track to achieve one million occupied room nights per month by the end of 2019.

About RedDoorz

RedDoorz is Southeast Asia's largest and fastest-growing, technology-driven hotel management company offering affordable accommodations for everyone. With a vision to enable people to travel more and provide an affordable reliable stay in all major cities and destinations across the region, RedDoorz is disrupting the hospitality industry by transforming the fragmented supply inventory into branded, standardized accommodations and leveraging its mobile app and digital channels to drive strong consumer demand.

The company was founded in 2015 by a team of senior executives with deep experience in the online travel and hospitality industry and has grown into a regional powerhouse with operations in Indonesia, Singapore, the Philippines and Vietnam. The firm has been growing by five times year-on-year.

As part of the RedDoorz brand network, hotel owners are able to grow their businesses and increase revenues while streamlining their operations. RedDoorz's solutions help partners manage distribution, pricing, marketing, customer experience and technology solutions - offering an end-to-end platform powered by an advanced technology infrastructure.

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