Treebo Hotels set to grow its India footprint across 40 cities by year end

Treebo Hotels logoTreebo Hotels, a franchise budget hotel chain, after tasting initial success with 85 hotels in 17 cities in India, is looking at growing their footprint to 200 hotels in 40 cities by year end. The hotel company which just completed a year of operations has been able to carve a space of its own in the budget hospitality space.  Talking to TravelBiz Monitor, Siddharth Gupta, Co-Founder, Treebo Hotels, said that they have been able to exceed their growth expectations in the first year and able to gain trust and confidence of hotel owners.  
Across 85 franchised hotels, Treebo currently manages an inventory of 2,300 rooms. Counting an average hotel inventory of 25 rooms, Gupta is hopeful of reaching minimum of 6,000 rooms under the Treebo network by the end of this calendar year.

Distinguishing Treebo from the ‘aggregators’ of budget hotels, Gupta said that the hotel company works on the same model of franchisee-franchisor relationship that larger brands like IHGs and Marriotts of the world works with. “We are not an aggregator or distribution partner for hotels. We are brand partners for hotel owners. We are responsible for both, driving business for owners as well as ensuring consistent service for the customers,” he explained. “Our relationship with all channel partners, including OTAs is very good. This helps us to deliver consistently high occupancies to our hotels,” he said.

Talking about combining technology and service elements to deliver total experience to customers, Gupta said that while they cannot compete with main stream hotels on the “talent front”, at Treebo Hotels they try to fill the void with the help of technology.  “We are a digital hotel. We function with the mind of an engineer and heart of an hotelier.  For us technology is the means to reach the end, i.e. service,” he said.

Gupta said that while individual hotels might look in terms of their location, room size, colour schemes, etc., they try to incorporate ‘standardization in terms of core aspects” of customer experience, like safety, hygiene, etc. across properties. He said that the company might look at introducing “sub-brands” for hotels with different specs in future.

As far as funding was concerned, Gupta said that they are an “efficiently managed” hotel company with “good cash position” currently, but might go for funding in future as and when need arises.

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