They're the fastest-scaling hospitality company in the world.
Microsoft - which just cracked the US$2 trillion club not long ago - invested nearly $7 million into Indian budget hotel chain Oyo. Which sounds like it doesn't make sense...But hear us out.
Oyo stands for 'On Your Own', and the company has been scaling faster than any hospitality company in the world. Oyo target underperforming, existing hotels, and rebrands them as Oyo franchises. Then, they re-do all the back-end to be quicker and easier for the customer.
The team at Oyo have got their sights set on going public. But they've got a bad rap for having a 'toxic' culture. And then COVID happened. So hopefully Microsoft's investment will give them some good press.
So what's the key learning?
Growing a company is obvi great. But scaling a company is even better.
Growing = increasing revenue...and resources (e.g. more staff, more locations, more costs). Scaling = increasing revenue without increasing costs.
It's something young companies aspire to. Oyo only has 17,000 staff - but they're worth more than $13 billion. Not bad for only being 8 years old.
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