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Why Oyo and Rivals May Not Be the Answer for Unchained Hotels in Asia

More than ever before, small independent hotels in Asia are in need of distribution and revenue management solutions. But Oyo and other budget hotel chains aren’t necessarily the ones that will be throwing them that lifeline.

Independent hotels in Asia far outnumber chain hotels but lag sorely behind when it comes to booking numbers.

Still, alternative technologies serving these smaller hotels are rising, with the likes of Zuzu Hospitality Solutions leading the tech movement in Asia.

Those with an e-commerce answer for unchained hotels are looking at more than $7 billion in market opportunity, based on Zuzu’s estimates. In Southeast Asia, there are 57,000 unchained hotels, led by Thailand with 15,700, based on online travel agency data alone.

Enter fast-growing budget hotel chain Oyo, which seems to be on a conquest of this massive but fragmented low-cost independent hotel sector. It’s looking to round up unchained hotels with its proposition of management or franchising — complete with the full technology stack needed to get guests through their doors.