The company has raised $1.5 million in angel funding from a cluster of investors like Lashit Sanghvi, co-founder of Alchemy Capital; Nikhil Vora, founder of Sixth Sense Ventures; Venkat Vardhan, promoter of DNA Networks; Mohammed Bin Abdul Rehman Al Khalifa, chairman of Caravan Group; and Ralph Berezan of Berezan Group of Canada invested in this round.
RoomsTonite will use these funds to further expand their services in India and other countries and to strengthen its team to complement their capabilities, said the company in a statement.
RoomsTonite is a Bangalore-based last-minute hotel booking service. Their app allow users to book hotels for the same day or up to three days and nights. The company has tied up with nearly 4,000 hotels across 325 locations.
The company lists budget, premium, comfort, luxury hotels, and home stays and vacation homes as well. It also lists hotel aggregators such as OYO Rooms, ZO Rooms, Treebo Hotels and Zip. They also have added hotel chains such as Keys Hotel, Ginger, Park, Royal Orchid, and Pride.
Founded in 2014 by Suresh John, their product platform went live this year on Google Play Store and iOS. They claim to have at least 200,000 downloads and takes a 15-18 per cent on every booking on the app.
“The big pain point most hotels face is to sell their unsold rooms. The average occupancy rate across hotels in the country is somewhere between 50 per cent and 60 per cent. We look to access and distribute the 40 per cent of unsold rooms to help hotels find an additional revenue source while offering customers a great deal in last-minute bookings,” said John. [Source]