How a 25-year-old man established a billion-dollar company in India
Ritesh Agarwal is the founder and CEO of the world’s third-largest hotel chain ‘OYO Room’. OYO has been propitious enough to be joined in a unicorn club in a short period of time. Personally, I am a big fan of his and OYO’s work ethics. It really teaches that quality services should be given priority and that exactly what Ritesh Agarwal comes up with at the time of creating this huge company. His idea of providing quality hotel rooms at reasonable and affordable prices to travelers made him ahead of the game in this field.
How Ritesh Agarwal started Oyo?
It all started in 2011 when an 18-year-old Ritesh Agarwal dropped out from college to pursue his entrepreneurship dreams which compelled him to take the plunge with his first start-up Oravel. Oravel enabled listing and budget accommodation of hotel rooms and it, later on, got converted to become Oyo rooms.
In 2013 Agarwal was selected for Theil Fellowship. It is a 2-year-old program started by the founder of Paypal which gave him funding of $100,000 which helped him to build the base of his company.
After receiving a whopping amount of $25 million from the investors in 2015 he went ahead and created a mobile app for the same. It added one more feather in the cap and OYO became the largest online hotel chain in India.
In 2016 the online hotel chain marked 1 million online registration. After receiving huge success in India OYO started it’s business internationally beginning with Malaysia. Continuing its expansion aspiration, it launched a business in Nepal. Nepal and Malaysia was just a hint of the monstrous development that was to follow.
Success in China
We have always heard the news about Chinese products dominating India but OYO outpassing the old scenario has developed a huge market or you can say the largest market in China. OYO is not just growing nationally but internationally. It has experienced tremendous growth in Indonesia and China. Ritesh Agarwal pointed out that the company is committing $600 million to grow its business in the Chinese market and another $100 million for further development in Indonesia. China is the largest market in terms of the number of rooms, 180,000 out of 330,000 in total, as well as manpower, 5,000 people of the company’s 10,000-strong workforce. India is Oyo’s second-largest market with 164,000 rooms spread across 180 cities.
“Our secret to success in China is the way we’ve built our business in the country,” says Agarwal. “We didn’t approach the market like an Indian start-up setting shop in China, but like a Chinese player building and localizing the Oyo business model to make it work in the Chinese market.
In the end, I just want to conclude that building a billion-dollar company is not walking on a cake journey. Entrepreneurship is the toughest job in the world. It starts with one good idea which with proper hard work and dedication turns into a full-fledged company. To know more about Ritesh Agarwal and his company click here.