RedDoorz eyes aggressive expansion in the Philippines for 2019
Tech-enabled budget accommodations company RedDoorz seeks to extend its foothold on Southeast Asia’s growing online travel market, building on its productive 2018.
RedDoorz aims to reach 1,500 properties by the end of Q4 2019 building on its current property count of over 680, eyeing a larger share of Southeast Asia’s growing online travel market which Google predicts will zoom to USD 76 billion by 2025.
Since its official launch in mid2018, RedDoorz Philippines has already expanded to more than 100 properties in Metro Manila, Metro Cebu, Davao, Pampanga and Tagaytay.
It aims to double its presence in the Philippines to more than 250 properties this year, reflecting the same aggressive expansion seen in other countries where RedDoorz operates. This will cut a bigger piece of the local hospitality industry pie which is predicted to grow to USD 663 million dollars in revenue in 2019.
Disrupting the hospitality industry in the Philippines
RedDoorz takes the path of other techenabled service platforms, managing a wide network of properties without directly owning a single property. Partnering with local boutique hotels, inns, Apartels, Condotels and other privatelyowned accommodations, RedDoorz Philippines standardizes the budget hotel experience through all its branches.
RedDoorz Philippines maintains a consistent management philosophy and branding among its hotels, ensuring the best quality rooms and facilities at competitive price points through its range of basic, Plus and Premium properties.
Guests are assured that their experience in Philippines branches would be the same when booking in Indonesia, Singapore and Vietnam. This also guarantees guests impeccable service with amenities such as fast and reliable WiFi, cable TV, toiletries, bottled water and a 24hour front desk.
Through the RedDoorz app and website, customers gain access to flexible payment options including credit cards, DragonPay (via bank transfer and 7Eleven outlets) and pay at hotel without credit card guarantee. RedDoorz also incentivizes repeat guests with the RedCash rewards system and exclusive discounts and partner deals through RedClub membership.
The company’s commitment to zero to four starlevel quality, consistency and convenience at economy price points positions itself as a strong contender in a competitive market for affordable accommodations such as the Philippines.
Partnerships driving RedDoorz’ expansion in the country
On the other end, properties who partner with RedDoorz benefit from the company’s business development and hotel management professionals and gain access to different marketing channels, increasing potential for growth.
“We’re trying to solve the problem of this unnamed, unbranded, small, mom and pop hotel, and there are lots of them. We are solving the problem for them, trying to give them the brand, technology and training. To be more open to the new age millennial customer and to have the kind of services that the customers are expecting,” said RedDoorz COO Rishabh Singhi in an interview.
Under the Partner Loyalty Program, RedDoorz works with its property managers and executives to train hotel staff and hone their hospitality knowledge and skills. The program aims to increase staff’s morale and sense of belonging to boost their performance and sharpen their communication skills. Activities that are included in the programme are: English courses for staff for better interaction with customers, weekly Fridays meals, etc
As part of RedDoorz’ online booking platform, partners increase their property visibility not just in the country but all over the world. Property reviews within the site and in all its other channels help in generating interest and gaining credibility for its offerings. The company is also able to manage demand and optimize pricing through its network of hotels to maximize revenue potential.
“These hotels normally operate very lowtech, whereas RedDoorz operates on a hightech platform,” he says. “[Our technology] saves them a lot of time, plus if they were to buy this type of technology that’s out on the market, it would be out of reach for them. It’s very expensive. So they get access to this technology, and the training on how to use it,” noted Singhi in a separate statement.
Through its industry knowhow not just in hospitality but also in ecommerce, RedDoorz prides itself in having the capacity to increase occupancy of its partner properties to 70% in two months.
RedDoorz near Arca South owner Diana Goldsberg explained: “RedDoorz was able to boost and get more revenue, maximize the [full] potential of my property when it comes to sales [and]
occupancy. It actually tripled our income. That’s because of the marketing strategy of RedDoorz.”
RedDoorz Philippines is actively seeking new partners to work with to deliver outstanding budget hotel accommodations to more locations across the country. With its expertise in the hotel industry and its online platform, the company seeks to improve and modernize Filipino businesses.
“First of all, you are working with a very dynamic team. That’s very important. Second of all is the reliability of the company. And thirdly, we’ve just started and we’ve already seen the positive impact. The things we were not able to get before, they completely turned around in a week’s time,” said Kate Capulong, owner and General Manager of RedDoorz Premium @ Sta. Rosa Tagaytay Road