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OYO's US Expansion Strategy

OYO has expanded rapidly in India and China through innovative and cost-efficient marketing that builds direct customer demand. It now aims to use a similar strategy to grow in the US, where it has launched hotels in over 50 locations across 35 cities. To scale effectively in the US, OYO needs a digital strategy to reach customers at every stage and become a top consideration. The strategy must build awareness and consideration in new markets both in the short and long term.

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Abcde Fghij
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46 views2 pages

OYO's US Expansion Strategy

OYO has expanded rapidly in India and China through innovative and cost-efficient marketing that builds direct customer demand. It now aims to use a similar strategy to grow in the US, where it has launched hotels in over 50 locations across 35 cities. To scale effectively in the US, OYO needs a digital strategy to reach customers at every stage and become a top consideration. The strategy must build awareness and consideration in new markets both in the short and long term.

Uploaded by

Abcde Fghij
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Digital Marketing Case 

Expansion strategy for OYO in US 


 
OYO  has  seen  stayed  room  nights  increase  from  6MN  in  December  2016  to  13MN  in 
December 2017 to 75MN in December 2018 (with a growth of 5.7x on y-o-y basis). One 
of  the  key  factors  behind  this  growth  is  marketing that is innovative, product first and 
cost  efficient.  OYO  has  also  built  a  strong  Direct  to  Consumer  brand  and  today  the 
company’s own channels drive majority of the demand in its key home markets.  
To read more - 
https://www.oyorooms.com/officialoyoblog/2019/02/05/annual-report-card-2018-2 

The challenge 
After  establishing  its  stronghold  across  Southeast  Asia  with  significant  presence  in 
Indonesia,  Malaysia,  the  Philippines  and  Vietnam,  OYO  Hotels  is  now  offering  great 
living  spaces  across  USA.  Abhinav  Sinha,  OYO’s  Global  Chief  Operating  Officer  said, 
“We  have  established  a  niche  for  ourselves  in  hospitality  by  bringing  chic  hospitality 
and  design  at  bargain  prices.  US  budget  market  is  a  sweet  spot  that  works  really  well 
with  OYO’s  capabilities".  OYO  is  keen  to  use  similar  growth  strategy  in  the  U.S.  which 
has  worked  well  for  the  company  in  its  home  markets  India and China. OYO’s focus is 
on  building  the  product  market  first,  building  strong  supply  base  and  then  using 
growth frameworks to build direct demand channels.  
 
At  present,  OYO  has  launched  its  two  brands—  OYO  hotels  and  OYO  Townhouse  in 
over  50  hotels  in  more  than  35  cities  in  the  US  including  Dallas,  Houston,  Augusta, 
Atlanta,  and  Miami.  These  brands  will  be  soon  expanded  to  cities  such  as  New  York, 
Los Angeles and San Francisco. 
 

careers.google.com 
 

 
 
 
 

Problem Statement  
• OYO aims to build and scale direct demand channels (App, Web and Call Centre) in 
the US market. Make a short term and long term digital strategy for OYO to reach 
users during all phases of the customer journey in the most efficient way and get to 
the top of the consideration set. 
• How should OYO think about building Awareness and Consideration in these new 
markets ?  

Additional Resources 

Data resources used  About our Company 


Resource 1  Company - Google 
(please feel free to use more data sources for your research  The Google story 
and solution) 
  Life @ Google 
  Google Developers 
Open Source Projects 
Github: Google Style Guide 

  careers.google.com 
 

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