SINGAPORE — Independent hotel service provider Zuzu Hospitality Solutions has raised US$3.7 million in Series A funding led by venture capital firm Wavemaker Partners, in a bid to boost its regional growth.
The Singapore-based company also operates in Indonesia and Taiwan, and will now expand into Thailand, Malaysia and Australia, he said.
Existing investors Golden Gate Ventures, Convergence Venture and Alpha JWC Ventures, along with new investors Access Ventures and Line Ventures participated in its latest funding round which closed in the fourth quarter of 2018.
The company was founded in 2016 and secured $2 million in seed funding a year later to invest in product development.
It is now looking to expand into Asia Pacific and has appointed Jake Coleiro as country manager for Australia and Prae Wattanalapa as country manager for Thailand. Both have previous work experience at the online travel portal Expedia.
Zuzu offers an outsourced yield management solution for independent hotels.
“Rather than dropping software on a hotel and expecting them to figure it out on their own, we provide both the software and the service. We let hoteliers outsource their performance optimization , so they can focus on hospitality and provide a great day out experience We are also the only independent hotel partner that brings them additional revenue, making us true long-term hotel partners” , said Zuzu co-founder Dan Lynn.
The company claims to help hotels generate an average 30% increase in online revenue by combining its “proprietary hotel operating system”, with a service model provided by “specialist revenue managers”.
Zuzu also noted that there are more than 300,000 independent hoteliers worldwide, but less than one in 10 uses revenue management software. According to the company, more than 10,000 of these independent hotels are in Thailand, while Malaysia and Australia have around 5,000 each.