Hostelworld, the global hostel-focussed online bookingplatform, is pleased to announce a strategic USD $3 million investment (AUD $4.42 million as at today’s rate) in Australian start-up Tipi Pty Ltd, an innovative, hostel-focussed technology company.
Tipi Pty Ltd provides technology solutions exclusively to the hostel market, enabling guests to check-in and download their keys prior to arrival. For hostel owners, this streamlines check-in, lowers staff overheads and creates a mobile community to engage more effectively with their guests. During their stay, guests can meet other people staying at the same time, see what’s on at the hostel and browse local experiences – increasing ancillary revenue and improving guest satisfaction scores.
This minority share investment is in line with Hostelworld’s strategy to partner and invest in innovative technology businesses within the hostel market, which improve the Hostelworld experience for both hostel guests and hostel owners and differentiate Hostelworld from traditional OTAs (Online Travel Agency).
As part of the investment, Hostelworld will support the business to achieve its ambitious growth plans and allow Hostelworld to provide smart technology solutions to its global hostel customer base. Tipi Pty Ltd customers will also have access to Hostelworld inventory, allowing them to make their next booking after check-out and move seamlessly between the two platforms, whether this is to engage directly with other guests, the hostel or book ancillary activities. The partnership will also mean that Tipi Pty Ltd will have a presence in London and Dublin.
Jack Bowcott, CEO of Tipi Pty Ltd commented: “We are delighted to be partnering with Hostelworld. They are the go-to platform for hostel travellers and have a key focus on investing in the best technology for the hostel market. We started Tipi Pty Ltd with the mission of making hostels smarter and guests happier. This investment brings us one step closer to achieving this objective, with the opportunity to bring our smart technology to a wider audience of hostels. We are extremely excited to partner with Hostelworld and work together to deliver on our ambitious global growth plans.”
Commenting on the investment,
Gary Morrison, CEO of Hostelworld said: “I’m pleased to announce our
partnership with Tipi Pty Ltd, which will enable our hostel partners to provide
a sophisticated and integrated digital check-in solution, which we believe is a
compelling differentiator for our hosteller customers. The investment is in
line with our strategy to invest in innovative technology businesses, to
improve the experience for our hosteller customers and
drive efficiencies and ancillary revenue for our hostel partners, positioning us as a market leader in the hostel sector.”