Lazaridis Consulting Group Lazaridis Groupe de
Description: Lazaridis Consulting Group Lazaridis Groupe de Consultation The Future of Business Lazaridis Consulting Group Lazaridis Groupe de Consultation Home Lazaridis Consulting Group Lazaridis Groupe de Consultation Hotel RECOMMENDATION to OYO OYO
Related Topics
Download Presentation
"Lazaridis Consulting Group Lazaridis Groupe de" is the property of its rightful owner. Permission is granted to download and print the materials on this website for personal, non-commercial use only, and to display it on your personal computer provided you do not modify the materials and that you retain all copyright notices contained in the materials. By downloading content from our website, you accept the terms of this agreement.
Presentation Transcript
slide1. Lazaridis
Consulting
Group Lazaridis
Groupe de
Consultation The Future of
Business<br>
slide2. Lazaridis
Consulting
Group Lazaridis
Groupe de
Consultation Home<br>
slide3. Lazaridis
Consulting
Group Lazaridis
Groupe de
Consultation Hotel<br>
slide4. RECOMMENDATION to OYO OYO (US) is an attractive job prospect for Jakayla, a talented soon-to-be MBA graduate. Maintain franchise model with unbranded hotels Develop new revenue streams: branded hotels and multi-sided app (building customer loyalty and marketing)<br>
slide5. OYO HOTELS: THE FUTURE IN THE US CONSULTANT TEAM: TONY DAO, AUDREY GOTTLIEB, JUDY TRAN, SHAHIN SAFAKHOO PRESENTING TO:
Jakayla Michel, MBA Candidate<br>
slide6. agenda Background / Analysis
Problem
Alternatives
Recommendation
Implementation
Financial Impacts
Contingencies
Closing<br>
slide7. OUR RECOMMENDATION TO YOU Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Based on what we know about you: Originally from Washington, D.C. Territory Operations Leader, OYO
Rationale:
Can work remotely
Save up prior to moving out
Potential for growth
Will gain broad experience<br>
slide8. Oyo`s target segment Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Meet Zack & Valerie Target Segment: Millennials, global workforce
Consumer trends:
Less customer loyalty, opting for competitors
What do they care about:
Points (loyalty program)
Environmental impacts
Sustainability
Budget travellers<br>
slide9. oyo is more than just a booking service Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Financial Services: Financing and lending money to hotels that need improvement
Management: Supporting hotels to improve procurement, room cleanings and flips, etc.
Franchise Model: Helping hotels to fill their occupancy B2B B2C Hotel quality and service: Provides budget travelers with a `clean bed and safe environment` Does the current strategy make sense ?
YES. (Current Strategy)<br>
slide10. Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Not yet profitable, but…
Company is growing - Hypergrowth
Improving
Run rate (loss as a % of realized value) was more than halved in one year
Clear history of success:
China
India
Entry into US
50 hotels across 35 cities ASSESSMENT OF OYO`S STRATEGY (Current Performance)<br>
slide11. Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing KEY CHALLENGES<br>
slide12. competition Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide13. OYO in a snapshot Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Weaknesses
Net loss
Criticism of founder Threats
Competition
Customer complaints Opportunities
``Mom-and-pop`` hotels
High variability in the customer experience
Management processes are not optimized<br>
slide14. QUESTIONS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Question:
Is OYO (US) an attractive job prospect for a talented soon-to-be MBA graduate?<br>
slide15. PROSPECTS FOR THE FUTURE in the us Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES)<br>
slide16. ENHANCE MARKETING Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Partner with `budget companies` in the travel and tourism industry (example: Sunwing Airlines) Social media is cheaper, yet just as effective with Millennials.<br>
slide17. Back-end management support to Other HOTELS (NON-OYO) Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Full focus on the back-end management support to other hotel chains. Continue to provide back-end management, but don`t leave the B2C hotel booking & B2B franchise model.<br>
slide18. FRANCHISE MODEL: UNBRANDED HOTELS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Continue to build the franchise model. Continuing down this path will be lucrative and consistent with core capabilities.<br>
slide19. Focus on the app Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Make the app more lucrative:
multi-sided and (b) loyalty Developing and fully leveraging the app will make use of KEY competitive resource.<br>
slide20. PARTNERING WITH BRANDED HOTELS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Work with branded hotels: Sell surplus hotel rooms. Branded hotels will have HIGH incentive to work with us to minimize costs of unoccupied vacancies.<br>
slide21. PROSPECTS FOR THE FUTURE in the us Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES)<br>
slide22. RECOMMENDATION to OYO Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Question:
Is OYO (US) an attractive job prospect for a talented soon-to-be MBA graduate? Maintain franchise model with unbranded hotels Develop new revenue streams: branded hotels and multi-sided app (building customer loyalty and marketing)<br>
slide23. Implementation (2020 to ongoing) Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide24. Expand current business: Unbranded hotels Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide25. Implementation Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide26. New revenue stream: branded hotels Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide27. Implementation Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide28. EXPAND REVENUE STREAMS: BUILD A CUSTOMER LOYALTY PROGRAM AND CUSTOMER APP Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide29. Cost Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide30. Revenue Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide31. PLANNING AGAINST CONTINGENCIES Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing RISKS LIKELIHOOD CONTINGENCIES Branded hotels do not wish to partner with OYO. Unbranded US hotels do not wish to adopt franchise model. Likely Unlikely Continue to expand unbranded hotel business and implement a customer loyalty program. Continue to offer minimum guarantee of up to 100% of the asset owner’s annual revenue (low risk to OYO).<br>
Consulting
Group Lazaridis
Groupe de
Consultation The Future of
Business<br>
slide2. Lazaridis
Consulting
Group Lazaridis
Groupe de
Consultation Home<br>
slide3. Lazaridis
Consulting
Group Lazaridis
Groupe de
Consultation Hotel<br>
slide4. RECOMMENDATION to OYO OYO (US) is an attractive job prospect for Jakayla, a talented soon-to-be MBA graduate. Maintain franchise model with unbranded hotels Develop new revenue streams: branded hotels and multi-sided app (building customer loyalty and marketing)<br>
slide5. OYO HOTELS: THE FUTURE IN THE US CONSULTANT TEAM: TONY DAO, AUDREY GOTTLIEB, JUDY TRAN, SHAHIN SAFAKHOO PRESENTING TO:
Jakayla Michel, MBA Candidate<br>
slide6. agenda Background / Analysis
Problem
Alternatives
Recommendation
Implementation
Financial Impacts
Contingencies
Closing<br>
slide7. OUR RECOMMENDATION TO YOU Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Based on what we know about you: Originally from Washington, D.C. Territory Operations Leader, OYO
Rationale:
Can work remotely
Save up prior to moving out
Potential for growth
Will gain broad experience<br>
slide8. Oyo`s target segment Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Meet Zack & Valerie Target Segment: Millennials, global workforce
Consumer trends:
Less customer loyalty, opting for competitors
What do they care about:
Points (loyalty program)
Environmental impacts
Sustainability
Budget travellers<br>
slide9. oyo is more than just a booking service Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Financial Services: Financing and lending money to hotels that need improvement
Management: Supporting hotels to improve procurement, room cleanings and flips, etc.
Franchise Model: Helping hotels to fill their occupancy B2B B2C Hotel quality and service: Provides budget travelers with a `clean bed and safe environment` Does the current strategy make sense ?
YES. (Current Strategy)<br>
slide10. Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Not yet profitable, but…
Company is growing - Hypergrowth
Improving
Run rate (loss as a % of realized value) was more than halved in one year
Clear history of success:
China
India
Entry into US
50 hotels across 35 cities ASSESSMENT OF OYO`S STRATEGY (Current Performance)<br>
slide11. Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing KEY CHALLENGES<br>
slide12. competition Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide13. OYO in a snapshot Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Weaknesses
Net loss
Criticism of founder Threats
Competition
Customer complaints Opportunities
``Mom-and-pop`` hotels
High variability in the customer experience
Management processes are not optimized<br>
slide14. QUESTIONS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Question:
Is OYO (US) an attractive job prospect for a talented soon-to-be MBA graduate?<br>
slide15. PROSPECTS FOR THE FUTURE in the us Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES)<br>
slide16. ENHANCE MARKETING Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Partner with `budget companies` in the travel and tourism industry (example: Sunwing Airlines) Social media is cheaper, yet just as effective with Millennials.<br>
slide17. Back-end management support to Other HOTELS (NON-OYO) Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Full focus on the back-end management support to other hotel chains. Continue to provide back-end management, but don`t leave the B2C hotel booking & B2B franchise model.<br>
slide18. FRANCHISE MODEL: UNBRANDED HOTELS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Continue to build the franchise model. Continuing down this path will be lucrative and consistent with core capabilities.<br>
slide19. Focus on the app Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Make the app more lucrative:
multi-sided and (b) loyalty Developing and fully leveraging the app will make use of KEY competitive resource.<br>
slide20. PARTNERING WITH BRANDED HOTELS Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES) Work with branded hotels: Sell surplus hotel rooms. Branded hotels will have HIGH incentive to work with us to minimize costs of unoccupied vacancies.<br>
slide21. PROSPECTS FOR THE FUTURE in the us Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing (ALTERNATIVES)<br>
slide22. RECOMMENDATION to OYO Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing Question:
Is OYO (US) an attractive job prospect for a talented soon-to-be MBA graduate? Maintain franchise model with unbranded hotels Develop new revenue streams: branded hotels and multi-sided app (building customer loyalty and marketing)<br>
slide23. Implementation (2020 to ongoing) Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide24. Expand current business: Unbranded hotels Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide25. Implementation Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide26. New revenue stream: branded hotels Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide27. Implementation Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide28. EXPAND REVENUE STREAMS: BUILD A CUSTOMER LOYALTY PROGRAM AND CUSTOMER APP Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide29. Cost Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide30. Revenue Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing<br>
slide31. PLANNING AGAINST CONTINGENCIES Background / Analysis Problem Alternatives Recommendation Implementation Financial Impacts Contingencies Closing RISKS LIKELIHOOD CONTINGENCIES Branded hotels do not wish to partner with OYO. Unbranded US hotels do not wish to adopt franchise model. Likely Unlikely Continue to expand unbranded hotel business and implement a customer loyalty program. Continue to offer minimum guarantee of up to 100% of the asset owner’s annual revenue (low risk to OYO).<br>