The most popular Indian online hospitality service provider, OYO Hotels & Homes has announced the acquisition of Danamica, a Copenhagen-based data science company with machine learning and business intelligence capabilities, specialized in dynamic pricing.
It is said that this acquisition is in line with OYO’s commitment to the company’s global vacation rentals business through strategic investments in technology products, processes, and people.
Let’s recollect that early last month, OYO made an announcement making a commitment to invest €300 million in the vacation homes business in Europe, with a special focus on strengthening the relationship with homeowners and enabling them with the resources, including technology investments, required to deliver chic hospitality experiences.
OYO owes this drive to the enormous preference for vacation homes by customers around the world. This, according to OYO, is the start of a social revolution – how a truly global brand from India is not just reimagining hotels & reinventing living spaces but also upgrading all forms of real estate.
Commenting on the development, Maninder Gulati, Global Head, OYO Vacation and Urban Homes, & Chief Strategy Officer, OYO Hotels & Homes, said, “We are delighted to announce our acquisition of Danamica, a Europe based, machine learning and business intelligence company specialized in dynamic pricing, that will help us be more accurate with pricing, leading to higher efficiencies and yield for our real estate owners and value for money for our millions of global guests, both everyday travellers and city dwellers, that choose an OYO Vacation Homes as their abode. Data sciences across Pricing, AI, and Imaging Sciences have been a cornerstone of OYO’s proprietary revenue enhancement technology. It is also a huge missing piece in the way traditional vacation rentals industry is run.”
With the acquisition of Danamica, OYO intends to drive top-line growth by leveraging dynamic pricing across all its brands – OYO Home, Belvilla and DanCenter.
OYO says that with the implementation of ML-enabled pricing and revenue management, customers can now book a vacation home at the best price. OYO’s pricing, inventory allocation, and revenue management are driven by a machine learning-based algorithm for prediction and dynamic pricing. The algorithm analyzes 144,000 data points every hour and makes 60 million price changes every day globally with a prediction accuracy of 97%, says OYO’s spokesperson.