In the world of investments, some deals are so scorching hot that they demand our attention, even if they sit at the edge of our usual focus. Deal #9 from BADideas.fund is exactly this case. RoomPriceGenie, a rising star in hotel tech, has pushed the envelope, combining an innovative business model, impressive sales numbers, and an exceptional founding team to create a solution that promises to revolutionize the industry, and they appeared on our radar after one of the smartest VCs - Flashpoint VC - introduced us to the founders through our founding member Artis Kehris.
- The Genius behind the Genie
- The Problem and Why it Matters
- How it Works
- Team, Traction, and Distribution Trifecta
- Market and Timing
- But they’re not from CEE…
- The bottom line
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The Genius behind the Genie
Our member Daniel Marhel, ex-CPO & CMO at Printify and the driving force behind Cherry's ecommerce sales growth from $5M to $28M, had this to say about RoomPriceGenie:
RoomPriceGenie addresses a very painful problem for small hotel owners - price setting and management. Even small variations in price can mean the difference between a profitable and a loss-making hotel. They address it in a very simple package, which allows hotel owners to basically set up and forget - RoomPriceGenie does all the work for them.
The Problem and Why it Matters
RoomPriceGenie takes on a persistent problem for small to medium-sized hotels - price setting and management. Research shows that price is a key factor in decision making for 85% of travelers. However, only 5% of accommodation providers (mainly large and chain hotels) currently use automated pricing software. RoomPriceGenie has built a solution for the other 95% of properties that do not use any solution for automating pricing, serving as a lifejacket in a sea of manual processes.
How it Works
RoomPriceGenie's automated pricing software lets hotel owners set up and then step back, letting the system do the heavy lifting. It simplifies price management and frees up valuable time for hotel owners to focus on improving guest experiences and other core aspects of their business. RoomPriceGenie's software provides the needed pricing expertise in an easy-to-use package, accessible for even those with no previous experience in price management systems.
Team, Traction, and Distribution Trifecta
Steered by an exceptional trio of co-founders - Ari Andricopoulos (CEO), Marvin Speh (COO), and Jörg Siegel (CTO) - RoomPriceGenie's fully remote team has not only navigated but also thrived in the unpredictable waters of the COVID-19 pandemic, doubling their business even during these challenging times. Their methodical approach and clear vision are reflected in the company's impressive business metrics. The team's combined expertise and dedication are driving RoomPriceGenie towards exciting new frontiers in the hotel industry.
Market and Timing
With 1.15M properties estimated without automated pricing, the market is ripe for RoomPriceGenie's solution, and the company's founder foresees a majority of the market adopting automated pricing solutions within the next 5 years. RoomPriceGenie is poised to capture a substantial portion of this market with its customer-centric and easy-to-use solution.
But they’re not from CEE…
Yes, you read that right - we invested in a team that fall outside our primary focus on early-stage CEE startups, because we believe it's crucial to occassionally expose ourselves to the global maximum. RoomPriceGenie, we believe, fits the bill perfectly.
The bottom line
We are thrilled to back RoomPriceGenie thanks to the value the team brings to the hotel industry and our portfolio, and the chance to participate in a top globally ambitious startup journey.
So, fellow startup founders, take a note of that this is the kind of investment we look out for - high potential, exceptional team, and a commitment to solving real-world problems, even if it means bending the rules (a tiny little bit).
BADideas.fund: Inviting the CEE Region's Brightest Startups
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BADideas.fund is an early stage angel community, providing €50K-€200K funding for CEE startups, led by 150+ helpful founders & operators, who have scaled companies that have collectively attracted €13B+ in funding.