Helsinki-based better-than-a-hotel hospitality platform Bob W has raised €21 million in a Series A round. The new capital is aimed at fueling further expansion into new markets and augmenting existing ones, as well as scaling the startups’ autonomous tech platform. To date, Bob W has welcomed €31 million guests to the bank account.
The Finnish startup offers an accommodation hybrid between hotels and short-stay apartments or hosted homes like Airbnb, which guests can rent nightly, weekly or monthly.
Although born just before the pandemic (talk about timing), the hospitality company weathered the storm, chiefly via its reliance on a well-placed marketing campaign built around a ‘Ridiculously Clean Standard’, a 63-step protocol to clean, sanitise, disinfect and seal every suite.
In so much, according to the company, it saw its year-on-year revenue grow by 800%, alongside healthy margins, whilst achieving an average guest rating of 4.8 (out of 5) and a net promoter score of close to 90.
“Our goal is to use the funds to create a new industry benchmark for digital experience, and to support our explosive growth in new European markets beyond the UK, Spain, Finland and Estonia, where we currently operate,” commented Bob W co-founder and CEO Niko Karstikko.
“We have demonstrated, despite the challenging business and investment climate, that we can deliver a strong performance, which is reflected in our ability to raise capital. The resilience that we have shown, underpinned by our unique concept, robust tech platform, and genuine sustainability credentials, sets us up perfectly for future expansion, whether through organic growth or mergers and acquisitions.
“We are resetting the expectation of hospitality for the consumer and now we can expand our reach across Europe with over 20 cities in our expansion pipeline.”