Based in AmsterdamIt also has offices in Krakow, Istanbul and Paris, Bidroom includes in its catalogue 125,000 hotels in 128 countries. The fast-growing company is set to employ more than a hundred people by the end of the year, and has decided to launch in the Asia-Pacific region in order to attract new customers in this part of the world. Bidroom is initially targeting frequent travellersBidroom, promising to give them guaranteed lower rates than other online travel agencies. According to the company's statistics, 25% of Bidroom users are frequent travellers, aged between 35 and 50 on average; the other categories are split between last-minute travellers and travellers planning a trip, more in the leisure segment.
Its business model is radically different from other online platforms. Bidroom users have to sign up to the platform via a subscription monthly, annual or lifetime membership. Once they have confirmed their registration, travellers can access the catalogue of hotel rooms, with Bidroom guaranteeing rates that can be up to 25% lower than the competition. According to the start-up, this generates savings of between €5 and €60 per night. This reduction is achieved by the fact that Bidroom does not take any commission from the hotels, but the latter pay Bidroom when a certain reservation threshold has been reached. For example, if a hotel reaches €7,500 in revenue through Bidroom, it will pay an annual commission of €500. If the threshold is less than €7,500, membership is free for hotels. Above €20,000, membership costs €1,500, and above €45,000 €3,000. The company's primary mission is to serve as an alternative to the online reservation market, which is currently defined by the commissions from online travel sites pocketed by industry giants such as Booking.com, Agoda, Expedia and Hotels.com. The absence of commission is then passed on in the price of a room. " Bidroom is clearly cheaper than all known online travel agents.said recently Michael Rosco-founder of Bidroom, who says that " transparency and fair play for consumers and hoteliers ".
