Date: 20 Mar 2020
ChinaTravelNews, Flymer Huang - Qingzhu Hotel Group announced on March 18 that it had landed tens of millions of dollars in its series B funding. The funding came at a time when the hospitality industry has been badly hit by the COVID-19 outbreak, leading to large-scale redirection and layoffs by high-profile entities such as OYO and the merge of IDG Capital’s H Hotel and Huazhu’s Elan brand.
Qingzhu is a brand under the umbrella of Beijing Meizhu Bicheng Technology, which in turn, was firstly incubated by Meituan Dianping.
Qingzhu has brought together 3,000 independent hotels in various provincial capitals in the first and second tiers. They are available for booking on its platform. It also provides online and offline support to augment the hotels’ operation management services.
Qingzhu’s latest funding round had GGV Capital and Sofina Group as lead investors, and they were joined by existing shareholders Sequoia China and XVC. The proceeds will be used to expand its hotel portfolio and develop products.
It has raised tens of millions of US dollars in three previous rounds of financing in the first half of last year since its inception in January 2019. Its investors include Source Code Capital, XVC and Sequoia Capital China.
The group has two brands, and the hotels under its banner maintain collaboration with OTAs and are available for booking on Meituan, Ctrip, and Fliggy, according to Qingzhu’s founder and CEO Mr. Nan Zhao.
Qingzhu helps member hotels diversify customer source markets through its loyalty program as well as dozens of channels such as B2B hotel systems, TMC and travel agencies.
Qingzhu has more than 800 employees, 60% recruited from Internet companies and 40% have backgrounds in hotels. (Translated by Elena)