Rocket Internet’s hotel aggregator, Jovago, continues its Asian expansion

Jovago, the Rocket Internet-backed online hotel booking portal, first entered the Asian market in mid-2014 with its launch in Pakistan. Now the startup has announced its entry into Bangladesh and Myanmar.

“We wanted to expand further into Asia and looked at several different countries before deciding on Bangladesh and Myanmar,” Jovago CEO Paul Midy tells Tech in Asia. “It helped that both countries already have other Rocket Internet ventures present.”

The demographics of Bangladesh and Myanmar meet the German accelerator’s preference of investing in markets which exhibit rising internet penetration, an emerging middle class, and relatively little competition. “International players are yet to expand their footprint and have on-ground presence in both countries,” Midy adds.

While Midy says there is considerable potential in both Bangladesh and Myanmar, he is similarly quick to explain that the markets have markedly different dynamics. Growth in Bangladesh, with a population of almost 200 million, is likely to stem from heavy domestic demand as the tourism industry is relatively undeveloped. Conversely, Myanmar’s population is considerably lower, at 53 million, but there is greater global interest in travel to the once-secretive state.

There will be no fundamental changes to Jovago’s model as it rolls out operations in the two countries. However, it will aim to serve local customers in each market, a strategy Midy explains has helped differentiate the startup from players such as Agoda, Expedia, and Booking.com.

See: Hotel aggregator Jovago wants to consolidate and shift its focus to Pakistan