This Tech Startup Just Secured $2M In Funding To Build A Hotel Brand On Airbnb
PropTech startup WanderJaunt wants to fill a void on Airbnb by establishing a self-branded hotel chain, similar to the Westin, on the home-sharing behemoth’s site. Investor Khosla Ventures has invested $2M in seed capital to get the concept off the ground.
The idea is somewhat of a head-scratcher, TechCrunch reports, as Airbnb has grown in popularity in part because it offers users an authentic, more cost-efficient option to hotels. But receiving a $2M capital injection all but guarantees the concept will move beyond the conceptual stage.
WanderJaunt aims to create a more vetted and safe environment for short-term renters through Airbnb globally. No more worries about whether an Airbnb rental has high-speed internet, is within a safe area or has all of the amenities advertised on the listing — WanderJaunt will work with large property managers that have multiple listings on the site to create a universal experience. The startup will also partner with third-party vendors to furnish the rentals.
“There’s an arbitrage opportunity between long- and short-term rentals,” CEO Michael Chen said to TechCrunch. “We are closing the loop on the circle that Airbnb started by allowing homeowners to take advantage of higher rents.”