Ritesh Agarwal is the founder of OYO Rooms, one of the world’s largest hospitality chains. His story from a small-town entrepreneur to the head of a billion-dollar company is both inspiring and remarkable.
Early Life
Ritesh Agarwal was born in 1993 in Bissam Cuttack, a small town in Odisha, India. His family ran a small shop in Rayagada.
He was quite entrepreneurial from a young age, teaching himself about computers and coding. When he was 17, he moved to Delhi to prepare for engineering exams, but he dropped out to focus on his passion for business and technology.
In 2012, at the age of 18, he launched Oravel Stays, which allowed users to find budget accommodations.
Getting Thiel Fellowship
In 2013, at just 19, Agarwal earned a spot in the Thiel Fellowship, securing a USD 100,000. The Thiel Fellowship is funded by technology entrepreneur and investor Peter Thiel.
Ritesh recognized a gap in the hotel industry as there was not a good and customer friendly experience available for budget accommodations. The budget hotel industry lacked consistency in quality and service.
With the support of Thiel Fellowship, Ritesh turned Oravel Stays into OYO Rooms (short for “On Your Own”) in 2013.
Challenges
Agarwal was just 19 when he founded OYO, and he faced numerous challenges.
The concept of standardized budget hotels was still new in India, and convincing hotel owners to join the platform was challenging. However, he remained persistent, establishing partnerships by promising to improve hotel occupancy rates through OYO’s marketing and operational support.
Growth and Making First Million
After securing early funding, Agarwal expanded OYO quickly by signing up small hotels and standardizing their services. OYO Rooms differentiated itself by offering clean, affordable, and standardized accommodations. With OYO, customers knew what to expect, and that was a positive boost for the brand. By 2015, OYO’s model gained immense popularity, especially among younger travelers and budget-conscious customers.
As the company scaled up, it attracted investments from prominent venture capital firms, including SoftBank, Lightspeed Venture Partners, and Sequoia Capital. With these funds, OYO reached its first million in revenue quickly, as it expanded to cities across India and later to international markets.
OYO’s Global Expansion
OYO continued to grow rapidly, expanding beyond India to countries like China, Malaysia, the United States, and Europe. By 2019, OYO was one of the world’s largest hotel chains, with over 1 million rooms under its brand across multiple countries.
Ritesh Agarwal’s Net Worth
Today, Ritesh Agarwal is celebrated as one of the youngest self-made billionaires in India. Financial Express estimated his net worth to $1.1B in 2023.
Image Attribute: Steve Jurvetson, CC BY 2.0 https://creativecommons.org/licenses/by/2.0, via Wikimedia Commons
Frequently Asked Questions About Ritesh Agarwal
What is the age of Ritesh Agarwal?
Ritesh Agarwal was born in 1993. He is 30 years old.
Where is Ritesh Agarwal from?
Ritesh Agarwal was born in 1993 in Bissam Cuttack, a small town in Odisha, India.
What is Ritesh Agarwal’s net worth?
Financial Express estimated his net worth to $1.1B in 2023.
When did Ritesh agarwal became a billionaire?
Ritesh became the world’s second-youngest self-made billionaire at 25 years young.
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