Amber Success Story: Revolutionizing Student Accommodations

The global student housing industry has witnessed significant growth and transformation in recent years, driven by the increasing demand for housing solutions tailored to the unique needs of students studying abroad. As more students pursue educational opportunities in different countries, the need for reliable and convenient accommodation options has become extremely important.

In this evolving landscape, Amber has emerged as a prominent player in the industry, offering a platform that connects students with suitable accommodations near their universities. Amber's commitment to simplifying the housing search process and providing a seamless booking experience has made it a preferred choice among students worldwide.

In this article, let's explore Amber and its inspiring story of success, including its founders, business and revenue model, startup story, and more.

Amber - Company Highlights

Amber - About
Amber - Industry
Amber - Founders and Team
Amber - Startup Story
Amber - Vision and mission
Amber - Name, Tagline, and Logo
Amber - Product/Service
Amber - Business and Revenue Model
Amber - Launching Company Strategies
Amber - Customer Acquisition and Retention Strategy
Amber - Funding and Investors
Amber - Growth
Amber - Challenges Faced
Amber - Tools Employed
Amber - Recognition and Achievements
Amber - Competitors
Amber - Future Plans

Amber - About

Amber is a user-friendly accommodation booking platform that specializes in helping students find and book full-time accommodations near their universities. With a wide range of housing options tailored for students, Amber simplifies the process of finding and securing accommodation. The platform provides a seamless booking experience, ensuring a convenient and stress-free housing search for students worldwide.

Amber - Industry

Here are the prominent details regarding Amber's market/industry:

Industry and Target Market Size: The global student housing industry serves a global market of over 235 million higher education students, with approximately 70% residing in off-campus accommodations. Student demand for housing continues to considerably exceed supply in most destinations, to the point where access to affordable housing is an increasingly pressing issue for students when planning to study abroad. As the Purpose Built Student Accommodation (PBSA) sector continues to expand, the supply crunch has caused 53% of the global student population to opt for private accommodations in major education markets.

Market Share Calculation: Its market share calculation takes into account the significant growth in student housing rental yields across key international markets, including the US, France, the Netherlands, Spain, Germany, and the UK. Amber has established itself as the foremost global platform for student housing, surpassing competitors and cementing its position as an industry leader. This achievement can be attributed to its unwavering commitment to leveraging technology and optimizing operational efficiencies.

Industry Outlook in the Next Five Years: Regarding the industry outlook in the next five years, Amber anticipates significant growth and transformation in the student housing industry. The demand for streamlined, user-friendly platforms that simplify the process of finding and booking accommodations will continue to increase. Advancements in technology, along with changing student preferences, will shape the industry's direction. The student housing market will continue growing for the foreseeable future, given that only 20% of student housing needs are met by educational institutes' accommodations globally, offering a goldmine of potential for industry players.

Company Outlook in 5–10 Years: Looking ahead to Amber's company outlook in five to ten years, it envisions itself as the dominant force in the student housing market, further expanding its global presence. Amber will continue to innovate and enhance its platform, leveraging technological advancements and customer feedback to provide an unparalleled user experience. By strengthening partnerships with universities, property management, and other stakeholders, Amber aims to solidify its position as the go-to solution for students seeking convenient and high-quality accommodations worldwide. By 2023, Amber aims for 100,000 bookings with a gross value of $1 billion.

Amber - Founders and Team

Amber was founded in 2016 by Saurabh Goel and Madhur Gujar.

Madhur Gujar

Amber is fortunate to have a team of exceptional founders who bring diverse backgrounds and expertise to the company. Mr. Madhur Gujar, the charismatic Co-Founder and Chief Business Officer, holds a distinguished Mechanical Engineering degree from IIT Kharagpur. With his entrepreneurial prowess and business acumen, Madhur has played a pivotal role in driving Amber's success through his expertise in business development, marketing, and strategy.

Saurabh Goel

Mr. Saurabh Goel, the dynamic Co-Founder, and CEO, is the visionary driving force behind Amber's extraordinary growth. He holds a Bachelor of Technology degree in Chemical Engineering from IIT Kharagpur. With his expertise in technology and business, Saurabh has been instrumental in propelling Amber's impressive journey, drawing from his prior experience at Housing.com, a prominent online real estate platform.

The task division among the founders is aligned with their respective areas of expertise and responsibilities. Madhur Gujar leads the business development and marketing efforts, while Saurabh Goel oversees the overall strategic direction and technological advancements of the company.

Amber Team

Amber currently has a workforce of over 600+ employees as of April 2023, reflecting the rapid growth and expansion of the company. The company believes in hiring young minds and fostering a culture of innovation, collaboration, and creativity. Its hiring philosophy focuses on attracting talented individuals who are passionate about revolutionizing the student accommodation industry and contributing to the collective success of Amber.

Amber - Startup Story

Established in 2016 by Mr. Saurabh Goel and Mr. Madhur Gujar, both esteemed alumni of IIT Kharagpur, Amber emerged as a game-changing student accommodation booking platform. Its inception was driven by the vision to provide an all-inclusive solution for students seeking affordable and secure accommodations overseas. Today, Amber stands tall as one of the Asia Pacific region's fastest-growing enterprises, having catered to the needs of over 2 million students worldwide.

The inspiration to start the company came from firsthand experiences of helping friends find accommodations when moving to the US. Witnessing the inefficiencies and challenges in the housing process sparked the idea for Amber. To validate the concept, market research was conducted, revealing a significant problem in the market with outdated and inefficient methods for finding and booking accommodations.

During the journey of ideation, designing, and prototyping, key insights from Saurabh, who had previous experience at housing.com, were instrumental in identifying market gaps and applying learnings to build Amber. The initial response to the concept was overwhelming, with over 1,000 accommodation requests received within 24 hours of launching a rudimentary website.

By focusing on technology and operational efficiencies, Amber has quickly established itself as a market leader, surpassing competitors.

Amber - Vision and mission

Vision Statement: Amber's vision is to be a trusted global leader for student accommodation, empowering students worldwide with seamless accessibility to find and book their ideal full-time accommodations.

Mission Statement: Amber aims to provide a one-click student accommodation platform that empowers students worldwide to easily discover, compare, and secure high-quality accommodation near their universities. By eliminating the complexities of negotiation, non-standardized paperwork, and unreliable payment processes, Amber aims to enhance the overall student experience and become the go-to solution for student housing. With its extensive listings spanning multiple countries and cities, Amber strives to connect over 235 million students with their ideal living spaces, fostering a sense of belonging and enabling academic success.

Amber - Name, Tagline, and Logo

The process of creating the name, tagline, and logo for Amber, a one-stop solution for student accommodation, involved careful consideration and a focus on capturing the essence of the brand. Here's an overview of how the elements were arrived at:

Name: The team wanted a name that evoked a sense of warmth, comfort, and familiarity while also reflecting the commitment to providing a secure and welcoming environment for students. After brainstorming various options and conducting market research, "Amber" was chosen as it symbolizes a warm and inviting atmosphere, reminiscent of a cozy home.

Tagline: The tagline, "Home away from home," was crafted to encapsulate the core promise of the company. The aim is to create a living experience that goes beyond mere accommodation, offering a place where students can feel at ease, supported, and cared for, just like they would in their own homes.

Logo: The design of the logo aimed to visually represent the brand's identity and values. A clean and modern look was chosen, with elements that conveyed a sense of comfort and belonging. The logo features a combination of soft colors, smooth lines, and a welcoming symbol, all of which reinforce the commitment to providing a welcoming and nurturing environment for students.

Overall, the goal was to create a name, tagline, and logo that resonated with the target audience and conveyed the brand's values of comfort, security, and a home-like atmosphere. The intention was for students to instantly connect with the brand and feel confident in choosing Amber as their trusted student accommodation provider.

Amber - Product/Service

Amber provides a cutting-edge platform that revolutionizes the house-hunting experience for students. Its product eliminates the challenges of landlord negotiations, non-standard paperwork, and cumbersome payment processes. Through strategic partnerships with universities, property management groups, and study abroad organizations, Amber empowers students to effortlessly secure comfortable accommodations near their campuses.

Using its secure online search and intelligent filtering options, students can easily find personalized options that meet their specific needs. Amber also offers round-the-clock customer service to ensure a seamless experience throughout the accommodation search process.

The unique selling proposition (USP) of Amber revolves around its commitment to operational efficiencies and a personalized approach to student accommodation. Through astute recognition of opportunities in the pre and post-accommodation domain, Amber has expanded its offerings with amber+. This all-inclusive, in-house service effectively streamlines all supplementary requirements associated with booking and residing in student accommodations, providing students with a comprehensive and convenient solution.

Amber offers enticing features such as round-the-clock/24X7 assistance, virtual property viewings, and a dedicated team of dynamic and highly skilled professionals, ensuring that students receive unparalleled support throughout their accommodation journey. The proof of Amber's unwavering commitment to excellence can be seen in its stellar reviews on reputable platforms like Glassdoor, where it boasts an impressive rating of 4.6 out of 5 and its outstanding trust score of 4.8 out of 5 on Trustpilot. These accolades solidify Amber's position as a trusted and reputable provider within the industry.

In 2022, Amber decided to pivot and introduce amber+ as a suite of value-added offerings to cater to the diverse needs of international students studying abroad. This expansion further enhances Amber's ability to serve students beyond accommodations.

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Amber - Business and Revenue Model

Amber operates on an aggregator model, bringing together various real estate properties, including Purpose-Built Student Accommodations (PBSAs), onto its platform. The revenue model primarily revolves around earning a commission for each successful booking made through the platform.

Amber's revenue model involves a commission structure where the platform receives a percentage of the transaction value as compensation for facilitating the booking process. The exact commission rates and profit margins may vary based on the agreements and partnerships established with property providers.

Amber - Launching Company Strategies

Acquiring the first 100 customers for Amber was an exciting milestone in the company's journey. When the company initially launched with zero users, it found success by leveraging Facebook groups as a crucial channel for reaching out to students interested in studying abroad.

The strategy involved acting as facilitators, connecting these students with verified listing owners that matched their accommodation needs. By engaging with these Facebook groups, the company was able to tap into a targeted audience actively seeking international study destinations. This approach allowed it to provide a valuable service by connecting students with suitable accommodations and driving bookings.

Through an active presence in these Facebook groups, the company established trust and credibility among students, showcasing expertise in the student accommodation market. This personalized approach enabled the company to acquire its first 100 users and lay a strong foundation for future growth.

Overall, leveraging Facebook groups as a key channel and utilizing the role of facilitators proved to be an effective strategy for acquiring the initial customer base. It allowed the company to connect with the right audience, offer a valuable service, and establish itself as a trusted provider in the student accommodation industry.

Amber - Customer Acquisition and Retention Strategy

To achieve significant user growth, a comprehensive marketing approach was implemented. Firstly, performance marketing campaigns were employed on platforms like Google Ads and social media channels, specifically targeting students to increase awareness and generate initial interest.

Secondly, the website was optimized using search engine optimization techniques, including keyword targeting, navigation improvements, contextual internal linking, and UI/UX enhancements, to enhance organic traffic and search rankings.

Thirdly, referral programs were established, offering incentives to early adopters who referred their friends and peers. This leveraged word-of-mouth marketing and expanding the user base through existing student networks.

Additionally, strategic partnerships were forged with universities, study-abroad organizations, and property management groups. This allowed the company to gain visibility and provide exclusive deals to students.

Lastly, campus outreach activities such as organizing information sessions, participating in student fairs, and distributing promotional materials were undertaken to directly interact with students and highlight the benefits of using the platform.

These multi-channel strategies collectively resulted in Amber's user base growing from 100 to 10,000.

Amber - Funding and Investors

Amber has raised $21 million in four funding rounds.

Here are the funding details:

Amber - Growth

Amber has consistently achieved revenue growth, with an increase of 4x year-over-year. Moreover, the company has seen a significant boost in profitability, with a 40% increase compared to the previous year. The user base has also expanded rapidly, with a 4x increase in active users. These achievements can be attributed to the company's commitment to providing a seamless experience for students seeking accommodations.

As a key player in the student accommodation sector, Amber has successfully expanded its presence to other major countries. The Gross Booking Value (GBV) reached 350 million USD in 2022, highlighting the growing demand for the platform.

Amber has established partnerships with notable clients in international real estate and education, solidifying its reputation in the industry. The company has received impressive reviews on Trustpilot, indicating high user satisfaction.

Looking ahead, Amber's future plans involve expanding internationally, investing in advanced technology, and growing its network of accommodation providers to offer diverse options. With strong performance, a growing user base, strategic partnerships, and a focus on innovation, Amber is positioned for continued growth.

Amber - Challenges Faced

During the COVID-19 pandemic, Amber faced significant challenges in the student accommodation industry. One of the key challenges was the uncertainty surrounding institute admissions, which left students unsure about their accommodation needs. In response, the company introduced a policy of free cancellation for almost all properties. This policy was specifically designed to help students navigate the uncertainties of the time and provide them with flexibility and peace of mind.

Managing the sudden growth of the workforce was also a major challenge during the pandemic. To overcome it, strategies such as scalable onboarding processes, streamlined communication channels, agile team structures, and a culture of continuous improvement were implemented. The company successfully integrated new team members and maintained productivity. However, transitioning to remote work had its challenges, including work-life balance and communication across time zones. Adopting an agile development methodology also required adjustments.

Overall, the company thrived and achieved remarkable growth by effectively managing these challenges and embracing new initiatives.

Amber - Tools Employed

To enhance collaboration among team members, Amber relies on a range of tools including Notion, Slack, Google Workspace, and Keka. Notion serves as the central knowledge base, allowing for seamless organization and sharing of information. Slack facilitates real-time communication, enabling efficient team collaboration and quick decision-making. Keka helps manage various HR and payroll processes, ensuring smooth operations and employee satisfaction. By leveraging these tools, Amber optimizes productivity and creates a cohesive work environment that drives the company's success. Google Workspace provides messaging, meetings, document collaboration, and task management capabilities to support the workforce.

For data and insights, Amber utilizes Tableau and Google Analytics for measurement, tracking, and visualization. To handle user messaging and query resolution, Amber utilizes Intercom as a chat tool on the website.

Additionally, Amber employs secure web hosting services, content delivery networks, Google Maps embeds, and secure payment gateways among other tools to deliver a best-in-class experience for its customers.

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Amber is proud to have received the prestigious recognition of being named one of the FT rankings: Asia-Pacific High-Growth Companies 2022 and High Growth Companies in Asia Pacific in 2023 by the Financial Times. This esteemed award serves as a testament to Amber's unwavering commitment to innovation, customer satisfaction, and sustainable growth.

The award is a great honor, further motivating Amber to continue striving for excellence and delivering exceptional value to students and accommodation providers worldwide.

Amber - Competitors

In the student housing market, Amber faces competition from several notable players, including Student.com, University Living, UniHomes, Unilodgers, UniAcco, and uhomes.

These companies are also dedicated to providing accommodation solutions for students and have established their presence in the market. Amber acknowledges the presence of competition and aims to differentiate itself by offering a unique and exceptional experience to its users through its platform.

Amber - Future Plans

Amber is strategically positioning itself to capitalize on the vast potential of the student accommodation market. Its future plans revolve around leveraging its expertise and market presence to achieve ambitious goals within the next five years. The company is committed to sustainable growth and long-term value creation, aiming to become a leading global force in the student accommodation industry.

To achieve these objectives, Amber's focus will be on prioritizing technological advancements and product innovations. By staying at the forefront of technological developments, the company will continuously enhance its offerings and elevate the overall user experience. Furthermore, expanding operations into new regions will enable Amber to extend its reach and cater to a broader student population. Strategic partnerships will also play a crucial role in driving growth, allowing the company to tap into new markets, unlock new customer segments, and generate demand for its services.

As the leading player in the student accommodation market, Amber has set ambitious growth targets for the next three years. The goal is to grow tenfold by 2025, aiming to deliver 225,000 bookings and achieve a gross booking value of $2.5 billion. These aspirations demonstrate the company's unwavering determination to solidify its position as the premier rental provider in the industry.

FAQs

What does Amber do?

Amber provides a cutting-edge platform that revolutionizes the house-hunting experience for students. Its product eliminates the challenges of landlord negotiations, non-standard paperwork, and cumbersome payment processes.

Who is the founder of Amber?

Amber was founded in 2016 by Saurabh Goel and Madhur Gujar.

What is the business model of Amber?

Amber operates on an aggregator model, bringing together various real estate properties, including Purpose-Built Student Accommodations (PBSAs), onto its platform.

Who are the top competitors for Amber?

Amber faces competition from several notable players, including Student.com, University Living, UniHomes, Unilodgers, UniAcco, and uhomes.