FabHotels - Your Search for Budget-Friendly Hotel Ends Here!

Traveling brings with it great experiences and memories, but it also presents an opportunity to find reasonably priced accommodations and distinctive regional cuisine. We may maximize our travel without sacrificing the overall fun by making sensible plans and looking into reasonably priced lodging and dining options.

To create an unforgettable and rewarding adventure, it all comes down to striking the appropriate balance between expense and experience. But you need not worry about this anymore, FabHotels has got your back.

FabHotels is a chain of budget hotels present in more than 76 cities of India. FabHotels was started in 2014, with the aim to provide business travelers affordable and comfortable stays near major commercial hubs of India.

Read all about FabHotels Founders and Team, Funding and Investors, Business Model, Revenue Model, Growth, Future Plans, and more.

FabHotels - Company Highlights

FabHotels - About
FabHotels - Industry
FabHotels - Founders and Team
FabHotels - Shareholding
FabHotels - Startup Story
FabHotels - Mission and Vision
FabHotels - Name, Tagline, and Logo
Fabhotels - Products and Services
FabHotels - Business Model
FabHotels - Revenue Model
FabHotels - Funding and Investors
FabHotels - Growth
FabHotels - Advertisements and Social Media Campaigns
FabHotels - Competitors
FabHotels - Future Plans

FabHotels - About

FabHotels is a well-known brand that offers franchises to small and budget hotels. Post offering the Franchise, FabHotels ensure that its Partner Hotels are well maintained, comfortable, and yet very pocket friendly. On joining as a FabHotels Franchise, FabHotel takes the responsibility to ramp up a hotel according to its standard. Besides providing technological support, FabHotels train the staff of its partner hotels. It also conducts regular audits of its Franchise Hotels to make sure that the services offered by these hotels are up to the mark and meet the set standards.

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FabHotels - Industry

As per report analysis from Mordor Intelligence, the Indian hospitality sector is expected to develop at a notable compound annual growth rate (CAGR) of 4.73% from 2024 to 2029, from USD 24.61 billion in 2024 to USD 31.01 billion by 2029.

This is a good trend driven by factors including rising tourism, a growing middle class, and a focus on better travel experiences.

FabHotels - Founders and Team

Vaibhav Aggarwal and Adarssh Mnpuria founded FabHotels in 2014.

Vaibhav Aggarwal

Vaibhav Aggarwal is the Co-Founder and the CEO of FabHotels. An alumnus of IIT Guwahati, Vaibhav Agarwal is an MBA from Wharton School, University of Pennsylvania. Prior to starting FabHotels, Vaibhav co-founded FabFurnish.com, a company backed by Rocket Internet.

Vaibhav also worked as a consultant with 'Bain & Company', and as Vice President of Chicago based Coupon Website GropuOn in the early years of his career.

Adarssh Mnpuria

Adarssh Mnpuria is the Co-Founder of FabHotels. He previously was a Venture Development Associate at Rocket Internet GmbH. Adarssh Mnpuria was also an Analyst at Bain Capital. He began his career as an Intern at Bajaj Hindusthan. Adarssh too completed his MBA from Wharton School, University of Pennsylvania. He completed his graduation from the University of Delhi. He is also the Co-Founder of TravelPlus.

The company has 201-500 employees.

FabHotels - Shareholding

Below is the FabHotels shareholding pattern:

FabHotels - Startup Story

Vaibhav Aggarwal discovered his business calling after earning his MBA from Wharton and co-founding FabFurnish.com in 2012. But in 2014, he and fellow alumnus Adarssh Mnpuria founded FabHotels after spotting a business opportunity in the hospitality industry. Their objective was to offer accommodations that are affordable and suitable for business travelers. FabHotels acquired popularity quickly because of their asset-light business strategy and emphasis on quality, demonstrating the ability of creative thinking and entrepreneurial vision to satisfy consumer demands.

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FabHotels - Mission and Vision

The mission of the company is "to make great hospitality affordable."

The vision on the company's website states "to be India's preferred value-for-money hospitality brand."

FabHotels - Name, Tagline, and Logo

The parent company of FabHotels, Casa2 Stays Pvt Ltd, offers a strong platform for the development and expansion of this cutting-edge hospitality business.

Fabhotels - Products and Services

FabHotels products and services are:

100 percent Safe place to Stay

FabHotels made all the required preparations in May 2020 to guarantee the security and welfare of their visitors. Through the introduction of a program named "100% Safe Place to Stay," the company established several security measures at more than 600 franchise locations throughout India.

Refer and Earn Program

'Refer-and-Earn' initiative from FABHOTELS launched on September, 27, 2018. Through a shared referral link, it is intended for devoted customers to ask their friends and family to book a stay at FabHotels. For each referred friend that stays at FabHotels, customers receive Fab credits worth 500.

FabHotels - Business Model

FabHotels uses a business model that is asset-light, working with small hotels through a franchising structure to enable quick growth without significant capital expenditure. They make sure that all partner hotels provide the same services, emphasizing hygiene and basic facilities.

They target corporate clients and obtain business bookings with a devoted enterprise sales staff. With features designed with business visitors in mind, FabHotels offers reasonably priced lodging in prime locations with dependable Wi-Fi, fostering long-term growth and profits.

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FabHotels - Revenue Model

FabHotels earns revenue from different resources, some of them are listed below:

Franchise Charge:

A franchise fee, equivalent to about 20% of partner hotels' monthly income, is levied by FabHotels. This charge makes up a major portion of FabHotels' revenue stream and is consistent with its business strategy, which involves working with hotel partners to grow its network of lodging options.

B2C Reservations:

To make reservations, individual clients can go straight to the FabHotels website or utilize its mobile app. From these business-to-consumer (B2C) transactions, FabHotels receives income.

Special Discounts & Offers:

To encourage reservations, FabHotels uses marketing techniques like discounts, exclusive offers, and loyalty plans. These marketing campaigns increase overall revenue by encouraging recurring business in addition to bringing in new clients.

FabHotels - Funding and Investors

FabHotels has raised a total of $68.6 million over the 8 funding rounds.

FabHotels - Growth

Below are some growth highlights of FabHotels:

• It has over 1,800+ hotels as of February, 2024.
• FabHotels is available in 76+ Indian cities as of February 2024.
• It has over 4 million+ happy guests as of February, 2024.
• Company has 36K+ rooms as of February 2024.

Financials

Expenses

FabHotels total expenses rise from Rs 160 crore in FY22 to Rs 236 crore in FY23.

EBITDA

FabHotels - Advertisements and Social Media Campaigns

In 2018, FabHotels launched a T.V. campaign, 'Recharge. Refresh'. The campaign was especially for business travelers. FabHotels thought of recharging and refreshing its target customers, the business travelers with an innovative advertisement. The advertisement was broadcasted everywhere, including the leading T.V. channels and on social media platforms like Facebook, YouTube, etc.

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FabHotels - Competitors

The top competitors of the company FabHotels are OYO, Treebo, and RedDoorz.

OYO

OYO is the top competitor of FabHotels. This company is headquartered in Gurgaon, Haryana, India, and was founded in 2013.

Treebo

Treebo is one of the top competitors of FabHotels. It is headquartered in Bangalore, Karnataka, India, and was founded in 2015.

RedDoorz

RedDoorz is also one of the top competitors of FabHotels. It is headquartered in Singapore, Central Singapore, and was founded in 2015.

FabHotels - Future Plans

FabHotels has proven to be a successful expansion strategy with the inclusion of more than 100 premium hotels in several Indian cities, such as Bangalore, Chennai, Coimbatore, Gandhinagar, Goa, Gurgaon, Hyderabad, Jaipur, Jodhpur, Mumbai, New Delhi, Noida, Pune, Tirupati, and Visakhapatnam.

In the future, the business intends to enter additional Indian cities in order to increase the size of its presence. This calculated action fits perfectly with FabHotels' long-term strategy to expand its footprint and serve a range of markets, taking advantage of the success and demand for upscale lodging in both developed and developing metropolitan areas across the country.

FAQs

How many FabHotels are there in India?

There are over 1800 FabHotels spread across 76+ cities in India.

How many FabHotels are there in India?

Vaibhav Agarwal and Adarssh Mnpuria are the founders of FabHotels.