Oyo Rooms Marketing Strategy & Marketing Mix (4Ps)

Published in Services category by MBA Skool Team

Here is the marketing strategy of Oyo Rooms which analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).

Oyo Rooms Product Strategy:

The product strategy and mix in Oyo Rooms marketing strategy can be explained as follows:

Oyo Rooms is one of the most popular hotel booking online brands in India. Oyo works on a different scale in comparison to other online room booking sites or online travel agents. Oyo Rooms work methodology is simple that they pitch the hotels available in different location to the customers and on booking they take a commission fee as their income. Many times they also do one thing that they book a few rooms of a hotel every month according to consumer request and then they even rent these rooms to consumers at a lower rate at which they themselves has taken from the hotel. This deal attracts consumers and make their trip way more comfortable at a low cost.

Their service of giving rooms to unmarried couples without any hassle also attracts youngsters to a big deal. It takes only 5-6 days for Oyo to make up a deal with a hotel after analyzing all of their services. As a comfortable service is one of their prime motto so Oyo Rooms have also made up a special team which keep on visiting hotels in a fixed duration to make sure that all the services are available as stated. This gives an insight in the product & service offering in its marketing mix.

Image: company website

Oyo Rooms Price/Pricing Strategy:

Below is the pricing strategy in Oyo Rooms marketing strategy:

Oyo Room’s strategy is to attract customers with a lower room price in comparison to the base price of the hotel. The main goal is to offer at an unmatched price and which matches with the budget of user.

Their room price varies from Rs. 999 to Rs. 4000 depending on the location and luxury of hotel. Due to this discount strategy many a times Oyo turns out to be at a major loss which is then backed by different investors like Softbank group. Overall Oyo rooms are following a very sensible strategy which aims to provide rooms at a moderate rate with awesome services and generate loyalty from customers.

Oyo Rooms Place & Distribution Strategy:

Following is the distribution strategy in the Oyo Rooms marketing mix:

Oyo rooms started from a single hotel in Gurgaon and now has extended its empire in all the parts of country along with going beyond the seas in Malaysia and Nepal. Oyo rooms works totally online, either with an app or through online sites you can go through the available hotels with their estimated price. You can book it online with a confirmation and then you can avail the services on reaching the booked hotel on specific date.

So Oyo’s total delivery system is online whether it is booking, complaint or feedback and its online system is totally user friendly.

Oyo Rooms Promotion & Advertising Strategy:

The promotional and advertising strategy in the Oyo Rooms marketing strategy is as follows:

Oyo prefers to promote completely through different social media sites like Facebook, Twitter etc. Oyo uses digital platform to attract new customers with its unique services and lower prices. Also retain loyal customers by coming up with new discount policies further on the low prices. Oyo has also conducted various online campaigns like #Aurkyachaiye which we can see on different other social media sites. Many of these campaigns also included Bollywood artist to make them appear more attractive. One of the most recent campaign is “One for everyone” which comprises of short 8 movies where customers are showing their own satisfaction with Oyo services.

Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Oyo Rooms.


Oyo team comprises of young and energetic people who wants to deliver maximum both for the company and individual growth. With the dynamic team Oyo also provides a very friendly working environment which helps in the employees work according to their convenience, come up with new innovations and work beyond their strengths. Even the leaders of Oyo are two youngsters who were driven by the need to create a change in the hospitability industry of India.


Oyo helps the users to search the hotels according to the location and price. It acts as an intermediate between the hotels and the users and on booking collect their commission fees as their income. The services provided by the hotel is not in the hands of Oyo but they help users in picking hotels according to their convenience.

Physical Evidence:

Oyo provides a confirmation mail to the users registered email id on booking any room and also send them a confirmation message on their mobile number which ensures their payment and booking of hotel. This message or email is used to show your room confirmation while check in the respective hotel. Hence, this completes the marketing mix of Oyo Rooms.

About Oyo Rooms:

Oyo rooms are the innovation of need and has totally changed the way hotel rooms were booked. It is not only working in India but has also extended its empire beyond India i.e. in Nepal and Malaysia. In India it covers over 200 towns with more than 7000 hotels all across India. Oyo helps the hotels which does not have fame or recognizable in hospitability industry. They make an agreement with the hotels and offer to showcase or do branding of their hotel under the brand name of Oyo. The main focus of this plan is to provide quality services to the guests.

So they showcase all the fundamental services along with premium services of the hotel on their website or app to the consumers. It fulfills the objective of providing a neat and clean place to all the guests along with fundamental facilities.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing strategy and 4Ps analysis of more brands similar to Oyo Rooms. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.

Continue Reading:

The names and other brand information used in the Marketing Strategy & Mix section are properties of their respective companies. The companies are not associated with MBA Skool in any way.

Share this Page on:
Facebook ShareTweetShare on Linkedin