Tourism has been making a strong comeback following the aftermath of Covid-19, with global revenues reaching an impressive $2.23 trillion in 2023. Surpassing pre-pandemic levels for the first time since 2020, this incredible achievement is greatly impacting industries around the world, including startups dedicated to serving the tourism sector.
Mews, a tech startup specializing in providing tools for improved IT management in hotels, has announced a significant funding round of $110 million to further expand their business.
Our mission is to support hoteliers with cutting-edge tools to enhance their operations and efficiency, ultimately creating a seamless and enjoyable experience for both hotel staff and guests,
said Mews founder and president Richard Valtr.
The company, based in Amsterdam, has proven its success with previous funding rounds, including a $185 million raise in 2022 with a valuation of $865 million. This latest round, led by Kinnevik, values Mews at an impressive $1.2 billion post-money.
While the company has confirmed they are not yet profitable, their growth has been substantial. Mews offers SaaS tools for hotels, covering everything from front desk check-ins and reservations to guest room and service bookings. Currently, their gross payment volume has reached an impressive $8 billion, doubling from $2.3 billion in 2022.
With a growing customer base of over 5,000 hotels (compared to 3,253 a year ago), Mews has not only gained traction with smaller independent hoteliers, but has also secured partnerships with larger chains such as Accor, Generator-Freehand, The Strawberry Group, The Social Hub, and Airelles.
Their focus on expansion and growth is evident in their acquisition of eight other startups in the hotel IT space, three of which were completed in the past year.
We understand the importance of economies of scale in our journey to become more profitable,
said Valtr. This expansion also includes plans to broaden their reach beyond just hotels, taking inspiration from companies like Airbnb who have co-opted private properties as temporary accommodation alternatives.
“Our long-term goal is to become the go-to platform for businesses in the hospitality sector,” Valtr explained. “This includes not only hotels, but also hostels, Airbnbs, and services for people in mixed-use real estate. As the lines between residential and commercial properties continue to blur, we want to be at the forefront of this shift.” However, currently, Mews remains focused on the hotel sector.
In a statement announcing the latest funding round, CEO Matt Welle shared his vision for the company’s future:
As more and more hoteliers embrace modern technology, we have a huge opportunity to help them streamline their operations and elevate their customer experience.
This strong focus on the hotel sector seems to be resonating with investors. As European investors have become more selective with growth rounds, Mews has managed to secure support from a number of prominent firms, including Kinnevik, Revaia, Goldman Sachs Alternatives, Notion Capital, and new investor LGVP.
“Mews is making a transformative impact in the highly-innovative world of hospitality,” said Alexander Lippert, Managing Director of Growth Equity at Goldman Sachs Asset Management.
Their cloud-based solutions are revolutionizing the way hotels operate, making them an attractive investment in the $15.5 trillion travel and tourism industry.
With this latest round of funding, Mews is poised to continue their impressive growth and expand their reach in the rapidly-evolving world of tourism and hospitality. Their focus on using technology to enhance guest experiences and streamline operations has proven to be a winning formula, and their success shows no signs of slowing down.
