RoomRocket Launches Large-Scale Equity Crowdfunding


SAUSALITO, Calif., March 15, 2022 (GLOBE NEWSWIRE) — RoomRocket is transforming an entire industry with a much-needed shift to a stagnant business model. The global hotel market has over 15.5 million rooms, over 750,000 properties and $330 billion in annual B2B transactions. Millions of rooms are bought and sold each month within this channel, but these global transactions are costly and handicapped by currency differences, contractual and credit requirements, and the lack of secure and cost-effective reservation regulations.

Currently, 58% of hotel reservations go through intermediaries, travel agents, online travel agencies (OTAs) and tour operators. With the current model, up to 40% of the hotel’s margin is taken when bookings go through wholesalers and intermediaries, which equates to a loss of up to $132 billion per year.

RoomRocket provides a single point of access to the entire market for a reseller or supplier, bypassing the middleman by connecting B2B resellers to suppliers, enabling global hotel room sales on a wholesale basis, using their exclusive multi-currency financial settlement service and a simple Contract.

“RoomRocket addresses the need for a standard global financial settlement service and an open marketplace for the hospitality industry,” said Bill Guerin, CEO of RoomRocket. “We enable B2B buyers and hotel suppliers to bypass intermediaries if they choose and do business with a secure, low-cost global financial service.”

RoomRocket has completed a successful pilot in the UK, resulting in 1,500 transactions per month, with over 250,000 hotels on its platform. Revenue scaling will be achieved by focusing on the “back-end” opportunity with large hotel resellers and networks, where they make substantial commitments to customer acquisition, brand building, service consumers and competitive differentiation. Their focus on digital reservation clearing and settlement offers all parties the opportunity to reduce costs, expand reach and focus on core competencies.

RoomRocket raises $3.0M from accredited investors via a Reg D 506c fundraising to expand the technology platform for a full launch in Q4 2022 with contract customers and channel technology partners, to develop operations and increase revenues.

Their business projections show increased profitability by Q2 2023, with revenue run rate profitability rapidly increasing exponentially.

Goals

  • Shareholder value greater than $150 million
  • $50M annual revenue in 36 months
  • The global standard for B2B hotel sales settlement
  • Provide a liquidity opportunity to shareholders

Investment Highlights

  • Contracts with major global travel industry players in place for 250,000 properties
  • Revenue-generating proof-of-concept operating system
  • Proprietary settlement transaction processing and network technology with over $2 million invested
  • Highly scalable business in a virtually unlimited market, with 1st mover advantage
  • Network pattern with repetition, high volume
  • Over 80% gross margin on RoomRocket transaction revenue

To learn more about the offer, CLICK HERE.

About RoomRocket, Inc: RoomRocket is a global transaction processing company headquartered in the San Francisco Bay Area.

To contact by email: [email protected]

Related Images

Image 1: RoomRocket

THE GLOBAL COMPENSATOR FOR B2B HOTEL RESERVATIONS

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