With the resumption of domestic and international travel, a travel company, KKday, has reportedly added USD 20 million to its Series C round and increased its total value to USD 95 million.
This funding round was initiated by TGVest Capital, an Asian private equity firm.
Ming Chen, CEO, and Founder of KKday quoted that the company intends to use the proceeds to extend its presence in key markets like Japan, Taiwan, Korea, Hong Kong, and Asia.
According to the startup, its gross value of merchandise surpassed pre-COVID levels in June this year, and it also brought the user acquisition cost to one-third of the amount spent before the COVID-19 pandemic. In addition, the company’s revenue also exceeded its pre-pandemic levels.
Some of the funds will be used for department-wide hiring, including research and development, software engineering, marketing, and business development and operations.
Furthermore, the capital will be used to develop tech products for OTAs (online travel agencies) and merchants who offer services and activities on KKday’s platform.
The Taiwan-based company stated that more than 1,600 merchants worldwide and close to 2.7 million travelers used Rezio, its SaaS-based inventory and booking management solution for merchants.
Rezio can be integrated with the services of online travel agencies like Viator to assist the expansion of their merchants. The service allows them to manage bookings across different channels like Tripadvisor and Viator.
During the COVID-19 pandemic, the primary growth driver of KKday was domestic travel in key markets like Hong Kong, Japan, Taiwan, Korea, and Southeast Asia. Recently, the company also acquired an online travel agency, Activity Japan, to expand its business in Japan.
Furthermore, KKday also predicts more business activity in markets like Singapore and Korea where international traveling has restarted.
With the gradual opening of borders, the company intends to relaunch its local tours. It will also benefit from the latest trends like digital traveling where people use online tools to cost-effectively plan their tours.