{{Short description|Indian Hospitality company}} {{Use Indian English|date=May 2025}} {{Use dmy dates|date=May 2025}} {{Advert|date=May 2018}} {{Infobox company | name = Zostel | logo = File:ZOSTEL LOGO PNG (1).png | logo_size = 150px | type = Privately held company | industry = Hostel<br />Tourism<br />Backpacker tourism | area_served =India, Nepal, Thailand and Europe | products = Zostel Hostels<br />Zostel Homes<br />Zostel Escape<br />Trusted by Zostel | founded = {{Start date and age|2013}} | hq_location = Gurgaon | website = {{URL|https://www.zostel.com/}} }} '''Zostel''' is a hostel chain with over 95 locations acrossIndia, Nepal, Thailand and Europe.<ref>{{Cite news|url=https://qz.com/429075/indias-first-chain-of-backpacker-hostels-is-attracting-some-serious-money/|title=India's first chain of backpacker hostels is attracting some serious money|last=Sehgal|first=Kunal|work=Quartz|access-date=2017-07-08|language=en-US|archive-date=13 November 2017|archive-url=https://web.archive.org/web/20171113031338/https://qz.com/429075/indias-first-chain-of-backpacker-hostels-is-attracting-some-serious-money/|url-status=dead}}</ref><ref>{{Cite news |url=http://www.thehindubusinessline.com/on-campus/iim-iit-students-set-up-zostel-for-backpackers/article5670685.ece| title=IIM, IIT students set up Zostel for backpackers |date=2014-02-09| work=The Hindu Business Line|access-date=2017-07-08|language=en}}</ref>
== History == Zostel Hospitality Pvt. Ltd was established in August 2013<ref>{{Cite news|url=http://www.thehindubusinessline.com/on-campus/iim-iit-students-set-up-zostel-for-backpackers/article5670685.ece|title=IIM, IIT students set up Zostel for backpackers|date=2014-02-09|work=The Hindu Business Line|access-date=2017-07-08|language=en}}</ref> by seven co-founders,<ref>{{Cite news|url=http://www.hindustantimes.com/jaipur/iim-calcutta-students-set-up-backpackers-hostels-in-rajasthan/story-4vxbStEKMzgF7hHIAsyQ4O.html|title=IIM-Calcutta students set up backpackers' hostels in Rajasthan|date=2014-02-14|work=www.hindustantimes.com/|access-date=2017-07-08|language=en}}</ref><ref>{{Cite news|url=https://www.ndtv.com/india-news/why-these-iim-calcutta-grads-do-not-want-placements-552129|title=Why these IIM-Calcutta grads do not want placements|work=NDTV.com|first=Monideepa|last=Banerjie|date=27 February 2014|access-date=2025-05-17}}</ref> who initiated their venture with the launch of the first Zostel in Jodhpur, Rajasthan on 15 August 2013.<ref>{{Cite news|url=http://www.livemint.com/Leisure/nMBw0ya0cmndw6qw61p3UO/Zostel-Passion-for-travel.html|title=Zostel: Passion for travel|last=Ghoshal|first=Somak|date=2014-09-06|work=www.livemint.com/|access-date=2017-07-08}}</ref>
===ZO Rooms=== In November 2014, the founders launched a new project called ZO Rooms, which aimed to provide budget-friendly hotel accommodations and aggregate hotel rooms.<ref name="indiatimes">{{cite web|url=http://economictimes.indiatimes.com/small-biz/startups/business-service-providers-betting-big-on-startups-with-great-deals/articleshow/49954688.cms|title=Business service providers betting big on startups with great deals – The Economic Times|publisher=economictimes.indiatimes.com|access-date=2 December 2015}}</ref><ref name="thehindubusinessline">{{cite web|url=http://www.thehindubusinessline.com/economy/logistics/budget-hotel-room-aggregators-eye-pacts-with-offline-travel-agents/article7916375.ece|title=Budget hotel room aggregators eye pacts with offline travel agents | Business Line|publisher=thehindubusinessline.com|access-date=2 December 2015}}</ref><ref name="business insider">{{cite web|url=http://www.businessinsider.in/ZO-Rooms-has-a-room-available-for-everytraveller/articleshow/49686747.cms|title=ZO Rooms has a room 'available' for every traveller | Business Insider India|publisher=businessinsider.in|access-date=2 December 2015|archive-date=8 December 2015|archive-url=https://web.archive.org/web/20151208045317/http://www.businessinsider.in/ZO-Rooms-has-a-room-available-for-everytraveller/articleshow/49686747.cms|url-status=dead}}</ref><ref>{{Cite news|url=http://economictimes.indiatimes.com/small-biz/startups/virtues-of-a-large-founding-team-why-many-digital-ventures-are-starting-up-with-many-cofounders/articleshow/49210060.cms|title=Virtues of a large founding team: Why many digital ventures are starting up with many cofounders|last=Singh|first=Rajiv|date=2015-10-04|work=The Economic Times|access-date=2017-07-08}}</ref> There were reports that ZO Rooms was acquired by rival OYO Rooms,<ref>{{Cite news|url=http://timesofindia.indiatimes.com/business/india-business/The-curious-case-of-Oyos-Zo-buyout/articleshow/51283342.cms|title=The curious case of Oyo's Zo buyout – Times of India|work=The Times of India|access-date=2017-07-08}}</ref><ref>{{Cite web|url=https://inc42.com/buzz/oyo-zo-rooms-acquisition-deal-falling-apart/|title=The Oyo-Zo Rooms Acquisition Deal Is Falling Apart – Inc42 Media|website=inc42.com|date=17 December 2015 |language=en-US|access-date=2017-07-08}}</ref> in an all-stock deal in December 2015, which was later denied by OYO.<ref>{{Cite web|url=https://techcrunch.com/2017/10/26/oyo-zo-rooms-deal/|title=The deal that never was: OYO says it didn't acquire rival ZO Rooms after all – Tech Crunch|website=techcrunch.com|language=en-US|access-date=2018-05-29}}</ref>
Zostel offers various accommodation options such as dormitories and private rooms.<ref>{{Cite web | title=Discover Affordable Adventure: Embrace Zostel Lonavala's Charm! punenews.org.in | url=https://punenews.org.in/discover-affordable-adventure-embrace-zostel-lonavalas-charm/ | access-date=2025-05-18 | website=punenews.org.in}}</ref>
===ZO World=== In 2025, on its 12th anniversary, Zostel announced the launch of “Zo World,” a travel-tech platform extending beyond hostel operations.<ref name="Zostel2025">{{cite web |title=Zostel goes global, celebrating 12 years… with Zo World |url=https://hospitality.economictimes.indiatimes.com/news/hotels/zostel-goes-global-celebrating-12-years-of-transformative-travel-with-zo-world/123329644 |website=The Economic Times |access-date=18 November 2025}}</ref> Zo World includes several parts: * Zo Trips, a travel planning service that covers flights and local activities, with a projected annual revenue of ₹1,500 crore * Zo Villas, a network of around 300 vacation homes * Zo Houses, co-living accommodations aimed at digital nomads and creators * Zo Digital, an artificial intelligence system designed to provide rewards and community engagement features.<ref name="Zostel2025"/>
===Business Structure and Financials===
Zostel operates through a franchisee-owned, franchisee-operated (FOFO) model, where individual franchisees own and manage each property according to the company’s guidelines.<ref name="FortuneHostels2025">{{cite web |title=Hostel chains find their footing in India with a premiumisation push |url=https://www.fortuneindia.com/business-news/hostel-chains-find-their-footing-in-india-with-a-premiumisation-push/124248 |website=Fortune India |access-date=18 November 2025}}</ref> The company charges a commission of 21–30% on booking and food and beverage revenue from its franchisees, and provides operational support and guidance.<ref name="FortuneHostels2025"/> According to reports, Zostel records annual accommodation bookings of about ₹166 crore (approximately US$20 million), with an estimated year-on-year growth of 40–50%.<ref name="FortuneHostels2025"/> The strategy of the company is to focus on smaller urban areas across India, including Tier-II, Tier-III, and Tier-IV cities, rather than concentrating only on major tourist hubs.<ref>{{cite web |title=Indian hostel chains aim for global expansion amid rise of digital nomadism |url=https://www.business-standard.com/amp/companies/news/indian-hostel-chains-aim-for-global-expansion-amid-rise-of-digital-nomadism-124101100755_1.html |website=Business Standard |access-date=18 November 2025}}</ref>
== References == <references />
Category:2013 establishments in Haryana Category:Indian companies established in 2013 Category:Companies based in Gurgaon Category:Hotel chains in India Category:Privately held companies of India