It does seem like OYO rooms in a quandary as of now. It has its ups when they were having tales of an employment buyback scheme in implementation for their highly-valued stocks. But now, it seems like there is a new low.
The Old problems
The Gurugram-based startup has faced a lot of problems and rebellion recently. Hoteliers complained of the exploitation of hotel chains by the brand and also of compromised customer security. Both of this mostly because it was thought that Oyo converted residential places into hotels without proper measures.
The new barrier wall
Now, OYO, probably as a step to digitalize its company work process and provide faster service, has decided to digitize the arrival and departure process across all of its operation based hotels. However, it also allows and has the provision for the Government to access the data available and not existing due to this digitalization.
Privacy is an issue
The Indian Economy is known to recently be in the news for it’s privacy concerns. Be it e-commerce, social media or Government agencies. And now, consumers have an issue with OYO for the decision made. There is tension regarding privacy breaches and unnecessary surveillance.
What can be done
It has been analyzed that OYO has seen a reduction in customers due to hesitation in places like Jaipur where the above scheme was already functioning. Oyo needs to ensure an efficient and compact policy in place to prevent privacy leaks or hindrance. It also needs to make sure it’s customer base is aware of such steps and how it’s digitalization process is a work in progress for their benefit only.
OYO needs to step it up and bring it’s A-game for both marketing and decision-making process so now. Let’s see what will they react to this negative consumer feedback (rare yet useful).