The minority investment from Summit Partners is PriceLabs’ first institutional round of funding
PriceLabs gives a pricing solution after analysing historical and hyperlocal data, tailoring property prices to owners
While PriceLabs is profitable, it intends to use the funds for product expansion in the revenue management solutions category
Pune and Chicago-based cloud-native revenue management startup PriceLabs has bagged $30 Mn from US-based investor Summit Partners.
The minority investment from Summit Partners is PriceLabs’ first institutional round of funding. With this, Summit Partners’ managing director Colin Mistele will join the PriceLabs Board.
While the startup is profitable, PriceLabs intends to use the funds for product expansion in the revenue management solutions category and fuel global team growth.
Founded in 2014 by Richie Khandelwal, Anurag Verma and Syed Sana Hassan, the startup was born when Khandelwal faced challenges in managing personal rental property and experienced inefficient price adjustments driven by demand changes.
To bridge this gap between the existing revenue management tools and cater specifically to the hospitality segment, PriceLabs built AI and analytical tools that would help property owners and vacation home managers along with short-term rentals.
The startup offers a pricing solution that analyses historical and hyperlocal data to sense demand changes and recommend optimal daily pricing tailored to each property’s unique characteristics.
The API tool monitors and researches local market conditions and adjusts prices to suit the needs of the property and operations. Prices update automatically through direct integrations with property management software (PMS) solutions, helping property owners efficiently manage their operations and maximise their listings profitability.
“Our product democratises powerful tools that, historically, have only been available to large hospitality businesses,” Hassan said in a statement. The startup further said, whether it is an apartment in Paris or a multi-thousand-unit vacation rental manager in Florida, it integrates with existing hospitality tools.
PriceLabs claims to have over 150K listings in more than 100 countries and has been growing steadily since the product resonates with vacation rental businesses of all sizes; from single-property owners to large property managers. It offers 70+ integrations with PMS & channel managers such as Airbnb, Vrbo, Houfy, Fantastic Stay, MyRent.com and Zeevou, among others.
It claims to have grown 3X in FY22 and has over 15K customers on its roll. It competes with the likes of LeadSquared’s PMS CRM, eZee Absolute, among others.
