Service Expansion, Bobobox Optimistic with Local Tourism Industry

The tourism industry is the first layer most affected by the Covid-19 pandemic. Many companies are competing to develop other businesses as a step pivot for buffer so as not to fall too deep. The same strategy was also taken by startup proptech bobobox which develops several innovations beyond capsule hotels.

To DailySocial, Co-Founder and CEO of Bobobox Indra Gunawan said, his startup was also affected by the pandemic. However, thanks to the team's persistence, the company was able to adapt quickly and continue to innovate during that time.

“As a result, we managed to get a V curve recovery (V shape recovery) which is much faster than we predicted. This is also the fact that 90% of our market is domestic, which has helped us to better survive the crisis,” said Indra.

Series A Funding which was announced in March 2020 is the right ammunition for Bobobox to stay afloat. Currently, the company has launched two new products, namely accommodation service products with the concept of co-living (Boboliving) and glamping/glamorous camping (Bobocabin). Another product that is being prepared is accommodation with an hourly rental concept (hourly rental single pods) and campervan.

Indra explained that Bobobox and Boboliving started from the company's internal findings from its customers. It was found that the domestic market bounced faster and used to stay in the 1-2 day range, now it's getting longer by about weekly to monthly. This condition is reflected by the Bobobox report, where long-term guests have grown rapidly during the pandemic.

If you narrow it down, there are now two types of hotel guests. First, those who still need to go to the office during the pandemic and want to avoid long-distance travel. Second, people who work from home, but do not have fast work facilities such as high-speed Wi-Fi and a safe environment. “This led us to develop Boboliving and the product sold out within 3 weeks on the market.”

From the results of this study, Bobobox captures that in the future WFH is a lifestyle that will continue, even when Covid-19 is over. Then, the current consumer trend is driven by self-protection and social distancing. “We wanted to develop a solution where people could have alternative options for work and school fees (for the younger ones).”

Bobocabin and Boboliving

Bobocabin and Boboliving take advantage of the existence of technology for their operations. In terms of design, Bobocabin is designed by adopting a futuristic modular design with a capacity of two adults and one child while still paying attention to the need for social distancing restrictions. Each cabin is equipped with modern facilities, supported by IoT technology to control the features inside, such as windows, lights, pintu, and audio speakers that can be controlled from the visitor's smartphone.

Bobocabin is available in two areas in Bandung, namely Rancupas and Cikole by utilizing land owned by Perhutani. Each area is 1,26Ha and 1Ha. In addition to rooms, Bobocabin is equipped with 24-hour front desk, barbecue and bonfire facilities. The price tag ranges from Rp. 450 thousand to Rp. 550 thousand per night.

This bobocabin prioritizes the needs of sustainable tourism through the segment nature-based tourism which offers more economic, social and environmental benefits.

Meanwhile, boboliving such as boarding houses with wider room facilities for work areas. The rooms are prepared as many as 10 units pods contains a mattress and wardrobe. These capsules can be rented daily, weekly, monthly or yearly. Currently Boboliving is available in the Pancoran area, South Jakarta.

“Bobobox sees great economic potential with the existence of a residential business ecosystem such as co-living, especially for property business activists who want to start a business but are constrained by limited land. This is also driven by the need for housing which is increasing every year, but is inversely proportional to the availability of land, especially in big cities," said Indra in an official statement.

Regarding the latest developments of the Bobobox capsule hotel, now it has spread to several cities on the island of Java, including Yogyakarta, Semarang, and Solo. Until the fourth quarter of 2020, this product recorded an occupancy rate of 80% from its pre-pandemic position which reached the 80%-90% range.

Indra is optimistic from various sources that he summarizes, showing that more than 70% are interested in traveling. This shows that vacations seem non-negotiable to many. “With the market fit for our new product, we are very confident that we can reimagine tourism across Indonesia with an extraordinary experience.”