Barcelona-based vacation rental software provider Lodgify announced today that it has secured a $5 million round of Series A funding, bringing total funding to $7.3 million to date.
Participants of the round are the existing investors Nauta Capital, HOWZAT Partners, and Business Angels, as well as the new investor Intermedia Vermögensverwaltungs. The company will use the new capital to scale its team, accelerate product development, and increase marketing efforts globally.
Lodgify’s blog announcement of the funding states “Our vision of the vacation rental is a decentralized one, whereby owners and property managers play by their own rules.” The capital “means we’ll be able to do things like scale our team, launch our mobile app, and continue developing API connections with the most significant channels.”
“Lodgify stands out from other software players because of our razor-sharp product focus,” said Dennis Klett, CEO of Lodgify in the company’s release. “We are not a property management system, which typically focuses on on-site administrative tasks. Instead, our software enables our users to easily build and grow their own online booking channel.”
“What really strikes us about Lodgify’s product is that, while other software players in this space solely focus on large, established property managers, Lodgify’s self-service software addresses the needs of both individual vacation rental owners and property management businesses,” said Jordi Viñas, partner at Nauta Capital. “At an industry level, 60 to 70 percent of properties come from long-tail, individual owners who need an easy and scalable solution to create an online presence and get more bookings.”
Lodgify plans to use the $5 million investment to drive its growth by expanding its development team to develop new features at a quicker pace.
“Our vision is to make our direct channel technology accessible to any lodging business, no matter the size or segment,” said Marco De Gregorio, co-founder and CTO of Lodgify. “Similar to how Shopify evolved, from a software for entrepreneurs to also cater to enterprise clients, in the future Lodgify will continue to be used by small-to-medium sized vacation rental operators, and also by large enterprise-level hotel chains who want to run their entire website on our platform.”
Following this investment, Stephan Marzen from Intermedia Vermögensverwaltungs and Lodgify COO Alex Vuilleumier will join Lodgify’s board of directors.
This is very good news for us. We have been using Lodgify for about 12 months now and although there are some features we would dearly love to have, it’s a product that still works well for us. The product is really aimed at the 1-5 properties market at the moment but we are currently using it to list over 450 properties and it holds up well. The words from their COO ““Our vision is to make our direct channel technology accessible to any lodging business, no matter the size or segment,” is particularly key to us as there are features such as auto landing page building and more complex rate calculation flexibility which larger sites really need. Congrats to Dennis and the team at Lodgify – $5m is quite an achievement.