RoomsTonite failure

RoomsTonite

Las-minute hotel booking provider

Description

RoomsTonite was a last-minute hotel booking app for people that decided to travel in or to India. It focused on listing hotels that had vacant rooms and could be filled on short notice. The app was free to download and could be found on the Apple and Google Store. The app specifically let people search and book rooms at a discounted price from about 4,000 hotels across 325 locations. The booked room was supposed to be filled on the same day or within 72 hours.

Stats

Category
Travel
Country
India
Started
In 2014
Closed
By 2017
Number of Founders
One
Name of Founders
Suresh John
Number of Employees
Between 101 And 250
Number of Funding Rounds
1
Total Funding Amount
$1.5M
Number of Investors
4
Precise Cause of Failure
Lack of Funds
Business Outcome
Bankruptcy

Cause of Failure

The company had announced to have raised $1.5 million in funding but the payment probably was late to arrive or didn’t go as planned and the company struggled to continue its operations. Both versions of the app were taken down.

Go on Reading

Other Startups

LuckyUnicorn t-Shirts
We've just launched 20 limited edition Failory t-shirts. Click here to buy one!

Startup Cemetery

A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.

RoomsTonite

Las-minute hotel booking provider

General Information
Category
Travel
Country
India
Started
In 2014
Business Failure
Business Outcome
Bankruptcy
Closed
By 2017
Cause of Failure
Lack of Funds
Founders & Employees
Number of Founders
One
Name of Founders
Suresh John
Number of Employees
Between 101 And 250
Funding
Number of Funding Rounds
1
Total Funding Amount
$1.5M
Number of Investors
4
Description

RoomsTonite was a last-minute hotel booking app for people that decided to travel in or to India. It focused on listing hotels that had vacant rooms and could be filled on short notice. The app was free to download and could be found on the Apple and Google Store. The app specifically let people search and book rooms at a discounted price from about 4,000 hotels across 325 locations. The booked room was supposed to be filled on the same day or within 72 hours.

Cause of Failure

The company had announced to have raised $1.5 million in funding but the payment probably was late to arrive or didn’t go as planned and the company struggled to continue its operations. Both versions of the app were taken down.

Go on Reading

Dopplr

Social travel network service

Travel
Shut Down
No Data
Acquisition Flu
Travel
United States
In 2007
Active
Five
Between 1 And 10
No Data
Acquisition Flu
Shut Down
Kichit

Brought local chefs to private households

Food and Beverage
Shut Down
$8.1M
Competition
Food and Beverage
United States
In 2011
By 2016
Two
Between 11 And 50
Between 1M 10M
Competition
Shut Down
TeeBeeDee

Network for people over 40 to share experiences

Social Media
Shut Down
$4.8M
Bad Business Model
Social Media
United States
In 2007
By 2009
Four
Between 11 And 50
Between 1M 10M
Bad Business Model
Shut Down
Sunrise

Calendar app for mobile and desktop

Productivity
Acquired
$8.2M
Bad Business Model
Productivity
France
In 2012
By 2016
Two
Between 11 And 50
Between 1M 10M
Bad Business Model
Acquired
Alikolo

Online marketplace organization

e-Commerce
Shut Down
$100K
Lack of Experience
e-Commerce
Indonesia
In 2014
By 2015
One
Between 1 And 10
Less Than 1M
Lack of Experience
Shut Down
SpoonRocket

Next-gen, ultra-fast delivery platform

Food and Beverage
Shut Down
$13.5M
Competition
Food and Beverage
United States
In 2013
By 2016
Two
Between 11 And 50
Between 10M 50M
Competition
Shut Down