South Korea-based travel startup Allstay has raised KRW 500 million (US$432,680) in its first round of financing from Venture Republic, operator of Japanese travel site Travel.jp, and South Korean online travel agency TideSquare.
With this investment, Allstay will invest in accelerating growth and service development, with a focus on its localisation and mobile features.
Kei Shibata and Kenichi Shibata, Co-founders at Venture Republic and Min Yoon, CEO of TideSquare will join Allstay’s Board of Directors.
Founded in December 2014 by Hyunsoo Cho and Yongseok Lee, Allstay aims to solve a pain-point of South Korea’s travel industry, which is the lack of a mobile meta-search service for all local travel agencies and private accommodations. Allstay will able to leverage on South Korea’s high smartphone penetration, which will reach 83 per cent of its 42.5 million mobile phone users by the end of 2015.
“Mobile optimisation is the key for success of travel meta-search. We are experimenting with various functions in the areas of content curation and in-house payment for mobile optimisation,” Lee said in a statement.
Allstay will also be able to utilise Venture Republic’s database of over a million travel products such as airfares and hotels, as well as 8,500 online travel guides generated by travel bloggers, said an official release.