Franchise News

Google Teams Up with Hotel Booking Startup Room 77

Apr 08, 2014 03:08 PM EDT | By John Nassivera

Google has partnered with hotel booking software startup Room 77.

The licensing deal would give Google access to Room 77's technology while adding more people to its hotel-search staff, according to The Wall Street Journal.

The partnership is Google's latest move in improving its hotel-search results, which is responsible for most of the money the company makes in advertising. The search engine company has been making deals to add more photos, room rate, availability information and other hotel-related content to its search results.

Kayak and Priceline Group Inc. provide much more convenience for customers looking for hotels than Google, Android Headlines reported. People who use these sources receive a tailored experience for what they are looking for.

Room 77 can be used through the web as well as through smartphones and tablets. Customers can also get information on hotels and booking through the Room 77 app, which is available on the play store.

Not having to leave the site or mobile app makes it easier for Room 77 users to book rooms  without going back and forth between links, which is an irritating process that smartphone users experience. Google looks to use the startup's technology to help change its users' search experience for hotels to appear more similar to that of Priceline, TripAdvisor Inc. and Expedia Inc., The Wall Street Journal reported.

Google has tools that perform similar functions, such as Hotel Finder and Google Wallet.

"You might infer that Room 77 was further along than Google," a person familiar with the company said. "There's a lot of stuff that Room 77 has worked on, some launched, some not launched, that Google believes will improve the quality of its [hotel] search."

Room 77 will still keep and control all of its patents and services such as their brand name, website and apps, Android Headlines reported.

In addition to improving Google's improved hotel search results, the deal can also make it easier to book a hotel room with Google's voice search function, making the process hands free.

Room 77 raised almost $43 million from individuals and venture-capital firms before the deal, The Wall Street Journal reported. The firms include General Catalyst Partners and Sutter Hill Ventures, with Expedia also having invested in the startup.

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