Where are they now? Checking in with our Hot 25 Startups of 2019

Between a global pandemic that shut down travel and technological advancements like generative artificial intelligence, travel has experienced an ever-changing landscape over the past half decade.

So as PhocusWire gears up to unveil our Hot 25 Startups for 2024 next month, we’re checking in with the companies who made our lists over the past five years.

In our class of 2019, some have undergone major changes such as Conichi, which was sold to HRS Group in 2019; Journy, which was acquired by Hopper in 2021; and Shep, which was acquired by FlightCentre in 2021.

Others are continuing to grow with similar missions to when they made the Hot 25 in 2019. We reached out to a few of those, including Sanctifly, Stay22, Lumo, Beyond, TravelPerk and GuestReady. Responses have been edited and condensed.

Sanctifly

Sanctifly is a wellness provider for travelers, offering access to fitness, wellness and relaxation facilities at airports around the world. Answers from founder Karl Llewellyn.

In the last five years, our company has … grown by over 500%. Five years ago we had about 200 partners at 60 airports. Today we are at 200 airports with over 4,000 lounge, gym and spa partners. We used the COVID hiatus to make the product better, stronger with more options for travelers to spend their airport downtime. In particular we focused on the four- to six-hour disrupted journey (with) long layovers. Our goal is to become “layover heroes.”

Looking back, one thing I know now that I wish I knew then is … travelers want sanctuary and space to recreate more than fitness and workouts. It’s always about improving our resilience, on-the-road health and well-being. We do this best when we can get into a calm, comfortable, controlled environment. We still have many gyms, but more than 60% of search is for sanctuary and relaxation spaces, while gyms make up 20%.

The biggest challenge we’ve faced since our founding is … COVID took the wind out of our sails. We had to start building our [monthly recurring revenue] again in 2022.

My advice for early-stage founders is … build your product around the needs of your paying customers – “If I build it, they will come,” is not a strategy.

For the coming year, our priorities are … to integrate with travel companies that want to add value and improved experience to their customer journey.

Stay22

Stay22 is an affiliate revenue platform for ticketing, event planning and travel media publications that aims to monetize their audience’s travel plans. Answers from CEO and co-founder Andrew Lockhead.

In the last five years, our company has … pivoted due to the pandemic and moved its focus from event travelers to leisure travelers, partnering with content creators (bloggers, influencers, media companies, etc). Stay22 also has significantly expanded its product offerings, going beyond accommodations to provide a comprehensive suite of travel services. This evolution has allowed us to better serve both travelers and B2B partners.

Looking back, one thing I know now that I wish I knew then is … the importance of adaptability. While we've achieved significant milestones, the ability to pivot and adapt quickly to the ever-changing travel landscape is crucial. It's essential to remain agile and responsive to industry shifts and user needs.

The biggest challenge we’ve faced since our founding is … sustaining morale and preserving our team culture during challenging times. Like many companies, we encountered external disruptions, such as the global pandemic, that impacted our operations. Maintaining a strong sense of unity, motivation and our unique team culture became a priority. We learned that fostering resilience and adaptability within our team is as crucial as any business strategy.

My advice for early-stage founders is … stay persistent and focused on your vision but be flexible in your approach. Embrace change as an opportunity for growth and always listen to your users and partners. Building a strong team and nurturing a culture of collaboration and innovation is key to long-term success.

For the coming year, our priorities are … continuous innovation. We'll continue to innovate and leverage technology to help our partners better monetize their platforms.

Lumo

Lumo is a provider of data tools for informed travel. Answers from CEO and co-founder Bala Chandran.

In the last five years, our company has … expanded our product offering to include our delay predictions at the point of sale through our browser extension. We also expanded our workforce-management suite of products – Lumo Control Tower helps call centers forecast call volume, plan staffing and help proactively head off demand spikes, which is especially useful in the current environment of labor constraints and high delays. Our trip tracking products are used today by three of the top five corporate [travel management companies], and we now have marketplace relationships with SAP Concur and BCD Travel.

Looking back, one thing I know now that I wish I knew then … is that technology choices in corporate travel are driven as much by contract inertia and constraints on data and systems as what travelers and travel managers need and want. 

The biggest challenge we’ve faced since our founding is … (of course) COVID; while leisure travel was relatively quick to recover, corporate travel took a little longer.

My advice for early-stage founders is …  to plan for sales cycles that are two to three times longer than they think. 

For the coming year, our priorities are … to deploy our workforce management solutions across more TMCs and to reach a wider audience of corporate customers through the Concur App Center and TMC partnerships.

Beyond

Beyond provides tools for short-term rental owners and managers to gain, grow and maintain revenue. Answers from CEO Julie Brinkman.

In the last five years, our company has … fundamentally changed the way revenue management is understood and practiced in the short-term rental industry. We’ve gone from a dynamic pricing startup that was trying to convince the industry that dynamic automation was critical to success to the global leader in revenue management.  

Looking back, one thing I know now that I wish I knew then … how volatile the market would be not just throughout COVID but for years post-COVID. Even in 2023 we’re still feeling the repercussions, as the market in the U.S. shifts back to a standard seasonality pattern with high seasons and more defined shoulder seasons for travelers. 

The biggest challenge we’ve faced as an organization is … building an entire category around revenue management for the short-term rental industry. The first mover in any category is educating the market on why they need a solution, they’re the ones that spend thousands of hours on R&D figuring out product-market fit, they’re the ones convincing adjacent businesses of why they need to join this new industry ecosystem.

My advice for early-stage founders is … to find great people who are passionate about building but who also aren't afraid to rip down something that no longer works for the current version of the company. Since we unfortunately don't all have a crystal ball, sometimes the choices you make are no longer relevant two years later. 

For the coming year, our priorities are … all focused around performance - we will continue helping our customers make the most money possible. In fact, we analyzed data across our global base and found that in every market, even those in the U.S. that have been hit hard and saw slowing growth, our customers have outperformed their competition across the board.

TravelPerk

TravelPerk is an all-in-one platform for corporate travel booking. Answers from CEO and co-founder Avi Meir.

In the last five years, our company has … evolved from a small startup to the fastest growing tech disruptor in business travel valued at over $1.3 billion dollars. Despite the seismic shift of the pandemic we emerged stronger by turning the slowdown into an advantage. We placed huge emphasis on fighting to keep every job, continued signing new clients, acquired four great companies and invested in building innovative products like GreenPerk and FlexiPerk. 

Looking back, one thing I know now that I wish I knew then is … imposter syndrome is real, even for founders. Everyone is doing what they are doing for the first time, so don’t be afraid if you feel over your head. Cut yourself some slack and hire the best people to help you. You don’t need to be the smartest person in the room.

The biggest challenge we’ve faced since our founding is … like most in our industry, it was the global travel shutdown between 2020 and 2021. We’re in the business of connecting people in real life, so we hit zero revenue just three weeks after the pandemic was declared. While many companies were downsizing, we looked at the “down time” as an opportunity. We went in the other direction and continued to grow our product and engineering department by more than 250%. 

My advice for early-stage founders is … figure out what your values are and stick to them, even when facing incredibly tough decisions. Following our values helped us navigate the pandemic by preserving our team at all costs. And be a good person. Be humble and act ethically. There is no rule that says a good person can’t be successful.

For the coming year, our priorities are … to continue leveraging our technological advantages as the leading SaaS platform in the business travel space. This year we have become more efficient at integrating AI to improve our customer experience, supercharging processes across our customer service, legal and engineering teams.

GuestReady

GuestReady is an Airbnb management company. Answers from CEO Alexander Limpert.

In the last five years, our company has … achieved significant milestones that have shaped us into what we are today! We successfully launched RentalReady, our own state-of-the-art property management software, for the use of third-party property managers. We introduced our direct booking website, book.guestready.com. At the same time, we are able to expand visibility and showcase our properties to a wider audience of potential guests, which boosts occupancy rates, benefiting owners. Overall, the last five years have been pivotal in GuestReady’s journey. We've grown exponentially and emerged as the leading urban short-term rental company in Europe and the Middle East with 5,500 properties under our management. 

Looking back, one thing I know now that I wish I knew then is … the importance of recognizing opportunities early. We now realize that RentalReady's demand was greater than we initially anticipated, and we could have started licensing our technology to other property managers earlier to meet this demand. 

The biggest challenge we’ve faced since our founding is … undoubtedly, our most significant challenge has been navigating the complexities of the COVID-19 pandemic. This period tested our resilience and adaptability, forcing us to adjust our product offering and find innovative solutions to continue serving our clients effectively.

My advice for early-stage founders is … stay focused. Avoid spreading your resources too thin across various products or geographical regions. Concentrate on refining your core offering and building a solid foundation before considering expansion. 

For the coming year, our priorities are … to further establish GuestReady as a world-class hospitality brand and scale up RentalReady to continue revolutionizing property management through cutting-edge technology. These priorities remain clear and we are very excited about the journey ahead and the opportunities it will bring.