Myrealtrip, a travel tech company based in Seoul, has capitalized on the resurgence of the tourism industry post-pandemic by securing $56.7 million (75.6 billion KRW) in a Series F equity funding round. This substantial investment aims to fuel the company’s business expansion, drive product innovation, and facilitate increased hiring.
Tapping into the Post-Pandemic Travel Boom
According to a recent report by the UN World Tourism Organization, global tourism has rebounded to pre-pandemic levels in the third quarter of 2023. As the travel industry gears up for accelerated growth, Myrealtrip is poised to capitalize on this momentum.
Donggun Lee, CEO of Myrealtrip, emphasized the evolution of the travel landscape in South Korea over the past 12 years. From a fragmented industry lacking comprehensive travel platforms, Myrealtrip has emerged as a leading player with 7.9 million users in South Korea. The company aims to position itself as a super app in the travel sector, offering a wide range of travel booking services, including flights, accommodations, activities, and local transportation.
Strategic Partnerships and Growth Trajectory
Myrealtrip has strategically partnered with over 2,000 travel agencies, hotel platforms, and airfare comparison services such as Expedia, Agoda, and Viator. This network enables travelers to seamlessly book a variety of services globally, ranging from tours and activities to accommodations.
The company’s valuation has tripled since its last equity funding round in 2020, reaching an estimated value exceeding 200 billion KRW. Moreover, Myrealtrip witnessed a threefold increase in revenue since 2022, with a gross merchandise volume (GMV) of $746 million (1 trillion KRW) in 2023. Looking ahead, the company aims to double its GMV and achieve an EBITDA of $12 million this year.
Navigating Pandemic Challenges and Strategic Investments
Like many travel companies, Myrealtrip encountered significant challenges during the pandemic. However, proactive measures, including securing capital in 2020 and debt financing in 2022, enabled the company to weather the storm. Emphasizing resilience, Myrealtrip prioritized domestic tourism and introduced new features to adapt to evolving consumer needs.
In addition to expanding its domestic tourism offerings, Myrealtrip made strategic acquisitions and investments. The acquisition of Startrip in 2022 bolstered the company’s presence in catering to foreign tourists visiting South Korea, particularly those interested in Korean-pop (K-pop) themed experiences. Myrealtrip’s investment in IwaTrip and O-Peace further diversified its portfolio, catering to specific travel niches and digital nomad workers.
Future Growth Strategies and Technological Advancements
Looking ahead, technology will play a pivotal role in Myrealtrip’s long-term success. The company plans to invest heavily in AI capabilities, including AI chatbots for customer service, as it prepares for a potential initial public offering in 2026. By leveraging advanced technology, Myrealtrip aims to enhance user experiences and remain competitive in the travel market.
The Series F funding round was co-led by returning investors BlueRun Ventures Korea and IMM Investment, bringing Myrealtrip’s total raised funds to approximately $113 million (150 billion KRW) in equity and $39 million in debt since its inception in 2012. New investors, including Korelya Capital and Vanderbilt University’s endowment fund, also participated in the round, signaling confidence in Myrealtrip’s growth trajectory.
As of today, Myrealtrip boasts a team of 300 employees, underscoring its commitment to scaling operations and delivering innovative solutions in the travel industry.
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