YouTravel.Me is the latest startup that has secured venture capital to help the travel industry recover from the global pandemic.
We have seen Thatch raise $3million for its platform for travel creators, Hopper raise $175million for its travel tech company, Wheel the World raise $2 million for their disability-friendly vacation planner, Elude raise $2.1million to bring spontaneous travel back into a difficult-hit industry, and Wanderlog raise $1.5 million to fund its free travel itinerary platform.
Today, YouTravel.Me joined them after raising $1million to develop its online platform that matches like-minded travelers with small-group adventures arranged by travel professionals. Starta VC was the lead investor and was joined by Liqvest.com and Mission Gate as well as a number of individual investors such Bas Godska (general partner at Acrobator Ventures).
The company was founded in Europe by Olga Bortnikova and her husband Ivan Bortnikov. Bortnikova, Bortnikov and Ivan Mikheev had an idea for the company after their trip to China was canceled. A tour operator sold them a package that included excursions to souvenir shops. After a delayed flight and other mishaps, the couple set out to find better travel experiences and a way for them to share their discoveries with others. They decided to make it their own after they couldn't find the answer they were looking for.
Bortnikova explained to TechCrunch that it is difficult for adults to make friends. However, when there are only 15 people on a two week trip, they form deep connections, share the same language, and have similar experiences. This is our secret sauce to making a connection.
The YouTravel.Mes algorithm works in a similar way to a dating app. It connects travelers to getaways and trips based on their past experiences, interests, and values. Individuals can chat with one another or speak by voice to make reservations. BeGuide is a service that allows travel experts to conduct research and create itineraries.
Bortnikova, the CEO, stated that YouTravel.Me had become the most popular Eastern European travel platform. It has amassed over 15,900 tours from 130 countries and attracted over 10,000 travellers and 4,200 experts to the site. When the pandemic struck, YouTravel.Me was just beginning to expand internationally.
She said that sales and tourism fell and she didn't know what to do. We discovered that our site has more than 4,000 experts in travel and they feel isolated because of the pandemic. We realized this and created a community and an educational product to help them build and scale their businesses.
McKinsey's study revealed that adventure travel was recovering more quickly than other segments of the industry. The founders decided to pursue that market and became part of 500 Startups by 2020. YouTravel.Me saw a significant increase in its revenue, even though it was still a bootstrapped business. However, the founders wanted to expand into North America.
Bortnikov stated that the new funds will be used to market in the U.S. and attract more travel experts. Technology and product development will also be supported. The goal is to increase gross merchandise value to $2.7million per month by 2021. By next year, the goal is to increase the number of trips and the number of travel experts by 20,000.
Godska, an angel investor himself, was introduced to YouTravel.Me by a friend. He was also vacationing in Sri Lanka at the time. Godska worked previously in online travel as part of Orbitz Europe and Russia, selling tours packages. He then set up a venture capital fund.
He said that I was in the jungle, with no internet access, and it caught my attention. They are innovative and have a bright spirit. I was captivated by their conversation. I was immediately drawn to their cause and wanted to support them. It's a fascinating idea. The traditional sector is not for independent travelers who want to travel with groups.
