Japan’s Metro Engines raises $6.3M, offers hotels with AI-powered pricing optimization
Aug 23, 2018
Tokyo-based Metro Engines , the Japanese startup offering Dynamic Pricing functions for hotels leveraging deep learning-powered demand forecast, announced today that it has fundraised 700 million yen (about $6.3 million US) from SBI Investment, NEC Capital Solution, Evolable Asia, JR East Start Up, Tap, Vector, Venture Labo Investment, and Kiyohiro Sugashita. The latest funding follows the previous one raising estimated several million US dollars from Beenos back in December of 2016. Metro Engines will use the funds to increase the number of engineers and data scientists up to about 100, aiming to improve the accuracy of the dynamic pricing technology and accelerate business expansion using it. Metro Engines has developed a tool that allows hotel to set pricing leveraging artificial intelligence and deep learning based on real-time big data. It collects big data regarding booking behaviors of hotel guests, and provides AI-powered analysis and optimized room pricing based on real-time data. By repeatedly verifying whether or not the suggested pricing is appropriate with deep learning, it can help hotels improve work efficiency and customer’s experience as well as reduce cost. The company claims dozens of remarkable hotel chains in Japan have decided to adopt it. Metro Engines won the top award at Demo Day of IBM BlueHub’s Open Innovation Program Inbound Travel back in May of 2017. Their competitors can include Sora , the Japanese startup behind AI-powered pricing strategy support platforms for hotels called Hotel Hanzuke and MagicPrice.