San Francisco-based hotel revenue management platform Duetto has secured an $80 million series D funding.
The firm said the investment round, led by funds affiliated with Warburg Pincus, is the largest non-acquisition investment in a software firm serving the hotel sector.
Patrick Bosworth, co-founder and chief executive of Duetto, said: “As the pace of change has accelerated and the threats of digital disruption have grown, so have our efforts to help this industry we are so passionate about.
“We are pleased to have the support of Warburg Pincus, whose extensive experience in building SaaS businesses of scale will help drive our growth and provide solutions to more hoteliers worldwide.
“For more than a decade, hotel companies have been looking for ways to compete more effectively with online travel agencies and drive more direct business.
“By unifying data across the tech stack, our platform has become the single source capable of delivering true personalization to consumers.
“Hoteliers now have the ability to increase conversion and drive more direct engagement with consumers by personalizing pricing and merchandising at the point of booking.”
Duetto was founded in 2012 by Bosworth, chief marketing and strategy officer Marco Benvenuti and chief technology officer Craig Weissman, the former chief technology officer at Salesforce.com.
The company’s software-as-a-service (SaaS) application, GameChanger, uses machine learning and customer data to bring open pricing to the hotel sector.
This allows them to independently price all distribution channels, customer segments, room types and stay dates in real time.
Duetto is headquartered in San Francisco and operates offices in Las Vegas, Cleveland, London and Singapore.
Since it was established it has grown quickly to serve more than 2,500 hotels and casinos in more than 60 countries.
Ashutosh Somani, managing director, Warburg Pincus, said: “Duetto has established itself as the market leader in the hotel revenue management space, providing its customers with next-generation solutions to optimize demand, maximize rates and minimize costs.
“With its strong domain experience and deep cloud SaaS technology leadership, Duetto is uniquely positioned to bring new capabilities to the hospitality industry. We look forward to supporting Patrick and the Duetto leadership team in their next chapter of growth.”
Benvenuti added: “We want to modernize ecommerce in the hotel industry with our Revenue Strategy Platform at the center of the new hotel tech stack.
“Our cloud platform is open and agnostic and we look forward to partnering with other technology companies to unlock new ways of driving efficiencies and more revenue for the hotelier. With our agile development process, we will continually improve our core applications while looking to develop new products when there is a crucial industry need not being served.”
Duetto is backed by investors Warburg Pincus, Icon Ventures, Accel Partners, Battery Ventures and Spectrum 28.