Safara Secures $14 Million in Funding and Acquires Skipper to Revolutionize Independent Hotel Bookings

The entrepreneurial spirit has been a constant flame within Doug Schuessler, a driving force that ignited his journey from childhood aspirations to co-founding innovative ventures. This innate passion for building led him to launch two successful startups, a pivotal move to the vibrant tech hub of San Francisco, and a stint at Square, a company he admired as a "real rocket shop." His tenure as chief revenue officer at Resy, a leading restaurant booking platform, further honed his business acumen. However, it was the acquisition of Resy by American Express that truly set Schuessler on a new trajectory, sparking a deep dive into the intricacies of the hospitality technology industry, with hotels quickly capturing his fascination.

"Independent hotels really need the help," Schuessler declared in a recent interview with TechCrunch, articulating a clear market need. He observed a significant shift in the hotel landscape over the past few decades. Historically, a vast majority of the nation’s hotels were independently owned, offering unique and personalized experiences. However, the relentless expansion of major hotel chains has led to the acquisition of numerous smaller, independent properties. This consolidation has intensified competition for the remaining independent hotels, leaving them at a distinct disadvantage in terms of marketing reach, technological resources, and booking power.

Recognizing this pressing challenge, Schuessler, alongside his co-founder Cody Rose, a fellow alumnus of Resy, embarked on a mission to level the playing field. Together, they founded Safara, a comprehensive platform designed to empower travelers to book virtually any hotel globally, encompassing both major chains and the coveted independent establishments. This ambitious vision aims to democratize hotel bookings and provide a powerful new channel for independent hotels to thrive.

Safara’s innovative approach is built on a foundation of curated listings, meticulously assembled from a blend of consumer data and valuable community-sourced recommendations. This ensures a diverse and rich selection of accommodations, catering to a wide range of traveler preferences. Beyond discovery, the platform offers a compelling rewards program, incentivizing bookings by providing users with cash back that can be applied to future travel. A particularly groundbreaking aspect of Safara’s model is its offering to independent hotels: access to the platform on a commission-free basis. While technically any hotel can integrate with Safara, this no-commission structure is a significant draw for independent operators seeking to maximize their revenue.

"Think of it as another direct channel alongside their website," Schuessler explained, drawing a parallel to a hotel’s own direct booking portal. "We then connect these two products to elevate the guest experience by enabling direct web guests who book directly on the hotel’s site to manage that reservation in the Safara app." This integrated approach offers a seamless experience for both the hotel and the guest, bridging the gap between direct bookings and the broader Safara ecosystem.

In a significant development for the company, Safara announced an undisclosed funding round, co-led by prominent venture capital firms Sequoia and Defy.vc. This funding infusion is accompanied by the strategic acquisition of Skipper, an established online booking engine widely utilized by independent hotels. With this latest capital injection, Safara has now amassed a total of $14 million in funding, positioning it for substantial growth and expansion.

The synergy between Safara and Skipper emerged organically, facilitated by a mutual investor who recognized the shared vision and complementary strengths of both companies within the hospitality sector. The co-founders of Skipper are set to join the Safara team, contributing their expertise and further solidifying the integrated entity. Schuessler reflected on the acquisition, noting, "We actually made a pass at the deal earlier in the year," but the timing and strategic alignment ultimately proved perfect. "Both companies have a much better chance at achieving the shared vision together than they do apart," he emphasized. This acquisition is poised to significantly enhance Safara’s technological capabilities and broaden its reach within the independent hotel market.

Safara distinguishes itself in a crowded market by offering a dual-pronged solution: robust software for hotels and user-friendly products for consumers. This holistic approach aims to create a more efficient and rewarding experience for all stakeholders. "The magic is going to come in 2025 when we connect these two products more deeply to create new experiences for both hotels and guests," stated Schuessler, who leads Safara as its CEO. This forward-looking strategy underscores Safara’s commitment to continuous innovation and delivering enhanced value.

Schuessler’s journey to securing investment has been marked by strategic networking and genuine connections. He met his investors through warm introductions, highlighting the importance of personal relationships in the venture capital landscape. Alfred Lin, a partner at Sequoia, was an early and significant supporter of Safara’s vision. Schuessler recalled Lin’s initial hesitance, sharing, "I remember him saying, ‘Maybe we can become partners in the future,’ and at the time I thought that was BS, but it turned out to be the truth." This anecdote illustrates the long-term perspective and enduring relationships that can develop in the startup ecosystem. His connection with Brian Rothenberg, a partner at Defy.vc, was forged through the AngelTrack network. Schuessler described their immediate rapport, stating, "He is extremely supportive through good and bad and we tend to see the world through a very similar lens." This shared perspective and strong mutual support are crucial for navigating the demanding path of startup growth.

The freshly secured capital will be strategically deployed to accelerate product development initiatives and significantly expand the number of hotels utilizing Safara’s platform. The company’s overarching objective for 2025 and beyond is clear: to equip independent hotels with the same technological prowess and network advantages that are inherent to larger hotel chains. "Our focus of 2025 and beyond is really to empower independent hotels with the same technology and network advantages as chain hotels," Schuessler reiterated. He expressed his conviction that achieving this goal will not only ensure the success of these independent businesses but also unlock novel guest experiences that are currently beyond reach. "If we get this right, not only do we help these hotels succeed, but the types of experiences that will unlock for guests are things that frankly don’t exist right now. And if we accomplish both of those things, the sky is the limit for Safara as a company," he concluded with evident enthusiasm. This ambitious vision positions Safara as a transformative force in the hospitality industry, poised to redefine how travelers discover and book accommodations while simultaneously bolstering the viability of independent hotels worldwide.