Oyo Brings European Vacation Rental Brand DanCenter to India

Hospitality technology company Oyo on Wednesday announced the launch of its European vacation rental brand, DanCenter, in India.

The first DanCenter property, a set of newly-built 3BHK villas, has opened in Siolim, North Goa. It marks Oyo’s latest push into the country’s fast-growing alternative accommodation sector.

Oyo’s decision to bring the brand to India aligns with its broader expansion strategy in the premium vacation home rental space. The move comes at a time when Indian travelers are increasingly looking beyond traditional hotels, seeking more personalized and experience-driven stays.

Oyo's Acquisition of DanCenter

DanCenter was acquired by Oyo Vacation Homes in 2019, enabling the company to expand its presence in Europe. Now, with its India debut, Oyo is betting on the demand for premium vacation rentals in key leisure destinations like Goa.

Founded in Denmark in 1957, DanCenter has a portfolio of 12,000 properties across Denmark, Sweden, Norway, and Germany.

In 2022, Oyo also acquired Danish vacation rental operator — Bornholmske Feriehuse and Croatia-headquartered Direct Booker.

“There is a growing demand for luxury holiday home rentals in India, and we think it is the right time to introduce the DanCenter experience to our guests,” said Aditya Sharma, luxury business head, Oravel Stays.

Why India, Why Now?

DanCenter’s launch in India coincides with significant growth in the country’s alternative accommodation sector. With amenities such as concierge assistance, chef-on-call services, experiential tours, and mixology lessons, the brand is aiming to capture the rising demand for luxury holiday rentals in India.

The alternative accommodation market is valued at INR 150 billion ($1.8 billion) in fiscal 2024 and is projected to more than double to INR 350 billion ($4.2 billion) by fiscal 2027, according to a recent report shared exclusively with Skift by travel analytics firm Videc.

Once a niche category limited to areas with sparse hotel supply, alternative accommodations — ranging from homestays to luxury villas — are becoming mainstream.

Travelers are also drawn to the segment for its flexibility, unique experiences, and competitive pricing compared to traditional hotels, the Videc report noted.

“The rise of alternative accommodations has transformed the lodging landscape, inspiring a new generation of hosts and rental travelers. The emergence of new supply types has blurred the distinction between hotels and alternative accommodations, attracting even non-renters to explore these options,” Virendra Jain, CEO and co-founder of Videc, told Skift.

A Competitive Landscape

The online alternative accommodation market in India, valued at $569 million in fiscal 2024, accounts for 33% of the total alternate accommodation market, according to Videc's report.

Major online travel aggregators (OTAs) such as Airbnb, MakeMyTrip, and Booking.com dominate the space, accounting for 97% of online bookings. Meanwhile, niche aggregators like StayVista, Saffron Stays, and Lohono are working to standardize supply and streamline the booking process, though their market share remains relatively small.

DanCenter’s entry adds another player to the mix, but the brand will have to navigate challenges such as standardizing services, ensuring cleanliness, and maintaining consistent guest experiences — key concerns for travelers considering vacation rentals. The company’s ability to scale in India will also depend on how well it adapts its European model to local market dynamics.

Commenting on the launch, Arjun Singh Meena, business head, DanCenter India, said, "Indian travellers today seek more than just accommodation; they desire personalized, high-quality experiences in well-managed, luxurious spaces."

Oyo founder and CEO Ritesh Agarwal will be live on stage at Skift India Forum in Delhi-NCR on March 17-18.