happyhotel: German Hospitality Startup Raises €6.5 Million

happyhotel, a German startup operating revenue management software for independent hotels and hotel groups, has completed a Series A funding round of €6.5 million. With the fresh capital, happyhotel is accelerating its expansion across Europe and investing in the further development of its commercial AI agent.

happyhotel Automates Revenue Manager Tasks

The AI agent of the company, founded in 2019, supports users in making the right pricing and distribution decisions. With this, happyhotel aims to address current challenges facing the hospitality industry. These include rising costs, volatile demand, labor shortages, and dependence on online booking portals.

The young company supports hoteliers with automated price optimization, combined with expert knowledge and AI. The AI agent analyzes market and demand data in real time. A team of experienced internal revenue managers complements it on fundamental strategic questions.

“We are not building our system for the revenue manager – we are automating the tasks of a revenue manager,” explains Rafael Weißmüller, CEO of happyhotel. The AI is expected to gradually take on more complex tasks in the future. Today, happyhotel already optimizes the distribution of over 50,000 hotel rooms across 12 countries. According to the startup, this increases average hotel revenue by around 15 percent.

Hotels Should Be Able to Focus on Guests

“Our goal is to enable every hotel to have professional revenue management and to fully automate the sale of hotel rooms, so they can focus entirely on their guests,” says Weißmüller.

The current funding round was led by venture capital fund Reimann Investors. Existing investors such as the Start-up BW Innovation Fund (managed by MBG Baden-Württemberg), seed + speed Ventures, and the family office Wecken & Cie have also invested again.

“happyhotel combines everything we are looking for at this stage: an experienced founding team, a scalable product with measurable customer value, and a large, previously only partially tapped market,” says Hans-Christian Perle of Reimann Investors. “Rafael and his team have convincingly demonstrated that they comprehensively understand the requirements in the hospitality sector and translate them into a powerful solution.”