What Really Came Of Hotels By Day From 'Shark Tank'?

Entrepreneurs Brian Dass and Yannis Moati started Hotels By Day in 2015. Based on the fact that many hotel rooms are vacant during the day, their company allows travelers to book unused rooms for specific blocks of time in the morning or afternoon. Customers avoid paying for pricey overnight stays, and hotel owners see increased revenue. These daytime hotel stays often included amenities like swimming pools, room service, showers, and fitness centers. Hotels By Day thereby gives the gift of a quick nap between flights, a refreshing dip in the swimming pool, or just a quiet respite to get some work done.

Looking to expand Hotels By Day in February 2017, Dass and Moati approached the sharks of ABC's reality TV show "Shark Tank" (Season 8, Episode 17). After pitching their business idea to Mark Cuban, Robert Herjavac, Kevin O'Leary, Lori Greiner, and guest shark Chris Sacca, all five sharks ultimately turned them down. But based on the company's recent growth, the sharks' rejection just might have been a mistake.

Brian Dass and Yannis Moati pitched Hotels By Day on "Shark Tank" wearing matching bright blue Hotels By Day t-shirts. They asked for $750,000 for 10% equity in their company, which proved too much of a request. Dass started the duo's pitch by asking, "How many times have you or someone you know traveled to a city just for the day? You get into the city at 8 a.m., and you have a meeting at 1 p.m. What do you do with those hours in between?"

The two entrepreneurs explained to the sharks that they created Hotels By Day to address a massive gap in the market. Hotel rooms during the day were going unused. Meanwhile, travelers would benefit by having somewhere to go. Booking a 3- to 11-hour block through the Hotels By Day app or website is an easy way to save money on a hotel room. Interested parties simply choose a city and a day of the week and then search for the hotel that serves them best as different properties offer different amenities. 

When Dass and Moati wrapped up their pitch, it appeared it didn't go swimmingly as Mark Cuban asked, "Why does this feel like a Saturday Night Live skit?" Continuing, the entrepreneurs answered the sharks' questions, but didn't impress the sharks enough to get an offer. But while viewers might have thought that'd be the end of Hotels By Day — it wasn't.

After appearing on "Shark Tank," Hotels By Day saw continued success. At the time of their pitch, Hotels By Day was partnered with 300 hotels. By 2018, that number grew to 450 hotels. Unfortunately, like many businesses, Hotels By Day's growth was temporarily stalled when the 2020 global pandemic contributed to major business losses. Initially, bookings dropped 82%. But after a while, as employees at home sought a quiet place to work, those numbers evened out. Hotels By Day continued to grow, and by the summer of 2022, they expanded into hotels in European cities, creating even more ideal destinations for remote workers. 

CEO and co-founder of Hotels By Day, Yannis Moati, explained the company's growth to Valient CEO. "Hotels are THE ONLY real estate in the world to perfectly marry work & living altogether! No other piece of real estate offers that spectrum of services and versatility. And that's why we're on a tear right now: bookings are stronger than ever before in the history of our company, as we're now offering both leisure and work options, all on the same roof ... To summarize, Covid helped us establish our company and bring our sector to new heights."

Hotels By Day is still in business and going strong. While a 2022 Shark Tank Recap blog believed the company to be a current success, they didn't have specific financials to showcase that success. Regardless, Hotels By Day's growth over the last few years proves the sharks of "Shark Tank" may have missed a successful investment opportunity. "Work from home and new travel habits have created unprecedented demand for daytime hotel rooms and services," Yannis Moati told Accesswire. "We are positioned to become a major player. We're increasing inventory by 400 percent with a global strategic partner, and we're heading toward an expanded set of work and leisure services to power a more flexible traveler and a permanently transformed workforce."

Ultimately, Hotels By Day solves a common problem for travelers. Utilizing daytime hotel rooms and amenities improves the days of travelers, allowing them to rest, play, or work, all while increasing revenue for hotel owners. And customers appreciate it: Reviews on social media and the company website rave about the benefits of Hotels By Day. Additionally, a crowdfunding campaign proved the company's popularity. According to Wefunder, Hotels by Day's crowdfunding campaign had received $173,552 from 322 investors as of May 2022. 

The future looks bright for Hotels By Day. On April 27, 2023, John Poole's Shark Tank Success blog updated readers on the achievements of the former "Shark Tank" contender. "In a world where hotels are expensively priced, and you can never manage to book a decent hotel room after a flight, the Hotels By Day app and website has proven to be a revolution. It has changed the game for travelers by allowing the chance to book their hotel rooms without worrying about expensive night stay rates." 

With remote working here to stay, employees continue to need quiet and comfortable workspaces. Individuals traveling for business will often seek a place to rest, refresh, and prep before a meeting. Families looking for staycations will enjoy a day at the pool. And travelers adjusting to time changes will appreciate a place to lay their heads. While traditional hotel stays remain a viable option, the flexibility of day-stays offers travelers flexibility, convenience, and fun while increasing revenue for hotel owners. Moreover, repeat customers can now join a loyalty community that allows them to earn points towards free bookings and encourages returning clients.