Reiwa Travel has successfully secured approximately $33 million in a new round of funding, aimed at advancing its travel packaging technology and expanding its global reach. The investment round, which was led by SMBC-GB Growth No. 1 Investment Limited Partnership, includes contributions from both existing and new investors. This recent funding round brings the total capital raised by Reiwa Travel to around $49 million, following an earlier $15 million raise.
The funding boost comes at a crucial time for the Japanese outbound travel market, which has been facing challenges due to a weakened yen. Additionally, Japanese travel startups have struggled to secure financing in a difficult capital environment. Reiwa Travel’s successful funding round is expected to provide a significant boost to the sector.
Founded by Takaya Shinozuka, Reiwa Travel aims to revolutionize travel planning with its Newt Smart Travel Plan. The company’s vision includes expanding beyond its current offerings of hotel and flight packages to incorporate “smart hotel, smart flight, smart tour, and smart group” features, targeting a broader international audience.
In a statement, Reiwa Travel outlined its plans to use the new funding to make substantial investments in technology and enhance its travel services. The company intends to leverage cutting-edge technology to improve usability across devices, provide personalized information, and introduce new features such as domestic travel options, flight reservations, and global expansion.
Reiwa Travel is also launching “NEW TML Labs,” an initiative focused on advancing travel technology through artificial intelligence. This initiative will explore innovative applications, including generative AI for travel search, AI-powered travel concierges, and dynamic pricing models. A notable development in this area is the company’s recent partnership with PKSHA Technology, with a joint project set to commence in October.
PKSHA Technology, a leading AI startup in Japan, has also participated in this funding round. Kei Shibata, CEO of Travel.jp and Trip101, highlighted the potential of AI to transform Japan’s travel industry, noting that this investment could drive significant advancements in travel technology.
PKSHA’s representative director, Katsuya Uenoyama, expressed enthusiasm about the collaboration, stating, “We are excited to invest in and work with Reiwa Travel, a forward-thinking travel agency with expertise in digital services. With the support of generative AI, Reiwa Travel is poised to enhance its digital capabilities and create new travel experiences. Our goal is to achieve optimal customer engagement through PKSHA’s advanced dialogue AI technologies and algorithms.”
Related topics:
7-Day Trip to London Cost from India
