Hopper raises $61 million far more for its airfare prediction app

Airfare prediction app Hopper has grown from 1 million downloads to more than 10 million in the course of a year – a trajectory that is permitted it to pull in $ 82 million CAD (~$ 61.2 million US) in additional funding to continue to grow its company. The Series C round was led by North American pension fund manager, Caisse de dépôt et placement du Québec, and consists of participation from existing investors, Brightspark Ventures, Accomplice, OMERS, Investissement Québec and BDC Capital IT Venture Fund.

Hopper has now raised $ 104 million CAD (~$ 77.7 million US) to date. Its final round of $ 16 million was just this spring, when the app had just more than 3 million downloads.

The startup competes within a crowded travel market exactly where incumbent brands are consolidating, as with Priceline’s get of Kayak, and Expedia’s acquisition of Travelocity and Orbitz. This gives Hopper some hefty competition when it comes to its mobile-only airfare cost prediction and booking application application.

Nevertheless, the business says it grown its sales by 23 times over the past year, and is now promoting $ 1 million in flights per day.

Furthermore, its customers have tracked 18 million trips on its app, which is getting installed more than a million occasions per month.

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Hopper’s secret sauce is its forecasting software, which the business claims can predict future flight rates with up to 95 percent accuracy a year in advance.

This information is put to use in a consumer-friendly mobile application, where consumers can track trips, learn about other travel savings, and be alerted when it’s the greatest time to book. When prices fall, Hopper sends out push notifications to convert the app’s users to airfare buyers.

The app’s use of push notifications is what’s been assisting to increase sales. These days, over 20 million notifications are sent out monthly, and 90 % of bookings are from these alerts.

With the extra funds, Hopper plans to continue its international expansion plans. Currently, the app sells tickets in 126 nations, and it’s aiming to develop further in over 20 nations across Latin America, Europe and Asia in early 2017. The firm will also use the funds to grow its group from 40 to 120 employees in Montreal and Cambridge by the finish of next year.

TechCrunch