Startups

Directo turns a TikTok travel hack into a deal-finding Chrome extension

Comment

Directo team photo
Image Credits: Directo

A travel hack that went viral on TikTok teaches users how to save money on hotels and Airbnbs by booking directly with the properties themselves. Now, a new startup, Directo, will help travelers find those same deals with the help of a Chrome extension that points you to the property’s website, where you’ll often find discounted rates as the property doesn’t have to pay commission on those sales.

Across social media, creators and influencers post variations of a money-saving hack that teaches users how to find a cheaper way to book a room or a home stay. This often involves using reverse image search on photos of the listing to find the property’s website — something that can be particularly useful when booking longer stays where the savings can really add up.

@humphreytalks

Money Hacks 💰 (1st Hack Credit: All the Hacks Podcast) #lifehack #learnontiktok #tiktokpartner

♬ SUNNY DAY – Matteo Rossanese

Of course, booking directly may have its risks. You may not have the same travel assurances and protections compared with bigger websites, like Booking.com, Expedia or Airbnb. But when travelers are looking at savings in the hundreds of dollars or more, they often opt to take their chances.

The idea for Directo came about from watching this emerging behavior among Gen Z users and realizing that it could be better automated, while also adding in some safety protections of its own, says co-founder and co-CEO Pierre Becerril.

Image Credits: Directo

“What we’re doing is we’re trying to work with professional inventory that uses great software — so at least you know that this part is secured,” said Becerril, whose background is in the travel industry, after participating in a TechCrunch hackathon inspired him to join the tech industry. Most recently, the Madrid-based, third-time founder sold his startup Transparent, a software company focused on the vacation rental market, to Lighthouse, where he worked before starting Directo.

Becerril explains that many hotel sites today run what he calls “very good tech” and feature powerful booking engines, but they aren’t the first place users go to book. Instead, consumers tend to go to online aggregators and larger websites where they can search across a wider inventory of listings.

“The big websites like Expedia, Booking.com and Airbnb have the monopoly for search and distribution,” Becerril said. “It’s a pity because they charge commission and you can go book direct on these great websites where there’s no commission — and maybe some perks.”

Some savvy travelers already figured this out, finding they could avoid the extra fees and cleaning charges on Airbnbs by booking from the property’s website itself, which they found using a reverse image search.

Directo aims to make it easier to book directly by identifying those properties that it knows to use a modern tech stack that promises a safe checkout process. That can, at least, alleviate users’ concerns that the sites will work correctly and their credit card transactions will be secure. It also relies on its community to submit other websites for consideration and to flag those where they successfully found great deals.

The Chrome extension works on a variety of top travel sites, like Airbnb, Booking.com, VRBO, Expedia and Abritel, with more being added in the future. It identifies the properties where you can book directly with a yellow-and-black “D” icon. Those where users reported getting a good deal will also feature a cheers emoji of hands clapping. If users report the deals aren’t great, Directo can take that information to the hotels and use that to try to negotiate for a voucher or discount for its customers.

“It’s a little bit like Honey,” says Becerril, referring to the deal-finding browser add-on PayPal acquired for $4 billion in 2019.

Also like Honey, the extension is free to use by consumers, who can download it from the Chrome Web Store. The startup generates revenue by selling a subscription to hotels that can improve their connectivity with Directo by pushing special deals to its users and members. These funds are currently being reinvested in marketing to grow its consumer install base.

In testing, Directo reached 115,000 users and now includes nearly 200,000 hospitality brands that each has at least one property in its database of inventory. Combined, that represents millions of properties and rooms around the world.

The startup itself was co-founded by digital nomad and co-CEO Marina Guastavino, CTO Julian Toledo and Sofia Canepa (Growth and Product Development). Becerril wasn’t able to join full-time until a couple of months ago due to obligations following the sale of his prior company.

Directo has $1 million in pre-seed funding from French VC firm Kima Ventures; Calafia, an angel group of Global Female Tech Leaders; travel specialist fund Derive Ventures; and 26 travel industry veterans.

More TechCrunch

According to a recent Dealroom report on the Spanish tech ecosystem, the combined enterprise value of Spanish startups surpassed €100 billion in 2023. In the latest confirmation of this upward trend, Madrid-based…

Spain’s exposure to climate change helps Madrid-based VC Seaya close €300M climate tech fund

Forestay, an emerging VC based out of Geneva, Switzerland, has been busy. This week it closed its second fund, Forestay Capital II, at a hard cap of $220 million. The…

Forestay, Europe’s newest $220M growth-stage VC fund, will focus on AI

Threads, Meta’s alternative to Twitter, just celebrated its first birthday. After launching on July 5 last year, the social network has reached 175 million monthly active users — that’s a…

A year later, what Threads could learn from other social networks

J2 Ventures, a firm led mostly by U.S. military veterans, announced on Thursday that it has raised a $150 million second fund. The Boston-based firm invests in startups whose products…

J2 Ventures, focused on military healthcare, grabs $150M for its second fund

HealthEquity said in an 8-K filing with the SEC that it detected “anomalous behavior by a personal use device belonging to a business partner.”

HealthEquity says data breach is an ‘isolated incident’

Roll20 said that on June 29 it had detected that a “bad actor” gained access to an account on the company’s administrative website for one hour.

Roll20, an online tabletop role-playing game platform, discloses data breach

Fisker has a willing buyer for its remaining inventory of all-electric Ocean SUVs, and has asked the Delaware Bankruptcy Court judge overseeing its Chapter 11 case to approve the sale.…

Fisker asks bankruptcy court to sell its EVs at average of $14,000 each

Teddy Solomon just moved to a new house in Palo Alto, so he turned to the Stanford community on Fizz to furnish his room. “Every time I show up to…

Fizz, the anonymous Gen Z social app, adds a marketplace for college students

With increasing competition for what is, essentially, still a small number of hard tech and deep tech deals, Sidney Scott realized it would be a challenge for smaller funds like…

Why deep tech VC Driving Forces is shutting down

A guide to turn off reactions on your iPhone and Mac so you don’t get surprised by effects during work video calls.

How to turn off those silly video call reactions on iPhone and Mac

Amazon has decided to discontinue its Astro for Business device, a security robot for small- and medium-sized businesses, just seven months after launch.  In an email sent to customers and…

Amazon retires its Astro for Business security robot after only 7 months

Hiya, folks, and welcome to TechCrunch’s regular AI newsletter. This week in AI, the U.S. Supreme Court struck down “Chevron deference,” a 40-year-old ruling on federal agencies’ power that required…

This Week in AI: With Chevron’s demise, AI regulation seems dead in the water

Noplace had already gone viral ahead of its public launch because of its feature that allows users to express themselves by customizing the colors of their profile.

noplace, a mashup of Twitter and Myspace for Gen Z, hits No. 1 on the App Store

Cloudflare analyzed AI bot and crawler traffic to fine-tune automatic bot detection models.

Cloudflare launches a tool to combat AI bots

Twilio says “threat actors were able to identify” phone numbers of people who use the two-factor app Authy.

Twilio says hackers identified cell phone numbers of two-factor app Authy users

The news brings closure to more than two years of volleying back and forth between some of the biggest names in additive manufacturing.

Nano Dimension is buying Desktop Metal

Planning to attend TechCrunch Disrupt 2024 with your team? Maximize your team-building time and your company’s impact across the entire conference when you bring your team. Groups of 4 to…

Groups save big at TechCrunch Disrupt 2024

As more music streaming apps and creation tools emerge to compete for users’ attention, social music-sharing app Popster is getting two new features to grow its user base: an AI…

Music video-sharing app Popster uses generative AI and lets artists remix videos

Meta’s Threads now has more than 175 million monthly active users, Mark Zuckerberg announced on Wednesday. The announcement comes two days away from Threads’ first anniversary. Zuckerberg revealed back in…

Threads nears its one-year anniversary with more than 175M monthly active users

Cartken and its diminutive sidewalk delivery robots first rolled into the world with a narrow charter: carrying everything from burritos and bento boxes to pizza and pad thai that last…

From burritos to biotech: How robotics startup Cartken found its AV niche

Ashwin Nandakumar and Ashwin Jainarayanan were working on their doctorates at adjacent departments in Oxford, but they didn’t know each other. Nandakumar, who was studying oncology, one day stumbled across…

Granza Bio grabs $7M seed from Felicis and YC to advance delivery of cancer treatments

LG has acquired an 80% stake in Athom, a Dutch smart home company and maker of the Homey smart home hub. According to LG’s announcement, it will purchase the remaining…

LG acquires smart home platform Athom to bring third-party connectivity to its ThinQ ecosytem

CoinDCX, India’s leading cryptocurrency exchange, is expanding internationally through the acquisition of BitOasis, a digital asset platform in the Middle East and North Africa, the companies said Wednesday. The Bengaluru-based…

CoinDCX acquires BitOasis in international expansion push

Collaborative document features are being made available inside Proton Drive, further extending the company’s trademark pitch of robust security.

In a major update, Proton adds privacy-safe document collaboration to Drive, its freemium E2EE cloud storage service

Telegram launched a digital currency called Stars for in-app use last month. Now, the company is expanding its use cases to paid content. The chat app is also allowing channels…

Telegram lets creators share paid content to channels

For the past couple of years, innovation has been accelerating in new materials development. And a new French startup called Altrove plans to play a role in this innovation cycle.…

Altrove uses AI models and lab automation to create new materials

The Indian social media platform Koo, which positioned itself as a competitor to Elon Musk’s X, is ceasing operations after its last-resort acquisition talks with Dailyhunt collapsed. Despite securing over…

Indian social network Koo is shutting down as buyout talks collapse

Apiday leverages AI to save time for its customers. But like legacy consultants, it also offers human expertise.

Europe is still serious about ESG, and Apiday is helping companies comply

Google totally dodges the question of how much energy is AI is using — perhaps because the answer is “way more than we’d care to say.”

Google’s environmental report pointedly avoids AI’s actual energy cost

SpaceX’s ambitious plans to launch its Starship mega-rocket up to 44 times per year from NASA’s Kennedy Space Center are causing a stir among some of its competitors. Late last…

SpaceX wants to launch up to 120 times a year from Florida — and competitors aren’t happy about it