Klook’s $100M fund raise signals confidence in the travel experiences sector

Reactions from industry insiders were swift and varied when news broke that Klook had raised another $100 million, this time from Vitruvian Partners. Responses ranged from admiration – “Wow, they’re a fundraising machine” – to concern – “Oh dear” – to outright battle cries: “It’s a war zone out there.”

Depending on where you stand, this funding round may inspire excitement or apprehension. But one thing is undeniable: securing backing from Vitruvian, a firm known for its strategic global investments, is a resounding vote of confidence – not just in Klook, but in the entire tours, activities and experiences sector.

It’s also a testament to Klook’s leadership team. Rod Cuthbert, founder of Viator, remarked, “It’s incredible, isn’t it? They’re on track to become a truly global leader, not just an Asia-focused company. It’s hard to fault their strategy. Well done to Eric, Ethan, and the rest of the team.”

This latest raise comes just 13 months after Klook’s previous $210 million round and follows KKday’s $70 million fund raise in December 2024. The stakes are rising in the travel experiences sector, with one observer calling this “one of the most exciting periods for the industry”.

The fresh capital will help Klook navigate intensifying competition from mainstream online travel agencies (OTAs). Agoda is aggressively expanding into experiences, Trip.com is working to unify travel verticals as it successfully did in China, and Traveloka recently appointed Baidi Li, who brings experience from Viator and Go City, to lead its travel experiences division. Meanwhile, Airbnb is doubling down on its “Beyond the Core” strategy, signaling renewed investment in Experiences, particularly in Asia-Pacific.

This escalating rivalry means we can expect higher marketing spends, heavy discounting, and exclusive content deals as companies battle for consumer attention.

Travellers have demonstrated a strong willingness to spend on experiences, making this sector a high-stakes battlefield. The key question now is: how will these B2C brands differentiate themselves, particularly among younger travellers? Innovation in product, technology, and execution across the region will be crucial.

A proven meta-market model

One of Klook’s greatest achievements, I believe, has been proving that a meta-market model can succeed across Asia. Unlike the early days of online travel, when only players with massive home markets (such as Ctrip, MakeMyTrip, and Traveloka) could scale effectively, and it was tough to build pan-regional travel businesses, Klook has found a way to unify Asia’s fragmented travel landscape.

By identifying shared consumer behaviors while adapting to local market nuances, Klook has been able to reach critical mass across multiple countries. They’ve read the zeitgeist well – targeting their own generation of travellers, who are often more alike than they are different.

Since its launch in 2014, Klook has been mobile-first, deeply embedded in social media, and quick to embrace social commerce. Partnering with TikTok and leveraging influencer-driven marketing, they have mastered the art of “fishing where the customers are”.

Beyond distribution, Klook has invested in exclusive content. This month, from February 22-23, they are hosting a Wellness Weekend at Duxton Hill, Singapore, in collaboration with the Singapore Tourism Board.

The event features over 60 wellness experiences, from cold plunges and sound healing to mindfulness workshops and Traditional Chinese Medicine (TCM) sessions—illustrating how Klook continues to create tailored experiences that resonate with their audience.

A key driver of Klook’s success has been the booming intra-Asian travel market. Asian travellers visiting neighboring countries have long been the region’s primary source of tourism, and a rising middle class has only accelerated this trend.

Global travel brands are feeling this shift. At a recent Marriott media briefing, executives revealed that pre-pandemic, intra-Asia travel comprised 37-38% of their business. Today, that figure has surged to nearly 60%, highlighting a major change in regional mobility and spending patterns.

To maintain momentum, Klook must now replicate its success beyond Asia. That means expanding its supply of experiences and travel products in Western destinations, a challenge that will define its next phase of growth.

A crucial factor in the sector’s continued expansion is large-scale digitalization of supply. B2B players, based in Asia, like BeMyGuest and GlobalTix, which was recently named one of Singapore’s 100 fastest-growing companies, are well-positioned to facilitate this shift. Given the industry’s trajectory, these companies could become attractive acquisition targets for major players looking to consolidate the market.

Klook itself is actively driving this transformation. The company recently signed an agreement with the Department of Tourism Philippines to not only promote local destinations but also launch a digital platform enabling travel agencies and tourism stakeholders to sell their packages online.

As one industry veteran noted, “More investment in the sector is great for its maturity. If you look at the landscape, there haven’t been many new entrants in the past decade, it’s the same players, just growing. This latest funding round could trigger more investment, activity, and even consolidations. The sector is no longer a toddler, it’s more like a teenager. And the larger OTAs, hotel groups, GDS, and airlines are taking notice.”

So, while Klook’s $100 million raise is worth celebrating, there’s still plenty of work ahead. As this homegrown Asian startup sets its sights on the global stage, the real challenge will be execution – scaling supply, deepening local market expertise, and maintaining its edge in a fiercely competitive landscape.

For now, though, it’s safe to say that the travel experiences sector is heating up – and Klook is at the leading edge of that action.