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[This Week's Hot Deal] AGL Raises Series B Funding with Golf Course Reservation Service covering 1300 Worldwide Locations

Purchasing airline tickets, booking hotels, and other travel arrangements can be easily done through travel agencies or reservation websites. Thanks to Global Distribution Systems (GDS), which manage real-time inventory of services, users can find out real-time availability of vacant rooms at various locations of specific hotel chains, as well as seat availability on airplanes or trains.

AGL, a startup that brought GDS into golf course operations, was established in 2019. Recently, AGL secured a Series B investment worth 30 billion KRW, increasing its total funding to 40 billion KRW. This investment not only involves a significant amount but also attracts attention from investors.

Venture capital arms of the four major financial groups—KB Investment, Shinhan Ventures, Hana Ventures, and Woori Venture Partners—all participated in the investment. KDB Industrial Bank also joined in. In addition, major VCs such as SV Investment, TS Investment, and Kolon Investment also took part.

Financial institutions serious about golf marketing have gathered

Hana Ventures' Executive Director, Cho Kyung-hoon, stated, "AGL has established a system through the real-time booking system Tiger GDS, allowing customers to directly book and pay for reservations at leading golf courses worldwide."

Another investment firm official remarked, "AGL's growth potential is noteworthy, as it can utilize golf in global market expansion, customer service, and marketing."

The financial institutions' interest in customer-targeted golf marketing was cited as the investment background. The four major financial institutions have been significant sponsors of events such as the Korean Men's Professional Golf Tour (KPGA) and the Korean Ladies Professional Golf Tour (KLPGA). They aim to host exclusive golf tournaments for VIP banking clients or offer golf course discounts as major services.

However, the use of GDS in the golf industry has been relatively sluggish. It was not easy for individual golf courses to digitize and integrate reservation, payment, and operation systems collectively.

Customers had to contact their desired venues directly or, if using reservation intermediaries, still faced inconvenience. While there are applications that allow individuals to book tee times, they have limitations for utilization by financial and travel agencies for customer service purposes. AGL has addressed this concern.

One-stop golf course reservations through banking, airline, and travel apps

AGL provides operational platforms for golf courses, supporting the development of web pages and mobile payment services. Its golf course network spans over 1,300 locations worldwide. Last year, it partnered with Japan's largest golf group, Acodia Group, owning 171 golf courses. For financial and travel companies, it offers reservation and payment functions through the 'Tiger GDS' solution.

As of April, various travel platforms like Modetour , MyRealTrip, and airlines like Asiana Airlines, as well as financial channels like Shinhan SOL and Hana Card, allow reservations at golf courses worldwide. Recognized for its technological prowess and marketability, AGL secured a Series A investment of over 10 billion KRW in 2022, followed by Series B this year.

CEO Hwang's extensive experience in the golf industry is another key point in attracting investment. With over 20 years in the golf industry, including serving as CEO of Golf Course Management (GCM) Korea, Hwang founded AGL in 2019 and developed the Tiger GDS, applying GDS to golf tee time reservations. Hanwha Ventures' Manager Jo Kyung-hoon evaluated, "CEO Hwang is a global golf expert with a golf course network worldwide."

Additionally, AGL operates the B2C app 'Hey Tee Time,' allowing customers to directly access golf courses without going through financial or travel company channels. A company spokesperson stated, "Hey Tee Time is expanding multilingual services to make it easier for foreign users from countries like Japan and Singapore to reserve golf courses worldwide," adding, "We will overcome language barriers." They also mentioned plans to expand partnerships with domestic and international golf courses and partners and expand global business through this investment.

Sources : Moneytoday (https://news.mt.co.kr/)

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