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Elliot Rosenberg

Founded in 2016

An online marketplace of immersive


homestays and apartment rentals,
in Rio de Janeiro's slums.

 ©  Wadhwani  Founda-on  
FAVELA  
EXPERIENCE  
HOTEL LOCAL HOMESTAY

With the 2014 Football World Cup and 2016 Olympics coming up in Brazil,
a lot of tourists were going to need places to stay. A growing interest in Rio
de Janeiro's over-crowded favelas (slums) and Elliot’s own fascination with
the community, led to the idea of renting places for short-term stays. Favela
Experience offers something for everyone - from hostel-like beds to private
apartments. Usually, the owner lives next door, inviting guests over for
dinner or accompanying them on weekend tours. The venture earns money
by taking a commission on each booking. It has made a tremendous impact
on the community, generating income and livelihood. It also helps combat
negative stereotypes through a sort of cultural exchange program.

HOUSED 175+ GUESTS ACROSS 10 PROPERTIES


GOT PRESS FROM CNN, FORBES, NY TIMES, NPR, REUTERS +
$31,000 IN CROWDFUNDING FROM INDIEGOGO
DID NOT MAKE ANY MONEY FOR THE FIRST 6 MONTHS

 ©  Wadhwani  Founda-on  
ZEZINHO DA SILVA

FAVELA TOUR COMPANY


Elliot met Zezinho da Silva, who ran a favela
tour company. Instead of driving groups of
"rich tourists" in jeeps in safari-like
excursions "snapping pictures of poor brown
people," he offered a more authentic
experience, hiring local guides in Rocinha,
one of the largest favelas with almost
300,000 residents. This generated income
for the locals and created an authentic
cultural experience for tourists. Zezinho was
Elliot’s gateway into the favelas.

 ©  Wadhwani  Founda-on  
A development technique in which a new product is developed
with sufficient features to satisfy early adopters. The final,
complete set of features is only designed and developed after
considering feedback from the product's initial users.

 ©  Wadhwani  Founda-on  
PEOPLE WILL PAY
FOR FAVELA HOMESTAYS

Elliot believed: The best way for a foreigner to understand


a new culture was to build meaningful relationships with
the local people. Tourists would opt for budget-friendly
options and immersive homestays.

Elliot noticed: The level of development, in terms of


water and electrical infrastructure, is considerably
more advanced than is commonly assumed.

Built a website. Tried different marketing channels -


through affiliates, which did not work. However, PR,
which didn’t work at first, worked later.

Elliot was convinced he'd landed on a winning


proposition. With the FIFA World Cup Football and the
Olympics around the corner, he’d capitalize on the
tourism.
 ©  Wadhwani  Founda-on  
Guess the MVP?

 ©  Wadhwani  Founda-on  
Created an
Airbnb listing

Elliot spent time recruiting potential hosts by putting flyers up and looking
for other partners. He wanted a minimum viable product, a lean startup
concept, whereby he could do an economical pilot to not waste time and
resources on something customers don’t want. So, instead of launching his
own web platform, he created an Airbnb listing for one place to be rented out
around Rio Carnival time. A private 1BHK in a favela by the beach owned by a
local family, got reserved almost as soon as it went live!

PUT UP FLYERS AROUND FAVELAS TO FIND HOSTS


AIRBNB LISTING OF HIS FIRST PROPERTY
RAN A FEW TEST STAYS FOR PROOF OF CONCEPT
PRE-SOLD ACCOMMODATION PACKAGES FOR THE FIFA WORLD CUP

 ©  Wadhwani  Founda-on  
Evolution of Favela Experience
During the crowdfunding campaign, they used a space owned by an NGO, Alzira de
Aleluia, to receive guests, and made some income. Shortly after the World Cup, Elliott
decided to move to Asia, and his good friend Adam Newman took over the company. He
saw a unique possibility to be developed on the question:

How can the infrastructure of the NGO help them deal with issues of financial
sustainability and accessing resources they need to continue offering social programming
to the community?

Based on this, they then brought the property up to the standards of best hotels with
all the fun things like communal bars, free computers, foosball tables, and more.

Currently, Favela Experience develops and operates 2 favela based hostels (one of
which ranks #7 of 450 hostels in Rio), 3 homestay properties, and a tour agency.

NOW HAS A FAVEX SOCIAL IMPACT HOSTEL


45% OF BOOKING FEES GOES TO THE NGO
60% OF THE HOMESTAY COST GOES TO THE HOST
HAS CAUSE-BASED PROGRAMS, WORKSHOPS, AND EXPERIENCES
HOSTED 300+ GUESTS, GENERATED $36,000+ REVENUE
NEVER RECEIVED INVESTMENTS/ GRANTS/ SUBSIDIES TILL DATE

 ©  Wadhwani  Founda-on  
M MINIMUM

V VIABLE

P
PRODUCT
#PrototypingMVP

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