MakeMyTrip – The Untold Story: These days, the first thing that comes in our mind when we think of any travel, vacation is booking the tickets online as most of Indians are using the internet now but in the year 2000, there was no much technology to use the internet and search for tourist places, book flights, Hotels. Mr.Deep Kalra launched “MakeMyTrip” to resolve this problem. Let’s have a look at the interesting story and facts behind this successful company.
- 1 MakeMyTrip Company Details:
- 2 About MakeMyTrip
- 3 MakeMyTrip Vision & Mission:
- 4 MakeMyTrip Founder and team:
- 5 Story of MakeMyTrip:
- 6 MakeMyTrip Subsidiaries and Acquisitions
- 7 MakeMyTrip Funding and Investors:
- 8 MakeMyTrip Business Model & Revenue Model
- 9 List of Merger by MakeMyTrip:
- 10 MakeMyTrip Competitors:
MakeMyTrip Company Details:
|Parent Organization||MakeMyTrip Limited|
MakeMyTrip Limited is an Indian online travel company was founded in the year 2000 which is headquartered in Gurugram, Haryana. The company provides online services for booking flight tickets, domestic and international packages, hotel reservations, etc.
As of March 31, 2018, the company owned travel stores in 14 cities, over 30 franchisee-owned travel stores in 28 cities, in 4 major cities in India. Further, the offices of the company are located in New York, Singapore, Kuala Lumpur, Phuket, Bangkok, and Dubai.
MakeMyTrip Vision & Mission:
Its vision is to empower the Indian travelers to book tickets online and to enable them to make comprehensive choices with the evolving technology and to meet the ever-changing demands of the travel industry.
MakeMyTrip Product & Services:
The services of MakeMyTrip include online booking of flight tickets, rail and bus tickets, cab service, and hotel booking services from its portal.
They also have MakeMyTrip.com route planner which provides more information for more than 10lakh(1million) routes in India. It also offers metro train tickets for Hyderabad metro.
MakeMyTrip Founder and team:
Make My Trip founder Mr. Deep Kalra completed his bachelor’s degree in economics from St Stephen’s college in Delhi in 1990 and completed a master’s in business administration (MBA) from IIM Ahmedabad in 1992. After completion of his studies, he worked in ABN, AMRO for 3 years. Later, he joined in AMF bowling company as a vice president of business development. As this business was not his own thing, and his boss thrown him into the Indian Market without proper guidance and mentoring, He then realized that this is not his talent and he has something more to explore things, he quit his job immediately.
Later on, when he was brainstorming his mind, he noticed that the travel market in India is not well organized due to middlemen, agents, etc and was worse than Man’s bedroom! So, to bring out the solution from this problem, he officially launched “MakeMyTrip.com” with an investment of $2million from e-ventures along with the co-founders Keyur Joshi, Rajesh Magow and Sachin Bhatia in the year 2000.
Deep Kalra guided the company from its inception in 2000 till its listing into NASDAQ in August 2010. From August 2013 till February 2020, he functioned as a group CEO of the company. In February 2020, he is an executive chairman of the Make My Trip board, and his co-founder Rajesh Magow took charge as a CEO.
Kalra was also elected as the vice-chairman of the Internet and mobile association of India. He was also one of the founders of Ashoka University.
Story of MakeMyTrip:
Now, it has become a fantasy to travel and explore various destinations, but this was not the case when Make My Trip was started in the year 2000. The Internet was yet to evolve and emerge in India. So, Kalra started MakeMyTrip.com in the overseas Indian community for their US- India travel needs. After 2 years of launch, the dot com market got crashed and took down everything that they had invested in the company. This was a harsh situation to them and Kalra had to reduce the employees and he also had to let go of the salaries of the top management staff for the next 18 months.
As time passed, the situations got better, and the business had begun to pick up and was reaching the decent customer base. That was the time when the IRCTC (Indian Railways and Catering and Tourism Corporation) started selling tickets through an online platform on the Internet. This model was well accepted by Indians and few other low-cost carriers had entered into Indian Aviation space. These opened a new level of opportunities for the Indian travel market.
And in September 2005, they officially launched MakeMyTrip Services in Indian Market and there was no going back to the company since then.
MakeMyTrip Subsidiaries and Acquisitions
As the company has grown up on a very large scale, it acquired companies like Quest 2 Travel, ibibo Group, Easy to book.com, Mygola, and HotelTravel.com. The details of acquisitions are below-
|Acquired Company||Date of Acquisition||Price|
|Quest 2 Travel||May 2019||–|
|Ibibo Group||Oct 2016||$720 Million|
|Easy to book.com||Feb 2014||$5 Million|
MakeMyTrip Funding and Investors:
MakeMyTrip Limited was listed on NASDAQ after its Initial public offering (IPO). The company raised its first series A of $10 million in 2005. They raised Series B of $13million, Series C of $15million in 2006 and 2007 respectively. However, in 2006, they raised $180million and $330 million from 2 different IPO’s in 2016 and 2017 respectively. In total, MakeMyTrip raised $548million from all 5 rounds.
|Tiger Fund, Helion Venture Partners, Sierra Ventures & SAIF Partners||May 2005||Series A||$10Million|
|Helion Venture Partners, Sierra Ventures & SAIF Partners||December 2006||Series A||$13Million|
|Tiger Fund, Helion Venture Partners, Sierra Ventures & SAIF Partners||October 2007||Series A||$15Million|
|Ctrip||January 2016||Post-IPO||$180 Million|
|Ctrip, Prosus, and Naspers||March 2017||Post-IPO||$330 Million|
MakeMyTrip Business Model & Revenue Model
The users can book air tickets, bus tickets, holiday packages, hotels, and accommodation, etc. Users can also access travel services that are provided by third-party vendors like visa processing and travel insurance.
They have also launched MyBiz application to provide corporate travel-related services, it enables to manage travel and accommodation for its employees easily through a single dashboard, wallet for payment processing, refunds, and cancellations.
Hotels and packages contribute to a higher margin of around 56% of the total revenue of the company compared to airline ticketing. Further, the market share of the company in domestic flight travel is 24%.
Not without any reason, the company received many awards from its inception. Few of them are noted below:
|Year||Name of the Award|
|2012||4th best company to work for & #1 in professional services|
|2011||3rd best company to work for & #1 in professional services|
|2010 and 2009||Super Brand India (2009-10)|
|2008||Gold and Silver (Abby Award)|
|2007||Best Online Travel Company|
MakeMyTrip – Tagline and Logo
The tagline of MakeMyTrip is “Dil toh roaming hai”
List of Merger by MakeMyTrip:
In 2016, Make My Trip and ibibo Group, the two large travel booking portals merged through a stock transaction. By this transaction, MakeMyTrip.com acquired ibibo Group which is one of the biggest acquisitions in India’s online travel space. Post-merger, Make My Trip shareholders owned 60%stake and ibibo shareholders get a 40% stake in the company. The “Naspers” and “Tencent” became the single largest shareholder in the MakeMyTrip.
The top competitors of Make My Trip include Flight Centre Travel Group, Treebo, Bookings.com, Travel Triangle, Yatra.com, and Clear trip.
India’s largest online travel company, Make My Trip closed its fiscal year with a 26.2% increase in revenue. However, due to the Covid-19 lockdown all over the world, the company may face losses in FY 2020.
MakeMyTrip Founder Deep Kalra Advice:
Deep Kalra says “I think we are in a really good space where travel is really booming and most of it is moving online. What’s exciting is how do we capture the mindset of this Indian who has moved online recently and who is keen to travel, and we want to be the brand that they trust instinctively and take care of them. And the vision I’ve always had is to get all our customers to become our brand ambassadors. And we keep moving in that direction and it’s more important to have people come back to you unaided. And that is what we are excited about.”
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