INDIA’s runaway success OTA, MakeMyTrip, has so far roped in about 7,000 travel agents to its MakeMyTrip for travel agents online B2B module launched 18 months ago.
Owner Deep Kalra, who wants to bridge the gap between the rich and poor by making inroads into regions with a dearth of travel options, said the system allowed MakeMyTrip to penetrate tier-two cities in India, where Internet connectivity is low and where people may not have credit cards and are only able to pay by cash or cheque.
“It runs on a B2B2C model, like a super GDS for travel agents. The agents are able to access the inventory on our website and sell the products to their customers,” Kalra explained. “There is no credit involved. Agents just have to make a deposit.”
Kalra, representing the voice of distribution challenges during the Plenary Three: New Realities of Travel panel discussion this morning at PATA 60th Anniversary & Conference in Beijing, added: “Online media and technology can definitely help us to go beyond the elite in India.”
According to Kalra, eight per cent of people in India have Internet access, while only about four per cent shop online. With 40 to 50 per cent of the population able to afford some form of travel product ranging from bus, train and plane tickets to packages, “the challenge is how to grow the four per cent to this 40 to 50 per cent”.
Meanwhile, Kalra said one of the main challenges of catering to Indian customers was the sheer diversity of the separate regions within the country.
“Up to 20 per cent of Indians who will soon travel abroad are first-time travellers,” he said. “The different states can be like different countries, with people from different regions having different preferences in terms of food, language and culture.”
“We have many call centres, and 20 travel stores in the 20 biggest Indian cities. This enables us to connect locally with the different regions, and allows us to provide a relevant level of comfort to our customers.”
Kalra added that MakeMyTrip was leveraging on metasearch engines like TripAdvisor to increase visibility and market penetration online.
