MakeMyTrip expects 70% of its revenue from hotels, accommodations by 2022

MakeMyTrip said it is looking at the hotels and accommodations segment to contribute around 70 per cent to its overall revenue by the end of 2022. Currently, hotels and accommodations account for around 54 per cent of the company’s total revenue. “By the end of 2022, 70 per cent of our revenue will come from the hotels and accommodations segment,” Deep Kalra, Founder and Group CEO, MakeMyTrip. Currently, around 33 per cent of revenue comes from air travel and the rest is roughly from redBus, travel insurance and experiences, he added. “Going forward, the hotels and accommodations will contribute a bigger share of revenue, as there is still a lot of headroom in hotels. Still, only around 15 per cent of hotels are booked online, so there is a big market to be tapped,” Kalra said.
On the trend of more Indians opting for overseas travel, he said, “The focus area for us and where Indians are going right now is overseas. Middle class has the money and is travelling overseas as it is aspirational.” The growth in international travel will be higher and it will grow faster than the domestic segment, he added.
The company has recently posted its third-quarter results with a growth of over 30 per cent. When asked about the growth road map, Kalra said, “We are looking to moving on to twin path of growth and at the same time of reduction of losses.” He, however, did not provide any future guidance on growth numbers.

Source: PTI