Founded with Rs. 15 lakhs in 2008. Entered a competitive market dominated by players like Goibibo, MakeMyTrip, and Cleartrip.
Company has delivered good profit growth of 49.0% CAGR over last 5 years Trading at same price (2021)
Stock Price almost down by 55% from life time high price. In the last two years, net profit has increased by almost 100%, and the stock price has traded at the same price.
We just need to find these types of opportunities in the stock market.
It also provides end-to-end travel solutions, including airline tickets, hotels and holiday packages, rail tickets, bus tickets and taxis.
More than 90% of its business is B2C at present while the rest comprises either travel agent or corporate business.
Core Growth Drivers :-
1) No Convenience Fee Policy :- -Avoids hidden charges, building trust and enhancing user experience. -Reduced average booking time from 5 minutes to 3 minutes. -Achieves an impressive 86% repeat transaction rate.
2) Cost Efficiency Model:- -Operates with a no-frills approach similar to Indigo Airlines. -Maintains lowest employee headcount and advertising costs in the industry. -Uses an asset-light model, avoiding risks associated with inventory.
3) In-House Call Centers:- -Handles customer complaints internally to improve user satisfaction and reduce long-term costs. -Uses customer feedback to refine its platform.
4) Comprehensive Travel Ecosystem:- -Offers flights, hotels, holiday packages, travel insurance, and visa services. -Partners with 23 hotel API providers instead of maintaining physical inventory. -Leverages cross-selling opportunities to increase average order value.
5) Strategic Distribution:- -Built the world's largest travel agent network (16,000+ agents) for Tier-2 and Tier-3 cities. -Expanding internationally in high-margin regions like Dubai, USA, and Singapore.
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