Nasdaq-listed MakeMyTrip has faced criticism from hotel associations for alleged distortion of market prices. Deep Kalra, founder and Group CEO of the travel portal, spoke to BusinessLine on the issue. Excerpts:

What do you have to say on the hotel associations opposing online travel portals such as MakeMyTrip?

Most of these associations are of hotels and restaurants and they provide services to their constituents. But we don’t have any direct contact with them. When the controversy broke MakeMyTrip spoke with all its 6,000 hotel partners across India and around 99.9 per cent of them were with us. The point of the company is very simple — if it has a commercial arrangement with a hotel or a chain it will talk to the entity. For us to negotiate on a contract with someone who has nothing to do with the contract is wrong.

MakeMyTrip has started promoting responsible tourism in a big way. What’s the reason?

When it comes to responsible tourism India is running out of time. Tourist places are over-crowded and the resources are getting exhausted. It is due to lack of responsible tourism that India is losing travellers big time. People do want to travel within India, but they opt for overseas because it’s not easy to travel in the country. It’s also not clean.

How do you see the increase in the number of airports in the last two months? And how do you see it benefiting online travel agents?

The biggest win for this government is the focus on connectivity. As many as 35 new airports have been set up over two years which has led to people travelling to new places. Interestingly, the real growth is coming from smaller cities as there is money, buying power and willingness to travel. On the other hand, cities such as Delhi and Mumbai are packed, so there is not much scope for further growth.

What are the reasons for the company’s growth last that company witnessed this quarter?

The company has reported a growth of 30 per cent. There has also been a reduction in the losses. Also, most of the increase in revenue hasn’t come from advertising, but that is just one part. The real increase is an organic once that has come by improving the product.

What are the segments that MakeMyTrip is targeting?

It was a common notion earlier that millennials are the only travellers. The scenario has changed in India and there has been an increase in the number of solo travellers, students, women’s groups and older people who want to travel. So, in India the company is looking at these segments.

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