Skift Take
The direct connection with airlines would help streamline the booking process, making it easier for businesses to plan trips without needing to jump between platforms.
It was only recently that Yatra Online CEO Dhruv Shringi could be heard talking about how Indian carrier IndiGo’s fierce pricing squeeze had led to a drop in revenue.
But the online travel agency said Wednesday that it has integrated New Distribution Capability (NDC) into its booking system, with the goal of making “air travel bookings smoother and more tailored for its corporate customers.”
Developed by the International Air Transport Association (IATA), NDC is designed to give travelers a more flexible and transparent booking experience.
With Yatra’s new system, corporate travelers would be able to access more flight options, better prices, and real-time seat availability, the company said in a statement. This means that businesses can easily find the best deals, compare prices, and make smarter decisions when booking flights.
Yatra’s updated Self Booking Tool incorporates these features, allowing users to see more detailed flight choices and receive personalized offers that match their needs. The direct connection with airlines simplifies the booking process, making travel planning easier for companies.
Corporate Travel Boom in India
Corporate travel spending in India surged nearly 25% in 2023 to reach 78% of pre-pandemic levels.
Global Business Travel Association (GBTA) estimates business travel spending in India to reach $38 billion in 2024, with a full recovery to pre-Covid levels expected by 2025. Online travel companies are looking to make the most of this boom.
Earlier this year, Cleartrip, an online travel agency that originally catered to leisure travelers, launched Out of Office, its corporate travel management product.
In its latest reported earnings, MakeMyTrip said that its corporate travel business through both its platforms – myBiz and Quest2Travel – crossed the $200 million gross booking milestone for the quarter ending June 30, 2024.
“Our active corporate customer count on myBiz is now over 59,700. And for Quest2Travel, the active customer count has reached 458 large corporates compared to 272 large customers in the same quarter last year,” said Rajesh Magow, co-founder, group CEO and director of MakeMyTrip.
Yatra’s Focus on Corporate Travel
Yatra has been looking to grow its corporate travel profile.
Last month Yatra announced that it would acquire Globe All India Services (Globe Travels), a corporate travel services provider, for INR 1.28 billion ($15.25 million). With the acquisition, Yatra looks to expand its corporate customer base in India and strengthen its market position.
The acquisition would add Globe Travels’ portfolio of 360 corporate customers and annual gross bookings of approximately $90 million to Yatra’s assets, said a company statement.
Earlier this year, Yatra also appointed Gaurav Luthra as chief business officer – new business development. Luthra in his earlier role had been the managing director of corporate travel platform FCM Travel.
Yatra’s corporate travel segment offered a bright spot in its latest reported earnings, where it reported a 5% quarterly revenue decline. Shringi attributed the drop to intensifying price competition in the consumer business.
He had also hinted that Yatra would be laying off over 100 people as a cost-cutting initiative.
