Ixigo: Case Study, Ixigo Company Profile, Business Model, and Many More

Introduction:

In 2007, the Indian internet travel platform ixigo was established. Ixigo, which has its headquarters in Gurgaon, compiles and contrasts real-time travel data, including costs and availability for hotels, buses, trains, and aeroplanes. It also enables ticket buying through its partner websites and applications. With the introduction of their flights metasearch website in June 2007, IITK grads Rajnish Kumar and Aloke Bajpai founded ixigo. It added a hotel search engine to its website in 2008.

Ixigo Company Highlights:

About Ixigo:

The most popular mobile and online travel planning and search platform in India is called Ixigo. In order to provide customers with the most accurate travel information, it combines and compares the best prices on hotels, flights, buses, trains, and packages from over 100 travel websites.

More than 1 lakh users have rated its train app, which is available on Google Play Store, 4.3 stars. Ixigo has developed into one of the top travel websites in India thanks to its user-friendly interface and objective exploration findings.

Ixigo Industry:

An online travel agency from India called Ixigo was established in 2007. A Gurgaon-based company called ixigo collects and compares real-time travel data, including costs and availability for hotels, buses, trains, and flights. It also lets users book tickets through partner websites and mobile applications.

Ixigo Founder and Team:

ixigo was founded by Rajnish Kumar and Aloke Bajpai. It was established in 2007 and is situated in Gurgaon, India.

Ixigo Startup Story:

Aloke and Rajnish, wingmates-turned-colleagues from IIT Kanpur, had always had the entrepreneurial itch. They were, however, caught somewhere in the 35-hour work-week restriction at the French company Amadeus. Both of them made the decision to leave their lucrative careers in Europe and come to India in 2006, ready to pursue their goals, in order to free themselves from the shackles of the working world. They established their office in a studio apartment they rented in Gurgaon.

The ixigo founders didn’t know what they were going to do with their entrepreneurial itch at first, but they soon discovered how difficult it was to make travel reservations for various Indian places. They used this as motivation to launch a flight meta-search website for India in 2007. They laboured without receiving pay for a full year. ixigo was created thanks to their perseverance.

The company’s sole driving force was the idea to create a product that would make life a little easier for Indian travellers by letting them compare and search for hotels online in one convenient location. It was introduced amid a budding online travel industry that has since flourished to become one of India’s most successful businesses.

Ixigo Mission and Vision:

The ixigo website states that “Corporate Social Responsibility” is important to both the company’s vision and goal. The Gurgaon-based travel technology startup’s primary goal is to enable Indian travellers to easily plan, book, and manage their travels, whether they involve trains, planes, cars, or hotel stays.

Ixigo Name, Tagline, and Logo:

“Know & Go” is the tagline for Ixigo.

Ixigo Business Model:

Since it enables a fair comparison of all the options, Ixigo’s business model is appropriate for an airport because it helps travellers choose which website to book via rather than leaving them hanging in the middle of the transaction. It primarily acts as an intermediary between the user and a travel booking website and makes money from each booking through commission.

Additionally, the cutting-edge elements like the 180-day fare viewpoint, direct online buying of airline tickets, and the feature-rich hotel exploration mechanism make this portal incredibly user-friendly. Ixigo’s meta-search business concept combines travel offers from more than 100 travel websites and has helped millions of travellers save time and money when travelling.

It also introduced a meta-search tool for taxis in April 2016 with the intention of making money for the business. The business also offers users the option to make reservations directly through their website using a third-party power-driven app as an addition to income generation.

Ixigo Revenue Model:

Operating revenue at Ixigo increased at a CAGR of 83.26 percent between FY19 and FY21. From INR 40.36 cr in FY19 to INR 111.6 cr in FY20 to INR 135.6 cr in FY21, it increased. From INR 112.9 cr in FY20 to INR 138.4 cr in FY21, Ixigo’s overall revenue grew. Additionally, Ixigo’s overall revenue climbed by 2.8X to reach INR 379.6 crore in FY22, while operational revenue increased by 2.9X to reach Rs 361.92 crore in FY22.

95.3 percent of the total revenue came from ticket sales, which was a sizable contribution. Confirmtkt, an entirely owned subsidiary of Ixigo, played a significant role in this by providing a revenue contribution of Rs 128.2 crore. A 107 percent increase in ticketing revenue, which accounts for 93 percent of overall income, from INR 60.9 cr in FY20 to INR 126.2 cr in FY21, drove revenue growth. Ixigo reported making money in FY21. ixigo recorded a profit of INR 7.5 cr in FY21 after posting a loss of INR 26.6 cr in FY20.

Ixigo Products and Services:

The business previously operated two subsidiary applications, one of which was renowned for enabling brands to reach out to train tourists contextually. The other, however, helped users choose apps and brought discounts that were relevant to them through advertisers’ crossroads of e-commerce, hyperlocal service, online travel, and food delivery.

Additionally, customers of its ixigo Trains programme had the option of making intercity ride-sharing reservations through BlaBlaCar. This was especially useful if there are no trains to a specific location or if there is a wait list for tickets. The parent app of ixigo now includes all of its services, allowing users to book flights, trains, buses, hotels, visas, and other services while on the go.

Through the ixigo app or website, users of Ixigo Flight Booking Services may simply book and track flights. Through its bus booking service, which is now available on its own app, Ixigo assists consumers in making bus reservations quickly.

Ixigo Funding and Investors:

Ixigo has raised $88.5 million in investment altogether across 6 rounds. On July 27, 2021, ixigo completed its most recent round, successfully raising $53 million from Singapore’s GIC Wealth fund.

Ixigo Employees:

As of July 23, Ixigo has 466 employees.

Ixigo  Challenges Faced:

The activities of users right after download presented them with their biggest obstacle. User activity had declined, and ixigo was seeking for a strategy to onboard new members quickly and keep them around over the long term.

Ixigo Acquisitions:

Ixigo has previously acquired Confirmtkt, and with this app and its associated app, ixigo makes it possible to book train tickets quickly, easily, and with assurance.

Ixigo has made 5 strategic acquisitions till now.

Ixigo Growth:

• Connects more than 80 million passengers.
• Has 12 million or more active users per month.
• Extracts transactions from more than 25,000 offline and online partners.
• More than 1 billion PNRs for trains are produced each month.
• Has 2 lakh or more ratings for trains and stops.
• Boasts a user base of approximately 255 million people in total.

Ixigo Partners:

• Ixigo and Booking.com have teamed to offer Ixigo Hotel Bookings. Despite not handling hotel reservations directly, Ixigo makes it simple and economical to book a hotel through its partner Booking.com, to which consumers are automatically sent when selecting the Ixigo Hotels option.
• Enhancing the flight reservations on Flipkart through a partnership
• Helping passengers with the airport’s website through a partnership with Indira Gandhi International Airport.
• The Andhra Pradesh State Road Transport Corporation (APSRTC) and ixigo collaborated to set up, design, install, and maintain a “Unified Ticketing Solution” (UTS) on the APSRTC Cloud Platform.

Ixigo Competitors:

Ixigo has fierce competition in the market. The market is flooded with online booking and transaction-facilitating portals, ranging from private applications like MakeMyTrip and GoIbibo to government applications like IRCTC train booking. It doubles the number of rivals it has to contend with by partaking in both transportation and lodging.

Ixigo Awards and Achievements:

• Won the Bronze Abby at the 2014 Goa Festival for its well-known “don’t travel Patti bandh ke” television ad.
• Congratulated on receiving a gold award at the 2014 Indian Digital Media Awards (IDMA) for its PNR status app.
• The brand’s achievements in content marketing were recognised in 2014 with a silver Echo award by the Direct Marketing Association International (DMAI).
• Has been acknowledged as India’s fastest-growing travel agency in the Economic Times’ 2020 growth champions survey.
• A prominent startup featured in the Discover Channel’s “India Startup Stories”
• recognised as the mid-size business category champion of the New Code of Work Awards
• The media organisation Skift named ixigo one of the top 6 domestic internet travel providers in the Indian travel market.

Ixigo Future Plan:

Ixigo is presently trying to go public soon. It has already been successful in filing the DHRP with SEBI, and it intends to use its IPO to raise about Rs 1600 crore in capital. Prior to filing its draught red herring prospectus, it sought an Ixigo valuation for the IPO of $750-800 million.

FAQs About Ixigo:

What does Ixigo do?

The mission of ixigo, a digital firm founded in 2007, is to enable Indian travellers to plan, reserve, and manage their travel arrangements across buses, trains, and aeroplanes.

When was Ixigo founded?

This was started in 2007.

Who is the founder of Ixigo Corporation?

Ixigo was started by Rajnish Kumar and Aloke Bajpai.

Who is the CEO of Ixigo Corporation?

The CEO is Aloke Bajpai.

Who are the main competitors of Ixigo?

Ixigo has fierce competition in the market starting from a commercial app like MakeMyTrip or GoIbibo to a public app like IRCTC train ticketing.

Conclusion:

In conclusion, Ixigo’s development from its start in 2007 to its present status as India’s top platform for online and mobile travel planning and search is nothing short of amazing. Aloke Bajpai and Rajnish Kumar, the company’s co-founders, made the audacious decision to leave their well-paying positions to follow their entrepreneurial aspirations, which finally resulted in the formation of Ixigo. By providing a single point of access to real-time information on flights, trains, buses, hotels, and other travel options, Ixigo has revolutionised the way consumers plan and book their vacations. A sizable user base and market trust have been attained by the organisation as a result of its dedication to empowering Indian tourists and making the process of trip planning easier.

Ixigo has continually increased its products and sources of income through strategic partnerships, acquisitions, and new features. The company’s filing for an IPO with SEBI is a reflection of its lofty goals for the future and commitment to maintaining its upward growth trajectory. Ixigo is a shining example of entrepreneurial success in India’s thriving travel market since it links millions of travellers, provides a user-friendly interface, and receives recognition in the travel business.