 "MakeMyTrip raises technology spend to boost sales")
The move comes at a time when online portals are witnessing a spurt in the number of bookings using mobile apps. The mobile phone platform accounts for about 30 per cent of the portal’s monthly unique visitors and 14 per cent of online transactions.
MakeMyTrip, the largest domestic online portal by market share, announced a $15 million innovation fund last week to invest in travel technology start-ups.
“We are currently investing significantly to address both our front-end and back-end capabilities. At present, most investment is taking place in developing technology in-house,” said Sharat Singh, MakeMyTrip’s chief technology officer. The company, however, refused to share the investment sum.
According to Singh, the investments will be used to scale up the global supplier platform to get real-time pricing and inventory updates from suppliers such as hotels, bus operators and airlines, leveraging big data for personalised travel experience.
"Personalisation will play in key role in all forms of travel whether business, leisure or activity oriented as customers expect more personal experiences. The goal is to provide travel experiences and services that have a lifestyle appeal, and not just specific functional benefits,'' he added.
"We have agreed to create a fund of $15 million, which is 10% of cash on our balance sheet, to be focused on young and new ventures in the travel technology space for our market.
This is an additional prong of our inorganic growth strategy by pursuing M&A opportunities in the travel technology space,'' the portal's co-founder and group CEO Deep Kalra said last week. It has set up six member committee comprising of its board members to identify target companies for investment.