In a bid to gain a sizeable pie of India’s fast growing online travel bookings, mobile wallet MobiKwik, which has over 17 million users, today announced its tie-up with the top 4 travel portals in the country – MakeMyTrip, Cleartrip, Yatra.com, and Goibibo.
In a bid to gain a sizeable pie of India’s fast growing online travel bookings, mobile wallet MobiKwik, which has over 17 million users, today announced its tie-up with the top 4 travel portals in the country – MakeMyTrip, Cleartrip, Yatra.com, and Goibibo. Customers of these travel portals can now make payments for flight / cab /bus/ train and hotel bookings, from the safety of their MobiKwik wallet, instead of having to use their credit / debit / online bank accounts. MobiKwik expects to facilitate travel and hotel bookings worth Rs. 200 Crores, over the next 12 months.
The travel is poised to be one of the biggest growth areas for companies in the mobile payments space. According to IAMAI’s Digital Commerce Report 2014, the Indian online travel industry, pegged at $8.2 billion, has been growing at around 20% year-on-year and constitutes 61.4% of the total online commerce in India. Similarly, the market for online hotel bookings is set to explode and reach a size of around $1.8 billion by 2016 with over 8 million Indians booking their hotel rooms on the internet, according to a report by Google. The report further states that only 29% of the users book hotels online at present. With mobile wallets quickly becoming the first online payment experience for many internet users, MobiKwik expects to help these users transition to making payments for travel and hotel bookings.
Bipin Preet Singh, Founder and CEO, MobiKwik said, “We are happy to see the MobiKwik wallet go live on Cleartrip, MakeMyTrip,Yatra.com, and Goibibo. Travel is the largest e-commerce segment and the conditions are ripe for mobile wallets to disrupt payments in the travel sector today. It is time to provide customers in this segment the convenience, safety and transparency that MobiKwik offers. We are confident that a large number of our 17 million visitors will now use their favorite wallet to make their travel payments.”
MobiKwik recently raised close to $25 million in a Series B round from Tree Line Asia, Cisco Investments, American Express and existing investor, Sequoia Capital. The company plans to raise another $100 million in the latter half of 2015. The company plans to disrupt the payments space further in 2015 by creating an offline retail network of more than 100,000 merchants across India that will serve both as points for cash loading into the wallet and for wallet payments acceptance. MobiKwik has also applied for a payments bank license in February 2015.