Paytm which is a digital payment major owned by One97 Communication, today revealed that it would invest INR 250 crore in its travel business over the coming six months.
The company released a statement that the investment would be used towards scaling up the product and technology team, growing the market share in the existing verticals, and setting up the new business verticals.
Abhishek Rajan, Senior Vice President at Paytm Travel, said, “We continue to witness strong growth in Tier II and III cities, which accounts for over 65 percent of our new customers. This investment will help us further bolster our position as a dominant player in the travel booking space.”
With more than a 15 million customer base and an annual GMV of $1 billion, the Paytm Travel business has around 100 million tickets within the coming three years of operations. The company sells more than six million tickets every month and is even targeting to grow around 100% in the current financial year.
“Our users have saved more than Rs 60 crore from our free cancellation feature on flight and bus ticket bookings. We are perhaps the only player in the travel industry that doesn’t charge a fee for processing flight ticket cancellation requests. This is a reflection of our strong customer-first philosophy,” Abhishek said.
Travel ticketing bookings on Paytm are driven with the help of the mobile app. The company has chosen Bangalore as the base of operations for its travel Business where it has set up with a team of 300 members.
This June-2019, Paytm also revealed that it would invest INR 250 crore for the expansion of the Paytm QR code, in the Tier V and Tier IV towns this year.
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