TravelTriangle Achieves Unit Economics Profitability Along With Rs 350 Cr GMV
TravelTriangle has a team of 400+ people and a network of 650+ expert agents across the globe.
(From L-R) Prabhat Gupta, Sankalp Agarwal, and Sanchit Garg
TravelTriangle, India’s growing marketplace, has set yet another benchmark, achieving unit economics profitability (earning revenues on every transaction post marketing, payment gateway, support & ops cost) and securing a gross marginal value of Rs. 350+ crore as of March 2017. The company became Contribution Margin Net Marketing (CMNM) positive in 6 key geographies in June 2016 including an international market. As of April 2017, TravelTriangle has achieved unit economics profitability across all geographies in the market.
TravelTriangle has a team of 400+ people and a network of 650+ expert agents across the globe. It has successfully served over 20 lakh+ travelers visiting the website every month with 65+ destinations on its platform, earning 95% positive customer reviews.
Speaking on the achievement, Sankalp Agarwal, CEO& Co-Founder, TravelTriangle said, “TravelTriangle has since the beginning focused on innovation, which is evident in its business model. We have always believed that liquidity is the currency on which the marketplace business is defined. In the fiscal year ending March 2017, we have accomplished two key objectives. First, we ensured that we achieve enough liquidity in the marketplace. Second, we were able to break even on all transactions and reach to unit economics profitability across whole of business. In the next year, our goal is to make TravelTriangle EBITDA profitable – a feat which looks clearly possible on our roadmap to future growth.”
He further added, “As the market is set to grow from 18 million to 30-50 million outbound travelers in the next 5-7 years, TravelTriangle has established itself as the strongest contenders for this multi-billion-dollar opportunity. With a superlative product, offering the widest choices, the best customer experience, positive unit economics and rapid growth, we are looking to further grow profitably as we have done over the last year. We have seen the impact that agent networks in the marketplace have had so far, and with more suppliers joining us, travelers will further benefit through cheaper prices and a wider range of high-quality services. As more suppliers successfully scale their operations, their ability to offer lower prices and better services has increased, bringing more customers on to the platform. We are also expanding our market by providing new inventory that never existed in the market like weekend getaway packages, experiential holidays, etc. The cost of operations has been very low since travel agents work as independent contractors on our platform, ensuring a steady growth for the company. We are confident to command a double-digit market share in the fast-growing outbound market in the near future.”
Prabhat Gupta, Co-Founder and CTO, TravelTriangle, commented, “Our growth figures for May 2016 highlighted TravelTriangle’s achievement as a CMNM-positive business in 6 key geographies with a GMV of Rs. 200 crore. The end of financial year 2016-17 has brought another milestone achievement for us with a boost in profitable unit economics through the year aided by a rapid growth which has resulted in a Rs. 350+ crore GMV for the company. It is unusual for an internet-based start-up in the consumer sector to talk profitability, but with the slump in the funding that the start-up industry witnessed last year, fancy metrics and the practice of achieving customer acquisition at any cost is no longer a viable model. Despite this, we secured a funding of $10 million early this year based on our performance and sustainable business model, which has shown promise from very early on. Our latest growth figures are proof of the rapid trajectory that TravelTriangle is on.”
Sanchit Garg, Co-Founder and CPO, TravelTriangle said, “As India's fastest growing holiday marketplace, our focus is chiefly on making holiday planning a delight for our customers. A superior product and an efficient back-end facilitate a simple and intuitive discovery, planning, selection and holiday booking process for users. This along with a host of exciting destinations and the most affordable pricing options has made TravelTriangle the top choice among young, tech-savvy travellers. We understand that the new age traveler has his/her own requirements. Hence, customization is the key to improving product and meeting the evolving demands and choices of consumers. Correspondingly, the platform provides suppliers and travel agents with sustainable business growth opportunities through state-of-the-art SaaS tools like SalesIQ, AnalyticsIQ, FinanceIQ and OperationsIQ. With an overarching goal to achieve market leadership as a comprehensive holiday marketplace, TravelTriangle will continue to execute its growth strategy with a focus on long-term value creation for its customers and partners.”
TravelTriangle operates as an innovative online marketplace and provides 3 unique services for travellers:
1. Multiple quotes from verified & reviewed travel agents: The smart algorithm matches travellers with multiple leading travel specialists who are best qualified to design the dream itinerary. Multiple quotes give travellers a comparison of prevalent options and provide easy price discovery & savings.
2. Make it the customer’s way: Travel agents work along with the traveller to plan the itinerary by understanding the traveller’s needs and then customize further as per requirements. Customization is an important tool enables travellers to book affordable holidays with travel agents.
3. Assured Last Mile Delivery: Each travel specialist partner is personally and meticulously verified. TravelTriangle also offers its customers the money safe guarantee – a service unique to the whole travel sector. The verification system conducts regular checks to monitor the safety of the customer’s money and ensure that travel agents provide the services as promised.
TravelTriangle is focused on building India's largest online holiday marketplace. Its endeavor is to make holiday planning a delight for its customers. It believes the planning process should be simple and intuitive and is constantly adding newer and exciting destinations to its offerings. It will continue to execute its growth strategy and focus on long-term value creation. In July 2014, TravelTriangle raised a pre-series A investment of $1.7 million from SAIF Partners. In April 2015, Silicon Valley venture fund Bessemer Venture Partners led an $8-million series A round in TravelTriangle. And, since then, TravelTriangle has been growing at a rapid pace. The company recently raised $10 million in a Series B round of funding led by RB Investments, a Singapore-based venture capital firm along with existing investors SAIF Partners and Bessemer Venture Partners also participating in the round.
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