Makemytrip bets big on expanding homestay market

NEW DELHI: Online travel firm Makemytrip is betting on the growing homestay market with plans to add another 10,000 villas, apartments and other alternative accommodations on its online platform in the next one year, said a top company executive.

The Nasdaq-listed company’s plan to firm up presence in the homestay segment comes at a time when established companies such as Airbnb as well as startups such as Vista Rooms and Saffronstays are aggressively looking to tap the segment in the last two to three years.

“We have been closely watching the segment for the last few years and have been working on how we can improve and what features we can add,” said Vipul Prakash, chief operating officer, Makemytrip.

Of the total 170,000 properties listed on Makemytrip, around 20,000-25,000 are homestays that account anywhere between 5-7% of total revenue, which the company expects to double in the next one year.

“Homestay is a space where consumers are heading to,” said Prakash, adding that the company would focus more on leisure destinations such as Goa, Coorg and Manali apart from cities like Mumbai, Delhi and Hyderabad.

In October, a survey by the company showed that one in every two Indian travellers is looking to book an alternative accommodation like villas, homestays, hotels or cottages rather than a traditional hotel.

The survey found that the trend is led by millennials, who have shown higher propensity towards booking an alternative accommodation in India and overseas basis their varied travel interests.