MakeMyTrip, commonly known as MMT, has become one of India’s largest online travel platforms. Travellers use it to search for flights, reserve hotel rooms, book buses and trains, purchase holiday packages and arrange cabs and other travel services.
However, MakeMyTrip does not own most of the aircraft, hotels or buses shown on its platforms. It primarily acts as a technology-driven intermediary connecting travellers with airlines, hotels, bus operators and other travel suppliers.
The company earns commissions, convenience fees, service charges and incentives whenever customers complete eligible bookings. Holiday packages, corporate travel, travel-agent services, advertising and financial products provide additional income.
MakeMyTrip Company Quick Overview
| Particular | Details |
| Company name | MakeMyTrip Limited |
| Popular name | MMT |
| Founded | 2000 |
| Founder and Chairman | Deep Kalra |
| Co-founder and Group CEO | Rajesh Magow |
| Main office | Gurugram, Haryana |
| Industry | Online travel and tourism |
| Core business model | Asset-light online travel marketplace |
| Main brands | MakeMyTrip, Goibibo and redBus |
| Major services | Flights, hotels, holiday packages, buses, trains and cabs |
| Stock-market listing | Nasdaq |
| FY2026 gross bookings | $10.39 billion |
| FY2026 revenue | Approximately $1.04 billion |
| FY2026 profit for the year | Approximately $51.7 million |
MakeMyTrip began operations in 2000 by serving Indians living in the United States who needed flights between the US and India. It launched its Indian travel-booking website in September 2005. The group now operates through the MakeMyTrip, Goibibo and redBus brands.
What Is the MakeMyTrip Business Model?
MakeMyTrip follows an asset-light online travel marketplace model.
Airlines, hotels, homestays, bus operators and other travel suppliers provide the actual service. MakeMyTrip provides the website, mobile applications, search tools, payment system, customer support and booking technology.
The company helps travellers compare prices, schedules, room types and available options. When a booking is completed, MakeMyTrip earns a commission, convenience fee, service charge or commercial incentive.
The group also serves corporate customers, small businesses and offline travel agents. Its platforms offer services in India and a growing selection of travel products in the United Arab Emirates.
How Does MakeMyTrip Make Money?
1. Airline Commissions and Incentives
Flight bookings are one of MakeMyTrip’s largest businesses. Customers search for domestic and international flights through MakeMyTrip or Goibibo and complete the booking online.
MakeMyTrip can earn commissions and incentive payments from airlines when tickets are sold through its platforms. Incentives may depend on ticket volume, routes, performance targets and commercial arrangements with individual airlines.
The company does not keep the complete airfare. Most of the amount paid by the traveller belongs to the airline and includes applicable taxes and airport charges.
MakeMyTrip’s latest detailed regulatory disclosures identify airline commissions, supplier incentives, customer service fees and payments from global distribution system providers as its main sources of air-ticketing income.
2. Flight Convenience and Service Fees
Customers may pay a convenience, platform or service fee in addition to the airline fare.
This charge supports the booking system, payment processing, customer assistance and other platform services. The amount may vary depending on the route, payment method, booking channel and available promotion.
The company may also receive fees from global distribution system providers. These systems connect travel platforms with airline schedules, prices and ticket inventory.
MakeMyTrip’s FY2026 air-ticketing revenue was approximately $239.9 million. Its adjusted margin from the segment reached about $407.1 million after adding back customer inducement costs recorded as a reduction of revenue.
3. Hotel Booking Commissions
Hotels and holiday packages form MakeMyTrip’s largest reported revenue segment.
When a traveller reserves a standalone hotel room, the hotel may pay MakeMyTrip an agreed commission. The company may also collect convenience fees from customers.
The commission can vary according to the property, location, room price, season and commercial agreement. Hotels accept these charges because MakeMyTrip provides access to a large audience, digital payments, reviews and booking technology.
The company sold approximately 43.5 million hotel and package room nights during FY2026, including about 42.5 million standalone hotel room nights.
4. Holiday Package Margins
MakeMyTrip sells domestic and international holiday packages containing combinations of flights, hotel rooms, sightseeing, transfers and other services.
The company arranges the different parts of the trip and charges the customer a complete package price. It earns from the difference between the amount collected and the cost of purchasing the individual travel services.
Holiday packages may be standard or customised according to the traveller’s destination, budget and dates.
Unlike many ordinary hotel bookings, package revenue may be recorded on a gross basis when MakeMyTrip controls the bundled services before providing them to the customer.
Hotels and packages generated approximately $533.1 million in FY2026 revenue. The segment’s gross bookings reached about $2.66 billion.
5. Bus Ticket Commissions Through redBus
MakeMyTrip owns redBus, one of India’s largest online bus-ticketing platforms.
Bus operators list their routes, timings, available seats and ticket prices on redBus. When a passenger completes a booking, the group earns an agreed commission or fee.
Passengers may also pay convenience or platform charges. Most of the ticket price is transferred to the bus operator that provides the journey.
The group sold approximately 141.5 million bus tickets during FY2026. Bus-ticketing revenue increased to around $145.3 million, while gross bookings reached approximately $1.60 billion.
6. Train, Cab and Ground-Transport Services
MakeMyTrip allows customers to book train tickets, airport transfers, intercity cabs and other ground-transport services.
The company can earn commissions, facilitation charges or service fees according to its arrangements with railway-booking systems, cab operators and transport partners.
These services help MakeMyTrip cover more stages of a journey. A customer booking a flight may also require a cab to the airport, while someone purchasing a train ticket may need a hotel at the destination.
The company’s official service portfolio includes rail tickets, car hire, tours and attractions in addition to flights, hotels, packages and buses.
7. Corporate Travel Services
MakeMyTrip provides travel-management services to companies and their employees.
Corporate customers can use its systems to reserve flights and hotels, manage approvals, apply company travel policies and track expenses. MakeMyTrip may earn transaction fees, service charges and supplier commissions from these bookings.
Corporate contracts can provide repeat business because employees travel throughout the year. They may also produce larger booking volumes than individual leisure travellers.
The group identifies corporate travel as one of the newer businesses supporting its wider travel platform.
8. Services for Travel Agents
MakeMyTrip offers a travel-booking suite for travel agents. Smaller agents can access flight, hotel and holiday inventory instead of building direct relationships with every supplier.
The group can earn from booking margins, service fees and supplier incentives generated through this business-to-business channel.
This model extends MakeMyTrip’s reach to customers who prefer booking through a neighbourhood travel agent rather than using an app independently.
9. Travel Insurance and Financial Services
MakeMyTrip works with group companies and external providers to offer travel insurance, travel credit, foreign exchange, prepaid forex cards, visa support and cross-border remittances.
The regulated financial institution or insurance company provides the actual product. MakeMyTrip may earn a permitted commission, referral payment or service fee when a customer purchases an eligible product.
These services increase the amount MakeMyTrip can earn from one traveller without operating an airline or hotel.
10. Advertising and Promotional Partnerships
Airlines, hotels, tourism boards and other businesses can pay for advertising and greater visibility across MakeMyTrip’s platforms.
A hotel may purchase sponsored placement in search results, while a destination may fund a tourism campaign. Banks and payment companies may also sponsor discounts or card offers.
Advertising allows MakeMyTrip to earn from its customer traffic even when a user does not immediately complete a booking.
Gross Bookings Are Not MakeMyTrip’s Revenue
Gross bookings represent the total value of travel services reserved through the group’s platforms. They include the amounts payable to airlines, hotels, bus operators and other suppliers.
Most of this money does not belong to MakeMyTrip.
For example, MakeMyTrip reported FY2026 gross bookings of approximately $10.39 billion, but its IFRS revenue was about $1.04 billion. This is because the company generally keeps only its commission, service fee, incentive or package margin.
Major Costs in the MakeMyTrip Business Model
MakeMyTrip’s major expenses include:
- Employee salaries and benefits
- Technology and cloud infrastructure
- Advertising and customer discounts
- Payment-processing costs
- Customer support and call centres
- Refund and cancellation management
- Sales and marketing commissions
- Cybersecurity and fraud prevention
Holiday packages can also involve payments to hotels, airlines, tour operators and transport providers.
Discounts are a particularly important cost. Travel platforms frequently offer coupons and bank promotions to attract customers. These offers can increase bookings but reduce the amount earned from each transaction.
Latest Financial Performance
MakeMyTrip reported FY2026 revenue of approximately $1.04 billion, compared with $978.3 million in FY2025. Revenue increased by 10.7% on a constant-currency basis.
Results from operating activities rose by 30.1% to approximately $156 million. Adjusted operating profit reached around $188.8 million.
Profit for the year was approximately $51.7 million. This figure included a $30.6 million accounting gain related to the carrying value of convertible notes, so it should not be viewed entirely as operating profit.
Hotels and packages remained the largest revenue segment at $533.1 million. Air ticketing generated $239.9 million, bus ticketing produced $145.3 million and other services contributed approximately $125.7 million.
Why the MakeMyTrip Business Model Works
MakeMyTrip offers several travel services through one platform. A customer can book a flight, hotel, airport cab and insurance without visiting separate providers.
The model also benefits from network effects. More hotels, airlines and operators create greater choice for travellers. A larger customer base then encourages more suppliers to join the platform.
Its asset-light structure reduces the need to purchase aircraft, construct hotels or own a large vehicle fleet. The company can therefore focus on technology, customer acquisition and supplier relationships.
Challenges Facing MakeMyTrip
Travel demand is affected by economic conditions, wars, natural disasters, disease outbreaks and changes in fuel prices.
The company also faces strong competition from Booking.com, EaseMyTrip, Cleartrip, Yatra, airline websites and hotel platforms.
Supplier dependence is another challenge. Airlines and hotel chains may encourage customers to book directly to avoid paying platform commissions.
MakeMyTrip must also manage cancellations, refunds, payment fraud and technical failures. Customers frequently hold the platform responsible for problems even when the airline, hotel or bus operator caused the disruption.
FAQs
Q1. Does MakeMyTrip own the hotels shown on its website?
Generally, no. Independent hotels and accommodation providers list rooms through the platform. MakeMyTrip facilitates the reservation and earns an agreed commission or fee.
Q2. Does MakeMyTrip decide airline ticket prices?
Airlines normally control the base fare and seat availability. MakeMyTrip may add applicable convenience charges or provide discounts funded by itself or commercial partners.
Q3. Why can the same flight have different prices on different apps?
Prices can differ because of platform fees, promotional coupons, payment offers, supplier incentives and the timing of the search. Airline fares can also change rapidly as seats are sold.
Q4. Does MakeMyTrip earn money when a booking is cancelled?
It depends on the supplier’s cancellation policy and MakeMyTrip’s applicable fees. Part of the cancellation amount may belong to the airline, hotel or another service provider rather than MakeMyTrip.
Q5. Are MakeMyTrip, Goibibo and redBus separate companies?
They operate as different consumer brands within the wider MakeMyTrip group. MakeMyTrip and Goibibo provide broader travel bookings, while redBus primarily focuses on ground transport and bus tickets.
Conclusion
MakeMyTrip makes money mainly through airline and hotel commissions, customer convenience fees, holiday-package margins and bus-ticket bookings.
Corporate travel, travel-agent services, trains, cabs, insurance, foreign exchange and advertising provide additional income. Its business model succeeds by connecting travellers with thousands of suppliers without owning most of the travel assets.
Future growth will depend on increasing hotel, bus and ancillary bookings while controlling discounts, technology costs and customer-acquisition expenses.
