Global Online Travel Market

$664B
Market Size (2025)
$1T+
Projected (2030)
+8.6% CAGR
$107B
OTA Revenue (2026)
$13.4B
AI in Travel (2030)
+26.7% CAGR

India Online Travel Market

$23B
India Market (2025)
$34B
Projected (2030)
+7.8% CAGR
55%
MakeMyTrip Market Share
67%
Mobile Bookings
💬

WhatsApp Dominance

535M WhatsApp users in India with 89% smartphone penetration. 74% of consumers expect to buy directly via messaging apps.

💳

Payment Infrastructure

114.9M active credit cards growing 27% YoY. 839M UPI users. Digital wallets handle ~50% of travel transactions.

🤖

AI Adoption

71% of Indian travelers already use AI for trip planning (vs 40% global). Gen AI surged from 6% to 15% as travel discovery channel in one year.

Key Market Signals

81-89% booking abandonment rate

Mainly due to UX friction — the problem we solve with conversational booking on WhatsApp.

74% expect to buy via messaging apps

Consumer behavior is shifting toward conversational commerce. WhatsApp commerce shows 45-60% conversion rates.

!
Only 2% want full AI booking autonomy

Trust must be earned incrementally. Human-in-the-loop for payments is mandatory. Start with search, earn trust, then handle booking.

228.3B UPI transactions/year in India

India has the most advanced digital payment infrastructure in the world. Users are comfortable paying digitally.

Market Tailwinds

🚀

AI Agent Explosion

Strong

AI agent market: $10.9B growing at 45% CAGR. Every major tech company investing in agentic AI that can take actions, not just recommend.

🇮🇳

India Digital Infrastructure

Strong

UPI, Aadhaar, DigiLocker create the world's best digital payment + identity stack. WhatsApp pay integration growing.

✈️

Gen Z Travel Spending

Growing

Gen Z and millennials prioritize experiences over things. Travel spending per capita increasing faster than GDP growth.

Market Headwinds

Incumbent Response Speed

12-18mo window

MakeMyTrip partnered with OpenAI (Feb 2026). ixigo partnered with OpenAI (Feb 2026). Google AI Mode building end-to-end booking by H2 2026.

🔒

Trust Deficit

High barrier

Only 2% of travelers want full AI booking autonomy. The Air Canada chatbot ruling makes companies liable for AI errors. Trust must be earned incrementally.

😴

Consumer Inertia

For simple trips

For a simple BLR→DEL one-way, most users will just open MakeMyTrip. The value proposition is strongest for complex, multi-leg, loyalty-optimized trips.