In 2025, the global travel and tourism industry is making a strong comeback, with digital transformation reshaping how people plan, book, and experience travel. For startup founders and app entrepreneurs eyeing the booming online travel agency (OTA) market, understanding the business models behind two Indian powerhouses—Yatra and MakeMyTrip—is more relevant than ever.
Both platforms have carved out significant market share by adopting unique approaches to revenue generation, partnerships, customer acquisition, and scalability. As new founders aim to replicate their success through app clones or innovative travel tech startups, analyzing their business frameworks offers valuable insights into building a profitable and scalable OTA platform in today’s competitive environment.
Let’s dive into the fundamentals of each platform—what they are, how they work, and what startup leaders can learn from them.
What is Yatra?
Yatra.com is one of India’s leading online travel companies, launched in 2006. The Yatra platform provides a one-stop shop for travelers, offering services such as:
- Flight bookings (domestic & international)
- Hotel reservations
- Bus and railway bookings
- Holiday packages
- Corporate travel solutions
Yatra’s Vision is to make travel planning more accessible and affordable while streamlining bookings for both individual travelers and businesses. Yatra has also integrated B2B offerings through its corporate travel platform—Yatra for Business—catering to enterprise clients.
What is MakeMyTrip?
MakeMyTrip, founded in 2000, is the trailblazer in India’s OTA industry. With a broader market reach and deeper penetration, MakeMyTrip offers:
- Domestic and international flights
- Hotel and homestay bookings
- Bus, train, and cab bookings
- Holiday packages and activities
- Loyalty programs (MMT Black, MMT Double Black)
- Travel insurance & fintech add-ons
MMT operates under a multi-brand strategy, including sub-brands like Goibibo and Redbus, targeting various market segments while retaining overall brand leadership in the Indian OTA space.
Business Model of Yatra
1. Revenue Streams
Yatra uses a commission-based and convenience-fee model, earning from:
- Flight and hotel bookings (10–20% commissions)
- B2B corporate travel services
- Holiday packages (custom tours)
- Advertising & promotional listings
- Affiliate partnerships
2. Cost Structure
Key expenses include:
- Technology & platform maintenance
- Customer acquisition (digital ads, coupons)
- Partner management (hotels, airlines)
- Operational staff and customer support
3. Key Partners
- Airlines (IndiGo, Air India, etc.)
- Hotel aggregators and independent hotels
- Bus and train operators
- Travel insurance providers
- Corporates via Yatra for Business
4. Growth Strategy
Yatra is focusing on B2B growth in 2025 through enterprise solutions, corporate travel management, and digitized expense handling. It’s also expanding via:
- Mobile-first initiatives
- Loyalty programs
- Deeper tier-2 and tier-3 city penetration
Learn More: Business Model of Yatra: India’s Top Online Travel Platform
Business Model of MakeMyTrip
1. Revenue Streams
MakeMyTrip adopts a diversified model, with earnings from:
- Commissions on bookings (15–25%)
- Dynamic pricing margin (hotels/flights)
- Subscription revenue (MMT Black, Double Black)
- Advertisements & featured listings
- Cross-selling insurance, forex & credit
2. Cost Structure
MMT spends significantly on:
- Brand campaigns & user acquisition
- Technology (AI for smart search, dynamic pricing)
- Customer retention (cashbacks, loyalty)
- Operational overhead
3. Key Partners
- Airlines, hotel chains & homestays
- Bus & rail operators (via RedBus)
- Fintech providers (credit, EMI options)
- Loyalty program affiliates
- Local travel agents for offline-to-online integrations
4. Growth Strategy
MakeMyTrip’s expansion in 2025 includes:
- AI-powered personalization
- Cross-platform integration (Goibibo, Redbus)
- Experiential travel (tours, activities)
- Global bookings with local support
- Fintech innovations for flexible travel financing
Learn More: Business Model of MakeMyTrip : Revenue Streams & Strategy
Comparison Table: Yatra vs MakeMyTrip Business Model
| Feature | Yatra | MakeMyTrip |
|---|---|---|
| Founded | 2006 | 2000 |
| Primary Focus | B2C + Corporate Travel (B2B) | B2C with sub-brand integrations |
| Revenue Streams | Commissions, B2B services | Commissions, Subscription, Fintech |
| Hotel Booking Margin | ~10–20% | ~15–25% |
| Subscription Model | No | Yes (MMT Black, Double Black) |
| B2B Presence | Strong (Yatra for Business) | Moderate |
| Loyalty Program | Basic Cashback/Offers | Advanced Tiered Loyalty (MMT Black) |
| Brand Network | Single brand | Multiple brands (Goibibo, RedBus) |
| Global Reach | Limited | Expanding (APAC, Middle East) |
Pros & Cons of Yatra’s Business Model
Pros
- Strong presence in corporate travel
- Simpler operational focus
- Good margins via negotiated B2B deals
- Easier to replicate for niche OTA startups
Cons
- Limited monetization in consumer loyalty
- Lacks fintech integration (EMI, credit)
- Less aggressive in experiential travel offerings
Pros & Cons of MakeMyTrip’s Business Model
Pros
- Highly diversified revenue streams
- Strong brand ecosystem (Goibibo, RedBus)
- Smart use of AI & personalization
- Market leader with user trust & scale
Cons
- High burn on customer acquisition
- Complex multi-brand management
- Subscription model needs high volume to succeed
Market Data: Growth, Revenue & Funding (As of 2025)
| Metric | Yatra | MakeMyTrip |
|---|---|---|
| 2025 Est. Revenue | $85–100 million | $600–700 million |
| User Base (Monthly Active) | 5–7 million | 25+ million |
| Total Funding Raised | ~$75 million | ~$800 million |
| App Downloads (India) | 10M+ | 50M+ |
| Business Expansion | Focused on B2B & SMBs | B2C dominance with global outreach |
Which Model is Better for Startups in 2025?
If you’re a lean startup targeting specific segments like SMBs, employee travel, or rural tourism—Yatra’s model is ideal. It’s streamlined, easier to manage, and scalable with lower capital requirements.
If you’re VC-backed and planning for massive scale with cross-selling, brand play, and ecosystem dominance—MakeMyTrip’s model sets the gold standard. But it demands more resources and operational maturity.
Choose Yatra-style Business Model If…
- You want to build a corporate travel platform
- You’re focused on tier-2/3 Indian cities
- You’re building a bootstrapped OTA startup
Explore Our Solution: Build your Yatra Clone with Miracuves
Choose MakeMyTrip-style Business Model If…
- You aim for a consumer-first mega app
- You want to integrate fintech or loyalty
- You’re targeting high growth at scale
Explore Our Solution: Build your MakeMyTrip Clone with Miracuves
Conclusion
Both Yatra and MakeMyTrip offer valuable blueprints for travel tech entrepreneurs in 2025. While Yatra shines with its B2B efficiency and lean model, MakeMyTrip dazzles with brand power and ecosystem strategy. The key is understanding your own business vision, market scope, and capital resources.
At Miracuves, we help startups like yours build OTA platforms that combine the best of both worlds—scalability and simplicity. Whether it’s a Yatra-style or MakeMyTrip-style clone, our tech and strategy experts will bring your idea to life.
Let’s build your travel platform dream together with Miracuves.
FAQs
1. What is the key difference between Yatra and MakeMyTrip’s business model?
Yatra focuses more on corporate travel (B2B), while MakeMyTrip emphasizes consumer travel (B2C) with a multi-brand approach and deeper monetization.
2. Which platform is easier to replicate for a startup?
Yatra’s business model is simpler and leaner, making it a better starting point for new entrepreneurs.
3. Does MakeMyTrip earn from subscriptions?
Yes, MakeMyTrip offers MMT Black and Double Black, two paid loyalty programs that provide exclusive discounts and cashback.
4. What kind of apps can I build using the Yatra or MakeMyTrip model?
You can build flight booking apps, corporate travel portals, holiday planners, or even a multi-service travel super app.
5. Can Miracuves help with white-label travel app development?
Absolutely! Miracuves specializes in travel app clones, offering scalable, customizable solutions based on top OTAs like Yatra and MakeMyTrip.
