ibibo Group, the online travel platform backed by global internet and media company Naspers, as well as China’s leading internet firm Tencent, today announced that Naspers will be investing another US$250m in the group.
The move comes at an opportune moment. IBibo is already doing pretty well, with more than 6.5m transactions in the last quarter of last year. Not only is its hotel and air ticket booking website Goibibo is on the top, its bus booking franchise redbus, is doing pretty well too.
That said, the extra push — with $250 million, it is a shove rather than a push — will certainly prove to be very helpful. The company is planning to use the extra funds to strengthen it’s position in the hotels category and implement additional technological innovations into it system.
Speaking on the topic, ibibo Group Founder & CEO, Ashish Kashyap said:
Our objective is to solve problems for the transportation and accommodation providers and to connect them to the travellers. The commitment from both Naspers and Tencent to ibibo is testimony to the strength of our platforms and the opportunities ahead.
And the company seems to be succeeding too. As per a report by Morgan Stanley that relied upon a survey of hoteliers, Goibibo was rated as No.1 in booking volumes, confirmed bookings, last minute bookings, backend and IT support and even insights and market intelligence. If you like cold, hard numbers: that translates into a staggering 1.6 million nights that were booked through Goibibo in the last quarter alone.
Putting things in perspective, that is a staggering 400% Year-Over-Year growth, making Goibbo the single largest hotels booking platform in India.
Speaking on the topic, Naspers Group CEO, Bob van Dijk, said
The Indian ecommerce market, and the online travel segment in particular, offers exciting growth prospects for us as a group. With a talented, proven management team and exceptional technology, ibibo is well positioned to benefit from an increasing number of people using online travel services going forward.
Well, iBibo certainly has a lot of funds in its kitty now courtesy Naspers, and we haven’t even mentioned Tencent yet — which is another one of its backers. Well, let’s see if the faith of heavyweight backers along with the fresh influx of cash, helps iBibo in its quest to become the only travel destination in India.