Paytm invests Rs 250 crore to boost its travel business
New Delhi: Digital payments firm Paytm on Thursday announced to invest Rs 250 crore in its travel business over the next six months to scale up product and technology team and set up new business verticals.
According to the company, owned by One97 Communications, it has sold over 100 million tickets within just three years of operations.
"We continue to witness strong growth in tier 2 and 3 cities, which accounts for over 65 per cent of our new customers. This investment will help us further bolster our position as a dominant player in the travel booking space," said Abhishek Rajan, Senior Vice President at Paytm Travel.
The company claimed that it sells more than six million travel tickets every month and is targeting to grow by 100 per cent in the current financial year.
With a customer base of more than 15 million and annual GMV of $1 billion, Paytm has quickly risen to become a leading online travel booking destination in India.
Since its inception, Paytm Travel has launched several product innovations like free cancellation that starts as low as Rs 99 for flights and Rs 9 for bus, zero cancellation-processing fee on flight tickets and instant refunds among others.
"Our users have saved more than 60 crore from our free cancellation feature on flight and bus ticket bookings," added Rajan.
The company has chosen Bengaluru as the base of operations for its travel Business with a teame of over 300 members.