About the Ecommerce Marketplace and Travel Business
Launched in 2007, Flipkart is an Indian ecommerce company that offers over 80 million products in more than 80 categories through its app. According to the business, Flipkart has 100 million registered users, 100,000 sellers, and receives 10 million daily page visits.
In addition, the ecommerce company completes 8 million shipments per month. Crunchbase data reports that the Flipkart marketplace has raised $9 billion in total funding. The world’s largest retailer, Walmart, purchased a 77% majority stake in the business in 2018 for $16 billion.
Cleartrip is an online Indian travel technology app company that allows customers to search for and book flights, hotels, and trains to any destination. Founded in 2006, the business claims it has made more than 100,000 bookings, roughly 2,200 of which were flights.
Additionally, more than 200,000 people have flown using the platform created by the travel app company. Furthermore, Crunchbase data reports Cleartrip has raised $56.4 million in total financing. Furthermore, Cleartrip has partnered with Amazon India since 2019, powering the ticketing engine for the tech giant.
In a press release, the travel app business announced that Flipkart will acquire 100% of Cleartrip’s shareholdings as part of the ecommerce marketplace’s mission to strengthen its offerings to customers.
Stuart Crighton, CEO and co-founder of the travel app marketplace, said in a statement, “Cleartrip has been a pioneer in capitalising on technology to simplify the travel experience for our customers. This product-driven focus has enabled us to become the preferred travel partner of choice for consumers in a wide range of markets in the region. We are delighted to be part of the Flipkart family and are excited about the positive impact this collaboration can have for our customers and the travel industry in general.”
In this new deal, Cleartrip will continue to operate as its own brand and retain all employees but will work closely with the ecommerce app company to develop simple travel technology solutions for customers.
Kalyan Krishnamurthy, CEO of Flipkart, added in a statement, “The Flipkart Group is committed to transforming customer experiences through digital commerce. Cleartrip is synonymous with travel for many customers, and as we diversify and look at new areas of growth, this investment will help strengthen our wide range of offerings for customers. We welcome the Cleartrip team with their deep industry knowledge and technology capabilities to the Flipkart Group and look forward to providing deeper value and travel experiences for customers together.”
The ecommerce company did not disclose the terms of the deal, such as the acquisition price or when the acquisition is expected to be completed. However, earlier this week, it was reported the deal could be a combination of cash and equity totaling $40 million.
Flipkart has been exploring the travel industry for a few years now. The ecommerce marketplace has previously partnered with other travel companies like MakeMyTrip and Ixigo in 2018 and 2019.
About the Author
McKenzie Carpenter is a graduate of Central Michigan University with a B.A.A. in Integrative Public Relations and French. McKenzie has previously worked for small businesses and nonprofit organizations.