Inside ixigo’s Full-Stack Model: How Trains, Flights And Buses Are Funding Its Next Bets

ixigo, a travel technology company, has evolved from a flight meta-search platform to a full-stack OTA by gradually adding more travel segments such as trains, buses, and hotels. The company started earning commissions through its price comparison tool and later expanded to ticketing, becoming an actual merchant in 2019. This shift in model has allowed ixigo to generate revenue through various sources such as commissions, convenience fees, ancillary services, advertising, and value-added services.

Today, ixigo operates in a highly competitive OTA market alongside other players such as MakeMyTrip, EaseMyTrip, Yatra, and Cleartrip. The company also faces challenges related to seasonal travel demand and geopolitical tensions, which can impact booking volumes and revenue.

In Q1 FY27, ixigo's gross travel value (GTV) reached ₹5,524 crore, a 19% increase from the previous year. Revenue from operations also grew by 13% to ₹357 crore, with a contribution margin of ₹145 crore, which increased by 13% YoY. However, adjusted EBITDA declined by 7% YoY, reflecting the company's continued investments in new areas, including hotels, AI, and brand building.

The company's business model is centered around user engagement, which begins with travellers seeking travel information. Once a user is in the booking funnel, ixigo monetizes the transaction through commissions, convenience fees, and other services depending on the category. For example, flights generate commissions and convenience fees, while buses earn commissions and convenience fees, and hotels generate revenue through agent service charges, VAS, and advertising.

In Q1 FY27, buses generated the highest contribution margin, while flights generated the highest GTV, with flights having a GTV of ₹2,341.84 crore.