India Online Travel Market Report is Segmented by Service Type (Air Ticket Booking, and More), by Booking Device (Desktop / Laptop and Mobile), by Business Model (Online Travel Agencies, Direct Supplier Online Platforms, and More), by Traveler Type (Leisure, and More), by Age Group (18–30 Years, and More), by Payment Mode (Credit / Debit Cards and More), by City Tier (North India, South India, and More).

The value of the online travel market in India was **** billion U.S. dollars in 2023. It was forecast to grow to around **** billion dollars by 2029. The growth is projected to be driven by various factors, including the increasing use of mobile devices for travel bookings, the rising popularity of online travel agencies, and the growing disposable income of Indian consumers. Growth and online bookings The online travel market in India is segmented by service type into transportation, travel accommodation, tour operators, and travel agencies. The transportation segment, and airlines in particular, accounted for the largest share in the online travel market in 2023. In terms of online bookings, hotels and train tickets were most popularly chosen. Major players in the online travel market MakeMyTrip, Cleartrip, and EaseMyTrip were the dominant players in the online travel market in India in 2023. MakeMyTrip was a popular online travel agency, used at least once. The sector is increasingly focusing on corporate travel as well as wellness packages and stress-relief services, helping business travelers seek both productivity and relaxation at their work-related trips.  

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India Travel Services Market Size 2025-2029

The India travel services market size is forecast to increase by USD 23.62 billion at a CAGR of 15.3% between 2024 and 2029.

The market is experiencing significant growth, driven by several key trends. The number of mergers, partnerships, and strategic alliances among players is increasing, leading to consolidation and expansion In the industry. Additionally, the introduction of low-cost airlines is making travel more affordable for consumers, thereby boosting demand. However, intense competition among players is leading to price wars, putting pressure on profit margins. To stay competitive, companies are focusing on innovation, such as offering personalized services, smartphone solutions, and car rental services to enhance the customer experience. Overall, these trends are shaping the future of the travel services market and presenting both opportunities and challenges for market participants.

What will be the Size of the market During the Forecast Period?

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The market encompasses various sectors, including air travel, accommodations, itinerary planning, and booking trips. Air travel continues to dominate the market, with advancements in AI and robotics streamlining operations and enhancing customer experience. The sharing economy, embodied by platforms like home-sharing services and ride-hailing apps, has disrupted traditional travel providers, offering more affordable options for travelers.



Solo travelers, adventure seekers, and eco-tourists also influence market trends, driving demand for niche offerings. Low-cost airlines and online travel agents cater to budget-conscious travelers, while medical tourism and educational tourism cater to specific needs. Desktop and mobile applications facilitate seamless booking and planning processes, enabling travelers to easily compare prices and customize their trips. Domestic tourism and package travelers also contribute significantly to market growth. Overall, the travel services market is characterized by innovation, competition, and evolving consumer preferences.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Mode Of Booking

  Online
  Offline


Service

  Domestic flight services
  Hotel accommodation services
  Rail ticket services
  Cab services
  Others


Geography

  India

By Mode Of Booking Insights

The online segment is estimated to witness significant growth during the forecast period.

The convenience offered by online platforms propels the shift in consumer preference for booking travel services through the online mode, subsequently propelling the sales generated through this segment. The sales through the online travel services segment are expected to grow at a rapid pace during the forecast period. The availability of a strong infrastructure for the penetration of online travel services also propels the preference for online platforms.

Additionally, internet penetration and smartphone use help consumers access online travel service platforms. The increasing Internet penetration and the number of smartphone users help online travel service providers expand their customer reach and service portfolio. Additionally, the availability of proper infrastructure and many agents and third-party online platforms ensure streamlined business activities of online travel service providers.

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Market Dynamics

Our market researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers leading to the rise in adoption of India Travel Services Market?

Increase in number of mergers, partnerships, and strategic alliances is the key driver of the market.

The market encompasses various sectors including air travel, online travel services, and offline travel services. Air travel dominates the market, with online travel agencies (OTAs) and low-cost airlines driving growth through their user-friendly platforms and competitive pricing. AI and robotics are revolutionizing the industry, offering personalized itinerary planning and seamless booking experiences for individual travelers and corporations. The sharing economy, such as homestays and ride-sharing services, is also gaining traction among solo travelers and adventure travelers. Additionally, niche markets like eco-tourism, medical tourism, and educational tourism are expanding the market's reach. Tour packages, including flight bookings, hotel booking s

Discover the booming India online travel market! Our analysis reveals a ₹17.24 billion market in 2025, projected to grow at a 10.5% CAGR until 2033. Learn about key players, trends, and future projections for online travel agencies, booking platforms, and travel packages in India. Recent developments include: August 2023: Skyscanner launched its Hindi language experience across all its products and services to penetrate deeper into the Indian market. Skyscanner acts as a one-stop solution for travelers looking to compare ticket fares, hotel tariffs, and intra-city commutes by curating data from its partner Online Travel Agent (OTA) sites., August 2023: MakeMyTrip long with the Ministry of tourism has launched a unique Travellers' Map of India that showcases 600 plus destinations beyond the popular travel spots in the country.. Notable trends are: Growth of the Tourism Industry in India is Driving the Market.

According to a survey by Rakuten Insight on online travel agencies (OTA) conducted in June 2023, 54 percent of Indian respondents between 45 and 54 years had used an online travel agency. In the age group 16 to 24 years, only ** percent of respondents had used an OTA and ** percent had never heard of OTAs before. Online travel agencies are online platforms like Agoda, Skyscanner, Booking.com, or TripAdvisor that offer a wide range of tourism services.

The online air travel market size was valued at ** billion U.S. dollars in India during financial year 2020. The market is expected to expand to ** billion dollars by 2025. Comparatively, the size of the online hotel market was ** billion dollars for financial year 2020 and is likely to reach ** billion dollars by 2025.

The size of the India Online Travel Market market was valued at USD 17.24 Million in 2023 and is projected to reach USD 34.68 Million by 2032, with an expected CAGR of 10.50% during the forecast period. Recent developments include: August 2023: Skyscanner launched its Hindi language experience across all its products and services to penetrate deeper into the Indian market. Skyscanner acts as a one-stop solution for travelers looking to compare ticket fares, hotel tariffs, and intra-city commutes by curating data from its partner Online Travel Agent (OTA) sites., August 2023: MakeMyTrip long with the Ministry of tourism has launched a unique Travellers' Map of India that showcases 600 plus destinations beyond the popular travel spots in the country.. Key drivers for this market are: Demand for Winter Sports and Outdoor Recreation. Potential restraints include: Unpredictable Weather Conditions. Notable trends are: Growth of the Tourism Industry in India is Driving the Market.

India Online Travel Market size was valued at USD 15.61 Billion in 2024 and is projected to reach USD 33.56 Billion by 2032, growing at a CAGR of 10.5% during the forecast period from 2026-2032.

India Online Travel Market: Definition/Overview

Online travel refers to the digital marketplace where consumers can research, compare, and book various travel-related services and products via the internet. This includes accommodations, flights, car rentals, vacation packages, and experiences. Online Travel Agencies (OTAs) serve as intermediaries that connect travelers with service providers, allowing users to browse a wide range of options in a user-friendly format.

******** and ******************************* are the top two answers among Indian consumers in our survey on the subject of "Travel product online bookings".The survey was conducted online among 6,187 respondents in India, in 2025.

India online travel and OTA platforms market valued at USD 51 Bn, driven by internet penetration, mobile apps, and rising disposable income, with OTAs dominating at 65% share.

According to a survey by Rakuten Insight on online travel agencies (OTA) conducted in June 2023, ** percent of Indian women had used an online travel agency. In comparison, ** percent of Indian men had used an OTA before. The share of women who had not yet heard about OTAs was likewise lower than the share of men. Online travel agencies are online platforms like Agoda, Skyscanner, Booking.com, or TripAdvisor that offer a wide range of tourism services.

India Travel and Tourism Market was valued at USD 19.44 billion in 2024 and is anticipated to grow USD 31.21 billion by 2030 with a CAGR of 8.27% during forecast period.

USD 22.45 Billion in 2024; projected USD 45.26 Billion by 2033; CAGR 8.09%.

The online travel market size is estimated to reach ** billion U.S. dollars by financial year 2027. Air travel is projected to account for ** percent of the market share by 2027. On the other hand, market share of train travel is estimated to decrease to ** percent of the total share.

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Online Travel Booking Platform Market Size 2025-2029

The online travel booking platform market size is forecast to increase by USD 2266.6 billion, at a CAGR of 20.6% between 2024 and 2029.

The market is experiencing significant growth, driven by the increasing use of the internet and smartphones for travel planning and booking. This digital shift is facilitated by the widespread adoption of online payment platforms, enabling seamless transactions and enhancing user convenience. However, the market is not without challenges. Disruptions in travel demand, such as those caused by geopolitical instability or health crises, pose a threat to market growth. Companies must remain agile and adapt to these uncertainties by diversifying their offerings and exploring new markets. Additionally, maintaining strong customer relationships through personalized services and competitive pricing is crucial for market success. As the market continues to evolve, players must stay informed of emerging trends and consumer preferences to capitalize on opportunities and navigate challenges effectively.

What will be the Size of the Online Travel Booking Platform Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe online travel booking market continues to evolve, driven by advancements in technology and shifting consumer preferences. Mobile apps have become a dominant force, offering convenience and ease of use for travelers on-the-go. Customer lifetime value and inventory management are key focus areas for players in this sector, with third-party providers and package deals playing essential roles in expanding offerings. Social media marketing and activity bookings are emerging trends, while destination marketing and rating systems enhance the user experience. Search functionality, churn rate, and metasearch engines are crucial components of price comparison and booking engines. Data analytics, sorting algorithms, and loyalty programs help optimize performance and retain customers. Real-time availability, dynamic pricing, and fraud detection are essential for securing transactions in the ever-changing market. Flight bookings, car rentals, and hotel reservations are core offerings, with API integrations and visa assistance adding value. Revenue management, conversion rates, user experience, and website design are critical factors influencing customer acquisition and retention. Travel agents and tour operators are adapting to the digital landscape, while recommendation engines and user reviews shape the future of personalized travel experiences. Data privacy and security protocols are seamlessly integrated into the market's ongoing dynamics, ensuring a secure and trustworthy environment for all stakeholders.

How is this Online Travel Booking Platform Industry segmented?

The online travel booking platform industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. PlatformMobile/tabletDesktop/laptopTypePackagesDirectEnd-userLeisureBusinessMode Of BookingDirectThird-partyGeographyNorth AmericaUSCanadaEuropeFranceGermanyItalyUKAPACChinaIndiaJapanSouth KoreaRest of World (ROW)

By Platform Insights

The mobile/tablet segment is estimated to witness significant growth during the forecast period.The online travel booking market in the US is experiencing dynamic trends, with mobile apps emerging as a preferred choice for customers. Filtering options and search functionality enable users to find deals and packages tailored to their preferences. Customer lifetime value is a crucial metric for revenue management, while inventory management ensures real-time availability of flights, hotels, and activities. Third-party providers expand offerings, and social media marketing boosts customer engagement. Destination marketing and activity bookings cater to niche travelers, while rating systems and user reviews foster trust. Metasearch engines and price comparison tools help consumers compare deals, and email marketing maintains customer relationships. Loyalty programs and dynamic pricing offer personalized incentives. Flight bookings and car rentals are integral components, with booking engines and API integrations streamlining processes. Fraud detection and visa assistance ensure secure transactions. Cloud computing and data analytics optimize performance, while conversion rates and user experience are essential for customer acquisition. Hotel reservations and travel agents cater to various segments, and recommendation engines suggest tailored travel packages. Customer support and booking confirmation are essential for retention. Currency exchange and cancellation policies address customer conve

Online Travel Booking Software Market Outlook

The global online travel booking software market size is projected to expand from USD 10.8 billion in 2023 to USD 22.3 billion by 2032, reflecting a robust CAGR of 8.5% over the forecast period. This impressive growth can be attributed to the increasing preference for convenience, the rise in disposable income among the middle class, and technological advancements in the travel and tourism industry.

One of the primary growth factors driving the online travel booking software market is the increasing penetration of smartphones and the internet, which has revolutionized the way people plan and book their travel arrangements. The convenience of booking flights, hotels, and vacation packages online has led to a significant shift from traditional travel agency bookings to online platforms. Additionally, the proliferation of user-friendly mobile applications that allow customers to book travel at their fingertips has contributed significantly to market growth.

Another critical factor is the growing trend of personalized travel experiences, driven by the rise of artificial intelligence (AI) and machine learning (ML) technologies. These innovations enable travel booking software to offer tailored recommendations based on user preferences, past travel behavior, and real-time data, enhancing customer satisfaction and fostering repeat business. The integration of AI and ML into travel booking platforms is expected to continue driving demand for advanced software solutions in the coming years.

Furthermore, the increasing globalization and the rising aspiration for international travel among consumers in emerging economies are major growth drivers. As more people seek unique travel experiences and cross-border adventures, the demand for comprehensive online travel booking solutions that can handle multi-currency transactions, diverse travel regulations, and different languages is on the rise. This trend is particularly evident in regions such as Asia Pacific and Latin America, where a burgeoning middle class is increasingly engaging in international travel.

Online Booking Platforms have become an integral part of the travel industry, revolutionizing the way consumers interact with travel services. These platforms offer a centralized hub where users can compare prices, read reviews, and make bookings for flights, hotels, and other travel-related services. The convenience and efficiency provided by online booking platforms have led to their widespread adoption, as they allow travelers to plan their entire trip from the comfort of their homes. Additionally, the integration of secure payment gateways and customer support services enhances the user experience, making online booking platforms a preferred choice for modern travelers. As technology continues to evolve, these platforms are expected to incorporate more advanced features, such as AI-driven recommendations and virtual reality tours, further transforming the travel booking landscape.

From a regional perspective, North America and Europe currently dominate the online travel booking software market. However, the Asia Pacific region is anticipated to witness the highest growth during the forecast period, driven by rapid urbanization, increasing internet penetration, and the expansion of the tourism sector in countries such as China and India. The Middle East & Africa region is also expected to experience steady growth, fueled by rising tourism initiatives and investments in travel infrastructure. Latin America's market is projected to grow moderately, supported by an improving economy and a growing number of international tourists.

Component Analysis

In the component segment, the market is bifurcated into software and services. The software segment holds the lion's share of the market owing to its essential role in automating travel booking processes, managing reservations, and improving overall operational efficiency. Robust software solutions offer comprehensive features such as real-time booking, inventory management, and analytics, which are crucial for travel agencies and individual users alike. With technological advancements, the software segment is expected to witness significant growth, driven by the demand for sophisticated, AI-powered solutions that enhance user experience and operational efficiency.

The services segment, although smaller in comparison to software, plays a vital role in

According to a survey by Rakuten Insight on online travel agencies (OTA) conducted in June 2023, ** percent of respondents in the age group from ** to ** did not use an online travel agency because they found a better price at the service provider directly. ** percent of respondents older than 55 years stated that they preferred an offline agency. Very few respondents across all age groups found the OTA-platforms not to be user-friendly.

Online travel agencies are online platforms like Agoda, Skyscanner, Booking.com, or TripAdvisor that offer a wide range of tourism services.

The India Hospitality Market Segmented by Type (Chain Hotels, Independent Hotels, and Others), Accommodation Class (Luxury, Mid & Upper-Mid-Scale, and Others), Booking Channel (Direct Digital, Online Travel Agencies (OTAs), and Others), Geographic Region (North India, West India, and Others). The Market Forecasts are Provided in Terms of Value (USD).

This statistic depicts the value of travel agent sales made online in India in 2017 with an estimate for 2022, by customer type. In 2022, online travel bookings made through Indian travel agents by domestic travelers were estimated to reach a value of around ***** billion U.S. dollars.

The Indian wellness tourism market exhibits robust growth potential, with a market size of $19.43 billion in 2025 and a projected Compound Annual Growth Rate (CAGR) of 6.45% from 2025 to 2033. This expansion is fueled by several key drivers. Increasing disposable incomes among the Indian middle class are allowing more individuals to prioritize health and wellness, leading to higher spending on wellness retreats and therapies. A growing awareness of preventative healthcare and the rising popularity of holistic wellness practices like Ayurveda and Yoga are also significant contributing factors. Furthermore, the Indian government's initiatives to promote medical and wellness tourism are boosting the sector's appeal to both domestic and international travelers. The market is segmented by various types of wellness offerings, including Ayurveda, Yoga, Naturopathy, and spa treatments, each catering to specific consumer preferences. Leading players like Atmantan Wellness Center, Ananda in the Himalayas, and Kairali Ayurvedic Healing Village are driving innovation and expansion within this competitive landscape. The sector faces challenges such as infrastructure limitations in some areas and the need to maintain high quality standards across diverse offerings. However, the overall trajectory indicates substantial growth opportunities for businesses that can leverage the rising demand for holistic wellness experiences. The forecast period (2025-2033) anticipates continued growth, driven by an increasing focus on mental wellness alongside physical health. The integration of technology, such as online booking platforms and virtual wellness consultations, will play a significant role in market expansion. Furthermore, the development of niche wellness tourism packages targeting specific demographics and health concerns will contribute to diversification and increased market penetration. The presence of established brands coupled with the emergence of smaller, boutique wellness centers signals a healthy and dynamic market. Sustained growth hinges on maintaining high service quality, addressing infrastructural challenges, and capitalizing on the expanding wellness tourism sector's global appeal. Key drivers for this market are: Increase in the online travel agencies in Russia, Due to factors including digital trends and technical improvements, the online booking industry is undergoing significant transformation. Potential restraints include: Booking Cancellation. Notable trends are: The Tourism Expenditure in India is Growing.