Book with 0 Payment — Building truly for Bharat

Revolutionizing Stay Booking: Introducing ‘Book with 0 Payment’

In the dynamic realm of travel, spontaneity often takes the lead. The ability to chart your course, adapt on the go, and embrace the unexpected is the hallmark of a seasoned traveller. At MakeMyTrip, we’ve always recognized that the desire for flexibility in travel planning isn’t just a convenience but a fundamental need. Our latest innovation, the ‘Book with 0 Payment’ feature, represents our unwavering commitment to giving you the freedom to travel on your terms. Join us as we embark on a journey to explore the origins of this groundbreaking feature, the challenges it surmounted, the needs it gracefully addressed, and the profound impact it’s had on our cherished customers and our thriving business.

The Birth of ‘Book with 0 Payment’: Resolving the Unresolvable

The inception of ‘Book with 0 Payment’ emerged as a response to a series of challenges we encountered:

1. The ‘Pay at Hotel’ Dilemma: While a traditional approach, ‘Pay at Hotel’ presented a significant obstacle. It necessitated the collection of customers’ credit card information, sparking valid concerns about data security and safeguarding personal details. In an age marked by data breaches and heightened security concerns, customers understandably exercised caution when sharing their credit card information.
2. The ‘Pay Later with Auto Debit’ Conundrum: Although designed to provide flexibility, the ‘Book Now Pay Later with Auto Debit’ option had its limitations. Like the ‘Pay at Hotel’ method, it required users to share their credit card details, making it inaccessible to those who preferred alternative payment methods. Moreover, it posed a substantial challenge by offering a very low credit limit, which fell short of the average customer’s needs in the country. This not only failed to cater to the diverse payment preferences of travellers but also raised concerns about data security and the complexities of the auto-debit process.

Understanding Customer Needs and Business Objectives

Our decision to introduce ‘Book with 0 Payment’ was grounded in our commitment to address critical customer and business needs:

Customer Needs

1. Limited Cash Liquidity: Many travellers may not have the funds readily available for upfront payments, especially when planning multiple trips or extended stays. ‘Book with 0 Payment’ provides the liquidity needed for a seamless booking experience, allowing customers to make bookings without depleting their resources, ensuring they can enjoy their travel without financial strain.
2. Simplifying Amidst Multiple Dates and Hotel Choices: The plethora of dates, hotel options, and deals available can often lead to confusion. Our feature simplifies the booking process, making it easy for customers to plan multiple stays, even if their travel dates or preferences change.
3. Alleviating Concerns About Rising Hotel Prices: Travelers often worry that hotel prices will increase as they delay their bookings. This fear can lead to premature reservations or hesitation in booking altogether. With our new feature, customers can reserve their accommodations without the worry of prices going up. The flexibility of payment closer to the check-in date alleviates this concern.

Business Needs

1. Unlocking New Growth Avenues in Tier-2/3 Cities: Recognizing the untapped potential in emerging markets, our goal was to engage with new users in regions where credit card access was limited, yet the demand for a wide range of accommodation choices was high. The introduction of the ‘Book with 0 Payment’ feature can emerge as an enticing opportunity for travellers in these areas, bolstering user expansion and long-term retention.
2. Eliminating the Upfront Payment Barrier: We identified that the requirement for upfront payments was a significant hurdle for many travellers. By removing this barrier, ‘Book with 0 Payment’ encourages more users to engage with our platform, leading to increased bookings and customer satisfaction.

So, What Does ‘Book with 0 Payment’ Bring to the Table?

‘Book with 0 Payment’ offers a multitude of advantages. It provides liquidity, ensuring your travel plans are under your control, without prematurely tying up your resources. It offers flexibility, allowing you to plan and book multiple stays without the burden of commitment or anxiety, granting you the freedom to adapt as your plans evolve. Moreover, it enables advance planning, offering peace of mind by confirming your stay without the immediate pressure of a significant payment, ensuring you secure your desired accommodations and get the best deals. It emphasizes ease of use by streamlining the booking process to make it effortless and user-friendly while keeping your personal information secure, providing a seamless and secure experience designed with your convenience in mind. This feature is payment instrument agnostic, meaning it isn’t restricted to any pay mode. You have the freedom to choose any payment method for the final transaction, making it convenient for you, especially in the era of the surge in UPI and newer payment instruments.

End-to-end representation of ‘Book with 0 Payment’ on the MakeMyTrip platform

Challenges Encountered in Building the Platform

Creating a disruptive feature of this magnitude came with its own set of challenges:

1. Fraud Prevention: The creation of ‘Book with 0 Payment’ required extra vigilance in preventing fraud. To maintain a healthy booking velocity while ensuring the security and legitimacy of transactions, we invested in a sophisticated fraud detection system. This system is designed to identify and prevent fraudulent bookings, securing the booking process and the integrity of our platform.
2. Payment Promptness: For any feature to function seamlessly, it’s essential to ensure that customers pay before check-in as agreed. Achieving these required thoughtful solutions and timely reminder to customers. We aimed to strike the right balance between flexibility and ensuring that payments were made promptly, offering a hassle-free experience for our users.
3. Supply & Demand: Balancing supply and demand in the travel industry is a complex task. ‘Book with 0 Payment’ meant that inventory could potentially be blocked without immediate payment. To prevent inventory wastage and optimize the booking process, we carefully monitored and managed the supply and demand dynamics. This ensured that customers had access to the accommodations they desired, while our hotel industry partners didn’t face issues like blocked rooms or missed opportunities.
4. Peak Date Management: Managing inventory during peak periods, where demand is high, was a constant challenge. The popularity of certain dates and destinations meant that our feature needed to efficiently handle high traffic. To prevent blockages and wasted opportunities, we implemented measures to manage peak dates effectively. This was essential to provide a smooth booking experience for users and to ensure that the best accommodations were available when and where they were needed.

Dynamically adjusting the Payment Charge date in case of Peak Dates where forecasted demand is on the higher side

The Impact of ‘Book with 0 Payment’

Innovation is measured by its impact, and ‘Book with 0 Payment’ has made waves:

1. 15% Increase in New Users: The introduction of the ‘Book with 0 Payment’ feature brought about a remarkable 15% increase in new users. This surge is a testament to the appeal of flexibility and freedom in travel. We’re thrilled to see so many new travellers joining us, eager to experience a whole new level of convenience and peace of mind in their travel planning.
2. 12% Materialized Conversion Increase: One of the most substantial impacts of the ‘Book with 0 Payment’ feature is the conversion rate. We’ve seen a significant 12% increase in the rate at which bookings materialize into actual stays. This means that more travellers are not just making reservations but are also enjoying their stays.
3. Surge in Advance Bookings: A particularly telling sign of the trust that travellers place in the ‘Book with 0 Payment’ feature is the surge in advance bookings. Bookings for December 2023 have already quadrupled compared to the same period last year when ‘Book with 0 Payment’ wasn’t available. This substantial increase reflects the confidence travellers have in planning and securing their future trips. It’s a strong indicator of how this feature has revolutionized the way people approach their travel plans.
4. Solving for the ‘New India’: Book with 0 payment, being a payment instrument agnostic feature, has truly democratized payments, offering a payment instrument-neutral approach that genuinely democratizes the payment experience for all our users. This feature isn’t tied to any specific payment mode, empowering customers to select their preferred payment method for completing transactions and confirming bookings on our platform. Given the rising popularity of UPI and other emerging payment instruments, we’ve ensured flexibility, allowing customers to choose the payment option that aligns with their comfort and convenience.

Marketing Campaign snippet for ‘Book with 0 Payment’

In the ever-evolving world of travel, ‘Book with 0 Payment’ is more than a feature: it’s a revolution. It’s a testament to our unwavering commitment to your convenience and satisfaction. We’ve shattered barriers, harnessed market trends, and empowered travellers in ways never seen before. So, why wait? Experience the freedom of booking with MakeMyTrip today.

Verbatim Feedback from Customers

“This feature has made my travel planning so easy. Now, I can book hotels without paying upfront. MakeMyTrip has made travel flexible and stress-free. Whether it’s a spontaneous weekend getaway or a well-planned vacation, ‘Book with 0 Payment’ has become my go-to choice for hassle-free bookings.” — Rajesh

“Booking hotels online always worried me, but ‘Book with 0 Payment’ won me over. It’s convenient, safe, and has made planning my trips a breeze. I don’t have to worry about hotel prices going up, and I can choose where I want to stay without any upfront payments.” — Shalini

“I used to stress about hotel prices going up as I delayed my bookings. Thanks to ‘Book with 0 Payment,’ I can book early and pay later. It’s an amazing feature that brings peace of mind. It lets me lock in the best places to stay well in advance.” — Rohit

“The freedom to book in advance and pay later is a relief. It gives me flexibility to plan my trips, and I love that I won’t miss out on great deals. It’s perfect for when I want to explore new destinations without the stress of immediate payments.” — Priya

“With friends, booking stays used to be tricky, but ‘Book with 0 Payment’ has made it easy. We can book without worrying about upfront payments. We’re more spontaneous and excited about planning our trips together.” — Akshay

“I love how easy it is to use. The process is simple, and I like that I don’t have to share my card details. It’s safe and user-friendly. ‘Book with 0 Payment’ has brought a sense of security to online booking.” — Pooja

“I’m a new user, and this feature convinced me to choose MakeMyTrip. It’s been very easy to plan and book my trips. ‘Book with 0 Payment’ has won me over because it’s just so convenient.” — Suresh