From IIT Kanpur to IPO: The ixigo Journey of AI-Powered Travel Startup

A Swades-Inspired Homecoming

"We wanted to come back to India and do something meaningful for the country," Bajpai recalls, his voice filled with a quiet passion. "We looked at the travel tech market here, and with the rise of low-cost carriers and online travel agencies, we decided to place a bet on being a travel tech company that focuses on customer experience and uses technology and AI to solve meaningful problems."

Bootstrapped Beginnings and the Power of Belief

Their journey wasn't paved with venture capital from the start. "We didn't have any funding for almost five years," Bajpai reveals, highlighting the bootstrapped beginnings of ixigo. "We had immense belief in ourselves and in building something that customers truly wanted." This unwavering focus on customer needs became the bedrock of their success.

Early Adopters of AI: A Visionary Approach

Years before AI became a ubiquitous term, ixigo was already pioneering its use in the travel industry. Around 2012-13, they began developing machine learning models to predict train ticket confirmations and flight fares, a move that would later prove invaluable.

"We made very early investments in tech and AI," Bajpai explains, "and that's the reason why we had a very solid foundation for this era."

This foresight enabled them to build an AI chatbot, Tara, in 2017, which now handles a significant portion of their customer support queries.

"Last year, it handled almost 89% of our customer support queries end to end," Bajpai adds, underscoring the efficiency gains.

Turning Crisis into Opportunity: The Pandemic Pivot

Then came the COVID-19 pandemic, a crisis that threatened to cripple the travel industry. While many companies resorted to layoffs and cost-cutting, ixigo took a bold, contrarian approach.

"We played offense when everybody was playing defense," Bajpai states. "We hired more people during the pandemic. We doubled down on things like refunds and serving our customers during that time, because people were in a panic."

They even introduced ixigo Assured, a feature that offered full refunds on cancellations, further solidifying their customer-centric approach.

This resilience and dedication paid off. ixigo emerged from the pandemic stronger than ever, becoming the second-largest and fastest-growing OTA in India.

"The pandemic was a game changer for us," Bajpai reflects. "It changed the stack rank of OTAs in the country. We became the second largest OTA, you know, coming out of nowhere."

AI: Not Just a Buzzword, But a Business Imperative

Today, ixigo is a testament to the power of combining technology with a deep understanding of customer needs. They've woven AI into every aspect of their operations, from customer support and trip planning to product design and marketing.

"AI is a horizontal enabler," Bajpai affirms. "We are using AI everywhere right now." He cites examples like their "one view" tool for customer support, which uses data to help agents resolve queries faster, and the voice AI tools that are increasingly handling customer calls.

Advice from a Seasoned Entrepreneur

Bajpai's advice to aspiring entrepreneurs reflects the values that have driven ixigo's success.

"Solving for customer experience and making sure your customers are happy should be the prime focus," he advises. "Funding is like filling petrol in your car; it will only help you reach somewhere, but how you get there is what will define whether you succeed or not." He emphasizes the importance of building a sustainable business model and staying grounded in customer needs. "Capital as a moat playbook is dead... Starvation builds muscle. Starvation builds the innate sort of resilience to bounce back and do something amazing."

The ixigo story is an inspiration to any aspiring entrepreneur. It's a story of vision, resilience, and an unwavering commitment to customer satisfaction. By embracing AI and prioritizing customer needs, Aloke Bajpai and Rajnish Kumar have not only built a successful company but have also transformed the landscape of the Indian travel industry.

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