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Cleartrip launches partial pay feature for flights and hotels


ClearTrip has launched a partial pay feature that lets users pay only the cancellation fee upfront for pre-reserving their tickets. Users then need to pay the remaining amount 4-5 days before the journey commences, else the ticket will be considered as cancelled and the deposited fee is charged as such. The cancellation fee differs on different ticket prices.

Only for domestic travel

As of now, the feature is available only on domestic flight and hotel bookings and can be found on the payment page. Here the user is presented with an option to either pay the full amount or a non-refundable part amount. If paying partially, users then need to pay the difference up to three days before the day of journey, or else the balance is forfeited. Note that logged in users using the expressway feature are unable to see this option.

This is an interesting move by Cleartrip, as users who might not have the money to pay upfront can now pay when they have the resources. However, note that Cleartrip specifies the cancellation charges depend on the airline, sector, class of booking, and time of cancellation and that the company charges a cancellation fee of Rs 250 per passenger per sector. As such, depending on the airlines etc., the partial payment might add up to a significant amount.

53% of Cleartrips traffic is mobile

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53% of Cleartrip’s overall traffic and 40% of all transactions on the platform came from mobile, the company had said in April. Overall, the platform saw a 26% growth in quarter-on-quarter (QoQ) traffic, and a 31% growth in air+hotel transactions during the same time period. Note that despite half of its traffic coming from mobile, Cleartrip made it clear that it would continue operating its desktop and mobile websites.

Recent developments

Cleartrip apps: In April, Cleartrip introduced a new application for the Apple Watch. The app provides users with information about their upcoming flights. When 24 hours are left to the flight’s departure, a glance at the watch changes to show the flight number, current flight status and updated departure time. In December last year, the company updated its mobile apps to include in-app rescheduling for domestic flights. This feature lets customers reschedule part of their trip or whole, or for one passenger or all, from within its app.

Concur acquisition: It’s worth noting that enterprise software maker SAP signed an agreement to acquire the NASDAQ-listed travel and expense management company Concur Technologies in a deal valued at around $8.3 billion. Concur is a significant stakeholder in Cleartrip, with the company increasing its stake in Cleartrip in January last year, by buying out the stake of Sherpalo Ventures and Kleiner Perkins Caufield & Byers (KPCB) for $5.4 million.

Concur’s total investment in Cleartrip currently stands at $68.3 million, a total of 24.2% stake. This includes a $40 million investment for undisclosed minority stake in April 2011.

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