DEEP KALRA makemytrip story.

DEEP KALRA

TRIPPING ALONG

• Deep Kalra (PGP 1992), makemytrip.com

• Deep went into business the way every

entrepreneur dreams it will happen: a venture

capitalist offered him $ 2 million to start up.

But with the dotcom bust he had to invest his

life savings and buy back his own company.

Makemytrip.com is today India's leading travel

portal.

• BA from St Stephen's college, and then an MBA from IIM Ahmedabad.

• “Agar kuch banana hai toh khud hi banana padega” - Deep Kalra (Founder of Makemytrip.com).

• Out of campus Deep joined ABN Amro . After a year or so he realised ‘Banking nahin karnee!’There was the seed of a thought - it would be fun to do something of your own .

• After 3 years of banking and exploring different businesses he joined AMF Bowling .

• He joined AMF Bowling, which pioneered the concept of bowling alleys in India.

• AMF had no operations in India, so the job was in essence entrepreneurial.

• Deep spent four years with AMF, and “Really, really tried very hard to make it happen.

• Although Deep worked for AMF as an employee, it was entrepreneurial for two reasons.

• First:- The fixed salary component was low, it was based around bonuses and how much equipment you sold.

• Second : There was very loose support from the US office. Apart from equipment support and service support, you pretty much did your own thing.

• The disadvantage of working with AMF was that there was nothing much to learn beyond a point. Hence Deep thought of going back to working for a big company and joined GE Countrywide.

• In GE he was inspired by President Nitin Gupta who wanted to provide his company a quantum leap and wanted to make use of internet as a way to sell consumer finance. Deep was entrusted this work.

• Around the same time Deep came across people like Ajit Balakrishnan at rediff.com, Sanjeev Bikhchandaniat naukri.com and the folks behind sify.com. That's when the turning point happened.

• These meetings provided the fundamental thought of Internet will change the life of the people in future.

“I realised internet is going to change our life fundamentally and I always wanted to do my own thing. I was 30 years old and said to myself, ‘ Abhinahin kiya to kabhi nahin karenge

• Two plans:

- Online travel stock broking.

• Venture started as India Ahoy – later rechristened makemytrip.com.

• Neeraj Managing Partner of eVentures gave him the money.

• Deep agreed to give 70% of the company for 2 millions dollars to him.

• Second chance to get it back as eVenturespacked up from India. Deep brought his own company with his life savings.

CHALLENGING DAYS• In June 2001 salary payment became difficult.

The company shrank from 40 employees to

around 20.

• Moved from smart 3000 sq ft office to 1000 sq

ft.

• two and half months salaries to pay.Came

close to sutting down.

• No one buying online

STRATEGIES USED • Makemytrip stooped marketing in India and

focused on US based NRIs.

• This saved the company.

• Booking online at good price.

• 2005 makemytrip became nice ,robust and

profitable.

• Launched in 2005 September to India again.

• Revamped to Indian market.Second big trend

was meeting the folks at Indian Railways.

GROWTH • By March 2008 makemytrip achived a growth

of $250 millions in sales (aprox 1000 crores).

• $20 million in commission or Rs 80- 90

crores.

• 70% of business is now from India, with close

to 10,000 tickets sold online each day.

• within 11 months of launch makemytrip

became the highest issuer of air tickets.

• Set up 20 stores across country to sell holiday

packages.

• Softbank Asia Infrastructure Fund was the first

to invest.

• In subsequent rounds Deep took money from

three funds-Helion Partners,Sierra Ventures

and Tiger Global.

• Now scaling of employees from 20 to 75

people.

• At the end Deep knows he was lucky to get a

second life as an Entrepreneur.

QUALITIES OF DEEP KALRA AS ENTREPENUR

• Risk taker

• Innovative

• Inner confidence

• Fun in work

• Honesty

• Support from family

• Belief

CHALLENGES FACED

• Sell other products online

• To manage many investors

• Being innovative

• Sustaining in economy crisis

• Indian business profitable.

ADVICE TO YOUNG ENTREPRENEURS

• Choose your field very carefully.

• Plan your fundings very carefully.

• Its all about people

• Make friends at work and promote an

honest and open working atmosphere.

• Don’t focus too much on exits.

THANK YOUBY-PRASHANT JOSHI PRADHAN