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MakeMyTrip launches OneCircle rewards across 13,376 properties, targeting Tier-II/III travel demand

Our read

MakeMyTrip lifts Tier-II/III repeat-booking share via OneCircle, but cashback funding pressures near-term hotel-segment margins as rivals escalate loyalty spend.

For operators

OneCircle's 10% minimum points cashback across 13,376 properties in 1,002 cities gives operators a scalable retention hook, but you'll need to model breakage and margin dilution as Tier-II/III bookings scale.

Watch

Redemption rate and breakage disclosures affecting deferred liability

The report,

MakeMyTrip launched OneCircle, a global rewards programme spanning 13,376 hotel and alternative-accommodation properties across 1,002 cities, offering minimum 10% cashback in points. The programme skews toward Tier-II/III markets, targeting India's rising domestic tourism demand.

Newer report , , Entrackr : MakeMyTrip Q1 FY27 revenue rises 6.2%, while profit drops 65%

Reported figures

From the report. Source details below

  • 12,330 properties in India
  • 1,046 international properties
  • 93% Indian travellers in loyalty

Other figures

  • 868 Indian cities
  • 134 destinations
  • 39 countries
  • 41% active

Why it matters for the brand

The 1,046-property, 39-country international footprint signals MakeMyTrip's intent to build a cross-border rewards network, opening partnership or acquisition angles with hotel groups and alternative-accommodation platforms abroad.

What to track next

  • Competitor loyalty program launches or richer cashback matches within 90 days
  • Take-rate / gross-margin movement in hotels & packages segment
  • Domestic tourism demand data for Tier-II/III cities
  • Property count expansion beyond 13,376 and abroad footprint growth

Likely next moves

Our read of what comes next — analysis, not reported by the source.

  • Track OneCircle enrolment and active-member metrics in next earnings call
  • Monitor hotel-partner co-funding split to gauge P&L exposure of cashback
  • Watch for tiered/paid-membership upsell (premium OneCircle) to monetize base
  • Expect targeted Tier-II/III marketing spend and regional-language campaigns

The counter-case

The case against this reading — not reported by the source.

A 10% points cashback is fundamentally a margin giveaway that reprices MakeMyTrip's economics downward. Loyalty programs in OTA are notoriously undifferentiated—competitors like Cleartrip, Booking.com Genius, and hotel-direct programs already offer comparable or better perks. Points cashback trains customers to expect discounts rather than building genuine loyalty, and Tier-II/III travelers are highly price-sensitive and promiscuous, chasing the best deal regardless of program membership. The 13,376-property number is a supply-side vanity metric, not evidence of consumer traction; breakage assumptions and redemption liabilities could pressure take rates. This reads as defensive margin erosion dressed up as growth.

The source

Source Read the source at Business Standard

Published

Confirmed by ET Small Business

First seen