Traveloka Business Model Analysis

1. Company Profile

1.1. Company History

Traveloka was founded in 2012 in Indonesia by three persons which are Ferry Unardi, Derianto Kusuma and Albert Zhang. In the beginning they build a platform for customer to book a flight ticket online, so customer able to book and plan ticket everywhere, anywhere and anytime instead of go to the travel agent or airline office.

At the early stage, they received the investment funding from East Venture. One year later, at 2013 Traveloka received a series A funding from Global Founders Capital. This “fresh blood” make Traveloka able to expand and improve their business. They started to jump into hotel booking service and launch the mobile application on 2014.

A long the way, Traveloka keep improving their web and mobile application services and features in order to help customer make booking ticket and hotel in much easier ways. They launched a TravelokaQuick, Easy Reschedule, Price Alerts features and they improved their selection menu with non-economic class selection which is make them unique and innovative compared to the competitors.

Currently, Traveloka estimated valued at $ 2 Billion with 80% flight market share in Indonesia, more than 6 million customer data, more than 20 million downloaded applications and more than 2 million total daily visits from all sources. They have partnerships with more than 75 airlines with more than 100.000 routes and more than 250.000 hotels across 28 countries.

In 2017, Traveloka received more funding from Expedia for $ 350 million and another $ 150 million form another four venture capital companies to help the company growing their market share in the industry by penetrating South East Asia market. Currently Traveloka has been able to penetrate into another 5 South East Asia countries beside Indonesia, which are Malaysia, Vietnam, Singapore, Thailand, and Philippine. They are planning to penetrate more countries in the near future.

Figure-1: Traveloka’s history

1.2. Vision and Mission

The founders of the company believe that providing easy to use and easy to manage airline ticket and hotel booking anytime and anywhere by using technology is a dream of many travelers also the expectation of the founders of Traveloka itself. To make the dream come true, they launched Traveloka platform in the market. This dream is already become their mission since the beginning until today. In the broader coverage, their vision is to help Indonesia economic development through Technology.

1.3. Product Range and Geographic Coverage

Traveloka is an Online