India’s Competition Commission investigating MakeMyTrip, Oyo

Thursday, 31 Oct, 2019 0

Three of the biggest names in the Indian travel industry – MakeMyTrip, Goibibo and Oyo- are facing a probe from the Competition Commission of India.

The CCI investigation comes after it received a complaint by the Federation of Hotel and Restaurant Associations of India (FHRAI) on behalf of its members.

The FHRAI complaint alleges anti-competitive practices and ‘abuse of dominance.’

The CCI said there are cases to answer and the CCI’s Director General of Investigations has five months to investigate and publish a report.

MakeMyTrip and Goibibo merged to form the dominant OTA in the India market, reportedly with a market share as high as 60%.

MakeMyTrip then agreed a preferred distribution deal to list Oyo properties.

It will probe if the ‘agreement between OYO and MMT entails preferential treatment to Oyo and consequent exclusion of (rival hotel chains) Treebo, Fab Hotel and any other," the CCI order said.

MakeMyTrip said it was ‘confident of demonstrating compliance with principles of competition law.’

Oyo in turn said it will ‘extend our full support to the investigation.’

TravelMole Editorial Team

Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.

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