# Ixigo Taps Train Tourism With IRCTC Partnership, Eyes Packaged Tours as Next Growth Engine
India's largest online travel agency Ixigo is quietly reshaping its business model by testing packaged rail tours through a partnership with IRCTC, the Indian Railways Catering and Tourism Corporation. The move represents a calculated bet on an underdeveloped segment of India's travel market, one that could unlock new revenue streams without requiring Ixigo to build expensive operational infrastructure.
The strategy differs sharply from how most travel platforms enter the packaged tours business. Rather than invest capital in hiring tour operators, hiring guides, and managing logistics across multiple destinations, Ixigo is leveraging IRCTC's existing tour inventory and expertise. IRCTC already curates rail-centric trips across India, bundling train travel, accommodations, and local experiences into complete packages. By listing these offerings on its platform alongside flight and hotel bookings, Ixigo transforms into a distribution channel without assuming operational risk.
This approach matters because packaged tours remain a massive opportunity in India. Domestic leisure travelers often lack the time or confidence to stitch together multi-day itineraries independently. They want trains combined with hotels and guided experiences, all priced transparently upfront. IRCTC controls the supply side. Ixigo now controls millions of daily visitors searching for travel products.
The test phase reveals Ixigo's pragmatism. Rather than commit $10 million to building tours from scratch, the company can measure demand for rail-based packages on its platform before scaling. If conversion rates and booking volumes prove strong, packaged tours could become a third pillar of the platform, joining flight and hotel bookings as core revenue generators. If demand disappoints, Ixigo simply deprioritizes the offering.
Rail tourism in India carries particular tailwinds. Indian Railways upgraded its premium train experience with routes like the Maharajas' Express and the Indian Railways Catering and Tourism Corporation's heritage circuits. Domestic travelers increasingly view train journeys as experiences rather than mere transportation. A seven-day package combining the Darjeeling Himalayan Railway with mountain lodge stays appeals to middle-income travelers in Delhi and Mumbai far more than booking each component separately.
The partnership also signals broader distribution innovation. Ixigo's move to add Uber alongside traditional taxi options for ground transportation represents another expansion of its booking universe. By becoming a comprehensive platform that handles flights, hotels, trains, tours, and last-mile mobility, Ixigo increases customer lifetime value and reduces the likelihood that users will bounce to competitors like MakeMyTrip or Cleartrip.
Packaged tours remain a fragmented category in India. National operators like SOTC and TravelCorp dominate certain market segments, but no single platform has aggregated all offerings the way Booking.com or Expedia have done overseas. Ixigo's test with IRCTC-curated trips positions the platform to capture this consolidation opportunity before a well-funded competitor does.
Success hinges on execution. Tour quality, transparent pricing, and reliable customer service make or break the category. IRCTC's reputation matters here. If travelers trust IRCTC's itineraries and Ixigo's booking process, conversion follows. If communication breaks down or trips underdeliver, the partnership collapses trust across both brands.
For travelers, this partnership means simpler booking processes and potentially better pricing through bulk distribution. Rather than contacting IRCTC directly or hunting through multiple tour operator websites, Indian leisure travelers can now browse curated rail packages alongside other travel products in a single interface.