The interest in Russian online travel market is heating up. In March 2012, online hotel booking service Oktogo.ru raised $10 million from VTB Capital and Mangrove Capital Partners, the first institutional investor in Skype. Today, Skype founders’ venture capital firm Atomico invested $16 million in Onetwotrip, an airline ticket sales website, reported newspaper Vedomosti. The Russian market for online sales of airline tickets is expected to reach $4 billion in 2012, hinted at IDCEE conference last week. This is one of the largest VC investments in Russia in 2012.
Launched in 2011, Onetwotrip is headed by Peter Kutis. Previously, it raised $9 million from Phenomenon Ventures. The competitors of OneTwotrip include Anywayanyday, a previous employer of Kutis. They both compete with flight search sites of Aviasales.ru, Yandex Aviabilety and Rambler-Avia.
Russia is the largest online market in Europe with more than 60 million online users. According to PhoCusWright, the Russian online travel market is expected to exceed $10 billion in 2013, reaching 18% of the total Russian travel market.