When Customer Delight Becomes Dangerous: Managing Unprofitable Customers at Galileo Travel Port

Code : MM0097

Year :
2026

Industry : Travel & Tourism

Region : Asia

Teaching Note: Available

Structured Assignment : Not Available

Buy This Case Study
OR
       

About the Company:

Galileo Travel Port was founded in 2016 and operated as an online travel aggregator that primarily sold airline tickets, earning commissions from airlines and convenience fees from customers..

The Priya Mehra Pattern:

Priya Mehra had been a Galileo customer since March 2019, i.e., for about seven years. A fast-rising IT entrepreneur in Gurgaon, she ran a forty-person analytics start-up whose business depended entirely on meetings and conferences..

The Boardroom Reckoning:

The first time the numbers were discussed in a single room was during the quarterly review on March 12, 2026..

The Audit:

Rukmini Iyer decided to first commission an audit on (i) a full costing of what complementary benefits were actually costing the company, and (ii) an internal audit of how those benefits were..

The Structural Trap:

Vertically integrated carriers and aggregators can deliver the same feature and charge vastly different prices..

The Mandate:

The consulting team had its task cut out. None of the information from the audit had established that Galileo’s

Exhibits:

Exhibit 1: Three-Year Financial Snapshot
Exhibit 2: Customer Base by Behavioural Segment, FY26 (US$ million)
Exhibit 3: Benefit Consumption, Priya Mehra (PM-4471), Trailing Twelve Months
Exhibit 4: Micro P&L, One Booking (PM-4471)
Exhibit 5: Discretionary Benefit Authorizations, FY 26 (0.182 million authorization events)
Exhibit 6: Cost of Delivering the Same Benefit - Integrated Carrier versus Aggregator (US$ per unit)
Exhibit 7: Non-Transactional Contribution by Customer Segment, FY26
Exhibit 8: Volume-Linked Override Commission, Carrier Group A (annual flight segments)

For Case Books Click Here >>

For Case eBooks Click Here >>




IBS CDC Case Studies

Contact us: IBS Case Development Centre (IBSCDC), IFHE Campus, Donthanapally, Sankarapally Road, Hyderabad-501203, Telangana, INDIA.
Mob: +91- 9640901313,
E-mail: casehelpdesk@ibsindia.org

©2020-2026 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap

Corporate Governance and Business Ethics Marketing Strategies Economics Entrepreneurship
Finance, Accounting and Control Human Resource Management (HRM)/Organizational Behaviour Innovation and New Product Development International Trade and Finance