Art Dragon in the second quarter of this year from surplus to loss, net loss of up to 76.1 million yuan

Absrtact: Check the latest quotes online travel service providers (OTA) after more than a year of price war, the performance of differentiation. Ctrip surrendered two quarterly net profit rose 76% of the report card, the main hotel booking of the art Dragon Travel Network yesterday released earnings show that this year's second

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Online travel service providers (OTA) after more than a year of price war, the performance of differentiation. Ctrip in the two-quarter net profit rose 76% of the report card, the main hotel booking of the art Dragon Travel Network yesterday released earnings show, the second quarter of this year from surplus to loss, net loss of 76.1 million yuan. In the first quarter of this year, its net profit was 2.8 million yuan.

In the 76.1 million yuan net loss, 47.9 million yuan is operating loss, this is the fourth consecutive quarterly operation losses, the main reason is to expand brand awareness and grab customers and continuously expand marketing and sales expenditures.

Art Dragon CEO Cui yesterday, in order to expand market share, in addition to the rebate is still continuing, art Dragon two quarter in the TV, led and other online channels to increase marketing efforts. He told the Beijing News correspondent that the company's strategy for market share at a low price would not change, and that it was expected to continue to lose three quarters.

Strong network analysis that the art long travel network such as continue to maintain the current hotel business operations strategy, then in the short-term financial indicators will be difficult to make a big improvement.

At the same time, the company announced yesterday that it had decided to set up a 100 million-dollar mobile travel Innovation Investment Fund for external innovation in mobile tourism.

Cui said that the big gamble is moving because the number of mobile-end bookings is growing at a high rate. According to the introduction, the second quarter of this year, art Dragon Mobile end hotel reservations accounted for 20% of all hotels. In terms of the amount of travel search, it also shows the trend of decreasing PC end and increasing of mobile end. Therefore, the strategic focus of the art dragon has shifted from the PC to the mobile end.