Carrying Cheng first loss, OTA mode crisis

March 20, Ctrip announced the fourth quarter of 2014 earnings, The report showed that the net loss of Ctrip to shareholders was 224 million yuan (about 36 million US dollars), while the net profit was 261 million yuan (about 43 million USD) in the same period last year. Overall annual results, Ctrip 2014 of the financial year attributable to the shareholder net profit of 243 million yuan (39 million U.S. dollars), compared to the 2013 decline of 76%.

This is Ctrip's first operating profit since 2004. At the same time, the current online tourism industry presents almost all the loss of the situation, where to go, cattle, art dragon can not get rid of the bad luck of the loss.
Such changes have undoubtedly cast doubt on the traditional OTA (online travel service agents) model of online travel, in fact, the industry has long pointed out: the traditional OTA (online travel service agents) model has been faced with the elimination, Ctrip's turn deficit behind the industry's update iterative trend.
Since the beginning of last year, OTA competition is in fact at the expense of their own profits for market share, more and more unsatisfactory performance, the platform is often the rule box, the merchant and user experience is poor. In order to booking, for example, the platform in OTA mode often has many problems, such as the unification of the rules, the cumbersome formalities, the long refund to the account period and so on. During the Spring Festival, CCTV has been exposed that Ctrip agent ticket refund cost alarming. Although the market share of Ctrip is still high, but from the profit to see its scenery no longer, services in question.
Despite the industry-wide dilemma, this is not a demand shortfall, on the contrary, the industry is still growing fast, that is to say, it is still an attractive market. But the industry desperately needs to change.
In fact, the online travel industry has become increasingly visible in recent years. Last year, the whole industry from the business differentiation phase gradually entered the era of business intersection, the pattern also from the spring and autumn era of each party into the Warring States period of scrimmage. The inevitable result is more intense competition.
The bosses are also exerting their force. Last year balance treasure and Ali travel to AH (the former Taobao travel) also launched a joint "tourism treasure", will be the pre-sale of tourism products and balance treasure financial combination. Consumers to the balance treasure to buy Taobao travel products, money frozen in the balance treasure account, until the consumption of travel products, travel completed, tourists can continue to enjoy the money brought about by the additional benefits. The
Ctrip itself is actually changing. Ctrip has launched a "Carry Cheng" and "Cheng Bao" two tourism products, tourism products, "Internet finance", the advance of the tourism product pre-sale funds interest rebate to consumers, thereby enhancing the online tourism business to customers ' attractiveness.
Of course, change is more than that. Whether it is a veteran tourism enterprise, or an up-and-comer, to seize the consumer, spare no effort to innovate. On the one hand, the traditional OTA site is in urgent need of innovation, on the other hand, the travel site's competition strategy is no longer purely satisfied with relying on low price promotions to seize market share, but more latitude of innovation.
This can also be spied on by the state-related policy one or two. January 10, 2014 The National Tourism Administration issued the "Guidance on the promotion of intelligent tourism development," proposed: 2016 to build a group of intelligent tourist attractions, intelligent tourism enterprises and intelligent Tourism City, built the country's intelligent Tourism Public service network and platform.
Now, the future of Smart hotel, credit and living service products are to the traditional OTA formation of aNew challenge Force.
What are the future trends after OTA exploration? Take the hotel industry as an example, Ali travel to AH soon before the introduction of Sesame credit based on the "credit to live" hotel service plan. User experience without warranty, leave the shop 0 formalities, leave the store after the Alipay system for processing. Ali Travel · To rely on is Ali strong payment system and the user's large data mining, so that the hotel and users seamless connection, provide a temperature experience. On the one hand, the hotel service more personalized, on the other hand the user experience more humane.
Hotel industry itself is also from the standardization, the scale toward the wisdom. Micro-Credit Series services have also begun to sweep the hotel industry. Through the micro-letter "Wisdom Hotel" self-help system, on the one hand, the hotel can save the front desk, through the room, greatly alleviating the labor costs, on the other hand, users can from the query to open the door into the room, check-out all by micro-letter Complete
Smart Travel, credit as a service, this may be the trend of the future hotel. Deep digging user experience, do a good job of product services, will be the next step online tourism site competition key.
Micro-business micro-signal: Weiguanshangye