Ctrip "afraid" where to go?

Introduction: According to Sina Science and technology December 23 News, Ctrip President Fan announced on the day, "Hui selected channel" comprehensive on-line, and positive response to recent international data research institutions Hitwise data: "November to where the net monthly visit rate of 42%, to maintain China's online travel site first, Ctrip to 15% ranked third, Where to go net access rate of almost 3 times times Ctrip ", where to go to the network CEO Zhungchengsu personally to the Ctrip headquarters to dig people and other news." Fan again firm Ctrip do not do search engine belief, put forward "American search engine is also do OTA effective supplement." Ctrip is not interested in doing, there is no need to do, to do their own expertise well. "The price scuffle in the hospitality industry is irresponsible for the overall development of the industry," he said. Where are you going? Zhang, vice president of the network, responded by saying, "Go where the net does not agree with the price war threat theory of Ctrip, will give more low price to the consumer." ”

1, staggered industrial ecological level, does not constitute a direct competition

Ctrip is online OTA mode, the equivalent of Wal-Mart mode, where is the vertical search engine (group buying business involving some direct sales) mode, is essentially a media model, the market between the two different, so there is no direct competition. However, with the number of Chinese tourism websites and the growth of product services, traffic competition has become the core factor of tourism website competition, and tourism vertical search engine and micro-blog has become an increasingly important part of the traffic channel of tourism websites.

The two models in the development of the order of ascending, but there is no level, where to search, the source of parity is suppliers and OTA, through the platform for their customers to import traffic to obtain advertising revenue. Where are you going? Such vertical search engines must be developed on a large number of OTA-rich, or on the basis of a large number of online suppliers. This is also the 1999 Ctrip OTA began to develop, and to the 2005 where to begin to emerge from the reasons. From the image below, you can clearly see the symbiotic relationship between the two, where to import about 4% of the flow of Ctrip (see "China's tourism site five traffic entrance of the situation initially formed" a article).

Figure 1: Ctrip station flow source TOP5 ratio-August 2011

Source:cn.alexa.com

According to the figures shown above, where to go to the net, Sina Weibo and Tencent contributed to the flow of Ctrip are 4%, 3.1% and 2.6% respectively.

2, supplier distribution channel selection, revenue management diversification

If you look at the price intuitively, display a number of suppliers to where the product network, sorted by price, Ctrip products are not always the lowest price, in this sense, where to gather more price-sensitive tourism consumers, but also has a relatively low price supplier products, thereby occupying a low-cost advantage.

In the case of hotel reservations, in addition to OTA channels, the existing variety of channel products for the hotel suppliers to provide a wide range of options, but also for the hotel suppliers to implement a real revenue management and channel diversification strategy provides the possibility. For example, where to go to the network launched the "Jailbreak hotel low price protection scheme", proposed if the consumer by where to go to the network Jailbreak Hotel channel Reservation hotel in mainland China is higher than other sites under the same predetermined conditions of the open price of the network, to where the net will refund the price of consumers and can be booked on the network open price between the difference, and the additional compensation consumer RMB 100 yuan. This and Ctrip has already implemented for members of the online minimum price service is similar to the request of the hotel suppliers to give their own channels to the most preferential treatment. As to which channel the supplier chooses, whether it agrees to the contract or not depends on the contractual agreement of the two parties, it is a thorough market behavior, and it should not be attributed to the simple slogans and emotional judgments of "low price competition", "market Monopoly" and "Overlord clause".

3, the tourism power Shanglanhai deep wide, can tolerate a variety of models

According to China Tourism Research Institute data, 2010 China Tourism E-commerce (online tourism trade based on the Internet platform) market size reached 200 billion yuan, accounting for the overall tourism revenue share of nearly 15%. With the continuous expansion of tourism market and the wide application of information technology, the main body of tourism e-commerce with different types and modes has been developed rapidly.

From the current trend, although tourism e-commerce in the local area shows the signs of monopolistic competition, but overall, this market has not entered the mature stage of stratified competition and classification competition, and more reflected in the traditional tourism market share penetration.

In terms of business model, tourism E-commerce Enterprises have OTA, vertical search, media and industry platform, and many other models. In order to avoid the platform on the supplier of unfair competition conditions of doubt, go to where the network can not be OTA; Similarly, because can not guarantee the fairness of search results, Ctrip can not do search engines. In OTA field, Ctrip is of course the Big Mac, and go where the net becomes the tourism vertical search engine domain king.

The real situation is that in the tourism e-commerce industry chain, Dolphins travel the sea, camels gallop the mainland, each has a solid territory and a broad growth space.