Ctrip cut ground sales and seek "transformation"

Source: Internet
Author: User
Keywords Layoffs

The Spring Festival is approaching, the online tourism "price war" is playing in full swing, a ctrip of the news but suddenly burst "floor sales staff, involving the number or more than 500 people." "Reporter yesterday to ctrip one by one, the company responded that this is the original ground sales channel optimization of normal adjustment, emphasis on layoffs and" only one months wage recovery options "is not the truth.

Layoffs? Optimized channel?

According to the media recently reported that Ctrip from the second half of last year, only retained Beijing, Shanghai, Guangzhou, Shenzhen, the 7 major airport channels, the other two or three-line city airport, high-speed rail, railway station, bus station and other ground sales staff will be abolished, is expected to reduce the number of at least 500 people. The report also said that there are employees of the material, Ctrip to leave senior staff, to use 1 months of wages to recover stock options.

In response to these claims, Ctrip's official response is that this is not a unilateral layoff, but to the original ground sales channels to optimize, "about 500 employees involved, the company gave proper placement." Be willing to leave the staff to arrange the internal transfer, while actively in the industry related companies to create new jobs. For employees who are not transferred due to geographical area, they shall be given reasonable compensation according to state regulations to ensure their rights. ”

Offline "Transition" line

In fact, ground sales were the main means of attracting users when carrying Cheng home. Reporters in the interview also found that many people have been wearing a small vest in the work, the major airports, railway stations to recruit members of Ctrip sales staff "accosted" the experience. After the news of the "layoffs", various comments on the Internet were also available. A netizen said, "Finally can not at the station airport by N Wave the horse asked:" Excuse me, are you a member of Ctrip? "Some also show a little regret of the feeling" after the boring waiting for the bus no longer carry Ctrip's beautiful sister with chatting, alas! ”

Many in the industry, whether it is "optimization" or "layoffs", ctrip to shrink the traditional offline channels, the focus on the online "transformation" scheme has been very obvious. At present, the sales channels of Ctrip products, including offline promotion, online advertising, open inventory of strategic alliances, mobile app, etc., the adjustment can be resources to the first-tier cities, the core areas of concentration, optimize the company's sales input-output ratio.

"Decompression" for the price war

In addition to the "transition" intention, the reduction of ground sales naturally makes people think of a raging "price war". Since last July, Ctrip has officially announced that it has invested 500 million of dollars in a one-year low price promotion. The "Battle", launched by several of the country's largest online tour operators, has not yet halted.

The direct negative effect of joining the "price war" is the decline of profit and the pressure of share price. In Friday, the US-listed Ctrip tumbled 13% per cent, with the company's current stock price stabilizing at around $20 trillion.

Some investment bank analysis that the domestic online travel market competition is increasingly fierce, with the price war escalated, ticket prices or return to Ctrip will bring a certain adverse impact, and ticket booking in Ctrip total revenue accounted for about 40%. Therefore, in order to reduce these negative pressures, Ctrip reduced the line of sales channels to achieve the goal of controlling costs.

Newspaper reporter Tang

Intern He Yi

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