Online tourism Sales Counterattack: Ctrip "blocked the door" actual situation

A "more than 300 international hotel group blocked to where and Taobao" news, detonated the 2013 online tourism industry's first mouth War: Where to go directly to the "block door" behind the Ctrip, and throw a lot of evidence, pointing out that the price of the room on the reservation is far higher than where to go, has increased the number of reselling to where more than 4,000 hotel orders. Ctrip vice President Mr. responded by saying where to go ego hype.

January 31, the Intercontinental and Marriott two hotels in China, the largest number of international Hotel Group replied that there is no "ban" said, the hotel group with Taobao and where to have different cooperation, has not changed.

A large Guangdong travel agency, a senior executive told reporters that the hotel privately willing to cultivate a number of distribution channels rather than be controlled by Ctrip, how will be blocked to where and Taobao?

The war of words, just before Ctrip released the 2012 quarterly results of the fermentation, it is inevitable to imagination.

"Blocked door" authenticity

The hotel group's "Best Price Guarantee" has been challenged

When Ctrip plans to release the 2012 quarterly results, the Golden Crown shop of Taobao travel "Tomato Holiday" manager Yuhanyong revealed in Sina Weibo, including Hyatt, Shangri-La and so on at least 300 hotels, refused to accept from Taobao and where to go online orders, At the same time, the sale of these platforms have been sold on the bare price products.

In support of this message, professional hotel wholesalers Shenzhen Jie Brigade in its official online bulletin said, in order to maintain the industry price system, better match the hotel end revenue management, its platform all prepaid class 23451.html "> Hotel products will continue to be the traditional travel agency packaging sales as the core distribution channels." For some partners to purchase from the normal channels of the Advance hotel orders, will be in the near future centralized monitoring and clean-up.

Where to go? NET Deputy Chang in an interview with reporters flatly denied being blocked, but also said that the messenger behind the Ctrip, only because to go where the price is much lower than Ctrip.

Where to go and Taobao, have you ever been banned by the hotel? Why was it blocked? The reporter immediately inquired about the authenticity of the matter to several hotels.

Alexander Pyhan, senior director of Europe, Middle East, Africa and Asia Pacific, told reporters that Marriott is currently advertising on Taobao and where to go, and accepts the resulting room bookings through Marriott channels. Also, Marriott will continue to promote and attract business to the Marriott official website through Taobao and where to go. As to whether other distributors or distributors will continue to work with Taobao to see where and where to go, depending on their cooperation agreement, but the prerequisite principle is that these prices must not be lower than the Marriott official website. He pointed out that Marriott in the management of distribution channels to meet the "best Price Guarantee" principle, that guests will not be in the distribution channels to find a better price than their direct sales.

Obviously in China, the hotel group's "Best Price Guarantee" is facing new challenges. To book the February 2 JW Marriott Beijing Hotel For example, in the Marriott official online price of 1500 yuan a night, Ctrip is 1725 yuan a night, and where to go on the website, a travel agency's lowest price for 906 yuan, Taobao even have 788 yuan special.

Chang, Chief knowledge Officer of the hotel's consultancy, explained to reporters, hotel group's online sales price system must fulfill the hotel industry's "Brgs clause", that is, the official website reservation has "the best price Guarantee", if the consumer through the hotel's official website or approved online channels to book a room, on the third party's website to find a lower price, Hotel group must promise to the third party hotel the same price, and on this basis to give a certain discount, integral compensation or even free.

It is in view of the chaotic price that the hotel has decided to reprimand. "We attach great importance to any violation of the best price guarantee principle, whether originating from wholesalers, Ctrip, art dragons or other Ota." But Alexander Pyhan did not explain how Marriott would punish the OTA for violating the violation.

Line Strikes Back

Offline sellers ' prices hit online sellers

There is news that Ctrip is the "blocked door" behind the boss. Because so many hotel groups at the same time pressure distributors, its energy seems to be only such as Ctrip, such as the ability of a Oita distributor. Chang to reporters that the price of Ctrip is far higher than where to go, the company has been monitoring to 4000 single Ctrip from where to resell the price of information.

Ctrip flatly denied this statement, but also do not want to explain too much. Chapitis that the accusation that Ctrip manipulated the "kill door" must have evidence, and admits, "it is possible if someone follows the process of creating a trap." ”

However, a large Guangdong travel agency, an unnamed senior executive told reporters that the hotel privately willing to cultivate a number of distribution channels rather than being alone, how to block where and Taobao? Even if you do, you do it.

The core of this war, as Chang points out, is that the price of the offline sellers is hitting the online sellers, and the conflict between the two is inevitable.

In the early days of Ctrip, led by the rise of online distributors, travel agencies and hotel offline distribution channels, a lot of small travel agencies because of the investment on the line or even closed closed. Taobao and go to where the concept of online shop after the formation of a large number of small and medium-sized tourism distributors in two sites listed on sale, began to return to Ctrip.

Chang Introduction, Taobao, where to go, such as the nature of the platform, the vendor is the platform for travel agencies and hotels under the line of sales channels, they to the hotel to the team prices to buy rooms, and then to retail sales to ordinary guests. Therefore, the house price than the hotel's retail prices, Ctrip, art dragon nets and other large agents of the lower. Some small agents in order to impulse or even abandon the capital preservation release.

This wholesale model after a few years of development, began to impact the performance of Ctrip. Ctrip's contribution to 40% of the hotel business, in recent years, the growth rate began to shrink, thus driving Ctrip's revenue growth and profit margins from 2011 began to decline continuously. The Chengyan revenue growth rate fell from 39% in the fourth quarter of 2011 to 20% in the third quarter of 2012, with operating margins falling from 37% in the fourth quarter of 2011 to 16% in the third quarter of 2012.

In June 2012, Ctrip was forced to announce a price war by abandoning 500 million of profits. But Chapitis is not optimistic about the prospect of a price war. "(Ctrip) The main problem of intermediary is whether to overcome the attractiveness of platform-type network enterprises, because the hotel on the platform of sales costs and benefits more than through intermediary sales. ”