Online travel booking Business Ctrip (CTRP. NASDAQ) is embattled, and the Commission model faces another big challenge

before, by the Taobao cut into the field of Low-cost ticket, Ctrip has been forced to low-cost "against", now, the rapid rise of the group buying model again challenges Ctrip's commission model. A price of 168 yuan a night of the rooms in the group purchase website Minimum of 10 yuan can be.

At present, many hotels have opened a group purchase distribution channels, this mode of hotel prices can be lower than the normal price 30%~80% range, sometimes even less than 10 percent. Because group buying can reduce hotel room vacancy rate, balance income management, reduce marketing costs, and even seize the future customers, a large number of hotels are keen to sell this way, affected by this, these hotels in the sales of Ctrip has recently appeared 10%~30% unequal decline.

Group Purchase Impact Ctrip High Commission mode

Group buying operation mode is calculated by the hotel side, take out a certain number of rooms in a specific period of time with the group purchase site Low-cost Sales, the hotel does not pay commission to the website, only to pay the cooperation website a service fee, it is reflected that this service charge is not high. More keen to buy channels of hotels usually in the middle and low-end hotels and non-large-scale chain hotels mainly, this kind of hotel direct sales capacity is relatively weak, need other distribution channel support, and Ctrip High Commission mode gave them pressure, so low-cost cost-effective purchase channel began to be favored.

According to a number of hotels reflect, the hotel side of the distribution channels are usually large company orders, hotel reservations Center direct Sales, commission agents, travel agency team, group purchase and so on. Large company customers can account for 30%~50%, Ctrip can account for 20%~40%, while travel agencies and booking direct share of the total, group buying this new model is now accounted for more than 10%~30%.

It is noteworthy that in a variety of distribution channels, the hotel direct sales are close to 0 cost, and Ctrip such commission channel cost is the highest, some hotels refers to the proportion of Ctrip can be up to 20% or even higher. Group Buying mode is second only to the low cost model of direct sales, and the hotel can control the price and the number of low-cost rooms.

"In view of the above advantages, we hope to increase the proportion of group buying from now 20% to about 50%." "Beijing Jia Long Sunshine Hotel sales management personnel Zhou Weichun to the first financial daily," said. Many hotels have also expressed the idea of increasing the proportion of group buying.

If a large number of hotels to buy mode, Ctrip will be directly impacted. There is a hotel that the rise of the purchase of Ctrip will inevitably lead to the decline of the volume of the book, according to incomplete statistics, some hotels in the purchase by Ctrip, the volume of the booking has been reduced by 10%~30% ranged. More operators said that if the future group purchase development good, will consider the end of cooperation with Ctrip.

Four key factors

The rise of the concept of group buying is not the impulse of the hotel side, Zhou Weichun to reporters that the main reason to take group buying mode-reduce vacancy rate.

"We are a business hotel, and before we go to a group, our characteristics are ordinary day guests a lot, but the weekend and holiday vacancy rate is very high for the hotel, the need is the scale, the vacancy rate is too high is fatal, if you can use low prices to pull up occupancy rate, but also small profits but quick turnover to produce scale benefits. "Zhou Weichun gave a set of data, the hotel a total of 387 rooms, the weekend will take out more than 100 low-cost group buy sales, generally 20 percent or so price sales, group purchase so that its weekend occupancy rate from 30% to 80% or even 90%.

In addition to raising the vacancy rate, balancing hotel revenue management is another factor contributing to more hotels joining the group buying army. "Our hotel in the local belong to the old, no shortage of customers, but there is always a light season to distinguish, group buying is our attempt to balance the revenue management method." "Shenzhen Shanghai Hotel sales director Shang told reporters that the hotel group buy prices than the original price drop of about 20%, although the decline is not necessarily absorb a large number of customers, but the hotel distribution structure adjustment has a great role." At present, the hotel distribution channels are divided into scattered direct, group purchase, Ctrip, such as commission intermediaries, large customer orders, such as major customer orders are the most important source, and the direct sales are the current need to transform the management of the group, customers are scattered, and the cost is lower than the Commission intermediary, which makes its overall hotel sales cost reduction, the increase in customer, Help to optimize hotel revenue management.

Reducing marketing costs is the third reason many hotels push group buying. The 138-room Guangzhou Qingcheng Hotel is a newly opened hotel, its sales manager Sun Lixue introduced, through group buying, more than 100 rooms quickly sold, and the most important thing is that the new hotel will need a large amount of publicity costs, its payment to the group buying partners service charge is not high, through the network, equal to the hotel played free advertising, Greatly reduce the cost of marketing. This is another major reason why many hotels are keen on group-buying mode.

In addition, many hotel operators reflect that, as the group buys all through the network, consumers to the generations, the main, once these guests have developed this consumption habits, is tantamount to the hotel to seize the future customers. "These future customers will be able to protect our long-term sales, and their spending habits will also help us to introduce group group buying products, such as the hotel rooms and restaurants packaged together for sale." "Shanghai Ming Cheng Hotel sales director Zhangli said.

Ctrip wants to "curve the National salvation"?

At present, where to go, handle, Taobao and other big push hotel tours, facing such challenges, Ctrip said the internal still study group buying, but itself did not directly into the Corps to buy business. In addition, Ctrip has been referring to buy or short-term low price promotions there is no shortage of, such as time and quantity are limited.

And the industry pointed out that Ctrip depends on the Commission model, once Ctrip adopted low-cost buy will pull down its profits. Some people do not want to reveal the name of the hotel industry, the recent due to group buying hot impact on the number of Ctrip intermediary channel booking, Ctrip has expressed dissatisfaction with these hotels.

However, Ctrip recently aimed at the High star Hotel partners, because the Low-cost group buy mode is not suitable for high star hotels, and seize high-end customers can be "quality charge." Just a few days ago, Ctrip announced that with Shangri-La hotel group in China direct-link booking cooperation, both sides backstage docking, the model will be extended to Shangri-La Hotels in the global market. At the same time, Ctrip Independent under the donkey rating nets, this seemingly separate tourism review site by the industry refers to the fact that can increase the customer's stickiness of Ctrip.

More subtle is that the reporter yesterday from the independent operation of the star-Cheng Hotel Alliance learned that the alliance is with the handle network and other cooperative group purchase, already has more than 110 Alliance Hotel star to take out the 6~7 home hotel to buy test water. In addition, the Star Cheng also launched with the Beijing Jialong Sunshine Hotel Similar voucher activities, consumers can use the price of 5 yuan to stay in the hotel. Due to the independent operation of the star, it will not affect Ctrip's commission income, but also equal to the curve of the purchase attempt.

Chang, Chief knowledge management expert at Huamei, said group purchase as a low-cost large room volume distribution mode will certainly impact on Ctrip, which also prompted Ctrip to make the transition, but group buying is not without drawbacks, such as the general distribution channel of the account period is 30 days, and group buy account period 3~4 period to account, All the hotel income to wait until the whole group purchase activities can be completed, if the activity lasts a few months is also up to several months, so the hotel side of the fund to bear the ability and network partners of the credit security requirements are high.