Consider themselves white Phu, ctrip where to merge yellow-ctrip, where-IT information

Ctrip and go around the acquisition and takeover of dog blood plot more confusing yesterday: first, where on June 1 issued, refused the ctrip unsolicited takeover followed ctrip 3rd responded that, is where "active contact ctrip invest."

Both public relations team is riveting enough who offered to buy him, but one thing is certain: both sides had contacts and seriously discussed a merger. So, exactly what caused the rupture of their cooperation?

Since traveling to where net search into the OTA (online travel service) industry, its business is increasingly tend to be about ctrip. Online travel site features, user acceptance of the platform stop at hotels, ticket purchase and reservation, in other words, the online travel site is more like a tool, rather than flesh-and-blood individual products. Also means that tourism website user stickiness is relatively low.

Therefore, ctrip, elong, and where such OTA sites compete for the most commonly used method is basically the online hotel reservation, the Aviation Agency ticket cooperation, as well as some high quality attractions, tickets, and so on.

It is a hotel, a ticket to build platform barriers to competition, but competition has also brought new problems: in several platforms with the hotel sold rooms, battle platform users can only play the price war, which may fall into the "platform subsidy rates-lower prices pull more customers to force platform" cycle.

As a business, if the competition can merge, you can reduce operating costs caused by vicious cycle, but due to operational height overlap after the merger, the merged party's business and operation of the product will lose its independence to become subservient to the merging parties. This is obviously where do not want to see the results.

58 earlier and go to merge, despite the larger business pattern is similar, but prior to the merger push 58 58 home, go to flagship property, the merger would have an independent space for development. Youku and Tudou is even more striking: with video sites, potatoes have been focused on UGC services prior to the merger. In view of this, heavy match the appearance to discuss about cooperation in business and user height, the success rate is very low.

Where declared ctrip merger at the same time, yinhu, among others, also announced that it has received a total of $ 500 million investment implication is clear: I am a white Phu, not easy to fight for five meters in homage.

Online travel industry due to severe dependence on offline sources, the entire online travel website to the capital chain require extremely high, it also explains why all major platform results show users, trading volume rising, but at the same time and immense losses.

OTA online travel site stickiness is often not high, also means that users often don't constitute a platform for absolute competitiveness, ample funds for any platform in the premise, is entirely possible counter attacks--is actually very simple: good customer service, user benefits, price, price advantage to regain users. It is also a tool the Internet company's biggest weakness, prices depend on the user platform is too obvious.

Therefore, at the same time ctrip and go spar, the parties may wish to reflect carefully on their business models. For the online travel industry as a whole, how to burn money to establish their own competitiveness, is the real core of the problem.

The parties will merge in the future, the decision must be in the hands of their respective public relations, or even not in the hands of management, but in the hands of the capital behind.