Chapter 1688: Summit Forum (I)

In late autumn, at the foot of the Great Wall, the China-US Tourism Industry Summit Forum was officially held.

This time, more than 30 related enterprises from both sides participated in the forum.

The media on both sides also paid special attention to the forum, as it was the first China-US tourism industry forum organized entirely by the private sector.

As the organizer of the forum, Li Mu announced the new business of "Where to go to Taobao" to the heads of enterprises on both sides.

"Qunar" will become a new second-level section of Taobao with a domain name.

In this section, Taobao will provide consumers with air ticket bookings to and from first-tier cities in China, hotel bookings in first-tier cities in China and all of California, and other travel-related resources and services to tourists in both places.

"Where to go" is a travel product that Li Mu took the opportunity to create this time, but he was not ready to throw money at it as soon as he came up, but was ready to grasp the tourism resources in his own hands from the route of eating resources.

Ctrip's business model is an intermediary and integrator in the tourism industry, but its resources are not exclusive, and users can book hotels on Ctrip, Qunar, Fliggy and other products, and there is basically no difference in price.

Li Mu thinks that the poor have a poor way to play, the rich have a way to play, and the poor game is a routine like Ctrip, and the rich way to play is simply to spend money to buy resources first, buy them and then integrate them.

Therefore, Li Mu brought the heads of Makino Technology and Taobao to the site of the summit forum, and asked Makino Technology to negotiate resource purchase with service providers, and Taobao to talk to them about specific cooperation models and cooperation requirements.

For example, air tickets, Li Mu asked that starting from December, 10% of the air tickets between first-tier cities in China and California will be sold to Makino Technology at a 20% discount on the market, and then increase by 5% every month, up to 30% of the total number of air tickets.

The reason why we need to take 10% first, and then increase by 5% per month, is because we want to leave a start-up stage for the outbound travel business, and the gradual growth will be more scientific.

Take Air China as an example, their flights from Yanjing, to and from San Francisco and Los Angeles, most of the time are not satisfied, if it is the off-season for studying and traveling, the attendance rate does not even reach 40%, only during the Spring Festival, Christmas, and student summer vacation, the attendance rate is likely to reach more than 80%.

For such flights, Li Mu asked Makino Technology to directly spend money at a 20% discount on the world's normal discount, and take 10% of the air tickets in his own hands, and then authorize these tickets to Taobao where to sell, these tickets Makino Technology is responsible for its own profits and losses, even if one is not sold, it is also its own cost.

For Air China, the price is discounted by 20%, and most of the time it will not lose money, because most of the time, the remaining seats on the flight are far more than 10%, and in this case, Makino Technology spent money to buy 10%, but it helped them a lot.

The only loss is the limited peak period of the year, the busiest days, the plane will even be overbooked, the entire flight 300 seats sold 320, in this case, the ticket is basically no discount, in this way, but also according to the 20% discount to Makino Technology, naturally lost 20% of the fare.

However, airlines are not stupid, they measure the demand in the peak season and off-season every year, and they can naturally calculate that even if they lose a little money in these days during the peak period, it is more cost-effective to sell 10% to Makino Technology as a whole, so they have no reason to refuse.

The representative of Air China said to Li Mu: "Mr. Li, we have no opinion on the other conditions you have proposed, but you have asked for a monthly increase of 5% until 50%, and we want to know what you are going to do after reaching 30%."

For a route where the occupancy rate will not exceed 50% in most cases, Li Mu is willing to take 30% of the seats, which is a dream for airlines to wake up with laughter, but they don't quite understand why Li Mu wants to set a 30% ceiling.

Li Mu said: "If 30% of the seats on your route are bought out by Makino Technology, then I will suggest that you try to increase the number of flights, increase the number of flight tickets, and Makino Technology will take 40% directly!"

In Li Mu's view, he is not charity for airlines, if 30% of the air tickets are round, the airlines are naturally beautiful, but this is still 2-30% away from their full load, for them, what they hope most is that Muye Technology directly covers 50% or even 60% of the circle, so that their route can be in a state of close to full load all year round.

Therefore, for their current established routes and flights, Li Mu only covers him up to 30%, if you want to pack more yourself, okay, you add a new flight, as long as the new flight opens, I will take 40% directly.

This 40% is the guarantee to encourage airlines to open new flights, and only by incentivizing and inducing airlines to open more flights can the interaction between the two places become closer and closer.

The representative of Air China immediately understood Li Mu's intentions, and said with a wry smile: "Mr. Li, in this way, you are tantamount to pulling us out of the fire pit and inducing us to dig a new pit and jump in!"

Li Mu smiled: "You have to grasp the general trend, the national economic development is getting better and better, the people are getting more and more money in their pockets, and there will be more and more people traveling abroad in the future. ”

The representative of American Airlines on the side asked: "Mr. Li, I have a question, if this part of the ticket you have packaged cannot be sold, will we be allowed to re-sell it before the departure date?"

Li Mu thought for a while, nodded and said: "This is no problem, if the resources in my hand are really idle, you can re-sell the remaining seats within 48 hours before the plane takes off, I should pay your guarantee, and we will share 55% of the income from the sale, so that you can make more money, and I can lose a part less." ”

If the price of a ticket is 5,000 yuan, Li Mu wants to buy it from the airline for 4,000 yuan, but if it is not sold before takeoff, it is a pure waste, and the airline can earn 4,000 from its own hands.

Both China Express Airlines and American Airlines are very satisfied with this clause, and for them, it is to ensure their interests to the greatest extent, and there is no reason to refuse.

After the agreement with the airline, the next step is to communicate with the hotel groups in both places.

In terms of hotels, Li Mu also proposed a 20% discount on the price, starting from next month, directly from the hands of the two hotel groups, taking 10% of the room resources, and also increasing by 5% per month in the future, up to 50% cap.

The hotel did not have any problems with this, and all of them agreed to this cooperation proposal.

Airfares and hotels are relatively simple, and the most troublesome thing is to integrate the various resources of the travel companies on both sides.

Including but not limited to tour guide resources, ground resources, and various surrounding supporting service resources.

Li Mu's idea is that in the future, Taobao Qunar will mainly sell self-operated bilateral group tours, such as selling group tour services from Los Angeles to Yanjing for California users, and then selling Los Angeles group tour services for Chinese users.

In the past, travel companies, especially travel agencies, organized such cross-border tour groups, integrating their own air tickets, hotels and other resources, coming up with a set of plans for users, and then waiting for enough people to send groups from the local area.

The group is led by a local tour guide, and then received by the local cooperative ground company, which is specifically responsible for the various affairs of the tour group in the local tourism, and then the group travel agency settles with the ground travel agency.

For example, a tour group in Yanjing took 100 people to Los Angeles for a tour, and there were only two tour guides when the group was departed, and the accommodation, catering, play, and car use of these 100 people in Los Angeles were basically all provided by local travel agencies or tour companies.

The vast majority of tour groups, send people to the destination, and local partners docking, generally leave it alone, many domestic low-cost groups even directly sell tourists by capitation, for example, a travel agency organized a hundred people to go to Spring City, or low-cost tour groups, they directly find a low-cost airline to send people over, and then sell all the 100 people to the local black tour group, the local tour group spends money to buy people, and takes shopping everywhere, Ke Jin pit, and even buys and sells in order to make money.

Now, because of where to go with Taobao in the middle, Li Mu certainly can't allow anything to hurt his customers.

Therefore, Li Mu's requirements for the tourism companies in the two places are, firstly, that all resource quotations must be lower than the prices they usually cooperate with travel agencies in the industry.

This is because, in Li Mu's eyes, these cooperative travel agencies could only be regarded as small wholesalers before each other, and they will become unprecedented large wholesalers in the tourism industry.

They usually cooperate with some travel companies, send a few groups a year, and add up to hundreds of guests, but if they can with Li Mu, where to send them customers from Taobao in the future, it may reach tens of thousands of people a year, this is the strength of the platform, so any company that cooperates with the platform must honestly obey the requirements of the platform and never dare to make random times.

This is very similar to Apple's App Store in the future, almost every APP developer will take the initiative to send their APP to the App Store for sale, but Apple's App Store is very ruthless, as long as user consumption is generated, he will deduct 30% from the developer, and he still has a lot of terms and conditions, and he will be punished or even removed from the shelves if he violates the rules slightly.

But even if Apple is so domineering, no app has taken the initiative to remove it from the Apple App Store, because they want to make money behind the platform's ass, and they must do whatever the platform asks.

In addition to giving a lower price, more importantly, Li Mu has to assume the role of organizing a group by himself, and at the same time arrange the tour guide and necessary service personnel by himself.

The destination travel company should provide the required services for Taobao's self-operated tour groups according to the requirements of Taobao Qunar, and must provide services to the home and not slack off, because only if the user is satisfied, they can settle the income from Taobao Qunar, and if the customer complains, Taobao Qunar has the right to deduct part of the cost, and even give a certain penalty!