Portal enters online travel

[Maidian.com] "China Eastern Airlines does not want to continue working for Ctrip and eLong!" Liu Shaoyong, chairman of China Eastern Airlines, opened the door to the online travel market. The reporter recently discovered that online...

[Maidian.com] "China Eastern Airlines does not want to continue working for Ctrip and eLong!" Liu Shaoyong, chairman of China Eastern Airlines, opened the door to the online travel market.

The reporter recently found that online travel is no longer the world of online travel companies such as Ctrip, eLong, Yi Netcom, and Youyi. The portals including Sina, Sohu, Tencent, Baidu, Taobao, etc. have already targeted this fat beauty. The cake, while Taobao opened the flagship store of China Eastern Airlines, Tencent Tenpay officially launched the ticket booking, Sina also began to provide ticket inquiries.

Up to "3+X" ticket rebates make portals with huge traffic covet, which will be another huge profit growth point for portals. "Online travel companies, including airline reservations, will face the biggest portal this year. Shock."

Portals are involved in the online travel market

Taobao: At the end of last year, it took the lead in the operation and started to cooperate with China Eastern Airlines. Passengers can purchase tickets directly through the Eastern Airlines Taobao flagship store. They can also log in directly to the official website of China Eastern Airlines with Alipay account, and then make payment after completing the corresponding flight. Travel service.

Tencent.com: Because it has a large number of TenPay members, it has not chosen to cooperate with a single airline, and with the TenPay payment platform, it has started online ticket booking directly. The business model is quite simple, that is, to do the ticketing agents of major airlines, and then complete the transaction through its Tenpay, which is rated by the industry as "the portal closest to the online travel mode of operation."

Sina.com: Both the Sina Life and Sina Travel channels have launched ticket inquiry services.

Other portals such as Sohu and search giant Baidu are also in action.

Reason for intervention: high rebates will become new growth points

Why is the online travel market causing many portals to be jealous?

This is because in the online travel business, the ticket agent has the highest rebate. According to airlines, before the domestic ticket agent commission was divided into two parts, one was 3% fixed commission, and the other was X% non-fixed commission. This “X” depends on market demand and sales volume of agents. Generally, there are 1-3% ranging; from October 1 last year, the previous 3% standard for airfare agency fees was cancelled. Instead, the airline will directly negotiate with the agency for the commission rate of the ticket agent, but The commission rate for this "negotiation" is also roughly the same as before, between 3% and 6%.

What is the profit of the ticket agent?

Single profit: For example, the price of a ticket from Guangzhou to Shanghai is 1280 yuan (full price), and the rebate for each ticket sold by the ticket agent is between 38 yuan and 76 yuan, and the cost of the ticket agent is also a telephone fee. (If you need to send the itinerary, plus the ticketing fee).

Overall profit: In 2009, the number of domestic civil aviation passengers reached 230 million. Even with an average ticket price of 800 yuan per person and 4% rebate per ticket, the ticket agent’s rebate reached 7.24 billion yuan, which is exactly 2009. The annual net profit of domestic major airlines (7.4 billion yuan).

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