36 Kr reported that German travel service provider TRAVEL EASY has recently received USD 20 million in a funding round led by Haitong International. Yiqiu Cpital was the exclusive financial advisor. TRAVEL EASY secured a seven-digit sum in US dollars from PAGODA previously.
TRAVEL EASY provides customers with tax refund services for their shopping in Europe and generate business for partner travel companies.
A Deloitte report indicates that European retailers are chalking up a declining share of the global retail revenues of the world’s Top 250 retailers. Their revenue share declined from 39.4% to 33.8% in just 10 years due to Europe’s lackluster economy.
However, European retailers can count on the stronger purchasing power of Chinese travelers to drive their sales. Statistics show that in 2018, Chinese travelers spent nearly 150 billion yuan (19.6 billion euros) in Europe, more than half of which was shopping expenditure.
TRAVEL EASY seized the opportunity to transform Europe’s retail sector, by using technology to help European retailers acquire more Chinese customers to improve sales.
TRAVEL EASY provides its partnering top outbound travel groups with optimized travel and shopping itineraries and brings 2 million group travelers to partner merchants in Europe.
The company has also connected with 20,000 independent tour guides to channel individual tourists in their tour groups to related merchants by offering shoppers attractive tax refunds and shopping guide services covering both business and customer sectors.
TRAVEL EASY has increased the conversion rate of shoppers by providing them with tax refunds of 20% or more.
The company makes revenues from its tax refund business, which accounts for one-third of its incomes, and marketing services targeting merchants.
TRAVEL EASY reported that it earned 50 million euros in revenue and a gross profit of 100 million yuan in 2018. Meanwhile, its annual transaction volume grew more than 250%. (Translated by Elena)