Ctrip Corporate Travel reports on latest market trends
>> China, the world's largest business travel market, registered a declined growth rate of 5.9% last year, while the average annual growth rate in 2013-2018 was 11%, according to data from Trip.com Group's business travel unit Ctrip Corporate Travel. OTAs are still major booking platform for domestic business travel, with a penetration rate of 70.1%. TMCs are popular in China’s first-tier cities, while a mix of OTAs, airlines/hotel direct channels and traditional travel agencies dominate the lower-tier markets.
JD.com buys 7.4% stake in tour operator Caissa
>> China’s e-commerce company JD.com’s subsidiary agreed to subscribe to 73 million newly issued shares of travel service provider Caissa for about RMB 450 million (USD 63.5 million). The investment will allow JD.com to hold a 7.37% stake in Caissa.
Meituan, Pinduoduo launch live streaming to promote tourism
>> China's super app Meituan has rolled out live streaming features to promote traveling and provide training to tenants. E-commerce platform Pinduoduo has also launched a series of virtual travel via live broadcasts to promote tourist destinations in China. Tourism is among the hardest-hit industries during the pandemic. China Tourist Attractions Association (CTAA) estimated an 80% drop in revenue for tourist destinations in China.
Thousands of hotels in China have closed since COVID-19
>> Some 74.29% of the Chinese hotels and inns have ceased operation during the time, according to data from the China Hospitality Association. The accommodation industry which includes hotels and homestay businesses loss more than USD 9.5 billion) in the first two months this year. Only 66,000 hotel-related new companies were registered in the first quarter, the lowest number in the past five years, down by 38% from the first quarter of 2019.
Anbang unit sues Mirae to complete $5.8 Billion hotel deal
>> A unit of the Anbang Insurance Group sued to force South Korea's Mirae Asset to complete its USD 5.8 billion purchase of a portfolio of U.S. luxury hotels as the coronavirus pandemic roils financial markets and travel. The deal was slated to close on April 17.
Over 60% of attractions reopen in Hubei Province in China
>> Several attractions are reopening in the Hubei Province in China as the coronavirus pandemic wanes in the area. Xinhuanet reports that 266 major Class-A tourist attractions in the province had reopened, accounting for 63.2%. Guidelines state that these attractions limit visitor numbers to 30% of the daily capacity. Only outdoor areas are allowed to open.
Cathay Pacific to increase international flights in late June
>> Cathay Pacific and its regional wing Cathay Dragon intend to increase their flying capacity from 3% to 5% between June 21-30. Daily flights to Beijing and Shanghai (Pudong) will be operated by “Cathay Pacific or Cathay Dragon”. Between May 1 and June 21, the airline will continue the flight cuts it imposed in April by operating at a flying capacity of 3% across its passenger network.