Emerging Online Markets 2007 Emerging Online Markets 2007 Roy Graff Managing Director ChinaContact www.chinacontact.org China case study
Oct 28, 2014
Emerging Online Markets 2007Emerging Online Markets 2007
Roy Graff
Managing Director
ChinaContact
www.chinacontact.org
China case study
Emerging Online Markets 2007Emerging Online Markets 2007
Gullivers Travel Associates in China2002-2005
From 10 staff and 2 offices in 2002 to 130 staff and 3 offices in 2005. Roll out of online booking platform RBS in 2003 Massive translation program into Simplified and Traditional Chinese of all
product reports (hotels, apartments, transfers, sightseeing tours). Little take-up of online credit card payment (preference to cash or bank
transfer). Focus on agent training and education, rewards and incentives Octopustravel.com soft launched end 2004 from Beijing.
Emerging Online Markets 2007Emerging Online Markets 2007
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
0
50000
100000
150000
200000
250000
300000
350000
400000
China agent online booking turnover
2002
2003
2004US
D
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Where Chinese go?Europe country split
AUSTRIA
BELGIUM
SWITZERLAND
GERMANY
SPAIN
FRANCE
UNITED KINGDOM
GREECEITALY
LUXEMBOURG
NETHERLANDS
PORTUGAL
Asia/Oceania Country split
SRI LANKA
CHINA
HONG KONG
INDONESIA
INDIA
JAPAN
SOUTH KOREA
CAMBODIA
LAOS
MALAYSIA
MYANMAR
MACAU
NEPAL
PHILIPPINES
SINGAPORE
THAILAND
TAIWAN
VIETNAM
China outbound destination split
Asia/Oceania
Americas
ME/Africa
Europe
Emerging Online Markets 2007Emerging Online Markets 2007
Destination breakdown as office matures
Beijing totals regional dist.
WesternEurope48%
MiddleEast2%
SouthAmerica1%
Aus/NZ3%
Africa1%
EasternEurope1%
Caribbean0%
Scandi3%
Far East27%
N. America SHA totals regional dist.
Australasia4%
EasternEurope
1%
WesternEurope
36%
Far East45%Middle East
1%
SouthAmerica
1%
Scandinavia2%
NorthAmericaCanada
HKG Totals regional dist.
Africa1%
Aus/NZ6%
WesternEurope
28%
Far East55% Middle East
1%
South America0%
Scandinavia1%
North AmericaCanada
Eastern Europe1%
Emerging Online Markets 2007Emerging Online Markets 2007
GTA at international travel fairs
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Politics
Emerging Online Markets 2007Emerging Online Markets 2007
SWOT analysisUnique selling points Challenges
Opportunities in China Market concerns
First European company with Inbound/domestic license.Strategic locations in ChinaTechnological advantageWorldwide support network for sales, distribution and service.
Technology available is not matched by current infrastructure
Prevalent business model is different to gta’s
First mover advantage
Fast growth in all tourism areas
Expanding middle class
Relaxation of outbound travel regulations
Increased exposure of China abroad
Recurring disasters/global politics
Competition increasing from 2005
Protectionism for local companies
Emerging Online Markets 2007Emerging Online Markets 2007
Emerging Online Markets 2007Emerging Online Markets 2007
Emerging Online Markets 2007Emerging Online Markets 2007
Emerging Online Markets 2007Emerging Online Markets 2007
Lostrip.com hotel booking demo
Emerging Online Markets 2007Emerging Online Markets 2007
Contact:
Roy GraffLondon, UKEmail: [email protected] Tel: +44 20 3239 9688 Mobile: +44 7821 093
199 Consultancy service:Consultancy service:
market access, marketing strategy, public relations, deal brokering
Localisation:Localisation:
tourism marketing materials, websites, press releases
Event management:Event management:
exhibitions, product launches, trade fairs, business trips
Representation:Representation:
China sales and marketing representatives