Chapter 482 OTA War, Traffic Blocked! Since Liang Zhangjian is looking for death, let's fulfill his wish!
On Teachers' Day, Ctrip, together with eLong and Qunar, launched a sniping war against Kuaipao Hotel and Travel, while Tuniu and Tongcheng chose to stand by and watch, not daring to participate, for fear of being included in the hit list of Senlian Capital.
Liang Zhangjian's provocative tactics of poaching people with high salaries made his colleagues secretly astonished, and they all marveled at his courage.
After all, Qiandu.com had just been defeated. It took three months and invested more than 3 billion yuan, but it failed to even get 20% of the market share.
Now, under the counterattack of Kuaipao, its market share has shrunk again.
Who can guarantee that Ctrip will not become the next Baidu?
According to iResearch Consulting statistics, the market structure of China's online travel (OTA) in 2013 was: Ctrip accounted for 36.1%, Kuaishou accounted for 29.4%, Tongcheng accounted for 11.6%, Tuniu accounted for 7.3%, Qunar accounted for 6.2%, and eLong accounted for 4.9%.
From this we can see that the current situation is that the eldest brother leads the fifth and sixth brothers to deal with the second brother, while the third and fourth brothers watch.
The reason why Liang Zhangjian fought back was simply because Kuaipao Hotel and Travel's market share was about to exceed 30%, which had threatened Ctrip's position as the industry leader.
He mainly targets regional managers and above-level sales backbones of Kuaipao Hotel and Travel, members of the supply chain management team and core personnel in product technology positions.
For example, if the original annual salary of a middle-level manager at Kuaipao was 400,000 yuan, Ctrip would offer him 800,000 to 900,000 yuan.
Of course, this is the package price of salary plus stock.
For grassroots sales backbones, the basic salary will be doubled, and the KPI bonus is promised to increase by 50%.
For developers of the Kuaipao hotel and tourism automation system, generous conditions are offered, including doubling their salary and an additional signing bonus of 100,000 or 200,000 yuan.
I have to say that this trick is very effective. Not many people can resist the temptation of double the salary.
That afternoon, Ctrip poached more than half of Kuapao's hotel and travel team in Jinling area, including managers and team members, involving more than 10 people in total.
Even if they have to resign temporarily, they will have to give up N plus 1 compensation, lose an unfrozen option, and be subject to the restrictions of the non-compete agreement, but these people are determined to leave.
Because Ctrip is willing to bear all the compensation, it also proposed a plan to exchange Ctrip stocks for Kuaipao options.
You should know that Ctrip was listed as early as ten years ago. After employees get the stocks, they can cash them out once the lock-up period has passed, and the liquidity is undoubtedly stronger.
But Kuaipao doesn’t even have any plans to go public!
Pei Yi sneered after receiving the news.
He always took the initiative to attack, and this was the first time he was surrounded. Although it felt a bit strange, he was not afraid at all.
He knew very well that the hotel and tourism industry belongs to the low-frequency consumption industry, while Kuaipao has three high-frequency consumption scenarios: takeout, group buying and grocery shopping.
He firmly believed that there was no reason for failure in using high frequency to defeat low frequency.
But Ctrip's approach is really disgusting. If they raise the salaries of the employees of Kuaipao Hotel and Travel, other departments will definitely not be happy; but if they ignore it, the team turnover rate of the hotel and travel department will rise rapidly.
Even if he offered the same salary as Ctrip, it would be of no avail. What if the other party offered three times as much?
Is it possible that it will continue to rise?
Pei Yi thought for a moment, then called Zhang Xuhao, Shan Jiawei and Liang Changlin to discuss countermeasures. Kou Zhen, who was responsible for the takeaway promotion business, and Kang Jia, who was in charge of the group purchase promotion business, also entered the meeting room.
"Boss Pei, I suggest initiating arbitration against the employees who violated the non-compete agreement. We need to let these people know that double pay from Ctrip isn't so easy to come by."
Shan Jiawei said coldly.
He came from Ali's Chinese supply iron army and has accumulated mature and rich experience in dealing with such situations.
Although Ctrip may evade responsibility by having employees join under pseudonyms and signing labor contracts in the names of other companies, it still has to go through the necessary prosecution process.
Otherwise, everyone will think that Kuaipao is weak and can be bullied, and even Tuniu and Tongcheng, who want to reap the benefits, may take the opportunity to pounce and take a bite.
Pei Yi nodded after hearing this. He knew that this would not be very useful in practice, but he agreed anyway and continued, "I called you here for three reasons."
"First, adjust the organizational structure and merge the hotel and travel sales team with the catering team to reduce the efficiency of Ctrip's targeted poaching. Then, draw elites from other departments to temporarily support vacancies in the hotel and travel business."
At this point, Pei Yi looked at Kou Zhen and Kang Jia and ordered in a serious tone, "Kou Zhen will be the general manager of the local sales team, and Kang Jia will be promoted to deputy general manager. The two of you must unite the local sales team into a powerful force and defeat Ctrip!"
Hearing this, Kou Zhen's face lit up with joy, and he quickly responded, "Okay, Mr. Pei!"
"Mr. Pei, no problem." Kang Jia also agreed.
In terms of experience and qualifications, he is no match for Kou Zhen, so it is reasonable for him to lose to the other party.
What's more, the vice president was promoted compared to his previous director position. Although he was unwilling, he could only accept it calmly.
"Second, the company will award an additional $100 million in options to the hotel and travel division in the first quarter of next year. These options will be unlocked over four years and will be forfeited upon employee resignation."
"Third, we will launch a five-year loyalty program: employees who have worked for five years or more can redeem an option worth 50% of their annual salary."
Pei Yi slowly announced the two decisions.
No salary increase, only options.
He added: "Employees who leave Kuaipao and join Ctrip will not be allowed to return for 60 years, no matter who asks for their help."
In fact, although Kuaipao has a non-compete agreement, it has never been activated. But at this juncture, if anyone dares to cooperate with Ctrip and disrupt the company's expansion, don't expect him to show mercy.
After hearing this, Zhang Xuhao, Shan Jiawei and Liang Changlin immediately agreed.
"Starting tomorrow, you will personally lead the team and sign up 100,000 mid-range, low-star, and budget hotels for me within three months. Ctrip's hotel commission is 15%, and I'll give you permission to take a minimum of 8%. For high-star hotels, the minimum commission is 5%.
In addition, you should tell the representatives of hotel chains like Home Inns, Hanting, and Super 8 to either remove Ctrip's listings or terminate their cooperation with Kuaipao."
Pei Yi looked at Kou Zhen and said.
Forcing merchants to choose between two options is not fair, but it is always the most effective business warfare tactic.
Although Kuapao Hotel and Travel’s market share is not as good as Ctrip’s, Kuapao’s O2O ecosystem is more complete.
When users open Gaode Map and search for hotels, Kuaipao’s hotel and travel group buying packages will be automatically recommended.
When users use Kuaidi to hail a taxi and arrive at their destination, the company will usually recommend nearby restaurants and hotels to them on the payment success screen.
What can Ctrip use to compete with Kuaipao?
You won’t win by just poaching people and engaging in price wars!
After all, poaching people has a cost. Once the human resource cost data for next month is released, Liang Zhangjian will probably have a headache.
"Okay, I understand." Kou Zhen replied.
Next, Pei Yi made a comprehensive deployment.
First, attack Ctrip's weak areas. The opponent's coverage of low-star hotels is less than 30%, and the coverage of third- and fourth-tier cities is only 60%. This is the opportunity for Kuaipao.
Secondly, the hotel entrance is promoted to the first-level page, and users can enter by swiping right or clicking on the channel resource position.
Next, the "automatic order acceptance" and "hotel reservation" systems were launched to improve the experience of both merchants and users from a technical perspective.
Finally, leverage its advantages in the search field to reduce the search weights of Ctrip, eLong, and Qunar.
For example, when users search for hotels in Shanghai, the information of these three hotels will be ranked on the third or even fifth page of the search results.
Starting from the upstream of traffic, the access sources of websites such as Ctrip were cut off.
At the same time, negative news about Ctrip, eLong and Qunar was dug out, such as "brushing orders", "poor service quality", "wrong goods" and other issues, and pushed on Xiaohongshu, Mimo and Toutiao, with the aim of leaving users with the impression that they were "dirty, messy and poor".
On the first day that iPhone 5s was launched, Kuaipao also started a one-on-three OTA battle.
The next morning, Kang Jia led more than 20 people and rushed to Jinling to take over the local hotel and tourism business.
The dozen or so Kuaipao employees who were preparing to change jobs were arranged by Kang Jia to sit next to the toilet that day and wait in line to hand over their work.
He will not let the person go immediately, but will wait at least a week to increase Ctrip's cost of poaching.
At ten o'clock in the morning, Kuapao launched a 30 yuan discount on the first order for new customers and a discount policy for consecutive stays to attract price-sensitive users.
After receiving the latest commission incentive policy, the sales staff in first- and second-tier cities and third- and fourth-tier cities hurriedly ate breakfast and then headed straight to a nearby hotel to discuss "exclusive agreements" or cooperation matters with their bosses.
The other side.
Liang Zhangjian soon realized something was wrong. Ctrip's organic traffic had dropped by 17.1%, which was definitely not normal.
He asked the data department to check it immediately!
In less than ten minutes, he received a reply: Lingxi Browser had removed Ctrip from the URL navigation, and when using Lingxi search, one usually had to flip through five or six pages before finding Ctrip's product links.
"Pei Yi, this bastard, is really shameless."
Liang Zhangjian narrowed his eyes and cursed viciously.
But at this moment he forgot that his behavior of poaching hotel and travel staff by offering double the salary was equally shameless.
Pei Yi's move hit Ctrip's weak spot.
Looking at Ctrip’s own business, 80% of its orders come from search pages. Search rankings are the lifeblood of its traffic, and search engines are one of the important sources of search traffic.
Lingxi Search’s market share was as high as 25%. Once Ctrip cut off its traffic, Liang Zhangjian could no longer bear it.
However, he had a plan for dealing with it, and immediately instructed his assistant, "Book me a plane ticket. I need to go to Yanjing."
If Lingxi Search can block Ctrip, then Qiandu Search can naturally block Kuaipao.
He and Robin Li have common competitors, so it makes sense for them to join forces.
As early as a month ago, Ctrip had started negotiations with Qiandu, intending to reach a strategic cooperation through equity swap.
He was a little hesitant at first, but now he is no longer hesitant.
at the same time.
After hearing the news, Chen Yansen, who was on vacation in Northern Europe, pondered for a few seconds and then called Zhou Hongyi.
"Ban Ctrip? Mr. Chen, they are a major client of 360's advertising business." Zhou Hongyi looked embarrassed.
"I will make up for the lost advertising revenue for 360 through the advertising cooperation with Kuaipao." Chen Yansen said lightly.
"Ctrip really deserves to die! Mr. Chen, there's no rush regarding the advertising. I'll immediately instruct the search manager to demote Ctrip."
Zhou Hongyi's expression changes as quickly as turning pages of a book.
"Thank you, Mr. Zhou." Chen Yansen replied with a smile.
After hanging up the phone, he called Ma Wenteng and Zhang Chaoyang respectively.
In less than fifteen minutes, Chen Yansen had taken control of all search engines except Baidu. From tomorrow, half of Ctrip's search traffic in the PC and mobile search areas will disappear.
Since Liang Zhangjian is so eager to die, let's help him!
(End of this chapter)
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