Exclusive: senior insurers disassemble ctrip ticket issue

(special correspondent: qinchuan)

end of the holiday, just finished brush a copy of the National Day of friends gradually switch back to the work mode. In calculating travel expenses, have you ever noticed that you actually spent a lot of money in buying tickets?

Yves is a us insurance giant, senior practitioners, aviation insurance is one of the risks of its business in mainland China, many online travel web sites have become a partner. And after cottoned on one of the rules of the game, Yves in exposure to the reporter a similar “buy crab, take a straw rope” forced sale mode.

this partial recessive bundling, continuous ctrip’s earnings for rolling in profits, but for general users are difficult to detect. Were it not for some comments in review site terms of text, word by word order is likely to be ignored in the process of the details.

instance explore

to September 30, ctrip travel from Shanghai to nanchang, for example, let’s look at some of the China civil aviation information group “basic interests”.

because during the National Day period, has been basically no discount.

we’ll check the ctrip offer the same journey, have found much cheaper!

don’t be excited! Have found beside the prices on the ctrip website and small labels, and text in the note? Let’s take a look at what these are?

618 ticket back a label “678 package”, can not buy package only buy 618 ticket, please? Ctrip to tell you, to be beautiful! There is only one “reservation package” button to you! In other words, the 618 is actually a deception. So what is the “package”? Put up, the mouse can see the following content:

booking meal is more favorable

package price is RMB 678 yuan, can provide the invoice. Flight with the meal ticket, please click on “more space”.

1, according to the price for the ticket and exclusive total coupons, members exclusive ctrip travel products coupons, 20 yuan per adult lapse, from now on until April 30 2014 unlimited use, apply to domestic tourism and outbound tourism team swam, freedom, and cruise ship products.

2, the package contains the first content, as well as ctrip gift CARDS (term I swim) RMB 30 RMB 30 yuan and insurance (1 million aviation insurance coverage). Gift card is applicable to pay ctrip class, HuiXuan hotel in advance, group purchase products, tourism products;

the first point there is nothing to say, send pieces of chicken ribs tourism products 20 yuan coupon, giving attention to what everybody knows. The second meaning is to say, to buy 618 ticket is to pay 30 need another piece in the condition of “current account”, here I do pay 30 piece again in my here to buy insurance.

the surface looks, it seems that the user didn’t suffer, 30 yuan “current account”, after all, can also be used to buy something else and 1 million coverage of aviation accident protection. If think like this, then the ctrip kill your sword hanging over your head directly.

specific analysis of the issue said in detail later.

don’t want to buy package, ctrip also offers you another option. 690 pieces, no meal. Don’t worry point “reservation”, note with heaven and earth! The mouse, you can see,

package price is RMB 720 yuan, can provide an invoice for reimbursement. Flight with the meal ticket, please click on “more space”.

1, the package containing the ctrip gift CARDS (term I swim) RMB 30 or insurance RMB 30 (1 million aviation insurance coverage), to choose a gift card and insurance;

2, ctrip gift CARDS (term I swim) applicable to pay ctrip prepaid class hotel, tourism, vacation, HuiXuan hotel, group purchase products;

say good into a 720-690! “Saving”, or buy a insurance, anyway, is more than 30 pieces!

what do you think this a bit more cost-effective, can be bought? You are wrong again!

there are other better choice oh, just hidden by ctrip. In a link under the “reservation package” button “more space”.

PM on and then found another option, full price 710 yuan

this price and the “basic interests” offer the same, however, there is a “return to 15 yuan. The return to 15 yuan is really cashback oh, although return in your ctrip account, but can withdrawal to bank card, or pay for any orders for ctrip. If you are a mobile phone booking, now more than 5 yuan.

710-15=695. The total price compared to the second option “HuiFei protect” are cheaper for 25 yuan, this is the most affordable and cost-effective choice!

one might think 678 package is not the total price cheaper? Please don’t forget to see “change back” rule.

678 meal ticket is: do not change; 5% – 10% of the fares; Do not sign the turn.

and 695 packages votes: 2 hours free change, 2 hours 5% change fee; 5% – 10% of the fares; Can sign.

17 yuan price difference, endorsed to poor back so much. With only 17 yuan can get great convenience of the journey, you say which cost-effective?

tricks behind

so why ctrip has a cheaper price? Why ctrip disguised “mandatory” sell vouchers and insurance? Here we will talk about the issue.

first of all, the domestic airlines will give each ticket agent a commission rate is about 3%, ctrip as OTA (online tickets agency online ticket agent), the leading to some of the more low discount tickets and better commission rate is also possible.

as the market competition is intense, now the price of domestic air tickets is more transparent, each agent to get the price difference is generally small. In order to grab the customer sales, each agent will often take out their part of the commission income and benefits to customers, with lower prices to attract customers. A few small agents operating costs is not high, meager profit but high turnover can be maintained. But for ctrip listed such a huge OTA, make a point of profit let out a large sum of income. So ctrip’s solution: low prices to attract customers, the profits earned back by selling insurance and vouchers.

ctrip bought vouchers, namely “travel ticket”, each order 30 yuan, but with ctrip sales, can subsidence of a lot of money. For the settlement of funds will have cash flow, investment income and capital turnover is very convenient, I can’t think with me here. Here it is worth noting that “travel ticket” ctrip is not can be used like cash, at least there’s a lot of hotels are paid does not support “travel ticket”.

ctrip also has the very big part of the profit comes from insurance agents. In size of ctrip, get the proportion of 80% of total amount of the premium is even higher as a commission agent is already an open secret. That is 30 yuan casualty, ctrip take 24 yuan, insurance company take 6 yuan. Ctrip boost sales by cutting the price of tickets, then this new mode of tying insurance than a bigger profit in selling tickets of the old model. We can work it out simple:

assumption ticket agency commission of 3%, sales of a, the average ticket price for b, lower the price after the c, sales growth for the

the old mode l (pure air ticket agents) profit=a * b * 3%

new mode l (assuming that 3% of all savings along to the customer, forced sale 30 yuan insurance profit=a * c * 24

when b=800 c to old and new mode of profits. In b<800 c under the condition of new pattern of profit is bigger, making the inequality was set up too easy. Assume that low fares can attract additional 25% of the customers, so as long as the average ticket price is lower than 1000 yuan ticket to adopt new mode is more profitable.

but whether the new model can make win-win ctrip and consumers? It’s not!

often flying consumers might be more experience, an institute of aviation accident almost completely useless, because only the plane crash led to insurant death or severe disability to claims, claims to low probability is too low. Because of this, the insurance company for this product price is actually very cheap.

here is a large domestic insurance company website offer, 1 million aviation insurance, insurance time limit is one year and one year, how many times you get on the plane, each time will be guaranteed, the premium only 40 yuan. And ctrip to sell 1 million of aviation accident risk, only a flight (about 1 to 5 hours), the premium will be 30 yuan. Pit your graffiti!


the indications are that ctrip is promoting the new pattern. However, like to buy crab, take a straw rope “rob a” selling can last forever?