Palo Alto, Trip.com a Califonia based startup has been bought by a Chinese travel giant known as Ctrip which is for Ctrip a positive move into the United States travel market. The terms of agreement on both parties were not announced but Trip.com raised a thirty nine (39) million dollars fund from its investors such as Battery Ventures, Redpoint and Expedia through a careful partnership with Expedia’s vacation home rental unit Homeaway.
Travis Katz who is the Chief Executive Officer is staying on together with the whole of his employees said to Business Insider that he alone put the deal together and he is pleased with it as also his investors are.
For the record too Ctrip is known as one of the biggest booking and travel company across the globe and is origin and China-based. Its trades in the United States is on NASDAQ with a market cap of Twenty Five (25) billion dollars.
A lot of impacts was felt all through the travel industry when the Scotland based flight search company Skyscanner was bought over by Ctrip at the close of 2016 for a whopping One point seventy four billion dollars. Rated like Kayak of Europe is Skyscanner. Kayak is a very known site for the search of multiple airlines. The acquiring of Skyscanner by the Chineses based company Ctrip sent a wave that the Chinese company had bigger plans beyond not limited to Asia and beginning with Europe.
Because Europe in more ways appears to be an easier target than the United States, the United States industry has become a duopoly of sorts between Expedia and Priceline, which have individually grabbed up most competitors of any significance. Hotels.com, Hotwire, Trivago, Travelocity, Orbitz, HomeAway and some others are owned by Expedia while Booking.com, Priceline, KAYAK, Rentalcars.com, OpenTable and others are owned by Priceline. As a matter of fact, the hotel industry is quite not pleased with the lack of competition and the commission of twenty percent (20%) these two companies now command and cases against them to lawmakers have been made the following report from CNBC in May.
The very small nature of Trip.com made its acquisition by Ctrip.com obvious to the United States giants. Ctrip is quite like Trip Advisor since it combines finding a deal on a hotel with recommendations on places one can eat and activities noted in/with the area. It boasts of offering its users with recommendations from “tribes” in terms of foodies, adventurers, families, business travelers and more. According to Mr Travis Katz “It is known that the app’s popularity is fast growing and recorded as one of the top 500 apps quoting AppAnnie and about ten million people who use it”
Early this year Travis Katz also launched international versions inclusive of one Chinese. With the intention of helping the rising number of Chinese travelers find cool things to do when they leave Asia. This caught Ctrips interest then Travis Katz met with the co-founder of and Chief Executive Officer of Skyscanner; Gareth Williams then the shared vision a future travel booking technology kicked off. Travis Katz called it “an AI app on your smartphone that knows who you, where you are and what you want”
Also interesting is that Ctrip is run by women, including the CEO Jane Sun, its CFO and its chief strategy officer.