March 29-31, 2017，The 13th China Outbound Tourism Trade Fair (COTTM2017) was successfully held at the Beijing National Agricultural Exhibition Hall (New Hall)。The China Outbound Travel Trade Fair (COTTM) was founded and organized in China by the British Tarsus Group in 2005，A B2B professional exhibition positioned in China’s outbound tourism market。

During the exhibition，The "COTTM Conference" co-organized by COTTM organizer and Zhihui was held in the conference room in the exhibition hall，This meeting focuses on "Planning and Seeking Change&Reshape·Pattern” theme，Invited industry celebrities to discuss the development and trends of China’s outbound tourism and overseas destinations。

On the topic of "How Overseas Destinations Realize Localized Operations in China"，The organizer invited Li Mingru, chairman and CEO of Kulv Data Marketing, to serve as the guest host，Dinghong Holiday General Manager Zhong Fengying、Ding Jia, Vice President of Kaiyuan Travel Group、Yan Rui, General Manager of American Hyde、Five senior executives, Hu Jun, Chairman of Super Deep International Tourism of Canada, and Yu Yuanhe, CEO of Tenrong Tourism Industry of the United States, shared their experiences as panellists。

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Host Li Mingru:I remember when I first went abroad, it was in 1995，Everyone was going to Thailand at that time，Now，Even the North and South Pole are not that far away。Currently，Overseas destinations have penetrated into the hearts of Chinese tourists。

How did we go from a familiar destination like Thailand to the whole world, including Antarctica and the North Pole？How do overseas destinations achieve brand recognition in the minds of tourists，How to complete the subscription process in the end？Today we are fortunate to have five bosses from overseas travel agencies communicate together。Ms. Zhong is the only one here who has worked in the Tourism Bureau，The ability to think from someone else’s perspective may be very strong，Not only can you consider issues from a grounding perspective，Also able to consider issues from the perspective of the destination authorities。Mr. Zhong，What do you think is the biggest challenge currently faced by local travel agencies in helping overseas destinations achieve localized operations in China？

Zhong Fengying:I think as an overseas travel agency，The biggest challenge for destinations in localized operations in China is the challenge posed to us by the Internet，This is the common aspiration of everyone。Because the Internet has greatly weakened the barriers to all intermediaries，All fragmented resources have been displayed in front of C-side customers，I think this should be the biggest challenge。As a local travel agency in Latin America，I feel that China’s tourism product layered structure is rapidly adjusting。Before 2014，We mainly focus on industry and commerce，I quickly transitioned into the tourism industry in the two and a half years after 2014，And the annual increase rate is more than 300%。Facing such a rapidly changing market，It is indeed very difficult to adapt to the transformation。

One more important point，Because of the rapid rise of Chinese capital，The operation of capital actually has a huge impact on our destination travel agencies，I think the increase in operating costs in China is also a very big challenge for our operating costs in China as an overseas destination agency。

Host Li Mingru:Ms. Zhong just mentioned the Internet，Mr. Ding and Xiao Yi, the founder of Qyer.com, have a common experience，It was also because of my study tour in Europe that I finally founded Kaiyuan Travel，What do you think about this？

Ding Jia:Mr. Zhong and I have the same idea，At present, the biggest impact on our side is from the Internet。In the past, the local travel agency was at a stage when information was not very smooth，Our source of profit is actually mainly from selling the resources of these destinations (information asymmetry)，Such as hotels and airlines，When information is not smooth, you can hide profits inside。The Internet has shortened the entire domestic group organization，Or direct user，The distance between the destination resource，As a result, local transportation companies must undergo transformation in this aspect。

We must change from the original way of making money by selling resources to making money by providing services，In other words, these resources need to be processed and changed，Integrate services into resources，In this way, create the profits that your own local travel agency should have。We first operated European tour buses，In fact, it integrates the resources of local hotels and car dealerships。With the current development of the Internet，Simple integration of resources can no longer meet domestic needs。Now more and more domestic independent travelers are going to Europe，The market forces us to upgrade。Now we have upgraded the bus tour to the second type of product，Shortened to days，Make it more suitable for independent travelers，It is also more affordable in terms of price。

Host Li Mingru:Hyde has been doing ground work in North America for twenty-six years，Reminds me of a saying "I am more focused than the Internet"，We asked Ms. Yan to share with us how Hyde solves the challenges of localized operations。

Yan Rui:From the rapid growth of the Internet and the operation of the capital market，It will make many of our fellow practitioners very confused，Sometimes it’s hard to make the best decision。So we have many travel agencies in the same industry market that may look for better resources to set up offices abroad，Or do deeper overseas expansion。Domestic colleagues also do it、Direct customers also do it，So it will make people very confused，Instead, I became unfocused。Based on my own experience，For eight years I have only traveled in Hyde，And we only do the United States，So our time and energy will be focused on one point。What we talk about and study every day is the United States，So we follow the changes in this market，From more offline inquiries to now online inquiries，We are also doing very well in the personalized customization business on some online platforms。

In short,Now I have a feeling，It means actively welcoming changes and passively welcoming changes，The effect is completely different。So we will not panic whether it is changes in capital or customer sources，Because we are not greedy，We only focus on the United States and Canada，And focus only on peers。Return to our old saying "The great road leads to simplicity"，It’s simple，The wisest thing is to do subtraction。But there will be a lot of pain in this process，Because many profits or customers that seem to be in front of you have not been done，There will be some losses in a short period of time，But in the long run, the focus on the team and the growth of the team are still relatively good，So we will dig deeper into some products。

So what is our biggest problem？In fact, it is our conversion rate。Originally our conversion rate could reach 25%，But the current conversion rate has dropped by 10 points，That is 15%，So we may need to rely on electronic systems or system operations。

Host Li Mingru:I asked many young people before why they work in the tourism industry，They said it’s because I like traveling，At that time, many people in our company interviewed and said they liked traveling，Later I said congratulations，If you do tourism, you will no longer be able to travel，Because you must be serving when others are traveling，Many people present showed knowing smiles，I believe you must also feel this way。Let’s ask Mr. Hu from Canada to give a talk，He is a typical person who started traveling because he liked traveling at that time。

Hu Jun:Our company’s products and destinations are different from others，Among Canadian destinations，Large destinations such as Toronto and Vancouver，They will all promote through other methods。This unique existence will do some promotion work in some remote places，But due to various reasons，In fact, these good destinations do not necessarily focus on China，May be Europe、Accepted for guests in the United States or elsewhere，Instead of focusing on promoting the Chinese market，So we can help them do this to some extent。

In this process，The biggest problem we encounter is，How to achieve localization in China。Because I think we have major differences in our concepts and methods of tourism。If you want to promote a relatively unique resource area, there is a contradiction，On the one hand, the original way of traveling or how to play with resources should be retained，On the other hand, in order to gain market share, we must cater to the Chinese market quickly and effectively，This is the biggest confusion for us。At present, we are still taking relatively slow steps，It’s because I hope to retain these authentic places for slow promotion。

Host Li Mingru:A very important element mentioned by Mr. Ding is to control resources，I have seen that many travel agencies have controlled their own resources overseas or even purchased their own resources。Please ask Mr. Yu from Tengrong Tourism Industry in the United States to share，They own some hotels of their own in the US，This may be more advantageous，So how to promote these resources to China？

Yu Yuanhe:Respond to Mr. Li’s question，We pay more attention to our own industries and products。What are the challenges and pain points？All domestic outbound travel partners need to know more about our local products，This way we can have better communication。Because some domestic tourists are blindly pursuing different resources，If you can know more about the local area、For more clarity，Can do better。We must cooperate with us through local tourism agencies in China，So their communication is very important to us。We have more than just tour buses，Also partially invested in sea, land, air and hotels。Fragmented integration has many local traditional gameplay，In other words, these needs are a very interesting thing to Americans，But it is not very attractive to Chinese tourists，Does not meet their requirements。It is not easy to enter the Chinese market，There are many very powerful tourism organizations on the Internet，They have their own methods，This disrupts the market。This may be wrong，But I think everyone knows what I mean，Disruption is also due to blind pursuit。

Host Li Mingru:We all know it，Travel agencies are channel agencies that help destination brands in marketing，A long time，How we help destination marketing，The discussion is all about how many people you bring to me、What price will I give you，This is the same statement whether overseas or in China。Of course we have to sell things，But if the destination you want to sell is not very famous，This means that the entire marketing work is divided into two parts: one part is Marketing，Part of it is Sales，It is market brand marketing work and real sales work。Our channel assumes these two responsibilities，It seems that sometimes we are confused about the division of labor between these two responsibilities，I don’t know how to clearly define the boundaries，Evaluate effectiveness。I would like to ask Ms. Zhong to talk about the different understanding of Dinghong holiday，What do you think is the most effective method？

Zhong Fengying:About the promotion of destination markets in China，I feel that as a Latin American travel agency，The Latin American Tourism Bureau is very proactive except for Mexico、In addition to talking to all Chinese outbound tourists every year，Everyone has hardly noticed that the Brazilian Tourism Bureau and the Argentinian Tourism Bureau came to China to promote。

In the past fifteen years，Which method do I think is the most effective？Actually, I really can’t decide which one it is，But in the past fifteen years, we have always insisted on using travel agencies as the leader to show all Chinese tourists the diversity and richness of our Latin American tourism。2014 Brazil World Cup and 2016 Olympic Games，Large-scale tourism events in the past two years have attracted a lot of attention in China，Today we have a very large number of Chinese viewers on CCTV、Shanghai TV、The resources (promotion) of our tourist destinations have been seen on large official media such as Guangdong Satellite TV and Hunan Satellite TV，At the same time, there are many travel experts who provide detailed introductions to the destinations，I think Latin America has penetrated into the hearts of every consumer。Then we can also see from our annual growth of more than 300%-400% in the past two to three years，Although the government’s actions are limited，But the power of the people is very huge，I think the growth potential of this market is very strong。

Travel agency as a destination，We must provide diversified products，Must also satisfy different consumer classes。For example, our company’s product portfolio is layered，There must be high-end customization for the richer class，There are also business investment consulting activities for entrepreneurs who need investment，Also target consumers whose per capita income exceeds 8,000 US dollars。This is a good entry point，In fact, every Chinese has a dream of traveling around the world，Even if he didn’t come today，I believe that I will definitely travel to Latin America in ten years’ time，Be sure to tailor different products for different classes of customers，Including our current company’s products，There may be some priced at 40,000 for working-class people，There are also in-depth tours priced at RMB 70,000 to RMB 80,000, which are aimed at the richer class。

Host Li Mingru:It seems that watching the World Cup is still very useful，Unlikely to create momentum，Many people say it is useless for China to hold the Olympic Games，It’s actually very useful。

Zhong Fengying:Some people say that God created Rio on Saturday，I think Brazil is very lucky，Although the government did not invest a lot of money，But people all over the world gave Brazil such a good opportunity。

Host Li Mingru:Compared to Brazil，Germany may be a country that is more famous and more desirable by Chinese tourists，We have asked Mr. Ding to express his views on this issue。

Ding Jia:We serve as a destination product operation platform，Relatively speaking, I don’t actually do many marketing activities for destinations，Our market activities are combined with our sales activities，We have done more in this regard，It is mainly divided into two parts: online and offline: online we will cooperate with some large OTAs，Then launch some different themes，Offline we will also cooperate with agents in various first- and second-tier cities in China，Distribute our products through them，We will regularly provide them with destination promotion and training，Mainly in this way。

Host Li Mingru:Next we want to talk about a country that is particularly wealthy，That’s the United States。Why is the United States so rich?？Many people may not know，The United States abolished the National Tourism Administration in 1996，There is no tourism bureau in the United States，It is a company that promotes the American tourism national brand。How is this promotion done？I heard it is charged $14 from the cost of each visa application to the US government，Authorized by Congress to a company，They use the 14 US dollars as marketing funds for American tourism brands。This should be a good support for Hyde，Let’s ask Mr. Yan to talk。

Yan Rui:In fact, compared with South America，Destination marketing in the United States is lucky，Because there are basically corresponding marketing activities every month，For example, Nevada、California and Illinois，Including the Brand USA, we will also organize corresponding activities。This destination is actually popular among the public，Including Mr. Zhou from TripAdvisor just now also introduced，60% of tourists’ first choice is the United States，This is a very good status quo for us。

In terms of market, Hyde has spent nearly six years doing one thing - sharing，The name is American Hyde OP Classroom，It is a classroom dedicated to training our operators，Also free。What are you talking about？Will be divided into junior level、Intermediate and advanced classes，The primary level mainly talks about the process and details of how to apply for visas for the United States and Canada，There are also visa questions and answers，Then there is an introduction to regular cities and attractions in the United States、Four elements of ground connection in the United States。Why do we do such a sharing？This is because when colleagues initially organized some customers, they found that some problems and complaints would increase inexplicably，Many of these complaints are caused by the practitioners’ unfamiliarity with the destination and the local culture and ground connection status in the early stage。So we feel responsible、Obligated to share with peers，Teach everyone how to know this destination、How to operate this destination，In this way, the complaints will be reduced by at least half or even more。This is promotion during the marketing process，Because it involves general city and attraction introduction。Intermediate class will introduce how our products are combined，How to combine fragmented resources into products that customers want，How to combine our resources into products that make customers feel good，This is what we often call customization now。This is what we have been doing，Already persisted for six years。

About sales，The publicity that tourists get is fourteen days on the east and west coasts of the United States、A regular product like Hawaii’s Seven or Eight Days，Maybe a group of thirty-five people。This product is very homogeneous，The price cannot go up，Profits cannot increase either。Based on this，We proposed the concept of small micro-groups at the beginning of last year，Four or six people can go。We have done several series，Also gave it a Slogan，It’s called “a bit more expensive”，Much better”，20% more tours，80% less worry。Because there is no queue、No anxious waiting，In my opinion，Small Micro Group is where we truly start from the end consumer，Make them something customized。We hope this market can develop better，Instead of guiding customers with low prices。

Host Li Mingru:Great，Mr. Yan’s sharing is very helpful to everyone。I learned about a company called Longtu Interactive that helps overseas destinations do marketing in China，This company has been doing things similar to yours for a long time，This is the OP classroom。Overseas destinations are actually the target of brand marketing，Currently OP in China，This is a very interesting thing。Compared to North America，The Canadian OP may be different，So a lot of brand marketing in Canada is done through word of mouth within Chinese families or among friends，I don’t know what Mr. Hu thinks on this point？

Hu Jun:Canada’s tourism resources seem to be very large and rich，But it is actually a place with very limited resources。Canada is relatively popular now，For example, the number of local pick-up agencies in cities is no longer scientific，It is because its market capacity should not have so many local operators，Then it must mean there is a problem here。From a certain perspective，Our marketing and marketing may not be considered successful，Actually we have been in this market for seventeen years，And it is also one of the first batch of ground transportation companies to do ADS，But I believe everyone here will think that I have never heard of it。Because we have positioned ourselves very early and do not need to be bigger, better or stronger，And it is impossible to become bigger, better and stronger，We just do what we can do、What I like to do、Do our best to truly do tourism。I can tell you for sure，Among the Canadian ground transportation agencies, we are the only company that has its own product lines in ten provinces and three regions of Canada，Even the Canadian Arctic is done by ourselves。Our concept of marketing is that by doing what we should do, we make peers who recognize our ideas become our customers，This is our best marketing。

Host Li Mingru:What is Mr. Yu’s opinion on this aspect?

Yu Yuanhe:We mainly serve customers so that they can enjoy our more than 100 airlines、Services in more than 1,300 hotels。We will not fight alone。The most important thing is that our products are what customers really need in the United States or around the world，We will provide them with the best。We have continued to grow during the thirty-two years of running the business、Continuous improvement。

Host Li Mingru:There is a saying in China that among cooperation there is competition，There is also cooperation among competition，But I often hear a saying that peers are enemies，Finally developed a good product，It was confiscated the next day。We are resource packagers，Next, many bosses will start doing the same thing，Just sell the resources，Or monopolize flights，Or monopolize the hotel，Or monopolize the car，You always have to monopolize something to have bargaining power and profitability。At present, this is a necessary method，But there will be risks，For example, if something happens in South Korea this year, you may lose money。In addition to relying on monopoly resources，What methods do we have to make a difference？How to market products？

Zhong Fengying:Every businessman wants to be the best in the world，Therefore, every travel agency is also trying its best to penetrate downstream resources，The one who always wants to be the occupier of monopoly resources。I also asked myself，What is the monopoly resource of travel agencies？I reflected on it，Latin America over the past fifteen years，What are monopoly resources？Monopoly resources means you can get a visa that others cannot get，You can use it for a week if others use it for a month，This is called monopoly。What else is monopoly？It’s the ticket to the World Cup、Tickets for the Olympic Games，But are these really monopolies？When you own it you find that the thing you spent a lot of money on is actually difficult to sell，Because the price is really too expensive。There are also excellent Chinese tour guides from November to December、Tour guide during Rio Carnival，These talents can become monopoly resources。However, these monopoly resources do not really become monopoly resources if we buy them with money，It can really help us，In fact, it may actually become an unbearable burden in our lives，It’s really hard to digest something。I want to be a travel agent，The business formats developed in each market are different，So the operation model of the local transportation agencies in each market is different。

Latin America as a very niche destination market，Even if it is developing downstream，Should we own a vehicle？Would you like to own a hotel and restaurant？Do you want to make yourself heavy？I think the following points may make us different: First, the rules of the business，We have business relationships with thousands of domestic travel agencies，The backgrounds behind these travel agencies are also uneven，So let me set our own standards，This standard is actually no longer changing，It’s not that the details cannot be changed，But the rules of operation will no longer change。At the same time, we must also have a good understanding of the destination resources，In the future, what we will compete for is actually 188bet app service，We must turn services into commodities and sell them，All our staff need to understand the context of the services you provide，What kind of people are you providing services to?，So our services must be layered，Layering is the most appropriate service，is the most correct service。The various service elements we provide must also be very complete，Just like a department store，The best department store with all the goods，The most complete service categories、The tour operator with the most complete elements should also be the best tour operator。I have never supported our company becoming a customization-only company、Only high-end，Or a local tour agency that only handles sightseeing and economic groups，It is difficult for such a local transportation company to make achievements in the future。

Ding Jia:Kaiyuan acquired a car dealership in Eastern Europe last year，But we won’t do it for long，We are not currently considering acquiring hotels in Europe，After all, it may not be beneficial for the local transportation company to do too much in this aspect，Just like South Korea this year，If we acquire a lot of hotels and car dealerships，Once this kind of problem occurs, it is difficult to solve。For Kaiyuan，We still pay more attention to the company’s services，Improvement from this aspect。German industry from 2015 to 2016 4.0This topic is quite popular，Because many companies are doing industrial 4.0’s group，What is the difference between what Kaiyuan does and other companies？That’s why we put industry 4.0This kind of group is divided into three stages: the first is to simply tell the country that they want to know about industry 4.0 companies，What is Industry 4.0？I take them to visit these companies for training to make them understand。The second is that we need to find some experts to help the company make customized customization，In addition to letting them know what Industry 4 is.other than 0，We also need to let them know how their company can realize this industry 4.0，You can also do some strategic consulting。The third is to truly assist these industries in need 4.0 Enterprises that upgraded services，We cooperate with one of the largest companies in the industry in Germany，The services generated by our connection with them are our real advantages and differences in the future。

Yan Rui:In addition to resource control, what else can we do to make our business better，Or make our customer experience better？Currently able to receive 60,000 passengers to the United States in 2016，We actually have analysis。In addition to resource control，For example, we have an office in Alaska，In addition to exclusive resources and study tour products，We still have two aspects to share with you。Because tourism relies on people，That is, service，So we call ourselves operators。Because anyone can do it just by selling resources，As long as you have money, you can do it，And resources can be integrated to make a series of products that are very suitable for the Chinese market，These resources are integrated together，For example, the small micro-group mentioned just now can be sent out every week，You can participate as long as you arrive at this destination every Friday。In fact, this point is equivalent to us being able to do operations，Some people may ask whether I can do this too？But this thing is difficult to learn，Because it is difficult to guarantee weekly departures，If you can’t guarantee that the group will send out every week, you may lose a lot of money，But we have such a volume and a foundation of more than 20 years，So we can operate the destination。The weekly group grouping I just mentioned is not a casual grouping，It’s a small group departing from China，Because there are still quite a lot of people working together，We can do it with four to six people，We think this kind of operation is more in line with the market。

Another aspect is our sales and operations team，In fact, it means returning to us。Sales and operations are divided into 1.0、2.0 and 3.0，1.0Only based on customer needs，We will give our customers whatever they want，This is the level a few years ago，2.0 means that when a customer asks a question, you can extend it to the inner needs，Because sometimes when customers ask a question, what they really want is not that question，But the one he didn’t say，What does this rely on？Rely on our sales and operation experience，And his familiarity with resources，This goes back to what Mr. Zhong just said about your familiarity with the product、Your familiarity with resources、Your familiarity with customers，And the starting point for you to be familiar with your customers，As long as you are truly helpful to this customer and provide him with corresponding guidance，So this is just 2.0。There are still many places for us to grow in the future，As long as we do the right thing，Our team is right，What 188bet app download we do cannot be wrong。

Hu Jun:I think resources should not be monopolized，And we have a very clear positioning，We never participate in things we don’t agree with。We are the first Chinese travel agency to set up a company in the largest city in Atlantic Canada，We are very familiar with all the resources in Canada，Know in advance which places may become travel trends in the future，It may also become a popular tourist resource place。Obviously，Canada’s major provinces now have government funding for promotion，For example, André and Quebec，But it does not represent the ten provinces and three regions of Canada，There are no resources elsewhere，So we make such a prediction through advance understanding or our own judgment。I believe we are a capable and creative team，Resources are always a tool for us and not used by us to monopolize，So we try our best to bring resources to all those in need，Instead of saying this is something unique to me，It is impossible to control it，We are not willing to get ourselves involved in things that require too much energy，We will do what we think is worth doing。

Host Li Mingru:So prediction of the future is a monopoly，This is also a good point。

Yu Yuanhe:First of all, values ​​are different，Our guests have different levels，As long as you play vanguard，Just do things in advance。You are already rolling this out while the next topic is formed，This is a monopoly。We are very repelled by the word monopoly，Because we like and need to join forces very much，We like different travel agencies to work with us，Help us serve their guests，Hope to provide the best to tourists all over the world。Monopoly is also related to values，How we monopolized the market？Just try to do it in advance。

Host Li Mingru:Due to time constraints，This concludes our discussion with big names，Thank you everyone！

*The content of this article comes from the forum sharing of guests at the 13th China Outbound Tourism Trade Fair (COTTM2017)，Compilation of reports: Zhihui Reporter_Liu Chenchen.