OYO, which has been silent for a long time, is in commotion again。Recently，There is news，India’s budget 188bet mobile chain and booking platform OYO plans to focus its business development in India、Southeast Asian and European markets，No longer focused on the previous core markets China and the United States。

188bet mobile has “shifted its focus” for a year

Recent period，There is obviously a lot more movement from OYO。Just at the end of last month，OYO, which was originally positioned as an economical chain, began to focus on the mid-to-high-end market，In India、Indonesia and other regions have launched the mid-range business 188bet mobile brand Collection O。Also in June，OYO founder and CEO Ritesh Agarwal was interviewed by the media，Said that due to the higher vaccination rate in Europe，OYO’s daily bookings in the region “doubled” during this summer peak season。

But before that，Compared to many 188bet mobile groups seizing the recovery opportunity one year after the epidemic，OYO, which ranks third in the world in terms of scale, did not make many moves in 2019，Every occurrence，It is often accompanied by some negative news。If affected by the new round of new coronavirus pneumonia epidemic，Significant drop in travel demand，OYO seeks US0 million in debt financing，To support its financial position。

Early this year，Marriott、Jinjiang、Hilton and other leading 188bet mobile groups have entered a period of recovery and growth，OYO is rumored to be in bankruptcy。There was a document saying that at that time，OYO is seeking bankruptcy protection，To this，Lee Tae Hee wrote that the news is "absolutely untrue"，OYO’s performance is recovering steadily，And the largest market is "profitable"。

However，Meanwhile，188bet mobile is indeed reducing its global expansion ambitions，Including withdrawal from European and American markets，And terminated cooperation with Latin America，Reduction of more than 65% of global employees。Lee Tae-hee said “the future growth momentum will be very moderate compared to the early stage”。Previously in China、The "arrogance" of the United States and Britain in establishing base camps，Also suppressed by reality。

In the international market，OYO still has a sense of presence，But in the Chinese market，This once stirred up the local independent 188bet mobile market、Expanded to 1 during peak period.A chain giant with 90,000 hotels，Have been silent for a long time。Space Secret Search related domestic news，Most of them are lawsuits over labor contracts。

Last news about OYO China Headquarters，Except for the past two days, its Shenzhen headquarters cannot be contacted through its registered residence or business location，Not included in the list of business abnormalities，It just stopped at the time when Gautam Swaroop, who just took office as CEO of OYO China last summer, was appointed as "Head of International Business"，Promote the development of the 188bet mobile business of the group’s international business OYO International (including the European Union and the United States)。OYO International Business CFO Della Zhang and OYO China Chief Human Resources Officer Jessie Yang (Yang Yanli) assist Swaroop in taking care of OYO’s business in China and Europe-this means，Concerns about China，Is gradually being weakened。

Before this，It is a “great retreat” witnessed by the industry。September 2020，188bet mobile has only 1567 hotels left in China，And at the end of 2019，188bet mobile has 10354 hotels in China，Equivalent to nearly 900 lost every month。188bet mobile Chinese employees also broke the news on social platforms that they suffered "major layoffs"，Employees have been directly laid off from 12,000+ to 2,000+，Core executives are also leaving one after another。

The Chinese market in the future，Almost no news from 188bet mobile，188bet mobile’s public account tweets，Also stayed on October 21, 2020。

How are your former rivals doing?

Back to May 30, 2019，188bet mobile and Huazhu chose the same day、Same city，Almost at the same time，held respective press conferences，One time，Full of smoke。

At the 188bet mobile launch conference，A reporter asked Li Wei, then the COO of 188bet mobile, "Huazhu commented that 188bet mobile is a piece of cake，What do you think of Huazhu？"Li Wei's answer is intriguing, "I think，It shows that my previous prediction is reasonable，At that time, I felt that Huazhu had woken up”—like a pioneer who had understood the market。

At that time，Huazhu is not the only one who wakes up，In the activated independent 188bet mobile market，There are many people entering the game。Except H 188bet mobile (later renamed Nihao 188bet mobile) which received investment from Huazhu and IDG，OYU from Tongcheng Yilong，Meituan’s Qingzhu 188bet mobile，Q+ from Qunar.com、Suxing under Luyue、Jinjiang’s non-traditional city products、BTG Homeinn’s Cloud Series、AA 188bet mobile chain of Shangmei Group, etc.，Both represent their respective camps，Leverage on respective advantages，A fierce fight started。

With OYO’s focus shift，These 188bet mobile brands that were once rivals，But he didn’t gain much from the “whale fall” of the giant’s fall，Instead, they fell together in the wave of independent 188bet mobile closures during the epidemic。

Nihao 188bet mobile, which competes head-on with OYO，There was news of large-scale contraction in November 2019，Meanwhile，Also the same as OYO，Large-scale layoffs started。Informed sources said，The number of layoffs accounts for nearly 80% of the company’s total number of employees。It’s March 2020，Huazhu Group announced the merger of its Elan brand and Nihao 188bet mobile。This move is regarded as Huazhu’s “taking over and stopping losses”，It also means that Nihao 188bet mobile has officially crossed over from investment relationship，Enter Huazhu Brand Matrix；The 188bet mobile soft brand (light franchise) track lacks an independent brand。

In comparison，Feifan city products backed by Jinjiang、Qingzhu Group supported by Meituan、BTG Homeinn’s Cloud Series，There are still other things like opening in the market、Financing news，But compared to its mid-to-high-end 188bet mobile brands，Not much attention has been received - the once vigorous battle for the independent 188bet mobile market，2020 has come to an end。

Did 188bet mobile fail?

From high-profile entry to shifting focus，Looking back now，OYO is undoubtedly a failure in the Chinese market。According to OYO 188bet mobile’s 2019 financial report，OYO 188bet mobile China suffered a loss in 2019 1.US.7 billion，Accounts for 64% of global losses，Becomes the hardest hit area for OYO 188bet mobile Group’s losses。OYO pointed out，The cost of acquiring customers in the Chinese market is high，Profit margin is 4%-5% lower than other markets。Although the shift in strategic focus does not mean exiting the market，But it also means that OYO has swallowed a bitter pill called "failure"。

The reasons for OYO’s failure are undoubtedly multiple，Industry expert analysis，OYO’s biggest problem “besides fake data，What’s worse is that greed for profit leads to a lack of contract spirit。”One more thing is，OYO, the “foreign monk”，Take advantage of capital as soon as you get started，Invading the largest "hinterland" of the domestic 188bet mobile industry，Sinking into the independent 188bet mobile market，But does not have a deep enough understanding of the Chinese market environment。In the midst of the siege from 188bet mobile competitors and even OTAs and the defection of franchisees，Failure is almost inevitable。

However，The Internet model brought by OYO，But it has its value。Through the support of capital，It is a common path for Internet business to follow the path of “burning money to exchange for users—expanding scale to exchange for voice—improving products”。This mode，Help OYO achieve great success in the Indian market，Put it to Southeast Asia and Europe, where competition in the 188bet mobile industry is not fierce，Maybe we can achieve something。But to the Chinese market，But not copying it will have the same effect。

Many executives hired by OYO in China，Most of them come from Internet companies，opposite，It lacks 188bet mobile genes，Make it the step of "improving the product"，The walk is extremely difficult，Finally given up by franchisees。But it is undeniable，OYO has successfully "burned" several new tracks for the Chinese 188bet mobile market。

Stock 188bet mobile

188bet mobile was the first to open the track，It is a stock market。Under the pressure of traditional chain expansion and changes in consumer trends，There are a large number of independent hotels in China that need reform。Data display from Qianzhan Industry Research Institute，The number of hotels with 15-69 rooms nationwide in 2019 was 26.40,000，78%，And in these small hotels，Number of non-chain rooms 752.30,000 rooms，The chaining rate is only 9%。

The 188bet mobile chainization rate in China is far lower than that in developed markets in Europe and the United States，It is undoubtedly true。OYO’s sweeping trend，Let this existing blue ocean，Become a domestic 188bet mobile group in urgent need of expansion and seek capital for opportunities，The common focus。

China 188bet mobile Industry，No longer chasing the incremental market，But it has entered a new stage of digging into the existing market value space，In the stock market，Looking for the second curve of growth。Data display，The domestic new 188bet mobile market only accounts for 11%，The proportion of renovation in the existing 188bet mobile market reached 55%。This one，Mostly Jinjiang、Huazhu、Beijing Tourism Group’s three major 188bet mobile groups are in the pocket。

But OYO’s expansion speed does not match its operation，No doubt it also serves as a wake-up call to 188bet mobile groups。Sun Jian, general manager of BTG Home Inn Group once said，No matter it is OYO mode，Still a soft brand model，They are all looking for new opportunities in existing hotels，But the core is not to become bigger。“We want to tap the existing value of China’s business society，Because it is a huge business opportunity in the next thirty years。But how to dig？It is nothing more than giving new content to existing assets、New product、New efficiency、New value、New service experience，You have to use your kernel，Create new value for existing resources。It’s good to be bigger，Will continue to grow，At the same time，We must also start to become stronger。”

Sinking 188bet mobile

Existing 188bet mobile and sinking 188bet mobile，Often put together。This is because，A large number of independent hotels，Mostly found in third- and fourth-tier cities and below。There is public data showing，First-tier cities、The guest room chaining rate in sub-provincial and provincial capital cities is 37 respectively.5% and 27.9%，The chain degree of other cities is only 17.5%。

Same as stock market，The sinking market is also a market that has always existed but has not been paid attention to。For 188bet mobile groups，Occupy key cities，No doubt eating a lot of meat，Enter the sinking market，It’s about picking out the meat between the bones。The current Chinese market，The time has come when there are more wolves and less meat，OYO unveils the sinking market，Gives a key direction。

Almost all leading 188bet mobile groups are betting on the sinking market，This is undoubtedly an important direction in the future。Huazhu establishes a new management structure - Huazhu China focuses on the sinking market；BTG Homeinns borrows "Cloud Series" to accelerate three、four、Fifth-line sinking market layout；The simple series in the brand matrix of Jin Jiang 188bet mobile (China) and the light products of mid-range brands are targeting the sinking market through organizational optimization and product upgrading...the sinking market，Already regarded as the key to further expansion of the 188bet mobile。

188bet mobile Alliance

OYO not only provides direction for 188bet mobile groups，It also brings an option to independent hotels that do not want to be chained，i.e. 188bet mobile alliance。Compared to traditional 188bet mobile franchise，OYO is more like the prototype of a "soft brand" 188bet mobile alliance，Realize resource sharing with the help of the 188bet mobile group、Customer cooperation，The 188bet mobile itself，Also maintains a certain degree of freedom。

This soft brand alliance form，Quite like Preferred、Relais & Châteaux and other high-end luxury hotels alliance，However，At a budget 188bet mobile、Mid-range 188bet mobile，There is no precedent to follow，Immature alliance model，Various disadvantages are inevitable。But this form，It undoubtedly provides the industry and hotels with a third way out besides chains and individual entities，And more to imagine。

Who is the next successful "188bet mobile"?

Affected by the epidemic，Independent hotels have encountered a wave of "bankruptcies"，It also gave the 188bet mobile market a clearer understanding of a series of problems existing in independent hotels。OYO is in the midst of bankruptcy，Being temporarily removed from the card table，And the next top OYO position，Hotels that have succeeded on this road，It is worth our guess。

Head 188bet mobile Group

Jinjiang, the leading domestic 188bet mobile group、Huazhu、First Travel，Undoubtedly a very competitive player。On the one hand，These 188bet mobile groups，All of them have fought against OYO in its heyday，They also have a keen enough market sense，Make arrangements in the sinking market and existing market early。

On the other hand，Although the leading 188bet mobile groups will not adopt a "money-burning" Internet business model like OYO，But almost all the leading groups have more than ten years of 188bet mobile operation history，Understand hotels better and have a more international perspective。This is enough for them to learn from their past experiences with the world，Find a way to expand quickly，Without falling off the path of refined operations。

As the industry generally believes，Chain brand’s ability to withstand risks，It may accelerate the chainization of independent hotels that survive the epidemic。This may be the best time for major 188bet mobile groups to enter the market。

The King of the Sinking 188bet mobile

OYO illuminates the sinking market，This is not uncultivated virgin land。188bet mobile groups such as Shangmei Life，The "King of Small Towns" who has been rooted in the sinking market from the beginning，Has already reached a certain scale，In the list of the top 325 global 188bet mobile groups in 2019，Ranked 16th。

When OYO faced large-scale termination of contracts in the sinking market，Junyi 188bet mobile, a lightly renovated brand under Shangmei Life, quickly filled its seats。In the first quarter of 2020, which was most severely affected by the epidemic，Also completed the signing of more than 100 contracts，Far superior to peers。

This is not unrelated to Shangmei’s more than ten years of on-site inspection and research into the sinking market，In comparison，OYO and other 188bet mobile groups come in a hurry，is a little impetuous。Ma Yingyao, founder of Shangmei, once said in an interview，"If you use the Internet method，Open 1,000 stores a year，Quality service may not be guaranteed。For offline 188bet mobile chains，Any shortcoming may bring a devastating blow。”

The “kings” who know the “rules of the game” of the sinking 188bet mobile，We are facing the critical opportunity to overtake in corners。

The rebirth of 188bet mobile

OYO’s defeat，Perhaps it can also be saved by the "rebirth" of OYO。OYO founded in 2013，Entered China, the world’s largest 188bet mobile market, in 2017，Become the third largest 188bet mobile group in the world in 2019。With capital support，Such speed，It is difficult for any 188bet mobile group to match。Because of this，OYO is destined to fall over，Only to slow down，To take a more serious look at the industry you are in。

OYO’s focus shift，Perhaps embarking on a "road to rebirth"。Compared to China、A highly competitive market like the United States，India、The markets in Southeast Asia and Europe are more peaceful，It is also more conducive to OYO’s calmness after entering the madness，Accumulate a new understanding of 188bet mobile transnational expansion，final，Return to hometown。

August 2019，Lee Tae Hee’s slogan is still there——“Before 2023，We will invest another 12 billion yuan in the Chinese market”，Now OYO is in commotion again，The target points to the distance。Entering the “Post-OYO Era” of the Chinese 188bet mobile Market，There is also another commotion，And this，comes from a local 188bet mobile group that had a head-to-head confrontation with OYO...

*Source of this article：WeChat public account"Space Detective”(ID:MESPACE007)，Author: Xu You，Original title：《188bet mobile "commotion" again》.