Ctrip obtained payment license to accelerate the expansion of financial business, but suspected violations, more than 30% of overseas business is still affected by the epidemic

This year, the low-key Ctrip (TCOM) has obviously accelerated its development in finance. Before the festival, Ctrip finally won the payment license, which was mainly interpreted as a major measure for Ctrip to improve its compliance. < / P > < p > at the same time of obtaining the payment license, Ctrip financial app launched services such as “enjoy first, pay later”, “travel first and pay later” and “installment mall”, and can’t wait to enter the Internet consumer credit market. This is another well-known “player” in the field of credit payment after ant Huabei, Jingdong Baitiao, meituan monthly payment and wechat distribution. < p > < p > for Ctrip, Wang Pengbo, a financial analyst at Analysys, said: “the main reasons can be summarized as two points, one is just needed, the other is imagination.” After the expansion of financial territory, Ctrip finance will be split up independently in the case of IPO of ant group and Jingdong digital branch this year, which is another focus of extensive attention of the outside world. < p > < p > in response, the person in charge of Ctrip financial responded: “the development of Ctrip financial business mainly serves the main business of the group, and is based on the tourism business scene of the group. As an important basic service, it can provide good support for the main business. In the future, we will consider gradually expanding the upstream and downstream industrial chain to provide high-quality tourism financial services for our partners. ” < p > < p > on September 27, Ctrip group announced that the application for 100% equity of Shanghai Dongfang Huirong Information Technology Service Co., Ltd. (hereinafter referred to as “Dongfang Huirong”) transferred recently has been officially approved by the people’s Bank of China. At this point, Ctrip finally got the payment license. < p > < p > previously, Ctrip once faced the challenge of “Erqing” (that is, it engaged in capital clearing settlement business without a payment license). In May 2017, Ctrip was reported by a lawyer in his real name and was suspected of selling a multi-purpose prepaid card with gift cards as the carrier without a payment license. < / P > < p > the reporter noted that according to public information, the payment license of Dongfang Huirong obtained by Ctrip was renewed on June 27, 2017. The license business includes Internet payment (Nationwide) and prepaid card issuance and acceptance (Shanghai city), which is valid until June 26, 2022. < p > < p > Oriental Huirong’s prepaid card business is only allowed to be carried out in Shanghai. However, the reporter observed that the two types of prepaid card “let me go” and “let me travel” exclusively issued by Ctrip can be used nationwide. According to Article 4 of the administrative measures for prepaid card business of payment Institutions promulgated by Announcement No. 12 of the people’s Bank of China in 2012, “Payment institutions shall engage in prepaid card business in strict accordance with the business type and business coverage approved by the” payment business license “, and shall not engage in prepayment in provinces (autonomous regions, municipalities directly under the central government and cities specifically listed in the state plan) without provincial branches Card business. Mr. Li Min, senior partner of Hansheng law firm, said: “only getting the license in Shanghai means that it can only conduct regional operation in Shanghai. If Ctrip’s brand operates prepaid card business in other provinces, it will be suspected of violating the regulations, and in serious cases, it may constitute criminal crimes such as illegal operation. ” Ctrip said: “in recent years, the state’s supervision of Internet financial business has been tightened, and it is not easy to obtain payment licenses.” The regulatory authorities continue to promote the regulation in this field. The China payment and clearing Association issued a document on September 23, forbidding to engage in prepaid card business beyond the scope. It shows: “prepaid card institutions that carry out prepaid card barcode payment business shall carry out prepaid card business in strict accordance with the business type and region approved by the people’s Bank of China. Customers shall not engage in prepaid card business beyond the approved territory with the help of bar code technology < / P > < p > in addition, the regulatory inspection of Payment institutions will be normalized. On October 10, the business management department of the people’s Bank of China issued a document saying that compliance operation is the bottom line and the most basic requirement for the existence of Payment institutions, and also the cornerstone for the healthy development of the payment industry. We will continue to strengthen the regular law enforcement inspection of Payment institutions and resolutely investigate and punish illegal business activities. < / P > < p > although Ctrip obtained the payment license with RMB 419.9 million to develop its business in compliance with the regulations, under the environment of “strict supervision and normalization”, how to grasp the opportunity and operate in compliance has become the top priority. < / P > < p > the reporter noticed that, almost at the same time that the official publicity obtained the payment license, Ctrip financial app launched three service contents: “take the flower first and pay later”, “Hotel three phase interest free first tour and then pay” and “stage mall”. < / P > < p > no matter which of the above functions is realized, Ctrip will certainly involve in payment business. Among them, the newly launched installment mall business must be operated with a license. Previously, the e-commerce business of pinduoduo had been questioned by the “two clearing” because it did not obtain the payment license. The e-commerce without payment license can only do self-supporting business. Once other merchants are involved in selling on their platform, the payment from customers will be first delivered to the platform and then settled to the merchants by the platform, thus forming the “two clearing” mode strictly prohibited by the Central Bank of China Second clearing and settlement refers to the connection of unlicensed organization platform or the access of large merchants to Payment institutions or commercial banks, retention of merchant settlement funds, and self-development of merchant capital clearing and settlement. < / P > < p > at present, although the number of merchants in Ctrip is limited, they are all external merchants. This means that at the same time of consumption, Ctrip will also carry out touch capital business, and the necessity of paying license plate is highlighted. < / P > < p > however, the payment method has not changed either in the installment mall or in the hotel and tourism services in Ctrip app. According to the payment page, except for some customers who have opened their own “paid flowers” payment method, Ctrip’s staging shopping mall, hotel accommodation and tourism related businesses are all external third party payment channels, including Alipay, WeChat payment and UnionPay cloud flash payment. “After holding the payment license, Ctrip will continue to provide customers with safer and more convenient payment services together with the original third-party payment partners, so as to provide better support for consumers’ tourism consumption demand,” said the relevant person in charge of Ctrip < / P > < p > payment plays an import role for Internet enterprises. It not only plays an indispensable role in building real name system and increasing user stickiness, but also is a necessary condition for enterprises to form closed-loop capital flow and precipitate transaction data. As for the frequent acquisition of third-party payment licenses by Internet companies in recent years, practitioners believe that “if users do not use their own payment system, it means that all consumption information and transaction data are left to their competitors.” This is also the main reason why this year’s US group touted the way of payment of Alipay under its own payment channel and launched Alipay’s “war” on the payment channel. < p > < p > Wang Pengbo, a senior analyst in the Yiguan payment industry, believes: “for Ctrip, from its own business point of view, it will not give up all partners in a short time, but will slowly transfer the channels to its own payment.” < p > < p > according to the company’s information, fan min, one of the founders of Ctrip, actually controls Dongfang Huirong through Chengdu Ctrip Travel Agency Co., Ltd., and the company’s legal representative is changed to MI Yong, CEO of Ctrip financial payment center. After MI Yong became the legal representative of Dongfang Huirong, did Ctrip set out to establish its own payment system? To this, carry Cheng relevant personage did not respond. < p > < p > up to now, Ctrip has directly or indirectly collected consumer finance, virtual banking, payment, micro loan, insurance, insurance agency, commercial factoring, financing guarantee and other licenses into the pocket, and the financial map is gradually complete. However, according to a person close to Ctrip, “the financial (business) of (Ctrip) has always been small, with little voice, and the business is progressing cautiously and with low profile.” In fact, the reason for Ctrip’s low profile may be related to the lack of payment license. An insider of Ctrip said frankly: “compared with the hundreds of billions of Gmv (total transaction amount of e-commerce platform) every year, Ctrip finance brings very little income to the group. Among them, it is also directly related to the lack of payment license, business compliance and risk control difficulty coefficient of Ctrip’s b-end financial business. ” Due to the impact of the epidemic situation, Ctrip’s performance loss this year has reached the lowest level since its listing. According to the data, in the first half of this year, the company achieved revenue of 7.89 billion yuan, a year-on-year decrease of 53.19%; a loss of operating profit of 2.197 billion yuan, a decrease of nearly two times over the same period of the same period; and a loss of 5.829 billion yuan of net profit attributable to the parent, a sharp drop of 238.46% year-on-year. Under the epidemic situation, the development of tourism industry at home and abroad is still not optimistic. During the eight day National Day holiday, domestic tourism recovered, but still decreased compared with the same period. According to the statistics of the data center of the Ministry of culture and tourism, a total of 637 million domestic tourists were received in the national day of the 11th National Day, with a year-on-year recovery of 79% according to the comparable standard; and the domestic tourism revenue reached 466.56 billion yuan, with a year-on-year recovery of 69.9% according to the comparable caliber. However, due to the continuous development of the epidemic situation in foreign countries, hotels, holidays and other tourism businesses can not be carried out. It is understood that overseas business of Ctrip accounts for 30% – 40%, and the impact can be seen. < / P > < p > the acquisition of the payment license means that Ctrip has made up for the short payment board and completed the financial closed-loop. The capital market responded positively, with Ctrip’s share price rising more than 6% in two weeks. < / P > < p > in recent years, Internet consumer credit giants have been competing for payment and consumption scenarios, and established credit reporting system to form barriers and complete the closed-loop of financial services. The reporter noted that Ctrip has established a credit reporting system relying on ecological data and launched “Cheng Xin Fen”. Ctrip’s “take to spend”, “borrow to spend” and other financial lending products also refer to this data value. < / P > < p > as the head enterprise of online tourism, Ctrip naturally owns the tourism scene. At present, payment and credit reporting are in place. How will Ctrip finance develop? China Science and technology investment will continue to pay attention to it. < / P > < p > Disclaimer: the purpose of this article reprinted by china.com finance and economics is to convey more information and does not represent the views and positions of the website. The content of this paper is for reference only and does not constitute investment advice. Investors operate accordingly and bear their own risks. < p > < p > Chinanet is a national key news website under the leadership of the Information Office of the State Council and managed by China foreign language publishing and Distribution Bureau. Through 11 versions in 10 languages, the website releases information 24 hours a day, which is an important window for China to carry out international communication and information exchange.