Tuniu Announces Strategic Cooperation with the Tourism Authority of Thailand

Rhea-AI Summary

Tuniu (Nasdaq: TOUR), a leading online leisure travel company in China, has signed a Letter of Intent (LOI) with the Tourism Authority of Thailand (TAT) on August 30, 2024. This strategic cooperation aims to enhance the travel experience for Chinese tourists in Thailand. Key points include:

1. Thailand is a popular destination for Chinese tourists, with Tuniu's packaged tours to Thailand increasing over 160% year-over-year from January to July 2024.

2. The partnership focuses on strengthening promotion and communication efforts.

3. TAT aims to drive sustainable growth in Thailand's digital economy and improve travel convenience for Chinese tourists.

4. Tuniu plans to leverage its product innovation and new media channel promotion to offer diverse, high-quality products and services for Chinese tourists visiting Thailand.

Positive

• Strategic partnership with Tourism Authority of Thailand to enhance Chinese tourist experience
• 160% year-over-year increase in packaged tours to Thailand from January to July 2024
• Potential for increased revenue and market share in Thai tourism sector
• Opportunity to leverage product innovation and new media channels for growth

Negative

• None.

Insights

Market Research Analyst

The strategic cooperation between Tuniu and TAT is a positive development for Tuniu's business in Thailand. With a 160% year-over-year increase in packaged tours to Thailand, this partnership could further boost Tuniu's market share in this popular destination. The collaboration focuses on product diversification and enhanced promotion, which could lead to increased revenue and customer base for Tuniu.

However, investors should consider the competitive landscape in China's online travel industry. While this partnership gives Tuniu an edge in the Thai market, it's important to monitor how other major players respond. The success of this cooperation will likely depend on Tuniu's ability to leverage its "product innovation and new media channel promotion" effectively to stand out in a crowded market.

Tourism Industry Expert

This partnership comes at a critical time for Thailand's tourism sector, which is rebounding post-pandemic. The focus on digital economy and sustainable growth aligns with global tourism trends, potentially positioning Thailand as a forward-thinking destination. For Tuniu, this could mean exclusive access to new Thai tourism products and priority in promotional activities.

However, the success of this venture hinges on external factors such as geopolitical stability, currency fluctuations and potential travel restrictions. Investors should monitor these aspects, as they can significantly impact tourism flows and, consequently, Tuniu's performance in the Thai market. The emphasis on "comfortable, enjoyable and safe journeys" suggests a focus on quality over quantity, which could lead to higher-margin products but potentially slower growth.

NANJING, China, Sept. 3, 2024 /PRNewswire/ -- Tuniu Corporation (Nasdaq: TOUR) ("Tuniu" or the "Company"), a leading online leisure travel company in China, today announced that the Tourism Authority of Thailand ("TAT") and the Company have signed a Letter of Intent ("LOI") at the TAT head office in Bangkok on August 30, 2024. Ms. Thapanee Kiatphaibool, TAT Governor, signed the agreement with Mr. Donald Yu, Tuniu's founder, Chairman and Chief Executive Officer, in the presence of Ms. Chang Yumeng, Counsellor for Cultural Affairs of the Embassy of the People's Republic of China to Thailand.

Thailand has always been one of the most popular overseas destinations for Chinese tourists. From January to July of this year, the number of trips of Tuniu's packaged tours to Thailand increased more than 160% year-over-year. The signing of LOI marks a significant step forward for TAT and Tuniu in strengthening partnership, and includes greater collaboration between the two parties in promotion and communication to enhance the overall travel experience for Chinese tourists in Thailand.

Ms. Thapanee Kiatphaibool commented that this agreement with Tuniu contributes to TAT's direction in driving the sustainable growth of Thailand's digital economy, while enhancing the convenience of travelling for tourists from China. She added that TAT and Tuniu will work together to provide Chinese tourists with more diversified products and services to boost the development of Thai tourism.

"Thailand is one of Tuniu's top overseas destinations where we have been committed to providing high-quality products and services," said Mr. Donald Yu, "Going forward, Tuniu will leverage its advantages in product innovation and new media channel promotion to further enhance our collaboration with TAT on more activities and initiatives to offer Chinese tourists comfortable, enjoyable and safe journeys to Thailand."

About Tuniu

Tuniu (Nasdaq: TOUR) is a leading online leisure travel company in China that offers integrated travel service with a large selection of packaged tours, including organized and self-guided tours, as well as travel-related services for leisure travelers through its website tuniu.com and mobile platform. Tuniu provides one-stop leisure travel solutions and a compelling customer experience through its online platform and offline service network, including a dedicated team of professional customer service representatives, 24/7 call centers, extensive networks of offline retail stores and self-operated local tour operators. For more information, please visit http://ir.tuniu.com.

Safe Harbor Statement

This press release contains forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Tuniu may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Tuniu's beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but are not limited to the following: Tuniu's goals and strategies; the growth of the online leisure travel market in China; the demand for Tuniu's products and services; its relationships with customers and travel suppliers; Tuniu's ability to offer competitive travel products and services; Tuniu's future business development, results of operations and financial condition; competition in the online travel industry in China; government policies and regulations relating to Tuniu's structure, business and industry; the impact of health epidemics on Tuniu's business operations, the travel industry and the economy of China and elsewhere generally; and the general economic and business condition in China and elsewhere. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Tuniu does not undertake any obligation to update such information, except as required under applicable law.

View original content:https://www.prnewswire.com/news-releases/tuniu-announces-strategic-cooperation-with-the-tourism-authority-of-thailand-302236517.html

SOURCE Tuniu Corporation

FAQ

What is the significance of Tuniu's partnership with the Tourism Authority of Thailand?

The partnership aims to enhance the travel experience for Chinese tourists in Thailand, strengthen promotion and communication efforts, and potentially increase Tuniu's market share in the Thai tourism sector.

How has Tuniu's business in Thailand grown in 2024?

From January to July 2024, Tuniu's packaged tours to Thailand increased by over 160% year-over-year, indicating significant growth in this market.

What are Tuniu's plans for expanding its services in Thailand?

Tuniu plans to leverage its product innovation and new media channel promotion to offer more diverse, high-quality products and services for Chinese tourists visiting Thailand.

When was the Letter of Intent between Tuniu and TAT signed?

The Letter of Intent was signed on August 30, 2024, at the TAT head office in Bangkok.