Secoo competes in the booming luxury travel market segment in China. In a move the company describes as "getting into the lifestyle", the e-commerce site partnered with HNA Caissa Travel Group and got one of its travel companies.
This is an interesting move by Secoo, which is not yet known only as a luxury online retailer, compared to Tallall and JD.com from Aldaba - and a brand that is completely unknown in China's tourism industry. In some ways, Secoo's expansion into luxury travel has some similarities to Meituan-Dianping, a Chinese purchasing site for the group, which has grown and become a significant force on the way.
Under the terms of the partnership, SICO will be able to benefit from KESA's resources and travel services in various destinations around the world, which should immediately enable SICO to acquire some valuable corporate infrastructure for its travel aspirations.
In addition, Caissa Travel products will be available on Secoo's online platform, while Secoo will offer luxury shopping on Caissa's online and offline platforms.
Perhaps more interesting in terms of travel is the fact that HNA Caissa Travel and Secoo are developing customized travel products - perhaps luxury travel products - to be promoted jointly by both companies. The idea is to offer luxury travel products that excite Kaesa luxury customers as well as SICO customers who travel.
Secoo recently launched its first invasion of lifestyle products in 2017, describing it as an effort "to meet the spiritual requirements of Chinese consumers." In practice, the company offers special travel products packaged in various fields. Associated with HNWI consumption and luxury travel in China.
For example, SICO offers study tours, K12 instruction, "agricultural interest" (special tourism), medical tourism, and travel for high-class entertainment.
Interestingly, the partnership between Secoo and Caissa is completely devoid of the fact that Travel Caissa is owned by the HNA Group, although Caissa's official name includes "HNA" in it. Needless to say, HNA Caissa Travel Group has found itself in a bit of hot water recently due to a host organization problem.
The announcement also states that Secoo will receive the Travel Xuri Travel Service from HNA Caissa Travel as part of the deal - but all the details of what Beijing Xuri is doing and why the company is trying to get it completely out of the picture. However, with HNA struggling to defend its debt obligations, it is likely that the Beijing Xuri acquisition is just a sort of payment for HNA, which could be a precise term for Seeco in its partnership with Caissa.
If nothing else, the development of Secoo from an online platform that focuses on luxury shopping becomes a lifestyle brand full of great ambitions in exciting travel. So far, it has been successful in Meituan-Dianping, and Secoo may not be the last shopping platform hoping to capitalize on its luxurious influence on the way.
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