By | Intelligent Relativity

Just six months after its debut on the Hong Kong Stock Exchange, Caocao Chuxing has embarked on a significant strategic journey, announcing two major acquisitions in quick succession. These moves mark a substantial upgrade to its product lineup. Firstly, it acquired a 100% stake in Weixing Technology Co., Ltd. (hereinafter referred to as 'Yaoxing Chuxing'), and secondly, it plans to acquire a 100% equity share in Zhejiang Geely Business Services Co., Ltd. (hereinafter referred to as 'Geely Business Travel').

Both companies stand as leaders in the B2B business travel domain. Yaoxing Chuxing, a premium travel brand jointly established by Geely Holding Group and Mercedes-Benz, offers mature corporate event and meeting services, daily corporate transportation, and premium ride-hailing options. It specializes in delivering luxury travel experiences, encompassing vehicle reservations, dedicated chauffeur services, airport transfers, and intercity travel with professional butler services. On the other hand, Geely Business Travel is a seasoned business travel management service platform that integrates comprehensive travel products and services from airlines, accommodation, and transportation providers. It offers professional business travel service solutions, as well as event and conference planning and execution.

With the successful completion of these two transactions, Caocao Chuxing is poised to precisely tap into the trillion-dollar B2B business travel sector, officially transforming from a travel service provider into a comprehensive 'travel + business travel' solution provider.

It is no overstatement to claim that as the core mobile travel platform of Geely Holding Group and the most vital commercialization vehicle for Robotaxi, this acquisition transcends mere business expansion; it is a strategic positioning based on industry trend analysis—entering the high-margin, highly sticky B2B business travel sector.

Gong Xin, CEO of Caocao Chuxing, stated, "The acquisition of Yaoxing Chuxing and Geely Business Travel is a pivotal strategic move for Caocao Chuxing in constructing a one-stop tech travel platform." To gain a deeper understanding of Caocao Chuxing's strategic intentions, one must commence with the transformations occurring in the entire B2B business travel market.

The Trillion-Dollar B2B Business Travel Market is Undergoing Transformation

Over the past few years, the B2B business travel market has experienced a tumultuous journey, from stagnation to recovery, and is now steadily maintaining growth. According to the latest Annual Outlook Report on the Business Travel Index (BTI) released by the Global Business Travel Association, global business travel spending is projected to reach a record high of $1.57 trillion in 2025, marking a 6.6% increase from 2024.

It is noteworthy that, in contrast to the price wars and intense competition in the C-end travel market, the B2B business travel sector boasts core characteristics such as stable demand, high average order value, high gross profit margin per order, and long customer lifecycles.

The emergence of a trillion-dollar sector is not static; it is often accompanied by profound industry transformations. The B2B business travel market is no exception, with three prominent demand gaps emerging amidst the changes.

Firstly, there is the need for process integration. Corporate demand for business travel services has expanded from single-point reservations to a closed-loop solution encompassing the entire process of reservation, approval, reimbursement, and control. In this context, digital capabilities have become one of the core competencies, with digital technology-enabled closed-loop services across the entire process being essential.

Secondly, there is the demand for scenario integration. The boundaries between travel services and business travel management have continued to blur, with enterprises urgently requiring full-scenario services covering daily commutes, business receptions, business travel coordination, and conference and exhibition services. Single business offerings can no longer meet current corporate demands.

Thirdly, there is the need for service refinement. Premium customized services and standardized basic services must coexist and be clearly differentiated. B2B business travel must cater to the high-end business needs of leading enterprises while also adapting to the lightweight business travel demands of small and medium-sized enterprises. An extensive service model will find it challenging to impress corporate clients.

Therefore, by acquiring Yaoxing Chuxing and Geely Business Travel to complement its premium travel and business travel management capabilities, Caocao Chuxing aims to capture this recovering trillion-dollar sector. It necessitates strong resource integration capabilities to transform itself into a truly comprehensive one-stop tech travel platform covering the entire process, all scenarios, and all service levels, precisely meeting the core demands of corporate clients.

Product Matrix Upgrade: Caocao Chuxing Restructures Its Brand Fundamentals

Delving deeper, Caocao Chuxing's product matrix transformation, led by the acquisitions of Yaoxing Chuxing and Geely Business Travel and its full-scale entry into the B2B business travel market, represents a thorough restructuring of its brand fundamentals.

Firstly, the comprehensive strengthening of the B2B business travel sector will provide Caocao Chuxing with a powerful 'leg.' Prior to this, Caocao Chuxing had been deeply engaged in the corporate service market for eight years, serving over 13,500 enterprises and establishing a mature corporate client service system and compliance risk control capabilities.

Building on its existing standard travel services and superimposing Yaoxing Chuxing's premium travel services and Geely Business Travel's full-process business travel solutions, Caocao Chuxing's B2B business travel sector will achieve comprehensive complementary coverage, making B2B business travel an important engine driving brand growth.

Next, with the 'strengthening' of the B2B business travel sector, Caocao Chuxing will further achieve B2B + B2C business synergy, entering a phase of 'walking on two legs.' Admittedly, prior to this, public perception of Caocao Chuxing's brand was mostly limited to C-end travel services, with the brand recognition, market performance, and product system of the B2B business travel sector still in their infancy.

Now, through these two strategic acquisitions, Caocao Chuxing will fully connect the chains of daily commutes, business receptions, business travel management, and conference and exhibition services, firmly grasping both the C-end and B-end markets.

Finally, and most crucially, there is still the potential for bidirectional value conversion between the B2B and B2C businesses, driving Caocao Chuxing into a new phase of 'running on two legs.' On one hand, after experiencing Yaoxing Chuxing's premium services in business scenarios, corporate employees may convert into individual premium travel users. High-net-worth users of Caocao Chuxing's C-end may also recommend relevant business travel services to their employers based on personal experiences, forming a cross-utilization of client resources. This traffic interchange between the B-end and C-end serves as an invisible driver of brand growth.

On the other hand, the mature intelligent dispatch system, standardized service system, and extensive traffic base of the B2C sector can provide stable fulfillment guarantees and client referral support for the B2B business. Conversely, the high-value services and stable revenue of the B2B sector can feed back into upgrading the C-end brand image, further reinforcing Caocao Chuxing's high-quality service label and enhancing the platform's overall average order value and brand premium.

As a result, Caocao Chuxing's brand fundamentals will undergo a thorough upgrade from a single-point effort in the past to a dual-wheel drive, enabling the B2B + B2C 'two legs' to not only walk but also run more steadily and swiftly.

The One-Stop Tech Travel Platform Will Reach the Public with a More Imaginative Brand Image

Of course, the restructuring of brand fundamentals may not fully justify Caocao Chuxing's extensive strategic acquisitions of Yaoxing Chuxing and Geely Business Travel. For a long time, Caocao Chuxing has been committed to building a one-stop tech travel platform—this is the anchor point of its strategic moves.

What is a 'one-stop tech travel platform'? Although Caocao Chuxing has consistently emphasized this concept, market understanding remains incomplete, mostly based on conceptual interpretations. Today, once Caocao Chuxing's B2B + B2C 'two legs' start running, public perception may become clearer and more specific.

Intuitively, when Caocao Chuxing's mature C-end service standards and operational systems, Yaoxing Chuxing's premium concierge service experience, and Geely Business Travel's comprehensive business travel solutions are integrated onto a single platform, users, whether as C-end or B-end clients, can access truly comprehensive services covering the entire process, all scenarios, and all service levels on Caocao Chuxing.

For Caocao Chuxing, this may represent an overall platform capability enhancement, but for users, it signifies a comprehensive experience transformation—the experience of a one-stop travel tech platform becomes much clearer.

Meanwhile, leveraging Geely Holding Group's automotive R&D and manufacturing advantages, Caocao Chuxing can also develop customized vehicle models tailored for corporate travel, business receptions, and other scenarios, enhancing the service capabilities of the one-stop tech travel platform from the supply side and precisely matching the personalized and scalable demands of the B-end market.

This full industrial chain integration capability from upstream manufacturing to downstream services enables the platform to transcend the role of a single service provider and evolve into a creator of scenario-based solutions, forming unique supply chain advantages and making the brand image of the one-stop tech travel platform more three-dimensional.

Of course, this brand image extends beyond the domestic market. As of now, Yaoxing Chuxing has already established service networks in 12 international cities, including Paris, Tokyo, and Seoul. Combined with Geely Business Travel's overseas corporate client resources, this will provide Caocao Chuxing with a ready-made springboard for its international expansion.

Thus, by integrating overseas resources, Caocao Chuxing can swiftly meet the cross-border business travel demands of domestic enterprises going global, while also expanding its client base among overseas local enterprises, gradually achieving globalization of the one-stop tech travel platform and fully unlocking the platform's global growth potential.

Recapitulating these two major strategic acquisitions by Caocao Chuxing after its listing, the strategic intentions are profound—from a market perspective, it can swiftly capture the rising trillion-dollar B2B business travel market and seize the opportunities for rapid market growth. From a brand perspective, it can make up for business shortcomings and form a powerful posture of 'running on two legs' with B2B + B2C. From an industry perspective, the concept of a one-stop tech travel platform will be further realized, beginning to reach the public and reconstructing the travel experience for all future users.

When the 'one-stop tech travel platform' becomes the top choice for more enterprises and individuals, Caocao Chuxing may once again rewrite the entire landscape and model of travel services.

*All images in this article are sourced from the internet