Skift Take
Businesses in the times of coronavirus are damned if you do, damned if you don’t. Travelzoo’s decision to exit Asia-Pacific when signs of recovery are being spotted in China is a good example of that.
Travelzoo is exiting Asia-Pacific when green shoots are appearing in China, home to 1.2 million of its subscribers.
The decision, taken after continuous investments in the past few years to grow its members in the region, shows the risks companies take when making decisions amid current, huge market uncertainties.
China is now cautiously allowing residents to move about. Since early March, it has allowed attractions and museums throughout the country to reopen, albeit with controlled capacity and contactless booking online. This is a boon for online travel agencies, and digital media players such as Travelzoo, which reviews and recommends deals to members.
While international travel by Chinese is still discouraged, domestic travel is far, far bigger than China’s outbound market, as Skift has reported. Ctrip and Qunar are now pre-selling domestic travel packages and attractions for April and May to regions such as Shanghai and Sichuan, based on local government guide
