Author | Liu Baodan
Editor | Zhou Zhiyu
In the segmented track of travel services, DiDi has once again turned its attention to charter services.
On August 9th, Wall Street News learned that DiDi's charter service has gradually launched in 44 cities nationwide and started trial operation. Observing the DiDi Travel APP homepage, the DiDi charter entrance has officially launched, alongside taxi-hailing, carpooling, designated driving, and other services.
This is not the first time DiDi has introduced charter services. Previously, DiDi had launched charter services on the premium car page. This time, the introduction of the charter entrance means that charter services will be launched as an independent section. According to insiders, DiDi's charter service has expanded from premium cars to express cars, providing more comprehensive coverage.
In the past few years, DiDi has continuously expanded its services around travel scenarios, launching various travel services including taxi-hailing, car rental, cycling, designated driving, public transportation, refueling, freight delivery, and more. Stepping up in the charter market aligns with the company's strategic focus on its core business.
The domestic charter market is still in its early stages of development. Data shows that the domestic short-term charter market is estimated to reach 40-45 billion RMB. With the increasing demand for diverse travel scenarios such as family outings, student study tours, and group travel, the charter market has huge potential.
DiDi's advantage in entering the charter market lies in using its own fleet, resulting in a higher response rate than the industry standard and faster driver acceptance.
Moreover, based on its rich experience in travel services, DiDi's charter service also provides multiple service guarantees, such as free cancellation for passengers one hour before departure, and free waiting for 30 minutes if passengers are late.
During the trial operation period, DiDi has set high standards for charter services. Charter drivers must have over 5 years of driving experience and excellent service reputation, and selected vehicles must be relatively new, within 3 years.
However, challenges are also evident. Currently, Shouqi Yueche, Shenzhou Zhuanche, OTA platforms, and others have all entered the charter business, so DiDi needs to quickly establish a strong presence in team travel and travel booking scenarios.
Leveraging the synergies of travel services, DiDi initially aims to have a competitive edge in pricing for charter services.
Currently, DiDi's charter service offers three vehicle types: Economy 5-seater, Comfort 5-seater, and Business 7-seater. Each type has 6 package options, including 4 hours 50 km, 4 hours 100 km, 8 hours 100 km, 8 hours 200 km, 10 hours 125 km, and 10 hours 250 km.
In terms of pricing, DiDi's charter service operates on a package basis, where the order cost includes package fees, excess package fees, and additional fees, with the latter two only charged when the service duration or mileage exceeds the specified range. Additional fees refer to tolls and parking fees incurred during the trip.
For example, the Economy 5-seater charges 335 RMB for 4 hours and 50 km, with an excess mileage fee of 1.5 RMB/km and an overtime fee of 5 RMB/10 minutes; the Comfort 5-seater charges 490 RMB for the same duration and mileage, with excess mileage at 3.8 RMB/km and overtime fee at 7.8 RMB/10 minutes; the Business 7-seater charges 640 RMB, with excess mileage at 4.9 RMB/km and overtime fee at 10.1 RMB/10 minutes.
&#34;Currently, DiDi's charter prices are relatively low in the industry, especially for the Economy 5-seater,&#34; said the head of DiDi's charter service. In Suzhou, for example, the prices for various Economy 5-seater packages range from 268 RMB to 686 RMB for 4 to 10 hours
DiDi still needs time to verify whether it can make a breakthrough in the charter market, but this is undoubtedly a positive signal, indicating that DiDi has explored a new niche track.
In fact, DiDi's focus on its core business strategy has begun to pay off.
In the first quarter of 2024, DiDi achieved a total revenue of 49.1 billion RMB, a year-on-year increase of 14.9%; the core platform transaction volume was 3.75 billion orders, a year-on-year increase of 30.3%. Whether it is order volume or performance capability, DiDi has reached its best level since its establishment.
After more than 9 years of development, DiDi has entered a stage of healthy development. In order to become the world's largest one-stop travel platform, DiDi's path of deep cultivation will continue

DIDIY

- Didi has expanded its focus to charter services, launching Didi Charter in 44 cities nationwide, indicating a strategic move towards this segment in the travel service industry.
- The company's advantage lies in using its own fleet for Didi Charter, ensuring high response rates and faster driver acceptance, while also offering multiple service guarantees based on its rich travel service experience.
- Didi's entry into the charter market aligns with its core business strategy, aiming to tap into the significant potential of this early-stage market, despite facing competition from other players like Shouqi Yueche and online travel agency platforms.

DiDi doubles down on the charter market