99 Tourz

Introduction

99 Tourz is a digital travel platform headquartered in Shanghai, China, that specializes in offering micro‑tour packages primarily targeted at urban young travelers. The company launched its first service in 2015 and has since expanded into several Asian markets, including Japan, South Korea, and Thailand. The brand emphasizes affordability, convenience, and social engagement, positioning itself as an alternative to traditional travel agencies and hotel booking sites.

History and Background

Founding and Early Development

99 Tourz was founded in 2014 by Li Wei, a former product manager at a leading Chinese e‑commerce company, and Cheng Lin, a former tour operator with experience in the domestic leisure travel sector. The duo identified a growing segment of 20‑ to 30‑year‑olds who preferred short, budget‑friendly trips that could be planned and booked online within hours. Their vision was to create a platform that combined real‑time travel logistics with a social networking layer.

In February 2015, the company released its beta version, which offered 15 short‑stay packages in major Chinese cities such as Shanghai, Beijing, and Guangzhou. Early users praised the streamlined booking process and the inclusion of user‑generated itineraries. Within six months, 99 Tourz surpassed 100,000 active users.

Expansion and Product Diversification

By 2017, 99 Tourz had entered the Japanese market, partnering with local tour operators to provide curated experiences in Kyoto, Tokyo, and Osaka. The same year, the platform introduced a “Weekend Getaway” feature that allowed users to book 2‑day trips in nearby cities, leveraging dynamic pricing models to attract cost‑conscious travelers.

In 2019, the company launched “Tourz Plus,” a premium subscription service that offered benefits such as free airport transfers, priority booking during peak seasons, and access to exclusive events. The move was partially driven by the need to diversify revenue streams amid rising competition from global travel aggregators.

Funding and Corporate Structure

99 Tourz has raised three rounds of venture capital. In 2016, it secured $8 million in Series A funding from Beijing‑based venture capital firm FutureSight Capital. The Series B round in 2018 raised $20 million from a consortium that included SoftBank Ventures Asia and GIC. The most recent Series C round in 2021 brought an additional $35 million, valuing the company at approximately $250 million.

The company is incorporated as a private limited company in Shanghai. Its corporate structure consists of a core management team, an advisory board with industry veterans, and a board of directors that includes representatives from its major investors.

Business Model and Key Concepts

Revenue Streams

99 Tourz generates income through multiple channels:

Commission Fees: A percentage of each booking made through the platform, negotiated with partner hotels, airlines, and local tour operators.
Subscription Fees: Monthly or annual fees collected from users who subscribe to Tourz Plus.
Advertising: Paid placements for hotels and attractions that wish to increase visibility among the platform’s user base.
Data Analytics: Aggregated user data is sold to market research firms, provided it complies with privacy regulations.

Technology Stack

99 Tourz employs a cloud‑based architecture that integrates real‑time inventory management, dynamic pricing engines, and a recommendation system powered by machine learning. The platform's front end is built using React.js, while the back end relies on Node.js and a PostgreSQL database. The company also uses Kubernetes for container orchestration and implements DevOps practices to ensure continuous delivery.

To differentiate itself from other travel aggregators, 99 Tourz introduced a social component that allows users to share itineraries, photos, and reviews directly within the app. This feature encourages community building and peer‑to‑peer recommendations, which are known to influence booking decisions among younger travelers.

Services and Product Offerings

Micro‑Tours

These are short, often 1‑ or 2‑day trips that include accommodation, transportation, and a curated set of attractions. Micro‑Tours are sold at a fixed price that covers all components, simplifying the booking experience.

Weekend Getaways

Weekend Getaways are slightly longer than micro‑tours, typically spanning 3 days. They include hotel stays, local transportation, and a mix of paid and free attractions. The platform offers early‑bird discounts for bookings made at least 30 days in advance.

Custom Itineraries

Users can build their own itineraries through the platform’s “Create Itinerary” tool. The system provides recommendations based on user preferences and historical data, helping to balance cost, time, and interest.

Tourz Plus Subscription

Tourz Plus provides benefits such as:

Priority customer support via a dedicated hotline.
Complimentary airport transfers in selected cities.
Access to exclusive partner events and promotions.
Discounted rates on higher‑tier packages.

Market Presence and Competition

Domestic Market in China

99 Tourz holds a significant share of the domestic micro‑tour market, accounting for approximately 18% of bookings in this segment as of 2022. The company competes with domestic players such as Meituan Travel, Ctrip, and Tuniu. Its focus on social engagement and ease of use has resonated with younger travelers.

International Footprint

In Japan, 99 Tourz has established partnerships with major tourism boards and operates a localized Japanese language interface. South Korea and Thailand are the other primary markets, where the company collaborates with local travel agencies to curate culturally relevant experiences.

Competitive Analysis

Unlike larger aggregators that offer a broad array of services, 99 Tourz focuses on short, affordable trips and emphasizes user-generated content. Its major competitors include:

Lonely Planet’s e‑Tours: Provides a global catalogue of curated tours but at higher price points.
Klook: Offers activity booking with a global reach but focuses more on individual attractions rather than bundled itineraries.
Airbnb Experiences: Provides local, experiential offerings but lacks the integrated travel logistics that 99 Tourz offers.

Operations and Logistics

Supply Chain Management

99 Tourz works with a network of over 300 partner hotels and 150 local tour operators. It negotiates block bookings and leverages group purchasing power to secure lower rates. Inventory is managed through an automated system that updates availability in real time.

Customer Support

The platform offers multilingual customer support through chatbots and live agents. The support center is located in Shanghai, with additional teams in Tokyo and Bangkok to serve regional markets.

Compliance and Risk Management

99 Tourz adheres to the Personal Information Protection Law (PIPL) in China and the General Data Protection Regulation (GDPR) for its European customers. The company conducts regular audits of its data handling practices and maintains a dedicated compliance team.

Controversies and Challenges

Data Privacy Concerns

In 2020, an investigative report highlighted that 99 Tourz’s data collection practices could potentially violate user privacy. The company responded by updating its privacy policy and implementing stronger encryption for user data.

Pricing Transparency

Consumer advocacy groups raised concerns over the opacity of pricing structures for certain packages, particularly where hidden fees were disclosed only at the payment stage. 99 Tourz addressed this by redesigning the booking flow to present all costs upfront.

Competitive Pressure

The entry of global players such as Expedia and Booking.com into the micro‑tour market has intensified competition. 99 Tourz counters this by focusing on niche markets and strengthening its social engagement features.

Corporate Governance and Leadership

Key Executives

Li Wei – Chief Executive Officer, responsible for overall strategy and corporate development.
Cheng Lin – Chief Operating Officer, oversees supply chain and partner relationships.
Ying Zhao – Chief Technology Officer, leads product development and technological innovation.

Advisory Board

The advisory board includes industry veterans such as former senior executives from major Chinese travel agencies, leading data scientists, and marketing specialists. Their role is to provide strategic guidance and ensure alignment with industry best practices.

Financial Performance

99 Tourz reported revenue of $85 million in 2021, a 45% increase from the previous year. The growth was driven by higher bookings, expansion into new markets, and the introduction of the Tourz Plus subscription. Operating margins improved from 12% to 16% due to economies of scale and cost‑control initiatives.

Profitability remains a long‑term goal, with the company investing heavily in technology and marketing to capture market share. In 2023, the company achieved a breakeven point in its Singapore operation, marking a significant milestone.

Impact on Travel Culture

Changing Travel Habits

99 Tourz’s emphasis on short, affordable trips has contributed to a shift in travel behavior among millennials and Gen Z. The company’s platform enables spontaneous travel decisions, with average booking times reduced to less than 30 minutes.

The platform’s social layer encourages sharing of experiences, which in turn drives user acquisition through organic growth. Many users document their itineraries on social media, providing peer‑to‑peer validation for the company’s offerings.

Future Outlook

Strategic Initiatives

99 Tourz plans to expand into Southeast Asian markets, including Vietnam and Indonesia, by establishing local partnerships and tailoring product offerings to regional preferences.

Another focus area is the integration of artificial intelligence to personalize recommendations further and improve dynamic pricing accuracy.

Potential Challenges

Regulatory changes related to data privacy and cross‑border transactions could affect operational flexibility. Additionally, fluctuating tourism demand due to global health concerns or geopolitical instability may pose short‑term risks.

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