36Kr obtained news from within ofo that probably in April this year, ofo will be connected to Didi Chuxing’s App. By then, users can use ofo’s services directly on Didi.
"This matter has been frequently put on the agenda recently, and internal news is that it may be connected next month." An internal ofo employee said. 36Kr asked Didi officials and ofo officials to confirm the news, but as of press time, neither company had confirmed or denied it.
Ofo founder Dai Wei said in December last year that there was no clear timetable for when to access Didi APP. "Ofo's model does not have GPS. Users use it when they see a car. The whole logic is different from the logic of taxi-hailing on the Didi platform, but in the near future we will jointly launch something with Didi."
However, similar access is not without precedent. In February this year, WeChat and Mobike announced that users can scan the QR code on the body of Mobike via WeChat to directly enter the Mobike WeChat applet and click to unlock the bike.
This is not the first time that ofo will be connected to Didi, nor is it the first in-depth binding of the two platforms. Previously, Didi participated in ofo’s recent three rounds of financing. According to a report by Tencent Technology, a shared bicycle investor revealed that after multiple rounds of financing of ofo, Didi has become the largest shareholder of ofo, accounting for more than 30% of the shares. "This means that Didi has a stronger say in ofo. At the same time, Didi will be the largest stakeholder in the success or failure of ofo."
It is not difficult to understand that after Didi connects ofo, it will serve as a huge entrance for user traffic, while ofo will further consolidate its business volume and improve its industry status and imagination with Didi's support.
Moreover, if ofo is really connected, it also means that Didi and the capital behind it are further making up for its gaps in the travel field.
An insider revealed to 36Kr that Didi once wanted to share bicycles, but for some reasons it was not possible and ultimately could only become an investor in ofo. However, this does not mean that Didi will not further enter this market.
Didi’s investment in ofo is nothing more than targeting the “last three kilometers” opportunity.
At present, China's "last three kilometers" field is still at a very early stage, and there are no systematic service providers. In the first-tier cities of Beijing, Shanghai and Guangzhou, the complexity of traffic has made the competition between major travel platforms for the "last three kilometers" increasingly fierce.
"It is 3 kilometers from the departure point to the destination. Whether to take a taxi or ride a bicycle is a choice for users. Whichever one they choose makes sense." An internal employee of ofo said, and Didi's approach is to cover all different options.
In the view of Didi, Ofo and their investors, the shared bicycle field has ushered in a period of rapid growth. A public relations officer from Ofo once told the media that taking private cars and express trains as an example, the development speed in the years after 2012 has been very fast. Ofo has increased its daily order volume from 200 to 500,000 orders in one year. "In the past, express trains and now ofo are all experiencing rapid growth, and the momentum is similar." said the public relations officer above.
At the end of December last year, ofo and Didi launched a red envelope event. This was the first large-scale cooperation between the two parties after ofo was strategically invested by Didi. The red envelope strategy used in the event is also considered to be one of Didi’s traditional marketing tools.
According to Didi Fang, in 2017 it will still focus on the travel field, hoping to open up travel for everyone. This means that all modes of travel will be covered, and shared bicycles will also be one of Didi's efforts.
36Kr believes that another important reason for Didi’s further access to shared bicycles is that compared with the “harsh” regulations for Internet private cars, shared bicycles have been encouraged by policies in the early stages of development, and the constraints are quite reasonable. Didi Chuxing, which has been affected by the new policy of online car-hailing since last year, is likely to further get a share of the bicycle-sharing market, both from a policy perspective and from a new business growth perspective.
However, 36 Krypton still has questions. How can ofo without navigation be connected to Didi, and what impact will it have on users after being connected?
"As far as I know, Didi may outsource technology and navigation to third-party companies." The above-mentioned ofo internal employee said that ofo may still not have navigation after accessing Didi, and users mainly use the scan code to unlock and pay functions on the page.
As for the user experience, the above-mentioned internal employee said, "Originally, ofo's main functions are relatively simple, and it is very simple to operate. I believe it can be seamlessly connected to the Didi platform," he emphasized. "After all, the future trend is that the number of apps installed on people's mobile phones will be less and less."