Core Viewpoint - The recent intensification of the instant retail subsidy war, with Alibaba's Taobao and Meituan increasing subsidies not only for food delivery but also for hotel bookings, marks a new competitive landscape in the local lifestyle consumption sector [1][2]. Group 1: Instant Retail Developments - Taobao has introduced "special price hotels" with discounts ranging from 18% to 67%, targeting low-star hotels priced between 80 to 200 yuan [1][2]. - The integration of Fliggy into the instant retail strategy aligns with Alibaba's broader plan to leverage its extensive user base for new service offerings [3]. - The current summer travel season presents an opportunity for Taobao and Meituan to engage in fierce competition in the local lifestyle market [2][3]. Group 2: OTA Industry Dynamics - The OTA industry has seen a decade of stability since Ctrip's acquisition of Qunar, with Ctrip dominating the market [4][5]. - Recent moves by Alibaba and JD.com into the travel market could disrupt the long-standing equilibrium, although the effectiveness of these strategies remains to be seen [5][6]. - The competition in the OTA sector is characterized by ecological and enduring battles, with various players like Meituan and Fliggy leveraging their unique strengths to capture market share [5][6]. Group 3: Competitive Landscape - The competition is expected to intensify between Alibaba and Meituan, particularly in the low-star hotel segment, where both companies are seeking to establish a foothold [6]. - Meituan's strategy involves targeting the mid-to-low-end market while also attempting to strengthen its presence in the high-star hotel segment through partnerships [6]. - The demographic shift towards younger consumers, particularly those born in the 1990s, is influencing the strategies of platforms like Fliggy, which aims to engage this key consumer group [6].