Trip Advisor Bookings through other platforms at 4 Year Low

McCrank

Member
Jan 5, 2019
74
6
8
Austin, Texas
What City & State do you work in?
New York, NY
I don't know if you know, but TripAdvisor, gets a ton (or used to anyway) of bookings through the two largest online travel agencies, Expedia and Booking.com However, this story reports that spending from both of those booking services with TripAdvisor has hit a four year low.

These companies mostly book hotels through Trip Advisor and is the majority of Trip Advisor's business. However, their cut back equals just a 3% cut for Trip Advisor where their online bookings in non-hotel areas have increased 23% from 2017. And that non-hotel revenue makes up 28% of TripAdvisor's total revenue. So, it's not like doom and gloom, but it's a trend to watch, for sure.

But apparently TripAdvisor is having much bigger problems than that. Their share price is down more than 45% over the last 5 years. So long term investors have seen huge losses. And to make things worse, TripAdvisor's share price was down 11% in just the last quarter. But their revenue is actually up 8.2%. So, what gives? Could be just that the market isn't pricing TA high enough which could be a buying opportunity. But the bottom line is that while TA revenue has grown modestly over the last five years, it's earnings (or what's left over after expenses) have languished and even fallen. 2018 saw a lower earnings figure than 2013.

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Graham

Member
Feb 4, 2019
141
6
18
What City & State do you work in?
Glendale AZ
Do you think this has anything to do with Airbnb? Now that home-renting is made easy, I'd imagine a lot less people are booking hotels.