When Tripadvisor first started diversifying away from its hotel-auction business several years ago, it was mostly aspirational because its experiences and dining businesses were relatively small. Now there is a bit of revenue meat on those bones. Still, meaningful profits will be slow going in this competitive climate.
Flush with SoftBank and other venture capital money, GetYourGuide and Klook, as well as Airbnb and Booking.com, are nipping at Tripadvisor's heels in tours and activities. Tripadvisor will try to leverage its brand, Viator, which already had a following before Tripadvisor absorbed it, to keep the insurgents at bay.
TripAdvisor's new ad campaign is more hip than its usual fare. It also shows where its business is heading with hotel booking eventually having to share the limelight with tours and dining.
CEO Stephen Kaufer seems confident that the "new TripAdvisor" will be successful. We'll have to wait until later this year before we know whether it is helping the company earn more cash.
It's easy to get lost in macrotrend land. But the rubber hits the road in actions. And here are some ideas to make experiences better, without any heavy lifting.
Expedia has dealt with a ton of distractions in recent years as it acquired Wotif, Travelocity, Orbitz Worldwide, and HomeAway, for example. CEO Mark Okerstrom wants to focus on the basics instead, and doesn't want to take bold steps into dining reservations or food delivery for now. On the other hand, Expedia is a very acquisitive company so never say never.
Tablet Hotels found itself a world-class strategic buyer to propel its growth. Tablet as part of Michelin will face huge marketing hurdles, and the challenge of trying to reshape Michelin's legacy guide offerings.
Virgin Voyages is intent on setting itself apart, and its food choices do stand out: no buffet, no main dining room, no restaurants with an extra charge. Execution will be key.