A new deal may serve to loosen the Capital One-Hopper partnership. Meanwhile, Hopper CEO Fred Lalonde co-founded and chairs a climate company: Doesn't a struggling Hopper require his full-time attention?
Capital One Travel landed an experienced travel B2B exec in Sarah Kaplan Moore, who hails from the online travel agency side of the ledger. Capital One's Discover acquisition potentially provides it with ammunition to better compete against leaders Chase Travel and American Express Travel.
If online travel agencies want to go to where people are booking travel, they are going to have to make the B2B game an integral part of their businesses. Otherwise, they'll be handing those potential customers to competitors.
There would be puts and takes involved in any Hopper IPO. Its youthful audience and fintech products are advantages. But what would happen if Expedia decided to remove its hotel supply again?
Expedia punched Hopper in the mouth in 2023 when it cut off their relationship, and Hopper was never able to make up the lost ground. Expedia, under new leadership, wanted to see revenue from Hopper flowing in again.
If you work for an online travel agency and suggested it open brick-and-mortar stores to bring customers online, you would get very quizzical looks, at the least. Let's see if it works in Argentina and Brazil for Despegar/Decolar.
Hopper is under pressure to get profitable, and an IPO may be in its long-range plans. Blowback against some of its fintech products and issues with hotel chains, aren't helping.