Editor’s Note: Related Tickers: Priceline.com Inc (NASDAQ:PCLN), Tripadvisor Inc (NASDAQ:TRIP), Orbitz Worldwide, Inc. (NYSE:OWW), Expedia Inc (NASDAQ:EXPE), Travelzoo Inc. (NASDAQ:TZOO)
Priceline tops estimates as bookings, sales rise (MarketWatch)
TripAdvisor’s Apps Are Building Traffic And Revenue (Investor’s Business Daily)
At Newton, Mass.-based Tripadvisor Inc (NASDAQ:TRIP), users downloaded 45 million apps monthly during the quarter ended in December, a 190% jump from the prior year. Its apps include TripAdvisor, replete with millions of reviews of hotels and eateries, City Guide, describing 82 global destinations, and SeatGuru, which offers color-coded seating maps for plane flights. Apps are playing a pivotal role in a company’s marketing. Nonetheless, heavy-handed selling via apps irks consumers and can backfire. At Tripadvisor Inc (NASDAQ:TRIP), its website and social media are now intertwined. When consumers log on to it on Facebook (FB), it lists all of the subscriber’s Facebook friends that use TripAdvisor. So consumers traveling to Paris or London can check with friends for advice on overseas hotels or restaurants.
HotelClub Making Progress on “Turnaround” Says Harford (Travel Trends)
Orbitz Worldwide, Inc. (NYSE:OWW) CEO Barney Harford said his company is seeing better results from HotelClub, its under-performing Asia Pacific accommodation website. “We’re feeling great about the progress of the HotelClub turnaround and are seeing promising growth,” he said. HotelClub has been struggling for a number of years and had its value written down by $US50 million to zero in the 2011 Orbitz full year results. It runs three websites: HotelClub.com, RatesToGo.com and AsiaHotels.com. Meanwhile, Michael O. Randolfi, Chief Financial Officer at Orbitz Worldwide, Inc. (NYSE:OWW), said in the first quarter “net revenue grew 7% year-over-year to UIS$202.9 million and adjusted EBITDA came in at $21.6 million, up 5% from the first quarter last year.”
Vacations boost pleasure, Expedia study finds (Travel Daily News International)
Expedia.com released the results of an online survey conducted on their behalf by Harris Interactive, which was designed to examine the link between vacations and happiness. The Expedia Pleasure Index found that consumers link their personal happiness to vacations. 86% of Americans pair the two, and those who vacation three or more times per year are more likely to do so than those who travel two or fewer times. While unsurprising that vacations bring happiness, what is surprising are the institutions that vacations surpass. Americans report that vacations make them happier than their marriages, their religions, weddings, birthdays and even their cats. Expedia Inc (NASDAQ:EXPE) has formally launched its 2013 Summer Sale to help consumers find the happiness they crave.
Antitrust review of Kayak deal is done, says Priceline (Travel Weekly)
Priceline.com Inc (NASDAQ:PCLN) set a May 21 closing date for the Kayak buyout after reporting that antitrust reviews have been completed. Priceline in March said its $1.8 billion acquisition of the travel metasearch leader would be delayed by a review from U.K. antitrust regulators. Priceline announced the acquisition last November, and initially set a first-quarter deadline. Last year, 82% of Priceline.com Inc (NASDAQ:PCLN)’s gross sales were booked outside of the U.S., likely triggering the review from the U.K. Office of Fair Trading.
Travelzoo’s user base can balloon (MSN Money)
With rapid changes in global technology, it is important for online travel companies to stay in line with changing consumer preferences. Leveraging the rising mobile user base and growth in social platforms is one of the key strategy for Travelzoo Inc. (NASDAQ:TZOO)’s long term growth. The company has remained committed to investing in new product development which has helped…
…increase its user base from 15 million in 2008 to 26 million in 2012. In addition to its strengthening hotel business, we believe that Travelzoo Inc. (NASDAQ:TZOO)’s rising mobile traffic and social media integration places it in a good position to further expand its user base by leveraging future growth in the online travel industry.
TripAdvisor Will See A Soft Patch This Year But Big Growth Is Still Ahead (Seeking Alpha)
Tripadvisor Inc (NASDAQ:TRIP) started its fiscal 2013 on a strong note with a 25% and 30% increase in its Q1 2013 revenues and EBITDA respectively. However the growth rate will slow down for the next two quarters as the company transitions completely to the meta display feature. Despite the temporary slowdown, we think that the rising traffic, a strong member base and increasing content will help Tripadvisor Inc (NASDAQ:TRIP) regain its growth momentum in the future. With over 50% of its global traffic using the meta feature, TripAdvisor claims to be witnessing higher conversion rates on meta display.
Hotels bookings boost Orbitz 1Q profit; shares leap [Chicago Tribune] (Businessweek)
Online travel agency Orbitz Worldwide, Inc. (NYSE:OWW) said Thursday it turned a profit in the first quarter thanks to higher hotel room bookings and sales of its vacation packages. The Chicago company reported a profit of $146.2 million, or $1.34 per share in the quarter that ended March 31, compared with a year-ago loss of $6.5 million, or 6 cents per share. Revenue rose 7 percent to $202.9 million. Shares responded by rising more than 21 percent, to close at $7.82. Orbitz Worldwide, Inc. (NYSE:OWW) said it sold 14 percent more room nights in the first quarter than it did a year ago, while hotel revenue overall jumped 27 percent.
Expedia rolls out its latest ad campaign in India (Moneycontrol.com)
With travel season kicking off, Expedia Inc (NASDAQ:EXPE), the world’s largest online travel company, has announced the launch of its latest advertising campaign in India. Conceptualized by Lowe Lintas, the campaign is aimed at igniting the hunger for travel amongst its audience. It centres on the insight that the world we live in is rapidly changing and with it are the reasons for travel. Today, travel is no longer a luxury but deemed more of a necessity and moreover it adds to ones social status, especially among one’s peers. In today’s stressed world, travel often is the respite that helps people rejuvenate and relax, adding to wonderful and pleasant memories. The campaign hinges on this central theme and has been rolled out nationally across print, digital, radio and television mediums.
Priceline Given a $924.00 Price Target at Credit Suisse (PCLN) (Mideast Time)
Equities research analysts at Credit Suisse set a $924.00 price target on shares of Priceline.com Inc (NASDAQ:PCLN) stock in a research note issued to investors on Friday, AnalystRatingsNetwork reports. Other equities research analysts have also recently issued reports about the stock. Analysts at Raymond James reiterated an “outperform” rating on shares of Priceline in a research note to investors on Wednesday. They now have a $840.00 price target on the stock. Separately, analysts at Cantor Fitzgerald reiterated a “buy” rating on shares of Priceline.com Inc (NASDAQ:PCLN) in a research note to investors on Tuesday. They now have a $800.00 price target on the stock.
