Marriott Tries to Use TripAdvisor as Leverage in Expedia Negotiations
Skift Take
Nothing helps building a fruitful online travel agency-hotel relationship for Expedia and Marriott than than the latter's wooing another suitor like TripAdvisor. All is fair in love and travel.
Given their respective power, when Marriott International and Expedia Inc. confronted one another in previous contract negotiations it was like two 800-pound gorillas squaring off.
But now that Expedia has acquired Travelocity, Orbitz, Trivago, and Wotif, it is like a 1,200-pound gorilla looming over a relatively dimunitive 800-pound rival.
That's the view of Max Starkov, CEO of HeBS Digital, who argues that the main reason Marriott International agreed to participate in TripAdvisor Instant Booking, which will enable consumers to book Marriott properties on TripAdvisor, is to give Marriott leverage against Expedia in contract negotiations in light of all the industry consolidation.
Sure, Marriott will likely pay TripAdvisor lower commissions than it generally pays Expedia and Booking.com, and that's a factor in the hotel chain's decision to participate in TripAdvisor Instant Booking. But gaining incr
