Travelzoo revenue and profits fall on weakness in Local Deals
Skift Take
Travelzoo began a Wall Street darling two years ago based on its pivot into Local Deals, but now there is a plunge back to reality.
Travelzoo's revenue and profits took a substantial hit in the third quarter because of weakness in its Local Deals and SuperSearch products.
Officials said Google's move into the hotel business with Google Hotels impacted search revenue, and increased competition and Travelzoo's own conversion problems hurt the Local Deals business.
At the same time, Travelzoo hinted that it wants to become a sort of online travel agency lite.
"While we are confident about Travelzoo's long-term opportunity, we are disappointed with our Q3 results," said Chris Loughli
