Expedia Gained U.S. Market Share After Acquisitions But Lost It Everywhere Else
Skift Take
Expedia's acquisitions in 2015 made it more of a U.S.-focused company, a weakness it intends to rectify in coming years. Meanwhile, the market share impact of its buying spree won't really be felt until 2016 and beyond.
Despite spending more than $6 billion on acquisitions in 2015, Expedia, by its own accounting, gained just 1 percentage point of U.S. and Canadian online travel market share last year and lost a percentage point of market share in each of two other regions, Europe, the Middle East and Africa (EMEA,) and Asia Pacific.
The 1 percentage point gain in online market share in the U.S. and Canada brings Expedia's portion to 17 percent, while it fell to 5 percent in EMEA and 4 percent in Asia Pacific in 2015 versus 2014. Expedia reported that its online market share in 2015 in Latin America, 5 percent, was the same as 2014. The online market would include other online travel agencies such as Priceline.com, Booking.com and CheapOair as well as airline and hotel websites, for example.
Expedia reports that it also gained 1 percentage point of market share in the total U.S. and Canadian travel market, online and offline, bringing its share to 10 percent of the $388 billion online and offline travel market in the U.S. The total U.S. travel market would include the online players as well as the offline segment, including traditional travel agencies, airline ticket offices, cruise lines and hotels'
