The conventional wisdom has been that flash sales can't be a profitable model during economic good times. The apparent success of Secret Escapes puts the lie to that notion.
Jetsetter still sees value in flash sales but it is such a small part of parent company TripAdvisor's overall business that it saw value in farming out that part of the business to Secret Escapes, which focuses on flash sales 24/7.
Starwood's new hotel flash sales site has little flash, and it is a bad move to jump through hoops about your exclusive sales when in reality you can find the same hotel deals all over the Internet. Bad move.
In its direct-travel sales, Groupon could be taking a page out of Expedia's playbook -- partner with a company, learn the ropes, and eventually shut them out and do it on your own.