The Momondo Group knows it has to spend big to catch up with the competition. Its growth caught the attention of the Priceline Group, which will be hoping the acquisition, if approved by regulators, will help boost its European metasearch operation.
Hafner reveals his admiration for new acquisition Momondo Group, expresses his bother at Trivago's ad spend, and pooh-poohs Skyscanner's analytics approach in a frank discussion that cut to the core of what makes metasearch different.
It's all but certain that TripAdvisor is going to get back on TV in some form in 2017. It really needs to unless the company wants to push the launch into next year pending product changes and improvements. Past TV campaigns haven't moved the needle. The decision-making this time is all-important.
Momondo Group thinks the key to differentiation in metasearch is to create an emotional connection with the customer. Price-focused Kayak wants to learn a thing or two.
We'll need time to see if Kayak's new drop-down boxes for comparing basic versus full-service tickets do the trick for consumers, who may still be confused, and for airlines, which may want tighter control over retailing.
Travel metasearch sites such as Kayak, Trivago, TripAdvisor and Skyscanner would fall on hard times if they weren't attracting advertising spend from their parents' -- or former parents' -- rivals.
Hafner once called metasearch a lousy business with slim margins. What's clear is some of the same dynamics making life difficult for TripAdvisor, including Google Hotel Ads and Trivago's substantial marketing spend, are also proving challenging for Kayak.
The Priceline Group will consider various strategies to further its priority of increasing its lodging supply. The reason? The more choice, the better the conversion rates of lookers into bookers. When people tell you Airbnb won't ever get into selling hotel rooms, then consider the lessons Priceline has learned about adding rooms.
Expedia poured money into Trivago marketing at a loss. Current Priceline Group CEO Glenn Fogel just spent $550 million on helping Kayak grow. Does this mean he’s going to open the bankroll even further to assist Kayak-Momondo in its expansion?