Expedia Group, Inc. - statistics & facts
In the past three decades, Expedia Group has consolidated its position as one of the leading players in the online travel market. Once operating solely as Expedia.com, the group has gradually acquired a wide range of travel brands, including Vrbo, Hotels.com, and trivago, becoming the second-largest online travel agency (OTA) worldwide, just behind Booking Holdings.
While Expedia Group’s leading role in the online travel market is undeniable, the competition is fierce, as the company’s biggest competitors include online travel giants such as Booking Holdings, Airbnb, and Trip.com. Expanding the reputation of its brands beyond the U.S. market and being prepared for the challenges posed by the artificial intelligence use in the tourism sector could prove essential to ensuring the company another three decades of success.
What is Expedia Group’s most profitable business segment?
While the company’s diverse supply portfolio covers all aspects of the travel market, ranging from airline tickets to travel experiences and car rentals, lodging is by far Expedia Group’s most profitable business segment. In 2024, hotel and short-term rental bookings on the platform generated almost 11 billion U.S. dollars, accounting for roughly 80 percent of Expedia Group’s global revenue.What is Expedia Group’s business model?
The online travel agency relies on three different strategies to generate revenue: merchant, agency, and advertising. Under the merchant model, customers pay the full price of the purchased product to the OTA rather than the travel supplier. With the agency model, the company only operates as the intermediary between the client and the supplier, then receives a commission for this service. Finally, the advertising model is based on various media and advertising plans offered to travel and non-travel advertisers. As seen when looking at a breakdown of Expedia Group’s revenue by business model, the company mainly relies on the merchant strategy to make a profit.What is Expedia Group’s biggest market?
The United States is a key market for the travel company, with Expedia Group’s revenue in the U.S. representing over 60 percent of the firm’s 2024 global earnings. Its strong presence in the country is reflected in its high brand awareness. That year, Expedia – Expedia Group’s flagship brand – ranked first in the Statista’s Brand KPI survey of the most well-known travel portals in the United States, ahead of Airbnb and Booking.com.While Expedia Group’s leading role in the online travel market is undeniable, the competition is fierce, as the company’s biggest competitors include online travel giants such as Booking Holdings, Airbnb, and Trip.com. Expanding the reputation of its brands beyond the U.S. market and being prepared for the challenges posed by the artificial intelligence use in the tourism sector could prove essential to ensuring the company another three decades of success.
