With sum bookings and hotel room nights adult some-more than 50% any in a fourth quarter, Priceline says a Booking.com, Agoda and Priceline.com brands all gained hotel marketplace share.
In contrast, Expedia Inc.’s hotel room nights jumped only 19% in a fourth quarter, and Orbitz Worldwide’s tellurian hotel room nights in a fourth entertain fell 2% year over year.
“The Priceline Group gifted a clever 4th entertain for a transport reservation services.” pronounced Jeffery Boyd, CEO of a Priceline Group. “Globally, a organisation grew room night reservations by 53% as compared to 47% in a 3rd quarter. We trust that any of a brands, Booking.com, Agoda and priceline.com, gained share in a sell hotel room reservations market, while a Name Your Own Price hotel business in a United States continued to be impacted by augmenting foe in a bonus market.”
Also, in a quarter, Priceline combined a automobile let brands, including Traveljigsaw and RentalCars.com, and rebranded them globally as RentalCars.com. Car let bookings augmenting 34% year over year in a fourth quarter.
For a association as a whole, income enlargement outward a US was generally strong. Total revenue, including that for a US and abroad, grew 35.5% to $991 million, and within that, international income leap-frogged 62.7% to $610 million.
And, increase in a entertain were adult 66.3% to scarcely $226 million.
The tip line formula were propelled by enlargement in hotel room nights and increases in normal daily rates, 6% in a US and 2% abroad.
Booking.com saw generally clever enlargement in Asia, South America and a US, all of that grew during a faster shave than a core European market, Boyd said.
However, he remarkable that Booking.com has copiousness of room to grow in Europe, as well.
And, Agoda available clever enlargement in Asia notwithstanding a impact of flooding in one of a pivotal markets, Thailand, he added.
Dan Finnegan, a Priceline CFO, remarkable that a association is not confronting a vigour of “margin compression” as are some online transport group competitors, that are bustling re-platforming.
Orbitz only finish a multiyear plan to quit all a brands to a new record height and Expedia still has a approach to go with a record transition.
Boyd explained that Priceline’s collateral expenditures are increasing, though not since of a vital IT project. Instead, he said, collateral expenditures are rising during a assuage gait to support augmenting trade loads as good as bureau and crew enlargement for Booking.com in Amsterdam and a UK, for example.
In response to a doubt from an researcher during Priceline’s fourth entertain gain call, Finnegan pronounced Priceline doesn’t see removing into corporate transport as an appealing opportunity. He cited Expedia’s Egencia business, characterizing it as “high touch” and “not a really essential business.”
Despite a hostility to aim a managed corporate traveler, Boyd does see a awaiting that RentalCars.com could rise into a “strong general brand,” nonetheless automobile rentals don’t have a upside that hotels do.
He combined that there are some cross-sell opportunities between Priceline’s automobile let and hotels businesses, though RentalCars.com “will have to be successful independently.”