Expedia Group’s strategy for the last several years has been
focused on retooling
and realigning its internal systems, centralizing capabilities to simplify
operations and reduce duplication among the company’s multiple brands.
The effort began as Peter Kern became CEO in April 2020, at
a time when the pandemic put the brakes on travel so innovating internally was
a logical and appropriate - some would say “only” - course of action.
In 2023, the company completed the migration and
consolidation of its tech stack and along with that launched a
loyalty program linked across its three primary brands – Expedia,
Hotels.com and Vrbo.
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Now, under the leadership of new
CEO Ariane Gorin, Expedia Group is turning its attention outward again.
“It’s really back to growth,” said Greg Schulze, Expedia
Group’s chief commercial officer during a Center Stage session at Phocuswright Europe in Barcelona
earlier this month.
Schulze himself is in a new role as CCO and president of
travel partners and media since February and said, “After 19 years with the
company, it feels new again.”
In his discussion with Phocuswright research founder and senior
analyst Lorraine Sileo, Schulze called out a variety of opportunities for
growth across the company. For example, he said Expedia has “every opportunity”
to be a leader in the experiences and activities sector.
“Everything we know about the traveler and the connection that
we have with them through the app, we definitely should be the leader in activities,
and we’re not,” he said.
“We’re big and it’s a growing business for us, but as we do
more to integrate that I think it’s a great opportunity.”
Integration may factor into the growth strategy for the
company’s vacation rental business, Vrbo, which has more than two million
whole-home properties around the world.
“We have amazing supply and making that supply available
through Expedia, through Hotels.com, is certainly a smart strategy,” Schulze
said, adding with a smile, “I’ve read in PhocusWire and Phocuswright that some of our competitors
have done a really nice job integrating into the main platform.”
Schulze also the company is seeing a positive impact of Expedia Group's unified loyalty program, One Key, on Vrbo, with 25- to 30% of those booking a rental using their "One Key cash" being first-time users of Vrbo. One Key now has 100 million members in the United States and will launch
in the United Kingdom soon.
And he discussed growth strategies for the
company’s B2B business - which sold 100 million room nights in 2023 - as well as plans for growing the packaged travel product in Expedia and its new
Romie app and other uses for generative AI.
Watch the full discussion below.