When OTAs struggle

I was a bit surprised to read this news – Tripadvisor Reorganization Brings Exec Departures and New Life for Viator. A few weeks ago, there was also news about Expedia’s CEO stepped down because there was a disagreement about his strategic direction and the expectation from the board. Basically, those Online Travel Agents (OTAs) are struggling to compete in the market.

In the Tripadvisor’s case, what they tried to do is to fight back in a tour and activity segment led by Aviator, a company they acquired in 2014. Aviator’s performance dropped due partly to the entrance to this segment by Airbnb and Booking.com.

My 2c is I used Aviator a few times and it pretty much positions itself as a shopping centre for tours and activities. Airbnb, on the contrary, is a platform for anyone to host holiday experiences. The Airbnb’s approach is admirable that I even think to adopt for my company.

Who would think even the largest OTAs in the world struggle to compete?


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