Expedia is an online travel service company that provides information and booking services for flights, hotels, and rental cars. It allows customers to plan and purchase travel services in one place. Expedia was originally part of Microsoft but became an independent public company in 2005. It is now the largest player in the online travel market with over a third of total online sales. Expedia's vision is to create a global travel marketplace that enables suppliers to reach more customers while giving consumers the ability to research and book travel services easily.

2. Company Profile Online travel service company Provide information on scheduling , pricing and availability of flight, hotel and rental car One-stop travel shopping & reservation services Start with operationing unit of Microsoft Expedia went public in 1999 Interactive crop buy expedia stock in 2003 Become indepentdent public company in 2005 Largest player in online travel service - $2.7 billion in 2007 (38.57%) of total online market share

3. Vision “ To create a global travel marketplace , enable travel service suppliers to extend their marketing reach, and giving consumers the ability to research, plan, and purchase travel services ”

4. Value proprosition Reduce searching cost for trip information One stop service for traveling Offer lower price than traditional method Offer market opportunity to fill vacant rooms ,rent idle car etc. Customer Supplier

5. Young people, families (+kids), seniors, groups with specific needs on: special trips (sightseeing, Disney Land, adventures, romantic, etc), activities (sport, wellness), hotels and prices Business people with specific needs on exclusive deals,(business-) hotels, check-In Customer Segmentation Business travelers Customer Holiday travelers

6. Business model Merchant model Agency model Advertising revenue model

7. Agent model “ Act as traditional agency , Expedia receive revenue from commission or Flat fee of each transaction from travel supplier.” Commission and transaction fee Low margin Travel Agency

8. Merchant model “ Purchase inventory from supplier at discounted wholesale prices and resells it to consumer at a retail price that it sets it self.” Revenue from price difference High margin Wholesale retail

9. Advertising revenue model

10. Business Strategy Analysis Portfolio of Travel Brands expands into foreign market

11. Business Strategy Analysis Localization of Expedia websites

12. Business Strategy Analysis Breadth of Product Offering

13. Customer satisfaction

14. Compettion Strategy Analysis Direct competitor

15. Compettion Strategy Analysis Indirect competitor

16. Technology Strategy

17. Social and Legal Challenges

18. Strategy Summary Opaque Retail Package Corporate Media Priceline Orbiz Travelocity Kayak Expedia Hotwire Egencia Etc.

19. Sources: U.S. Online Travel Overview 8th Edition Update: 2009 – 2010 (April 2009); U.S. Corporate Travel Distribution 4th Edition (July 2009); European Online Travel Overview 4th Market opportunity and Financial analysis

20. CONSOLIDATED STATEMENTS OF OPERATIONS

21. Revenue by product & Geography

22. Suggestion