trip advisor
9-511-004
REV: FEBRUARY 9, 2011
SUNIL GUPTA
KERRY HERMAN
TriipAdvisor w early Mo onday mornin ng in the firstt week of Au ugust 2010, an nd just back in i his office frrom a
It was two-w week family vacation, v Step phen Kaufer, founder and d CEO of Trip pAdvisor (TA
A), was happy y and relaxeed. Kaufer ha ad rented two o houses for his family’s vacation in Martha’s
M
Vin neyard—one house h from TA’s newest service, Vacaation Rentals, and the other from a competitor site. Kaufer
K
was plleased he house he found f throug gh TA’s listing g was far sup perior to the one o off his competitor’s sitte. He that th was very v optimistiic about the fu uture potentiaal of TA’s enttry into this seegment.
Ass Kaufer settlled in his offfice, he saw a note from Bryan Saltzb burg, Generall Manager of New
Initiattives and head of TA’s flight f servicee, requesting an urgent meeting. m In February
F
20099, TA launch m seervice similarr to Kayak, where w consum mers could com mpare pricess from hed a flight metasearch severaal airlines and d online traveel agencies (O
OTAs). The hiighly competiitive online flight search market m becam me even moree competitivee in July 20100 when Goog gle announceed that it wass acquiring ITA, a leadin ng flight-info ormation softtware compaany, for $7000 million.1 Kaaufer was su ure that Saltzzburg wanteed to discuss TA’s options in light of thiis recent deveelopment.
Kaaufer was stiill thinking about a the imp pact of Goog gle’s acquisitiion on TA, when w his asssistant inform med him thatt Hao Wu, General
G
Manaager of TA’s China operattion, was on the phone. Thirty
T
minuttes later Kauffer finished his h conversatiion with Wu and started reflecting r on what was already turnin ng out to be a busy first daay after his vaacation:
In less than ten years wee have becom me the most popular p and largest l travell community in thee world wheere consumerrs get unbiased and real advice from real travelerrs about hoteels, atttractions and other
REV: FEBRUARY 9, 2011
SUNIL GUPTA
KERRY HERMAN
TriipAdvisor w early Mo onday mornin ng in the firstt week of Au ugust 2010, an nd just back in i his office frrom a
It was two-w week family vacation, v Step phen Kaufer, founder and d CEO of Trip pAdvisor (TA
A), was happy y and relaxeed. Kaufer ha ad rented two o houses for his family’s vacation in Martha’s
M
Vin neyard—one house h from TA’s newest service, Vacaation Rentals, and the other from a competitor site. Kaufer
K
was plleased he house he found f throug gh TA’s listing g was far sup perior to the one o off his competitor’s sitte. He that th was very v optimistiic about the fu uture potentiaal of TA’s enttry into this seegment.
Ass Kaufer settlled in his offfice, he saw a note from Bryan Saltzb burg, Generall Manager of New
Initiattives and head of TA’s flight f servicee, requesting an urgent meeting. m In February
F
20099, TA launch m seervice similarr to Kayak, where w consum mers could com mpare pricess from hed a flight metasearch severaal airlines and d online traveel agencies (O
OTAs). The hiighly competiitive online flight search market m becam me even moree competitivee in July 20100 when Goog gle announceed that it wass acquiring ITA, a leadin ng flight-info ormation softtware compaany, for $7000 million.1 Kaaufer was su ure that Saltzzburg wanteed to discuss TA’s options in light of thiis recent deveelopment.
Kaaufer was stiill thinking about a the imp pact of Goog gle’s acquisitiion on TA, when w his asssistant inform med him thatt Hao Wu, General
G
Manaager of TA’s China operattion, was on the phone. Thirty
T
minuttes later Kauffer finished his h conversatiion with Wu and started reflecting r on what was already turnin ng out to be a busy first daay after his vaacation:
In less than ten years wee have becom me the most popular p and largest l travell community in thee world wheere consumerrs get unbiased and real advice from real travelerrs about hoteels, atttractions and other