Tripadvisor’s AI and business strategy shift

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The company’s new AI strategy and financial restructuring indicate a significant transformation for long-term growth in travel

Feb 21, 2025

The rise of AI platforms like Perplexity and ChatGPT is reshaping the travel industry’s marketing landscape, potentially reducing reliance on Google. Tripadvisor is already seeing positive outcomes from its AI partnerships, particularly with Perplexity, and is expanding its AI-driven initiatives to enhance customer acquisition, revenue, and brand positioning.

Key takeaways

AI as a new customer acquisition channel: Tripadvisor’s collaboration with Perplexity has shown that AI-driven traffic brings high-intent customers, improving booking efficiency compared to traditional search marketing;
Strategic partnerships: In addition to Perplexity, Tripadvisor has joined OpenAI’s Operator alongside major travel brands, positioning itself for growth in AI-driven travel solutions;
Expansion into experiences: Tripadvisor plans to broaden its AI partnership with Perplexity beyond hotels to include experiences and dining, leveraging its extensive inventory of 400,000 tours and activities;
Financial & structural moves: The company’s $435 million acquisition of Liberty Tripadvisor is expected to provide greater flexibility in decision-making and investments;
Membership program launch in 2025: A new loyalty program will allow Tripadvisor members to earn and redeem rewards, supporting long-term engagement;
Viator’s growing importance: Viator now contributes 43% of Tripadvisor’s revenue, reflecting the company’s shift towards tours and activities as a core business segment.

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