Why Starboard Value is betting on Tripadvisor’s shift from struggling hotel meta-search to fast-growing marketplaces like Viator and TheFork
Jul 9, 2025
Tripadvisor has long been a disappointing investment since its 2011 IPO, with shares still trading below their debut price. However, activist investor Starboard Value has taken a more than 9% stake in the company, signaling renewed optimism. The investment likely reflects confidence in Tripadvisor’s fast-growing marketplaces—Viator for experiences and TheFork for restaurant reservations—despite the decline of its legacy hotel meta-search business. A recent buyback and ownership simplification have also improved Tripadvisor’s strategic flexibility, increasing the potential for value-unlocking moves like asset sales or a takeover.
Key takeaways
Activist stake signals opportunity: Starboard Value took a 9%+ stake in Tripadvisor, likely betting on value creation via asset growth and strategic changes.
Buyback strengthens position: Tripadvisor’s recent ~$1B buyback of Liberty Tripadvisor shares reduced share count by 19% and ended its controlled company status, simplifying governance and improving takeover potential.
Viator is Tripadvisor’s crown jewel: 12% YoY growth, nearly matching Tripadvisor’s core revenue ($855M vs. $929M) with 400,000+ bookable experiences worldwide. Now operating profitably, with OTA-like margins and a strong competitive moat.
TheFork is emerging fast:: 16% YoY growth with improving unit economics and poised to become the European equivalent of OpenTable.
Hotel business in decline: Hotel meta-search revenue down 10% YoY. Still provides most of Tripadvisor’s EBITDA, but facing headwinds from Google (AI summaries, Maps hotel listings) and direct booking trends from OTAs.
Revenue mix is shifting: Viator and TheFork now contribute over 50% of Tripadvisor’s total revenue. These businesses offset declines in the traditional hotel segment.
Ongoing challenges:: Monetization remains a weak spot—Tripadvisor struggles to convert heavy web traffic into bookings. Increasing competition from Google, Airbnb (experiences), Booking, and Expedia. AI efforts mentioned, but tangible benefits remain to be seen.
Strategic outlook:: CEO indicates shift in focus toward growing marketplaces. Starboard may push for value realization, including potential sale of TheFork.
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