Expedia: The Changing Business Model
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Code : BSM0008
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Region : USA
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Introduction:By the year 2000, the travel business had emerged as one of the most successful businesses on theWeb. The online travel agents came to replace the direct suppliers for travel bookings. They accounted for 54%of travel bookings in 2002 compared to 48%in 2001. A report titled Online Travel Overview: Market Size and Forecasts 2002-2005 by PhoCusWright (a leading travel consulting firm) revealed that, despite tough economic conditions, a tense political climate and fewer travelers after the September 11th 2001 terrorist attacks, theUS online travelmarket performed surprisinglywell in 2002. |
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