After Ctrip released last year’s financial report，The world’s four largest OTA 188bet login Holdings、Expedia and Ctrip have announced their fourth quarter and full-year financial reports。

In terms of market value，As of closing on March 29，188bet login with 968.USD 2.3 billion ranks first，Airbnb follows closely behind、The market values ​​of Ctrip and Expedia are 760 respectively.US.5 billion、247.USD 100 million、145.USD 7.3 billion。In terms of revenue，The ranking of the four companies is，188bet login, Expedia，Airbnb and Ctrip，Revenue of US.1 billion respectively、116.USD 700 million、US.5 billion and US.9 billion (20 billion yuan)。From the perspective of net profit profitability，188bet login still leads the way，Airbnb second，Expedia and Ctrip again。

Ctrip Group 2022 Annual Report Source: Futu

How much revenue and profits 188bet login can bring to the company is a way to measure the company’s marketing efficiency。Can the increase in 188bet login bring more revenue and profits？Every company’s situation may be different，Different companies will have different answers。

Actually，For increasing revenue by increasing 188bet login，Even an increase in profits，A relatively negative case is the German hotel metasearch platform Trivago。

Hotel search engine Trivago

As a listed company controlled by Expedia，Trivago has not yet announced its full-year financial results，But judging from the third quarter financial report，It’s pretty bad in this regard。Financial report display，Trivago third-quarter sales and 188bet login increased 23% to 1.€2.9 billion，Accounting for 95% of the entire revenue。And yes，188bet login increased across the board in global regions，Europe grew by 7%，The Americas grew by 38%，Rest of world growth 81%。

In this case，Deduction of other costs，It’s hard to make money。When the company went public after being spun off from 188bet login，The stock price is around ，Current stock price，Plus affected by the epidemic，Falled to a level of only about ，There is still a long way to turn around in the future。

Trivago stock price in recent years

So what will be the result of comparing the 188bet login of these four global OTAs？Which company has a higher return on marketing investment？

The four giants’ 188bet login expenditure exceeds 14 billion US dollars，Booking and Expedia account for over 85%

One of the biggest costs for online travel companies is customer acquisition cost。Over the years，They utilize every 188bet login channel available，Including but not limited toSearch engine、Online video、Internet TV、Metasearch、Online display advertisingExpand brand influence，In 188bet login process，Also brings direct conversion and monetization to the business。

Judging from the released financial report data,Four companies set new records for 188bet login last year，More than billion spent on marketing in 2022，0 million more than in 2019，Acquire consumers’ attention through vigorous marketing and promotion，And attract them to pre-order the product。Among them，Airbnb and Expedia Group classify this fee as “Sales and Marketing”，Although slightly different from others，But for convenience of comparison，Here are calculated as 188bet login。

In such a huge total cost,Mostly from Expedia and Booking Holdings，The two companies’ 188bet login in the past year were US.1 billion and US billion respectively，The two together account for 86.4%。In terms of scale，This is not surprising。Their global business accounts for a large proportion，Has business in many countries and regions across the country，High revenue，The 188bet login volume is also very high。

188bet login Holdings and Expedia business territory Source: access

Financial data display，188bet login Holdings generated 1.3 billion in bookings last year，58% year-on-year increase，Revenue reaches .1 billion，56% year-on-year increase。In comparison，In the past year，Expedia Group reaches billion in bookings，31% year-on-year growth。Revenue 116.USD 700 million，36% year-on-year growth。

Compared to 2021，The 188bet login costs of the two companies have increased significantly。Expedia Group spent .1 billion on marketing last year，Booking Holdings reaches US.8 billion，This is a big increase compared to 2020 when 188bet login were reduced due to the epidemic，But there are still some gaps compared with 2019 and 2022。

2019，Expedia and Booking spend a combined billion on marketing，Exceeding 2018’s .6 billion，Set a historical record。However，The former’s 188bet login increased by 6%，from 55 in 2018.USD 6.7 billion increased to 60.USD 300 million，188bet login in 2017 are 52.USD 200 million，The 188bet login of the latter have remained almost unchanged，From 49 in 2018.0 million slightly increased to 49 in 2019.USD 700 million。

Airbnb spent .5 billion on 188bet login last year，25% increase from .2 billion in 2021，The lowest 188bet login expense among the four companies，Airbnb was founded in 2008，Although he is a rising star，But with its innovative products of non-standard accommodation，There is a tendency for latecomers to catch up。The company will be listed in December 2020，The market value once exceeded 100 188bet login US dollars，Affected by the epidemic，Significant decline in performance，Also met the landlord、Difficulties with guests, etc.，But it is also one of the tourism companies that recovered quickly after the epidemic。

Airbnb’s fourth quarter revenue last year 19.0.2 188bet login Source: Tiger Community

Essentially,Airbnb is the pioneer of non-standard accommodation，The brand influence over the past ten years has a great advantage。It is precisely based on this advantage，With the 6.6 million housing listings accumulated on the platform，And hundreds of thousands of landlords，Even if there is not such a large 188bet login expense in the world，The Airbnb brand has also been deeply rooted in the hearts of consumers，Build its great emotional connection，For example，Stay in a B&B，The first thing that international tourists may think of is Airbnb。

Which is better or worse between 188bet login and revenue，It’s about 188bet login efficiency and profitability

188bet login increase，Revenue increases，This is not surprising，But more importantly，Has the growth of 188bet login exceeded the growth rate of revenue。

Booking and Expedia spend huge sums of money on marketing every year，Although it seems ";Burning money”，There must be some rationale for this action。Maybe 188bet login have been significantly reduced，Revenue or other financial metrics drop sharply，Maybe，188bet login will not increase，Revenue or profit is stagnant。

“Booking.yeah”Advertising 188bet login Plan Source: Booking

It is precisely based on 188bet login situation，Some investors or industry insiders who are not optimistic about the online travel industry said，If OTA has been relying on continued huge 188bet login and promotion expenditures to maintain growth，The sustainability of future revenue or profit growth is in doubt。Actually，This may not necessarily apply to the entire industry，One piece，There is still a lot of room for growth in the global penetration rate of online travel，Online travel booking is still a trend，Let’s talk，Similar to the two giants，The company invests in such a large amount of 188bet login，The final result is revenue growth and profitability。

Let’s take a look at the proportion of 188bet login and revenue of these four OTAs，It’s not just about marketing efficiency，It also has an important impact on the company's overall profitability。

Booking and Expedia’s 188bet login and revenue share has increased significantly。For example，Expedia’s 188bet login revenue ratio in 2022 is 52%，A significant increase compared with 49% in the same period in 2021，Booking’s 188bet login revenue ratio last year was 35%，Same period as 2021 34.7% basically the same。

In proportion，Expedia is much higher than Booking，But we should pay attention to one aspect，As mentioned earlier, Expedia also adds sales fees to this part of the cost，On the other hand，Exepedia also has its own considerations about huge 188bet login expenditures。

On the annual earnings call，188bet login Group CEO said，The company’s 188bet login strategy is to drive growth in loyalty and direct bookings，Improve 188bet login efficiency from a long-term perspective。

He also said that 188bet login plansInvest more in loyalty programs，But in the process of investment，We are also considering acquiring retained customers、Building Loyalty、Discounts and direct 188bet login、Performance branding and other issues，We also plan to balance the above different needs and goals in this investment process。

“As marketing revenue increases，The number of direct booking users will also increase，The 188bet login invested will increase new users，Over time，The proportion of new users in the entire business will also increase。”he added。

It should be pointed out that,Booking’s 188bet login are divided into brand marketing and performance marketing。Brand 188bet login mainly related to production、Broadcast TV commercial、Facebook、Online video advertising such as YouTube、Costs associated with online display advertising，Performance 188bet login account for the majority of the company’s 188bet login，Mainly refers toOnline search engine, metasearch, travel research serviceRelated costs，These 188bet login can direct traffic to the Booking booking platform to bring orders。

188bet login uses YouTube for promotion

Booking Holdings’ performance 188bet login (investment in acquiring customers through digital advertising) in 2019 is 44.USD 100 million，44 in 2018.USD 400 million，41 in 2017.USD 600 million。Booking’s brand 188bet login in 2019 are 5.USD 4.8 billion，5 in 2018.USD 0.9 billion，4 in 2017.US.5 billion。

Airbnb’s 188bet login last year were .5 billion，Although it increased by 25%，But the ratio of 188bet login to revenue dropped from 20% to 18%，It is the lowest among the four major online travel companies。2020，Affected by the epidemic，Airbnb significantly reduces 188bet login，But as income grows，The company also began to increase investment in marketing。

Different from the two traditional global OTAs，Airbnb’s 188bet login strategy relies more on spontaneous free communication from the media，Instead of performance 188bet login。

Airbnb promotional poster Source: Airbnb

Airbnb CEO said,90% of Airbnb’s traffic is direct traffic，Direct traffic has remained around 90% since the company went public，We are very efficient in performance 188bet login。Overall，Our advantage in brand is，Airbnb is a very popular brand，Everywhere。What we really want to do now is，ContinueRaise awareness of the company’s innovative products。

2023，Airbnb said，The company’s 188bet login are roughly the same as last year，But the pace of marketing will be adjusted。For example，This year’s marketing will be invested earlier，Delivery to tourists around the world to book accommodation products during the peak summer period。In this case，Propaganda will be more efficient，Spend 188bet login in the first quarter in advance，This part of the expenditure is also more worthwhile。

Ctrip Group is the only company among the four major OTAs to reduce 188bet login，Last year’s 188bet login increased from 7 in 2021.USD 7.2 billion down to 6.USD 1.6 billion，This is a considerable adjustment compared with Ctrip’s huge expenditure of US.3 billion in 2019，The ratio of marketing to revenue has also dropped from 25% in 2021 to 21% last year。

From the final profit situation，188bet login net profit 30.USD 600 million ranks first，Airbnb ranks second with net profit of US.9 billion，Expedia’s 188bet login volume and revenue are second only to 188bet login，But the net profit is only 3.US.2 billion，Ctrip’s net profit is 2.US>409_word_end<.1 billion。

Of course, for US listed companies,Net profit is not the only criterion for measuring company performance or stock，Depreciation and amortization EBITDA、Cash flow、EPS Earnings per share、Indicators such as room night bookings may provide a more comprehensive assessment of a company’s actual operating conditions。The ratio of 188bet login to revenue is only one of the important indicators，Can reflect certain situations，But it cannot fully evaluate a company。

Essentially,Google is a competitor of online travel companies，But it is 188bet login one of the main channels for major OTA giants to acquire customers，Booking and Expedia place a large portion of their 188bet login ads on Google search engines every year。

Google also has its own travel business，In recent years，It places its own company’s travel-related search results at the top，This causes the 188bet login links generated by Google’s organic search results to be lower，The latter is to produce the same display results and conversions，Having to spend more advertising dollars to rank your search results at the top。

Google Travel Source: Google

Previous years，Expedia has previously surpassed 188bet login Holdings in terms of 188bet login volume，Several major financial indicators are now almost completely suppressed by 188bet login，For example, 188bet login volume、Income、Profit、Market value, etc.。This may have been the reason why 188bet login has a higher market value than Expedia，The size and scale of Expedia，The earning power and market value have not yet caught up with Ctrip, which also shows that this model has certain limitations，For example, air tickets account for a large proportion、The hotel business has weak earning power。

But things may not necessarily have only one side，Although some analysts believe that Expedia’s return on marketing investment has not improved，But some analysts believe that Booking should put more 188bet login into brand marketing，Instead of just giving most of the marketing budget to performance marketing，Because performance marketing can bring more performance to the company，But in the long run，More investment in brand 188bet login can bring more direct booking orders to the company。