Travelzoo is discovering that change is hard as the database marketer – famous for its Top 20 deals email newsletter – moves to diversify its product offering and income stream The company’s second quarter profit has been hit by work on its new booking engine, down 28% year-on-year to US$5.2m – despite revenue increasing 5% to US$41.3m. “Sales force expansion and traffic acquisition costs” were also cited as factors.
CEO Chris Loughlin commented: “Audience engagement reached record levels and we made good progress in social media and mobile. “Our earnings were impacted by our investments into a hotel booking platform, aimed at simplifying our user experience on web and mobile. “We plan to introduce the platform later this year.”
Travelzoo is discovering that change is hard as the database marketer – famous for its Top 20 deals email newsletter – moves to diversify its product offering and income stream The company’s second quarter profit has been hit by work on its new booking engine, down 28% year-on-year to US$5.2m – despite revenue increasing 5% to US$41.3m. “Sales force expansion and traffic acquisition costs” were also cited as factors.
CEO Chris Loughlin commented: “Audience engagement reached record levels and we made good progress in social media and mobile. “Our earnings were impacted by our investments into a hotel booking platform, aimed at simplifying our user experience on web and mobile. “We plan to introduce the platform later this year.”