TripAdvisor takes redesign hit and bets on mobile, social and China
TripAdvisor officials were adamant that it would increase investments in initiatives, including mobile and China, which currently are running at a loss.
In its first earnings call as a public company, TripAdvisor revealed that a year-long redesign of its global websites in 2011 was a major contributing factor to slowed revenue growth as certain advertising elements were removed to improve the user experience.
The user review site, with 44 million monthly unique visitors and claims of being the largest network of travel sites in the world, saw its 2011 revenue rise 31% to $637.1 million, but that was off the 2010 pace. In that year, revenue climbed 47.6%.
Making what it deems to be necessary changes and investments despite the short-term impact was a theme that ran through the company’s conference call with analysts February 8 despite the fact that Wall Street looks for growth and bottom-line results.