Expedia, Airbnb and Booking Holdings Look to Elevate Customer Engagement

Core Insights - Travel companies are adapting their strategies to enhance customer engagement and bookings in response to changing consumer spending behaviors due to inflation [1][3][4] Group 1: Company Strategies - Expedia is enhancing its One Key loyalty program with a co-branded credit card and expanding its global reach to boost cross-brand engagement [1] - Airbnb is focusing on unique experiences by introducing features like Guest Favorites and Airbnb Icons to increase customer engagement [1][6] - Booking Holdings is expanding its Genius loyalty program across accommodations, flights, and car rentals to drive customer engagement [1][8] Group 2: Changes in Consumer Spending - A report indicates that U.S. families are changing their spending habits, with parents reducing discretionary spending despite higher incomes [3] - Married parents with children earning over $100,000 have cut retail purchases from an average of $147 in 2022 to $114 in 2024 [3] - Parents with children have reduced travel spending by 11% year-over-year, while childless households have increased their travel expenditure, averaging $620 annually [4] Group 3: Loyalty Programs and Customer Engagement - Expedia's One Key loyalty program has attracted new travelers, with nearly 30% of those redeeming rewards on Vrbo being new users [5] - Airbnb has seen over 150 million nights booked at highly rated listings since launching Guest Favorites, indicating strong customer engagement [7] - Booking Holdings' Genius loyalty program has resulted in a higher direct booking mix, with nearly 30% of active travelers in higher tiers [8][9]