Marketing Mix of Expedia.com and 7Ps (Updated 2024)

The Marketing mix of Expedia.com analyses the 7Ps of Expedia.com, which includes the Product, Price, Place, Promotion, People, Physical Evidence, and Process of Expedia.com. Expedia.com is a subsidiary of its parent company, Expedia, Inc. It is associated with the travel industry through the online travel sector. It is a booking engine via the Internet. Portal was launched in July 2001, and it is available in English. Expedia.com is committed to providing a hassle-free traveling experience to its customers with the help of the best product options and quality services. Some of its rival companies are as follows-

• Yatra
• MakeMyTrip
• The Priceline Group
• HotelQuickly
• Bookit.com

About Expedia.com

• Type: Online travel agency
• Industry: Travel and tourism
• Founded: October 22, 1996
• Founder: Rich Barton
• Headquarters: Seattle, Washington, United States
• Area served: Worldwide
• Key people: Peter M. Kern, CEO, and Barry Diller, Chairman
• Number of employees: 16,500

Expedia.com Product Strategy

Expedia.com, an Expedia group, has become a prominent website for online travel agencies for booking airline tickets, cruises, hotel rooms, reservations, car rentals, and vacation packages.

The product mix of Expedia.com in 2024 is as follows (Source).

1. Flight Reservations: Expedia allows users to search for and book flights to domestic and international destinations. Users can filter by airline, departure time, layovers, and more.
2. Hotel Reservations: Users can search for and book accommodations, including hotels, motels, resorts, and vacation rentals, with options for various budgets and preferences.
3. Vacation Packages: Expedia offers packages that combine flights and hotel stays, often at discounted rates. These packages cater to travelers looking for convenience and savings.
4. Car Rentals: Users can rent cars through Expedia, providing transportation options for travelers to explore their destinations independently.
5. Cruise Reservations: Expedia offers cruise packages, allowing users to search for and book cruises to various destinations worldwide.
6. Activities and Excursions: Expedia provides information and allows users to book various activities, tours, and excursions at their destinations, enhancing the overall travel experience.
7. Travel Insurance: Users can purchase travel insurance through Expedia to protect their trips against unexpected cancellations, delays, or medical emergencies.
8. Airport Transfers: Expedia may offer airport transfer services, allowing travelers to book transportation to and from airports for added convenience.
9. Rental Accommodations: Expedia also includes vacation rental properties, such as apartments, condos, and houses, for travelers seeking unique lodging options.
10. Package Discounts: Expedia often features deals, promotions, and bundled offers, allowing travelers to save money when booking flights, hotels, and other travel components.
11. Loyalty Programs: Expedia offers its loyalty program, Expedia Rewards, where users can earn points for bookings, which can be redeemed for discounts on future travel.
12. Travel Information and Guides: The website provides travel guides, tips, and destination information to help users plan their trips effectively.

Expedia.com Place Strategy

Expedia.com has a global market presence that has surpassed its expectations. The company has found a reach and target market through localized sites in the United States, China, Canada, Brazil, Belgium, Hong Kong, Germany, France, Malaysia, Austria, Australia, Argentina, Vietnam, United Kingdom, Thailand, Sweden, Singapore, Norway, Mexico, Japan, Italy, etc.

It has targeted every section of society as potential customers and laid down traveling plans that include numerous cities worldwide. Expedia.com has used the help of multiple systems to provide several services in its global distribution policy. Sabre and Amadeus reservation systems make consumers book hotels and flights. For bulk bookings and contracted reservations service, it uses Pegasus and Worldspan.

Here are five key components of Expedia.com’s place strategy:

1. Global Online Presence: Expedia.com operates as an online platform, making its services accessible to users worldwide. Travelers can access the website or mobile app virtually anywhere with an internet connection, providing a seamless booking experience.
2. Mobile Accessibility: Recognizing the growing importance of mobile devices, Expedia.com offers a user-friendly mobile app that allows travelers to search, book, and manage their travel plans on smartphones and tablets, enhancing accessibility.
3. Global Partnership Network: Expedia.com collaborates with a vast network of airlines, hotels, car rental companies, and tour operators, expanding its reach and ensuring that users can access a wide range of travel options in various destinations.
4. Localized Websites: Expedia.com tailors its online presence to cater to different regions and languages, providing localized versions of its website to accommodate users’ needs in specific markets. This approach enhances user experience and accessibility.
5. Customer Support: Expedia.com offers customer support services through various channels, including phone, email, and live chat, to assist users with bookings and address any concerns. These support services contribute to accessibility and user satisfaction.

Expedia.com Pricing Strategy

Expedia.com attracts several demographic groups belonging to both reasonable and luxury price segments. The company has done in-depth research and realized that the middle-class section is the most frequent traveler. Hence, it has adopted a distribution strategy with several pricing policies according to its target group. It provides a reasonable pricing policy for the middle-class section with competitive prices and many options.

It has adopted a premium pricing policy for its upper-class travelers that provides the best possible services and products money can buy. In June 2016, Expedia.com was rated 1st position for online traveling agency worldwide. It has been accountable for 25% of total gross bookings in the online travel industry alone, with estimated revenues at 78.5 million dollars. It was possible because of agency commissions, transactions, licensing, and advertisement revenue.

Expedia.com employs a dynamic and customer-centric pricing, sales, and marketing strategy characterized by the following fundamental business principles:

1. Competitive Pricing: Expedia.com monitors the prices of flights, hotels, and other travel products in real-time, ensuring its offerings remain competitive. This approach aligns with its commitment to offering travelers the best possible deals.
2. Dynamic Pricing: Expedia.com leverages sophisticated algorithms and data analytics to implement dynamic pricing. Prices can fluctuate based on various factors, including demand, seasonality, and availability, allowing travelers to access optimal rates while accommodating their travel preferences.
3. Bundling and Package Deals: Expedia.com often promotes bundled travel packages, combining flights, hotels, and other amenities to offer travelers cost savings compared to booking each component separately. This encourages users to maximize value and convenience through package bookings.
4. Loyalty Programs and Rewards: Expedia.com incentivizes customer loyalty through its rewards program, Expedia Rewards. Users earn booking points, which can be redeemed for discounts on future travel, fostering repeat business and brand loyalty.
5. Transparent Pricing: Expedia.com prioritizes transparency in pricing, providing users with a clear breakdown of costs, including taxes and fees, during the booking process. This transparency builds trust and ensures customers have a comprehensive view of their expenses.

Expedia.com Promotion Strategy

Expedia.com is an online brand used for products related to traveling and its arrangements. It has a vivid marketing policy to advertise its brand and product placement, among other travel services companies, to gain maximum coverage and visibility in the travel industry. Its website is regularly updated to provide the latest information to customers about prices, options, and deals. It offers secret deals and discount vouchers to attract customers. The company also does not levy extra fees for cancellation of hotel reservations. It has a defining tagline titled Where you book matters.

Another of Expedia’s famous brand slogans is Your trip, your way. As part of its promotional activities, the online travel company created the Expedia+ card after a partnership between Citigroup and Expedia Inc.  Members can now earn incentives offering discounts, benefits, and bonus points through its activities on the website. Expedia.com has partnered with the National Football League and become its Official Travel Sponsor.

Expedia.com’s promotion, advertising, brand name, marketing mix, and sales strategy center on:

1. Online Advertising: To reach a broad audience, use digital marketing channels such as search engine advertising, display ads, and social media promotions.
2. Email Marketing: Sending targeted email campaigns to subscribers with personalized travel offers, discounts, and exclusive deals.
3. Seasonal Promotions: Running seasonal and holiday-themed promotions to incentivize travel bookings, capitalizing on peak travel periods and consumer demand.

Some Recent Video ads and Print ads of Expedia.com are:

Expedia.com People Strategy

Here are the key points about the “People” marketing aspect of Expedia.com and the sales and service marketing mix.

1. Global Workforce: Expedia operates with a diverse workforce spread over 60 countries, employing over 150,000 people. This diversity is crucial for its global operations and innovation.
2. Innovation and Exploration: The company’s name, derived from the concepts of exploration and speed, reflects its commitment to facilitating travel through innovative solutions. This ethos is deeply ingrained in the company culture and is exemplified by its employees.
3. High-profile Leadership: The appointment of high-profile figures, such as Chelsea Clinton, to the board underscores Expedia’s industry leadership and commitment to excellence and governance.
4. SEO and User Experience: Expedia’s emphasis on SEO and creating a user-friendly website experience demonstrates its focus on being easily accessible and informative for customers, a strategy driven by its people’s expertise.
5. Employee Passion in Marketing: Marketing campaigns highlighting the passion of Expedia’s employees for travel and their role in delivering exceptional travel experiences personalize the brand and reinforce customer trust.
6. Dedication to Customer Experience: The company’s marketing efforts, including featuring actual staff in campaigns, aim to reassure customers of the dedication and expertise within the team to provide the best holiday experiences.
7. Innovative Travel Advertising: Expedia seeks to lead the industry in services and how it markets those services, focusing on innovation and customer-centric advertising that moves beyond traditional approaches.

Expedia.com Process Strategy

The “Process” aspect of the service marketing mix for Expedia.com involves the various marketing strategies, procedures, mechanisms, and flow of activities by which the company delivers its services to customers. Here are the key points regarding Expedia’s process marketing mix.

1. Integrated Online Platform: Expedia offers a comprehensive online platform that allows users to seamlessly search, compare, and book a wide range of travel services, including flights, hotels, car rentals, and vacation packages.
2. Customer Journey Optimization: The company focuses on optimizing the customer journey from initial search to final booking, ensuring a smooth and user-friendly experience through its website and mobile app interfaces.
3. Personalized Recommendations: Utilizing advanced algorithms, Expedia provides customized travel recommendations based on user preferences, search history, and booking behavior to enhance customer satisfaction and engagement.
4. Secure Payment Process: Expedia ensures a secure and reliable payment process, offering various payment options and safeguarding personal and financial information with advanced security measures.
5. Customer Support and Service: The process includes 24/7 customer support through various channels, including phone, email, and live chat, to assist with bookings, inquiries, and any travel issues that may arise.
6. Feedback and Review System: Expedia incorporates a feedback and review system allowing customers to rate their travel experiences and accommodations, informing future customers and improving service offerings.
7. Efficient Handling of Changes and Cancellations: The company provides a transparent and efficient process for making changes to or canceling bookings, including flexible options and support for dealing with unforeseen travel changes.
8. Integration with Partners: Expedia’s process involves close integration with various service providers, including airlines, hotels, and car rental companies, ensuring a wide range of options and competitive customer prices.
9. Innovative Features and Services: Expedia continuously innovates its process by introducing new features and services, such as virtual tours, travel alerts, and mobile-exclusive deals, to improve the travel planning and booking experience.
10. Sustainability Initiatives: Expedia’s process involves promoting sustainable travel options and partnerships with organizations focused on responsible tourism, reflecting a commitment to environmental stewardship and social responsibility.

Expedia.com Physical Evidence Strategy

The “Physical Evidence” in the service marketing mix of Expedia.com refers to the tangible or virtual elements that customers interact with, which help to make the service more tangible and reassure users of the quality and reliability of Expedia’s offerings. Here are the critical points regarding Expedia’s physical evidence marketing mix.

1. Website and Mobile App: Expedia’s website and mobile app serve as customers’ primary interaction points. They are designed with user-friendly interfaces, showcasing a professional and secure environment for booking travel services.
2. Booking Confirmations and Itineraries: After making a reservation, customers receive detailed booking confirmations and itineraries via email, which serve as proof of the transaction and provide all necessary travel information.
3. Customer Reviews and Ratings: The platform features customer reviews and ratings for hotels, flights, and other travel services, providing prospective customers with tangible insights into the quality of services offered.
4. Expedia Branding: The consistent use of Expedia’s logo, color scheme, and branding across its website, app, advertisements, and communications contributes to the company’s physical evidence, enhancing brand recognition and trust.
5. Travel Guides and Content: Expedia offers extensive travel guides, articles, and content on its platforms, providing valuable information and insights to travelers, which also serves as evidence of their expertise and commitment to enhancing customer experiences.
6. Customer Service Channels: Physical evidence includes the availability of multiple customer service channels (phone, email, chat) through which customers can seek assistance, enhancing the perceived reliability and supportiveness of the service.
7. Social Media Presence: Expedia’s active presence on social media platforms, sharing travel tips, deals, and engaging content, is physical evidence of its brand’s activity and customer engagement.
8. Partnership and Affiliation Logos: Displaying logos of partner airlines, hotels, and car rental services on the website and app provides evidence of Expedia’s vast network and the quality of its partnerships.
9. Secure Payment Badges: The display of secure payment badges and certifications on the booking platform reassures users of the security and reliability of their transactions.
10. Virtual Tours and Images: High-quality images and virtual tours of hotels and destinations offer a tangible sense of what customers can expect from their travel experiences, enhancing the tangibility of Expedia’s offerings.

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