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Expedia signs multi-year deal with Inter-Continental and introduces new pricing model
Expedia has signed a multi-year agreement with Inter-Continental Hotels making the company’s portfolio available to consumers on the online travel agent’s sites across the world.
The deal sees more than 3,700 hotels across all IHG brands including Holiday Inn, Holiday Inn Express and Crowne Plaza added to Expedia’s inventory as well as hotels.com, Hotwire and Expedia Corporate Travel.
The partnership also sees the introducing of Expedia’s media-based pricing model which combines transaction pricing with clicks on specific IHG properties within expedia.com and hotels.
Expedia has been talking about the development of some sort of new commercial model for some time and the IHG deal is the first manifestation of this.
Paul Brown, president, Expedia North America and Expedia Partner Services
Group said: “Expedia brings partners two sources of value in terms of transactions and exposure like a media company does. We display those hotels billions of times a year but that does not always turns into transactions on our sites.”
Brown added that the plan was to extend the media-based pricing model to other partners ‘selectively’.
He declined to say how long the IHG deal was for but that it was along the same lines as partnerships with other similar players.
He also said new deals with European airlines had also been signed but could not reveal further details.
IHG hotels have been available on hotwire.com for some time but this is the first time in more than three years that the entire portfolio has been opened up to Expedia’s customers.
Brown said: “They were the only major chain not participating. There were always issues and we spent a lot of time talking about what would need to happen and we were both flexible around arrangements to rebuild the trust between the two companies.”
IHG hotels will be available on Expedia Corporate Travel by December and on Expedia and hotels.com sites in 2008.
by Linda Fox
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