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Online Travel Agents Increase Marketing Spend Amid Shift to Social and AI Channels – Image Credit Unsplash
- Major online travel agents (OTAs) such as Airbnb, Booking Holdings, Expedia Group, and Trip.com Group invested $5.2 billion in marketing in Q2 2025.
- There is a growing shift from traditional advertising to social media and AI-driven channels.
- Airbnb and Booking Holdings are focusing on social media for targeted marketing, while Expedia Group and Trip.com are exploring AI for enhanced customer engagement.
The online travel industry is experiencing a significant increase in marketing expenditures as major players strive to capture a larger market share. In the second quarter of 2025, leading OTAs, including Airbnb, Booking Holdings, Expedia Group, and Trip.com Group, collectively spent $5.2 billion on marketing. This marks a continued trend of increasing investment in online marketing strategies.
Airbnb’s Strategic Shift
Airbnb’s marketing spend rose to $691 million, up from $593 million in the same quarter of 2024. The company is focusing on promoting its comprehensive offerings, such as Airbnb Experiences and Services. CEO Brian Chesky emphasized the importance of marketing Airbnb as a unified platform, leveraging social media to target consumers effectively. Chesky noted a shift from traditional advertising to social media, aligning with changing consumer behaviors.
Social Media and AI Integration
Booking Holdings is also experimenting with social channels, notably through a partnership with TikTok to enable in-app hotel bookings. The company’s marketing spend increased to $2.1 billion, with a focus on diversifying marketing channels beyond traditional platforms, such as Google.
Expedia Group is exploring the potential of generative AI in enhancing search and booking processes. CEO Ariane Gorin highlighted the rapid growth of AI-driven traffic, which is converting into bookings at higher rates. The company is collaborating with AI firms to ensure effective brand representation in AI-driven environments.
Trip.com Group’s Expansion Efforts
Trip.com Group increased its marketing expenditure by 30% year-over-year to $464 million, driven by its international expansion efforts. The company has also introduced Trip.Planner, an AI-powered travel planning tool, as part of its strategy to integrate advanced technology into its offerings.
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