Tripadvisor looks to sell its five vacation rental brands

Travel giant Tripadvisor is looking to sell its five vacation rental brands after it has decided to switch focus to experiences, dining, hotels and media business. When compared to those avenues, rentals take up a fraction of Tripdavisor's total revenue. 

Tripadvisor hired bankers, was circulating a prospectus, and conducting calls with potential buyers as of a month or so ago, according to multiple sources.

If Tripadvisor can find a buyer then the deal might include Tripadvisor’s U.S. brands FlipKey and VacationHomeRentals, Holiday Lettings, and Housetrip in the UK, as well as Spain’s Niumba.

Potential buyers could include Expedia, Booking, Airbnb, Oyo, and Vacasa, as well as local players perhaps in the UK and Spain, for example. Perhaps, too, a private equity buyer might be able to come in and try to sell pieces, or right the course.

The Tripadvisor brand itself in vacation rentals would not be sold outright, but the demand could be licensed, according to one source. For example, Tripadvisor Rentals could generate the demand, but the vacation rental could be booked on FlipKey under new ownership.

A Tripadvisor spokesperson declined to comment for this story.

It make sense that Tripadvisor would want to retain a vacation rental product in some form while foregoing the operational costs. Tripadvisor still needs to offer users rental options if it is to remain true to its vision of providing end-to-end solutions to facilitate the so-called “perfect trip.”

Tripadvisor’s rental offerings are primarily obtained from individual owners — not property managers —who list their properties for free, and pay a commission. That could be attractive to some buyers because those type of rentals are laborious to sign up.

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