Jeremy Liu's questions to Trivago NV (TRVG) leadership • Q3 2024
Question
Jeremy Liu, on for Stephen Ju, questioned the drivers behind the increased booking conversion across all geographies and asked about the potential for further improvement. He also sought to understand the basis for the company's confidence in returning to growth in 2025, asking if it was due to an improving backdrop or the impact of brand advertising.
Answer
Executive Johannes Thomas attributed the conversion lift to continuous product improvements from hundreds of quarterly tests and more efficient brand marketing driving higher-quality traffic. Executive Robin Harries stated that the 2025 growth outlook, targeted at high single-digits, is underpinned by two factors: continued positive momentum from branded revenue growth and more favorable year-over-year comparisons in performance marketing, as Q1 2024 was heavily impacted by Google's ad format changes.