With the news today that online travel service Expedia.com was placing its ad account in review. I have to say… That’s bad news… and good news. The bad is that Deutsch, which has handled Expedia since the client's inception seven years ago, helped the company grow from zero to $10 billion in sales. While Expedia people said the decision to hold a review is based at least in part on the company's recent lackluster financial performance. Meaning the company's first quarter 2006 financials released last week—showed that Expedia was down 51 percent in net income compared to the same period last year despite a 14 percent increase in gross bookings and 2 percent rise in revenue—Barry Diller, Expedia chairman, said, "While we anticipated negative growth in the first half of 2006, our performance this quarter was far below those expectations." Well hello Barry. The reason bookings are up has to be in response to the advertising!!! If your income is down… That’s because of the way you run your company. Don’t blame the agency… Oh yes, the good news… Expedia plans to conduct the search internally, without engaging an outside consulting company. At least they got that part right.
On the right is Barry Diller... On the left is Madame Expedia. I think!!!
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