Orbitz Worldwide, Inc. Q4 2008 Earnings Call Transcript

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2009-02-28 23:22:23.0

Tags: Goldman Sachs & Co., Orbitz, Call Transcript, Earnings, Question, Mergers & Acquisitions, Team Management, Web Technology, Corporate Law, E-business/E-Commerce, Investment, Finance, Management, Business Operations, Internet, Seeking Alpha

Question-and-Answer Session

Operator

(Operator instructions) Our first question comes from Jennifer Watson with Goldman Sachs. You may ask your question.

Jennifer Watson Goldman Sachs

Great, thank you. Barney, could you shed a little light on what you plan to do in order to make Orbitz more competitive with the hotel product and gain some market share there? Obviously it's been an initiative for the Company for several years now.

Barney Harford

Sure. I think at this stage it is still relatively early days for the in terms of coming up with clear strategic plans around the hotel sector. There is a number of things that we are definitely working on, but until I spent time with the hotel club team, down in Sydney, which a significant driver of our hotel business I don't think I'm going to be in a position to share those in a great amount of details. Some of these are broad teams that I would talk to you however, relates to focus on using analytics aggressively to automate and ensure that we are consistently providing the consumers with competitive prices.

Secondly, using technology again to ensure that we are sorting the hotels that we're offering consumers in a way that best reflects the competitiveness of rates that we have in offer and the specific personalized requirements of those individual consumers. And then thirdly, focusing our acquisition efforts on areas and hotels where the competitive intensity is lower. That’s the high level. I would soon expect to share more information with you on the future calls as that strategy gets refined.

Jennifer Watson Goldman Sachs

Thank you.

Operator

Our next question comes from Vance Edelson. You may ask your question. He's with Morgan Stanley.

Vance Edelson Morgan Stanley

On the technology side how much of what you plan to accomplish would you say is truly innovative and new versus playing catch up or replicating what your competitors might already have? How would you characterize that mix? Thanks.

Barney Harford

Interesting question. I think in general technology sector I think the first company to come up with something is not necessarily a company that is the company that most effectively monetize that or makes into success of business and there is a litany of examples that I could research, but don't have it on the tip of my tongue. So I think while many of the things that we may be doing may not be the first time that they have ever been done in the e-commerce sector, I think certainly a range of things that we can do that can move the needle significantly for this business.

 

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