Expedia's biz travel unit to launch platform for Canadian firms

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BELLEVUE, Wash. -- Expedia Corporate Travel (ECT) plans to launch a Canadian platform in January and recently became the first corporate agency to get permission from Southwest to give clients a booking link to Swabiz.com.

Cheryl Rosner, the former Hotels.com executive who recently became president of Expedias Corporate Travel Group, spoke about these initiatives last week, a day after IAC/InterActiveCorp successfully spun off its travel businesses into the newly formed Expedia Inc.

Rosner downplayed the immediate impact of the spin-off on ECT but acknowledged that at the end of the day, everything is on the table.

The Canadian platform, she said, builds on ECTs international client base in the U. K. and France and is part of its drive to bring the companys corporate offering to worldwide prominence.

ECT has some 3,000 clients, including 2,000 in the U.S. As of April, 16 of the clients were Fortune 500 companies.

Rosner said the offering for clients in Canada will be a complete solution with online and offline components.

In June, ECT quietly began giving clients the ability to book Southwest when they perform searches on city pairs that the airline flies.

Clients then get a link to Southwests corporate booking site, Swabiz.com. These bookings are captured by ECTs reporting tools.

A Southwest spokeswoman acknowledged that we are very conservative about these types of relationships, adding that ECT and Booking Builder are the only third-party tools with authorized access to link to Southwest.

Corporate travel managers are looking for a one-window environment, and this gets them closer, the Southwest spokeswoman said.

The Swabiz-ECT link fits in with Southwests distribution and business model, the spokeswoman noted, because Southwest retains control of the customer while giving ECT reporting capabilities for travel managers.

Regarding other initiatives, Rosner said that in September, ECT will roll out a feature called 3D Fare Display, which gives clients the ability to view availabilities and pricing for other fare options on flights that they have already booked.

For example, they can compare pricing on refundable and nonrefundable fare classes.

Meanwhile, with the spin-off just accomplished, Rosner said she is focusing on how ECT will expand globally, increasing value to suppliers and leveraging the best of Expedia Inc. for business travelers.

Regarding Expedia Inc., its stock began trading on Nasdaq Aug. 9, as IAC/InterActiveCorp completed the spin-off of its travel businesses.  In a one-for-two reverse stock split, stockholders received one share of Expedia (trading as EXPE) and one share of IAC (trading as IACI) for every two shares of IAC stock that they owned.

With $4.1 billion in gross bookings in the second quarter and net income of $73.4 million, the 4,300-employee stand-alone company has substantial cash to grow through acquisition.

Expedia intends to continue to pursue a multibrand strategy. Those brands include Activity World, AllLuxuryHotels.com, Anyway.com, Classic Custom Vacations, Condosaver.com, eLong, Expedia Corporate Travel, Expedia.com, HotelDiscount.com, Hotels.com, Hotwire, Travelnow.com and TripAdvisor.

To contact reporter Dennis Schaal, send e-mail to [email protected].

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