When Ariane Gorin steps into the role of Expedia Group CEO in May, she will enter the position during a pivotal time for the company, which recently completed a yearslong overhaul under the watch of outgoing CEO Peter Kern.
Starting in late 2019, Expedia's brands were consolidated and its teams were streamlined. A single technology platform was built for all brands, and, in the final phase, seven loyalty programs became the singular One Key starting last July.
Kern called the overhaul "one of the most audacious and ambitious transformations I think a company of our size has ever attempted."
Wall Street, closely following how the changes affect Expedia, has already noted the critical timing of Gorin's takeover.
"The likelihood for success or failure of these initiatives in our view depends on management," UBS analyst Stephen Ju said in a note. The CEO transition comes in what he called "a pivotal year for Expedia as it switches to offense."
Gorin has already shown her chops on the business side. She moves into the top seat from her current post, president of Expedia for Business, which is coming off the most successful year in its history: B2B revenue was up 33% in 2023 compared with the year prior.
Ariane Gorin
"She definitely has all the right stuff to lead Expedia into its next phase," said Lorraine Sileo, senior analyst and founder of Phocuswright Research. "It'll be interesting to see what she brings to the table, because I'm sure she does have a unique perspective."
She pointed to several areas Expedia will likely address under Gorin: beefing up alternative accommodations provider Vrbo, which has seen some softness in recent years, and drilling down on its international expansion.
"They kind of pulled back on marketing until they built this new platform," Sileo said. "Now they're going to go full bore with Vrbo marketing and certain international markets to get back on track."
When Kern's CEO contract ends in May, he will remain as vice chair, a role he's held since 2018, working under chairman and senior executive Barry Diller.
He became CEO in April 2020, after he and Diller stepped in to lead the company following the ouster of then-CEO Mark Okerstrom in late 2019.
During Expedia's earnings call earlier this month, Kern recalled how bleak things were when he took over: "Travel was at a standstill, money was flowing out of the company faster than we could replace it, and our people, our shareholders and most of the world were unsure how and when we would ever come back."
But Kern, who called himself an "optimist," said even then he was confident travel would bounce back.
The pause in travel due to Covid, however, enabled the company to double down on its overhaul, which Kern called, "one of the most compelling and challenging opportunities of my career."
Kern expressed confidence in his successor, saying that Gorin was "a proven leader, answering any challenge thrown at her."
She will be the first woman to head Expedia Group, which sits at No. 2 on Travel Weekly's Power List with 2022 sales of $95.1 billion, and will be joined in the C-suite by Diller, Kern, CFO Julie Whalen and chief legal officer Robert Dzielak.
Gorin joins a short list of women who have helmed OTAs, including Michelle Peluso, CEO of Travelocity in the aughts; Gillian Tans, CEO of Booking.com in the mid-2010s; and Jane Sun, the current CEO of Trip.com Group, which owns Trip.com and Skyscanner.
Gorin started her career at Expedia 11 years ago as an executive in the company's hotel supply team. She then moved to its B2B side, which has partnerships with travel companies like Marriott, Hilton, United, Delta, Hertz and Celebrity Cruises.
Lorraine Sileo
It also encompasses an advertising platform, and it is behind the technology that powers travel for brands like Walmart, American Express and SoFi.
The B2B business also encompasses the Travel Agent Affiliate Program, or TAAP, which Gorin has called "a very important part of our business," considering the amount of travel booked through advisors.
Expedia credits Gorin with developing and growing the B2B arm from a $100 million business to a multibillion-dollar segment. She also played a key role in many corporate initiatives, like the 2021 sale of Egencia to American Express Global Business Travel.
"To have someone like Ariane, who knows how all the wheels turn and how everything interconnects, and to understand the whole back end of the business, that's so important as she also runs the front end," Sileo said. "She's going to do a great job."