Slide 1: Investor Presentation
Investor Presentation (NASDAQ: TRIP) Q3 2012
Slide 2: Safe Harbor Statement
Safe Harbor Statement Forward-Looking Statements. Our presentation today, including the slides contained herein, contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts or guarantees of future perform
Slide 3: Our Mission
Our Mission To help travelers around the world plan and have the perfect trip Dream Plan & Book Hotels Restaurants Attractions Share Vacation Flights Rentals On the trip 3
Slide 4: Business Overview
Business Overview tripadvisor
Slide 5: We are the World's Largest Travel Website
We are the World’s Largest Travel Website Key Facts Revenues (Millions) • Headquartered in Newton, MA $700 $600 • 30 countries; 21 languages $500 $400 • 650,000 hotels and accommodations $300 • 1.2+ million restaurants & attractions $200 $100 • Valuable lead source to OTAs and hoteliers $- 2006 2007
Slide 6: Valuable Platform for Travelers and Marketers
Valuable Platform for Travelers and Marketers Consumer Business Value Value Facebook friend experiences Business listing Tips from friends Display ad / sponsorship Candid photos Cost-per-click lead generation Review summary Room tips Search filtering Badges / helpful Display ad / sponsorship votes D
Slide 7: Key 2012 Theme: TripAdvisor Everywhere
Key 2012 Theme: TripAdvisor Everywhere 7
Slide 8: Global Scale and Robust Travel Platform
Global Scale and Robust Travel Platform Significant Global Reach: 75% of Traffic from International IP Highly efficient sources of traffic • Brand • Direct navigation • Organic search • Paid search • Partners / Referrals 30 countries in 21 languages Travel-Specific Brand Portfolio 8
Slide 9: Premiere Brand: Visible Everywhere You Want to Travel
Premiere Brand: Visible Everywhere You Want to Travel 9
Slide 10: Content: Wisdom of the crowds
Content: Wisdom of the crowds 10
Slide 11: TripAdvisor Reviews & Opinions
Worldwide Content Collection Growing at Accelerated Pace (Millions) 80 75M+ 57M+ 70 reviews Average TripAdvisor Reviews & Opinions & opinions Monthly Unique Users(1) 60 50 40 60+ 36M+ Registered contributions Members(2) 30 per minute 20 26M+ MobileApp Downloads(2) 10 0 35M+ Mobile Uniques(2) Jan-03
Slide 12: Content: Syndication Effort Reinforces Brand
Content: Syndication Effort Reinforces Brand • 500+ content syndication partners • 50,000+ partner sites use TripAdvisor content • Syndication makes TripAdvisor the de-facto standard for travel review information 12
Slide 13: Social: Wisdom of Friends
Social: Wisdom of Friends tripadvisor 13
Slide 14: Integrating Social into the Fabric of Travel Research
Integrating Social into the Fabric of Travel Research • Launched Cities I’ve Visited on Facebook platform in 2007 • Instant Personalization partner since 2010 • Facebook connected users are: • 27% more engaged • Contribute 2x more content • Generate more revenue • Rolled out Friend of a friend in Ap
Slide 15: Wisdom of Friends is Now More Than Just Friends
Wisdom of Friends is Now More Than Just Friends • Friend of a friend allows Facebook connected users to see 10x the friend content 15
Slide 16: Mobile: Travel research in the palm of your hand
Mobile: Travel research in the palm of your hand 16
Slide 17: Mobile: Powerful Extension of TripAdvisor Platform
Mobile: Powerful Extension of TripAdvisor Platform • Find & contact hotels; find & reserve restaurants; find & book attractions and tours; find flights • 50+ City Guides available off network 20 languages • Write reviews & participate in travel forums available • #2 ranked travel app in 2011(1) 26M+
Slide 18: Other Key Areas of Investment
Other Key Areas of Investment Business Listings Vacation Rentals International / China • Huge opportunity within the 650,000+ • $85B vacation rental market in • World’s 2nd largest economy after accommodations in our database 2010 and growing(1) the US • Worldwide traffic growth drives • Highly frag
Slide 19: Financial Overview
Financial Overview tripadvisor 19
Slide 20: Financial Overview: Track Record of Profitable Growth
Financial Overview: Track Record of Profitable Growth Revenue(1) ($M) Adjusted EBITDA(2) ($M) $800 $350 $700 $300 $600 $250 $500 $200 $400 $150 $300 $100 $200 $100 $50 $- $- 2009 2010 2011 YTD11 YTD12 2009 2010 2011 YTD11 YTD12 YoY Adj. EBITDA growth 18% 38% 31% 32% 19% Margin 56% 54% 51% 54% 49% (1
Slide 21: Steady Revenue Diversification
Steady Revenue Diversification 2009 2010 2011 YTD 2012 Revenue by product Subscription Subscription Subscription Transaction / Other Transaction / Other Transaction / Other Display 6% 8% 10% 14% Display Display Display 15% 13% 12% Click-based Click-based Click-based Click-based 86% 79% 79% 78% $352M
Slide 22: Why Invest in TripAdvisor?
Why Invest in TripAdvisor? Largest travel website in the world 60M monthly uniques(1) Huge and growing market opportunity $43B+(2) spent on travel advertising each year; ad spend migrating online Definitive resource for travelers and critical partner for merchants Over 75M reviews and opinions on mo
Slide 23: Thank You
Thank You ©© tripadvisor’
Slide 24: Non-GAAP Reconciliations
Non-GAAP Reconciliations 2011 2012 (in thousands) FY 2008 FY 2009 FY 2010 Q1 Q2 Q3 Q4 FY 2011 Q1 Q2 Q3 9mo. 2012 Adjusted EBITDA and OIBA Reconciliation Adjusted EBITDA (1) $ 146,626 $ 197,219 $ 260,963 $ 82,007 $ 92,487 $ 93,339 $ 55,085 $ 322,918 $ 84,189 $ 96,921 $ 107,059 $ 288,169 Depreciation