Travelzoo 2015 Annual Report Download - page 51

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8
• Building a travel and lifestyle brand with a large, high-quality user base. We believe that it is essential to establish
a strong brand with a large, high-quality user base within the travel, entertainment and local industries we serve. We
currently utilize online marketing and direct marketing to promote our brand to consumers. We utilize sponsorships
at industry conferences and public relations to promote our brand. We believe that high-quality content attracts a
high-quality user base.
• Offering products that keep pace with consumer preference and technology. We believe it is important to grow
engagement of our user base, by offering products that deliver high-quality deals with exceptional value and
expanding our product offering over time to address frequent travel and leisure needs, including the desire to access
our content via mobile devices and to search and book hotels via a hotel booking platform.
Advertisers
As of December 31, 2015, our advertiser base included more than 2,000 travel, entertainment and local businesses,
including airlines, hotels, cruise lines, vacations packagers, tour operators, destinations, car rental companies, travel agents,
theater and performing arts groups, restaurants, spas, and activity companies. Some of our advertisers are:
Ace the Himalaya Interstate Hotels & Resort
AirAsia Jet Luxury Resorts
Air New Zealand Key Tours International
Atlantis, Paradise Island, Bahamas Liberty Travel
Apple Vacations Lufthansa
British Airways Mandalay Bay Resort and Casino
Cathay Pacific Airways Park Hyatt Siem Reap
Cirque du Soleil Pleasant Holidays
Delta Air Lines Priceline
Expedia Princess Cruises
Fairmont Hotels and Resorts Singapore Airlines
Fareportal Starwood Hotels & Resorts Worldwide
Hawaiian Airlines TripAdvisor
Hong Kong Tourism Board United Airlines
Hotwire Vacation Express
Iceland Air Virgin America
InterContinental Hotels Group Windstar Cruises
As discussed in Note 12 to the accompanying consolidated financial statements, we did not have any advertisers that
accounted for 10% or more of our total revenues during the years ended December 31, 2015, 2014 and 2013. The agreements
with certain advertisers are in the form of multiple insertion orders and merchant agreements from groups of entities under
common control. It is possible that we may have an advertiser or advertisers that account for 10% or more of our total revenues
in future years because management believes there is a high concentration in the online travel agency industry.
In 2015, 8% of our total revenues were generated from our Asia Pacific operations, 30% of our total revenues were
generated from our European operations and 62% of our total revenues were generated from our North America operations.
See Note 12 to the accompanying consolidated financial statements.
Sales and Marketing
As of December 31, 2015, our advertising sales force and sales support staff consisted of 168 employees worldwide. We
intend to grow our advertiser base by expanding over time the size of our sales force.
We currently utilize online marketing and direct marketing to promote our brand to consumers. In addition, we utilize an
online marketing program to acquire new members for our e-mail publications. We believe that we build brand awareness by
product excellence that is promoted by word-of-mouth. We utilize sponsorships at industry conferences and public relations to
promote our brands.