In an effort to capture a younger audience of travelers, Priceline has announced it will acquire Momondo Group for $550 million. The deal is set to close later in 2017.
Meta-search site Momondo Group’s core focus is a two-brand strategy to help attract a younger travel demographic. Studies over the years have shown that experiences rather than tangible gifts are what make people happiest.
In Priceline’s press release, the Priceline Group’s CEO, Glenn Fogel, said, “Meta-search is appealing to consumers, and we’re keen to expand our global footprint. Momondo and Cheapflights will be nice additions to our meta portfolio under KAYAK.”
Underneath the umbrella of KAYAK, Priceline will bring the Momondo Group brand in line with its goals of internationalization and revenue growth. Since its 2006 founding, the Momondo Group has raised $90 million in funding. Under the Momondo brand, Priceline will now have direct access to and control of three new websites: Cheapflights, Momondo and Momondo.pro.
KAYAK CEO Steve Hafner commented on these new additions, saying, “Momondo and Cheapflights have built great products serving loyal users across Europe. We’re looking forward to learning from them and sharing best practices as our brands expand globally.”