1. Partner Marketing Monthly
Review
Expedia Worldwide
Partner Marketing
March 2012
Confidential

2. Agenda
1. Direct Affiliates- AARP
2. Meta-search
3. Network Affiliates
4. Online Advertising (OLA)
5. Loyalty- TD Canada Trust
6. Appendix
1

3. Network Affiliate Finance Overview
Annual Transactions (E) (in 000) Annual Marketing Contribution (E) (in USD 000)
753
747
-1% vs.
Plan
$15.9
+5%
714 vs. LY
+4% +10% vs.
$15.3 vs. LY Plan
$14.3
2011 2012 (E) Plan 2011 2012 (E) Plan
March 2012 Snapshot Commentary
2012 Y/Y vs. Plan • Total 2012 Marketing Contribution is trending +10% vs. Plan, + 15.9M
• Key performance drivers of February March
Shoppers 598,943 -32%
• Trx softness driven by active click implementations with
CVR% 10% 29% ShopAtHome and We-Care applications + TM bidding isssues
Trx 57,391 -12% -18% with Wantacode
GBV $ 36,180,041 -4% 0% • High ABV carried business performance, hitting plan on GBV &
GP $ 2,422,616 2% 0% GP despite softness in transactions
Spend $ 707,603 17% -26% • Lower than forecasted spend further assisted MC, exceeding
plan by =16%
MC $ 1,715,013 -4% 16% Tailwinds
Efficiency 29% 15% -26% • Q2 placements from reinvested profit
GBV/Trx $ 630.42 10% 21% • Headwinds:
GP/Trx $ 42.21 16% 21% • Toolbar publishers
• Tough Q2 comps from 2011 toolbar activity
2

4. Network Affiliate: March Performance Drivers
Headwinds Tailwinds
•Unfavorable March-June 2011 comp due to •Air and Package ABV$ and $GP/Trx continues to
noncompliant toolbar activity starting in March 2011 grow.
through Q2.
•Product mix shifted 3% away from air.
•Toolbar suppression for ShopAtHome and We-Care
drove 23K decline to weekly shopper run rate. • Lower than projected spend due to strong
renegotiation of placements
•Changes to TM bidding copy by Wantacode drove
1,600 decline to weekly shopper run rate. •Strong Q2 placement pipeline.
3

5. Key Win: Q2 Placements - +10,037 trx, +$56.7K MC
Cartera Ebates Savings.com DBG Loyalty ShopDiscover
Q2 Impact: Q2 Impact: Q2 Impact: Q2 Impact: Q2 Impact:
+7,590 trx, +$15K MC +721 trx, +$9K MC +747 trx, +$14K MC +271 trx, +$5.7K MC +708 trx, +$13K MC
June Merchant
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Spotlight
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Add-it Up + WorldPoints Mall Category
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Featured Merchant
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Homepage +
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Travel
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Wedding
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Week +
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120x90 Placement on Chase, Citi, Best Buy, Lucky, Wells Fargo, GM Card, Cabela’s, Navy Federal & USAA
r te
Ca
Apr May June July August September October November December
Q2 Q3 Q4
4

6. Spotlight: 2012 Toolbar Publishers – Standard Integration
Shopper downloads We-
Care app
Shopper searches
“Expedia”
Shopper clicks on natural search
link
*We-Care cookie drops*
We-Care thanks shopper for
supporting “cause” by shopping
at Expedia
5

7. Spotlight: 2012 Toolbar Publishers – Revised Integration
Shopper downloads We-
Care app
Shopper searches
“Expedia”
Shopper clicks on natural
search link
*We-Care drops cookie only
after shopper clicks “Activate”
6

8. Network Affiliate: 2011 Comps
Expedia US
Wantacode TM
Launch of Coupon Bidding Copy
150 Buddy /
10% 16 20%
Change
5%
Shoppers (in thousands)
SHopDiscover
140 15 15%
0%
Trx (in thousands)
130 14 10%
-5%
Active click 120
5%
-10% 13
implementation – 0%
ShopAtHome 110 & -15%
12 -5%
WeCare -20%
100 -25% 11 -10%
90 -30% 10 -15%
2 4 6 8 10 12 14 16 18 20 2 4 6 8 10 12 14 16 18 20
Week
Week
2011 2012 YoY 2011 2012 YoY
Expedia CA
2. 30%
20 20% 20%
Shoppers (in thousands)
Trx (in thousands)
1.5
15 0% 10%
-20% 1. 0%
10
-40% -10%
5 0.5
-60% -20%
0 -80% 0. -30%
2 4 6 8 10 12 14 16 18 20 2 4 6 8 10 12 14 16 18 20
Week Week
2011 2012 YoY 2011 2012
7

9. DPS 30 Day Work Plan
Initiative Description Deliverables: Next 30 Days Rate of Blockers/ Escalation Deadline
Progress
Optimize marketing 1. Audit current commission terms 1. Managing the 4/1/2012
contribution and revenue (complete) messaging around
Performance with lower commission on more conservative
2. Propose new standard commission terms
Optimization air, simplified commission (complete) air terms network
terms, and bonus plan for 3. Roll out quarterly bonus plans to 5 high wide
high potential affiliates. potential partners (in progress)
4. Roll out new terms network wide
(4/1/2012)
Expand Launch additional co-brand 1. Identify next 10 partners (complete 1. Creative receipts 4/30/2012
Co-Brand implementations with 2. Kick off project with PM Operations from affiliates
Implementations Network Affiliate partners (complete)
– drive CVR improvement 3. Gather creative assets from partners (2 of
10 received)
4. Set cobrands live (2 of 10 live)
Launch Hawaii coupon 3/27 1. Secure premium placements (complete) 3/31/2012
with vanity codes for 2. Receive vanity codes (3/26)
Upromise, WantaCode, and 3. Send out coupon code to publishers
Hawaii Coupon Savings.com (3/27)
•Goodshop pre-travel portal 1. Send over widget HTML code to 1. Dev resources on 4/30/2012
test with Search Form widget Goodshop (this week) publisher site
Custom and/or Deals Widget 2. Audit Goodshop widget performance
(4/15)
Integrations
•Optimize Deals API on 3. Set up developer call with Upromise
Upromise for destiantions (4/30)
8
8

10. Spotlight: Q1-Q2 Cobrand Roll-Out
•March 22nd – Cobrand headers
for CouponMountain.com &
Upromise.com go live.
•The remaining 8 affiliate
partners participating in Q2
phase of the cobrand launch are
scheduled to go live by end of
April, pending creative receipt
and release schedules.
9

11. DPS 31-60 Day Work Plan
Initiative Description Deliverables: Next 30 Days Rate of Blockers/ Escalation Deadline
Progress
Launch AvantLink to 1. Kick off batch file project with EDW 1. Legal Q2
Launch New accelerate growth in (complete) 2. Batch file project
underrepresented 2. Execute agreement with AvantLink de-prioritized
Affiliate
affiliate partner (3/31)
Network segments (e.g. content)
Rebuild network batch 1. Kick-off meeting with EDW (complete) 1. De-prioritized in Q2
file to address CJ 2. Roll out new affiliate tracking (3/15) EDW
Batch File tracking issues, enable 2. Not yet secured the
Re-build new network necessary
launch, and open resources
mobile to affiliates
Improve content 1. Troubleshoot Upromise Deals API 1. Technical aptitude 5/15/2012
distribution to affiliates integration (3/15) of affiliates
Content • Event- categorized 2. Send out Spring Break newsletter
Distribution newsletters (3/15)
• API integration
.
Leverage creative agency to
refresh 1. Add affiliate requirements to RFP 1. Budget 5/30/2012
LOB, evergreen, holiday (complete) 2. Prioritization
creative for affiliate 2. Sign creative agency
Creative Refresh channel
3. Refresh creative
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