6 ways Expedia Implemented AI - for every Travel Business to learn
- Adeeb Jano
- Aug 8
- 3 min read
At Expedia Group, AI is already driving billions in value, and they’re not slowing down. Their recent Explore Local event in New York revealed just how deeply AI is woven into their platform, and how travel businesses that embrace AI can gain a serious competitive edge. Expedia aimed to embed Artificial Intelligence (AI) across the entire platform to:
Improve traveler experience
Support partners with actionable insights
Increase revenue and conversions
Drive internal productivity and automation
⚙️ Expedia has implemented AI in 6 use-cases already, which are:
1. 🔍 AI-Powered Search Filters (Hotels.com)
Use Case: Natural language search for accommodation features Example: Travelers can search for “hotel with balcony and sauna”
Impact:
Introduced intuitive, AI-driven filtering
Increased conversion by 1.3x vs. standard searches
Opportunity for others:
Implement semantic search in booking engines
Offer dynamic filters based on user preferences
2. 🤖 “Scout” – AI Recommendation Engine for Hotel Partners
Use Case: Market-driven action suggestions for hoteliers
Functionality:
Analyzes market trends and competitor activity
Recommends pricing and availability changes
Results:
1 million actions taken by hotels
Generated $6 billion in incremental partner revenue Opportunity for others:
Use AI to offer rate intelligence, demand forecasting, and competitor analysis
Automate pricing strategy based on real-time data
3. ✈️ AI Flight Price Prediction Tool
Use Case: Consumer-facing dynamic pricing insights
Functionality:
Scans 2 million+ flights daily
Alerts users to prices 20% better than prediction
Impact:
Boosted conversion by 15%
Opportunity for others:
Use AI to suggest optimal booking times or predict fare trends
Drive traveler confidence with “smart savings” alerts
4. 📅 AI Itinerary Builder
Use Case: Personalized trip planning
Functionality:
Suggests attractions, hotels, and flights in a coherent schedule
Customer Feedback:
65%+ rated it as a delightful experience
Opportunity for others:
Integrate AI trip planners to cross-sell products
Customize itineraries using historical booking data and preferences
5. 🧠 Advertising Optimization via AI
Use Case: Ad image generation and targeting
Functionality:
Uses generative AI to create and select the best visual content
Outcome:
Improves ad relevance and click-through rate
Opportunity for others:
Generate dynamic creatives based on user behavior
Use machine learning to allocate ad budget more efficiently
6. 🧩 Internal Productivity Tools with AI
Use Case: AI model selection framework & virtual assistants
Functionality:
Over 60+ Large Language Models are evaluated based on task suitability
Intelligent agents assist sales, tech, and support teams
Opportunity for others:
Adopt AI chat tools for customer support
Empower employees with AI-driven internal tools for analysis, reports, or proposals
🧵 Integration Philosophy: “Not Bolted On — Woven In”
Expedia’s core principle is to embed AI throughout the platform, rather than as a feature add-on. This enables:
Consistency across touchpoints
Unified data intelligence
Scalable innovation
💡 Lessons for Travel Businesses
Whether you're a small tour operator, a large DMC, or a regional OTA, Expedia’s playbook offers actionable inspiration:
Expedia Innovation | AI Use Case for You |
Scout for hotels | Dynamic pricing & market insights |
AI filters | Natural language search |
Flight fare analysis | Predictive pricing recommendations |
AI itinerary planner | Cross-sell with personalized journeys |
AI ads | Dynamic content generation |
Internal AI tools | Automated workflows and smart support |
🗣️ Final Thought:
“As advanced as it is, we’re still in the early days.” – Greg Schulze, Chief Commercial Officer, Expedia Group
Expedia’s AI journey is still unfolding—but the ROI is clear. The question is:
💬 What about you?
How are you currently using AI in your travel business?
What areas do you wish to automate or enhance using AI?
What’s holding you back?
Let's start a conversation!
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