00:00 Speaker a
I would like to talk a little more about AI. Um, how is this transforming, you know, in a year, how is it transforming what you're doing with Expedia?
00:10 Speaker b
So I've just started by saying that AI is an incredible opportunity for us. And when we think about our company celebrating 30 years next year, we had our first wave of moving online in our browser. This is the second wave of being mobile and having that experience on a smaller device, and we really consider AI as a third wave.
00:37 Speaker b
So we have to think about how we can help our products and how to help travelers find their perfect trips easier and make the perfect trip. How can you be more predictable, how can you be more proactive, and how can you be more personalized for travelers? Make sure you trust them to find the perfect trip when they come to our brands and partners. And if something goes wrong, there will be people there that they can call to take care of it.
01:14 Speaker a
So you're not excluded humans.
01:15 Speaker b
It's not removing humans. I know, I tell the team it's an AI with a human touch. Well, you know, there are pieces about what you do with products for travelers and partners. You also see how consumer behavior changes where it is inspired, right? With Chat GPT, people are searching differently with Google and AI summary, and for us there is a lot of traffic from those locations. How do you see that the brand is appearing well there? And of course, our team has AI internally as well. And it's incredible to see how our internal teams use AI to give superpowers. Whether commercial teams coaching using AI will increase their win rates. Obviously the development team, the technical team is writing code using it, uh, the product team, the marketing team, II, who are doing a more simple prototype, can basically lower all the functionality within the organization. And it's really incredible to see the excitement and innovation that's coming out there.
02:30 Speaker a
I mentioned the AI summary. In the news industry, it's a summary of these from Chat GPT or Google AI, and you can see that there is a fundamental change in the way things are consumed. How have you changed the travel industry from your perspective?
02:44 Speaker b
Again, all you know is if you see how it's Chat GPT, Google, or even our brand can create itineraries in an even easier and seamless way. Well, you know, how you can actually plan your trip through chat alone. Still, it's not just the traffic that reaches your brand, but also a small part of the way people interact with the app. What's more interesting is the usual flow that people have to plan their trips, but how can you inject AI at key moments? For example, 70% of people look at hotel reviews before choosing a hotel. We also use AI to provide smart reviews, summaries and query. Therefore, they can more easily find out what other travelers have said about this hotel.
03:52 Speaker a
I mean your stock is up 20% a year. Well, I think part of that is what you do to pivot your company with AI. As we look to next year, what are the big AI projects investors should be excited about Expedia?
04:09 Speaker b
You know, I'm not going to answer one project. Because I think that's a little bit. There are so many possible ways to grow your business using AI. This is to grow your business and expand the margins you know, I'm really looking at the team all over the place. Incidentally, another thing about our company is that I think it's exciting to see that we have both a large consumer business and a large B2B business. And last year we were able to maintain momentum in our B2B business. As they grow in teens, they grow very rapidly, doing a lot of basic work in the consumer business, ensuring that each brand has a big value proposition. It will reach the product. We are coordinating our loyalty program. As you know, numbers are actually appearing internationally. Well, I feel good about it.
