Q/A with Internet Brands (purchase of FlyerTalk)
Mar 9, 2007, 4:33 pm
#91
In memoriam
Join Date: Aug 2005
Location: Near Jacksonville FL
Posts: 3,987
As an investor (that's how I make a living) - I want to say "congratulations" to the seller/sellers for creating something that is worth buying 
.
As a forum member/reader/poster - and someone who has been on line since the 1980's (I was a systems operator - SysOp - on Compuserve way back then) - I would like to welcome the new owners - and remind them that a chat board is only as good as the people who chat there. Almost everything seems to be working pretty well here. So if it ain't broke - well you know the rest.
I look forward to a seamless transition. Robyn
.As a forum member/reader/poster - and someone who has been on line since the 1980's (I was a systems operator - SysOp - on Compuserve way back then) - I would like to welcome the new owners - and remind them that a chat board is only as good as the people who chat there. Almost everything seems to be working pretty well here. So if it ain't broke - well you know the rest.
I look forward to a seamless transition. Robyn
Mar 9, 2007, 4:53 pm
#92
Join Date: Sep 2002
Location: Honolulu, HI, USA
Posts: 260
BIG THANK YOU RANDY.
Although I don't post a lot, I do read and learn a lot from this web site. Typically I log in at least twice a week.
I hope you won't cry when a few years down the road IB on sold this site to Google or Yahoo for BILLIONS.
Although I don't post a lot, I do read and learn a lot from this web site. Typically I log in at least twice a week.
I hope you won't cry when a few years down the road IB on sold this site to Google or Yahoo for BILLIONS.
Mar 9, 2007, 8:01 pm
#93
Join Date: Jan 2005
Location: NYC
Programs: AA Exec PLT; Marriott PLAT
Posts: 1,120
Congrats on the sale Randy. I'm hopeful FT will continue its present course and the new owners will let a good thing remain a good thing.
Mar 9, 2007, 9:19 pm
#94
Join Date: Nov 2006
Posts: 4
Involvement with a previous IB travel web site buyout
I'm holding to my guns here. 
As I said I hope nothing changes. You all can make it sound as sweet as you want, I don't think any buy out or change of ownership comes out as clean as this is being described to folks. If it is great, but this news and how it came out immediately raised a red flag in my book.
And as I've said Randy has every right to do whatever he wants with FT and I wish him the best but we'll just see how things turn out and I will voice my dispappointment.
It's what we've gained from FT, the information and the friends that I don't want to see go away. If FT was not important to me then I would not be so disappointed with this announcement. You say it's been a month, nothing really could change in a month, we'll see a year or two down the road what's happens.
And the one poster was right, it's just like a change in your FF program or airline. You folks go through the roof when they announce changes.
As I said I hope nothing changes. You all can make it sound as sweet as you want, I don't think any buy out or change of ownership comes out as clean as this is being described to folks. If it is great, but this news and how it came out immediately raised a red flag in my book.
And as I've said Randy has every right to do whatever he wants with FT and I wish him the best but we'll just see how things turn out and I will voice my dispappointment.
It's what we've gained from FT, the information and the friends that I don't want to see go away. If FT was not important to me then I would not be so disappointed with this announcement. You say it's been a month, nothing really could change in a month, we'll see a year or two down the road what's happens.
And the one poster was right, it's just like a change in your FF program or airline. You folks go through the roof when they announce changes.
I held the #2 position with a website (in the travel industry) that IB purchased over a year ago. At every point during the buyout process, IB conducted themselves very professionally, asked a lot of questions of us about our company, the employees, the processes, etc., and did not hesitate to answer a ton of questions from us about all the normal things that you talk about in these kinds of negotiations.
Their ideas at the time of the negotiations and during the process of the sale, and now over a year later, have been very consistent. They recognized what we had done well for a number of years and wanted to continue that success with as little change as possible. They have the strength of a larger corporate structure, with resources that allow them to improve things in a number of areas, often unseen and unknown by viewers. Some changes will obviously be made as time goes on, and a few minor things have changed in the plus year time-frame; however, the changes have been very subtle and have been done (as far as I can tell, while no longer having an active part in the company) with the intent of true improvement for the viewers. Obviously, they are not going to make decisions that would significantly affect revenue or expenses in a negative way (just as we would not have intentionally done when we were at the helm).
My previous experience with several mergers and buyouts, mostly on the seller side, have not been anywhere near as positive as this one had/has been. While I know nothing about the FT situation, I can say that all I have read in the forum from FT management sounds very similar and very consistent with my/our experience. I believe that IB, as a private company, has an excellent business philosophy and seems to act in the best interests of the parties concerned, not just themselves. Like most businesses, part of their reason for existence is to make a profit for themselves. They want to continue for a long time as a viable business. But, they also recognize that there is a lot of value in the businesses they purchase and that there is not necessarily a reason to "fix" what may not be broken. They are fortunate to have resources that can improve the businesses, and their plans are to implement improvements.
One other thing: IB is a private company and has no particular requirement to announce an acquisition, now or whenever. It obviously makes good sense to do, in most cases, at some point within a reasonable amount of time after a purchase. But, in our company's case, the announcement was not made for a fair amount of time after the official day that IB took over, and was not added to IB's web site for a while. So, the fact that IB has not made an official announcement or press release should be no reason for concern, as far as I can tell. It just seems to be their way of doing things.
I hope this might help to relieve any concerns that some of you may have. From my/our experience with IB, they did everything that they said they would do, in a professional and above-the-board way, and were really easy to deal with. While I would not necessarily agree with every single item throughout the process, at the time, and since, I can say that our experience was very, very positive.
Thanks for taking the time to read my reply.
Mar 9, 2007, 9:34 pm
#95
FlyerTalk Evangelist
Join Date: Jun 2006
Location: IAD/DCA
Posts: 31,797
very interesting post, sounds like good news, although im sure some people will start accusing you of being a covert IB operative 
and good to bring up the difference between the operations of private companies and public ones. for good and for bad. personally, i dont see this as a big thing. if someone like Google tried to buy FT, id be depressed at the loss, and it would be one for the community (so Randy would never have done it, but anyway..
) but looking at their current holdings, i see no real impact on day to day operations..
and good to bring up the difference between the operations of private companies and public ones. for good and for bad. personally, i dont see this as a big thing. if someone like Google tried to buy FT, id be depressed at the loss, and it would be one for the community (so Randy would never have done it, but anyway..
) but looking at their current holdings, i see no real impact on day to day operations..
Mar 9, 2007, 9:42 pm
#96
Join Date: Nov 2004
Location: Current Micronesian, Ex Buckeye....
Programs: All My $$$ Went to CO (Plat) with a Lifetime PClub membership that got degraded to United crap...
Posts: 2,089
Thanks for the post and I shortened your post obviously but it had a lot of info in it. Sweetheart deals are rare and maybe I have too much bad feelings from my own experiences. I already said I'll make my mea culpas in a few years and I even signed up for Inside Flyer finally, even signed up for a two year membership after Randy said in the chat that the deal would remain the same for now.
But I'm still the odd guy out here and I'm OK with that. IB's gotta show it, bring it, and prove it before I'll buy it. Randy did all that for years, yes Randy will be around for a while and the man in charge which is a good thing. Beyond that who knows. You have experience with just this situation with IB and your post is helpful and welcomed and I appreciate it and I'm sure it will prove to be very valuable to others out there. I also appreicate all the PM's randy and others have sent me and the talks I've had outside FT with others.
Maybe it's a combination of my own personal business experience and my first job at Price Waterhouse in mergers and acquisitions that has me a doubter. Plus the announcement, Randy's cleared that up, he wanted to do it and it's a shame it was leaked before he did it. The chat tonight had John from IB and Randy on it. They gave their time to do the chat and will continue to do the chat for this week. That's a plus in their column. It's also a plus that Randy will still be around. But I'll save my mea culpa's for a while longer until I see how it plays out and I'm not talking in a month or two.
I'm still at a until I see it's a ^ . Ah the wonderful world of FT, you got a problem child in every thread
But I'm still the odd guy out here and I'm OK with that. IB's gotta show it, bring it, and prove it before I'll buy it. Randy did all that for years, yes Randy will be around for a while and the man in charge which is a good thing. Beyond that who knows. You have experience with just this situation with IB and your post is helpful and welcomed and I appreciate it and I'm sure it will prove to be very valuable to others out there. I also appreicate all the PM's randy and others have sent me and the talks I've had outside FT with others.
Maybe it's a combination of my own personal business experience and my first job at Price Waterhouse in mergers and acquisitions that has me a doubter. Plus the announcement, Randy's cleared that up, he wanted to do it and it's a shame it was leaked before he did it. The chat tonight had John from IB and Randy on it. They gave their time to do the chat and will continue to do the chat for this week. That's a plus in their column. It's also a plus that Randy will still be around. But I'll save my mea culpa's for a while longer until I see how it plays out and I'm not talking in a month or two.
I'm still at a
until I see it's a ^ . Ah the wonderful world of FT, you got a problem child in every thread
Mar 9, 2007, 9:48 pm
#97
FlyerTalk Evangelist
Join Date: Jun 2006
Location: IAD/DCA
Posts: 31,797
you know their other sites right?
cruisereviews.. vacationhomes.. wikitravel.. what changes do you see happening to FT? you havent actually SAID what negative changes you expect have you? i apologize if i missed it.
cruisereviews.. vacationhomes.. wikitravel.. what changes do you see happening to FT? you havent actually SAID what negative changes you expect have you? i apologize if i missed it.
Mar 9, 2007, 9:57 pm
#98
Moderator: Delta SkyMiles, Luxury Hotels, TravelBuzz! and Italy
Join Date: Oct 2001
Location: Los Angeles
Posts: 26,543
I have read a number of the posts in this forum, and felt a reply might be helpful. I have no real dog in this hunt - I have no agreement one way or the other with IB that would prevent me from saying anything nor do I have any reason to even say anything at all. I stumbled across this "news" and my interest was piqued since I had experience with IB. I also have no professional or ongoing communication with IB.
I held the #2 position with a website (in the travel industry) that IB purchased over a year ago. At every point during the buyout process, IB conducted themselves very professionally, asked a lot of questions of us about our company, the employees, the processes, etc., and did not hesitate to answer a ton of questions from us about all the normal things that you talk about in these kinds of negotiations.
Their ideas at the time of the negotiations and during the process of the sale, and now over a year later, have been very consistent. They recognized what we had done well for a number of years and wanted to continue that success with as little change as possible. They have the strength of a larger corporate structure, with resources that allow them to improve things in a number of areas, often unseen and unknown by viewers. Some changes will obviously be made as time goes on, and a few minor things have changed in the plus year time-frame; however, the changes have been very subtle and have been done (as far as I can tell, while no longer having an active part in the company) with the intent of true improvement for the viewers. Obviously, they are not going to make decisions that would significantly affect revenue or expenses in a negative way (just as we would not have intentionally done when we were at the helm).
My previous experience with several mergers and buyouts, mostly on the seller side, have not been anywhere near as positive as this one had/has been. While I know nothing about the FT situation, I can say that all I have read in the forum from FT management sounds very similar and very consistent with my/our experience. I believe that IB, as a private company, has an excellent business philosophy and seems to act in the best interests of the parties concerned, not just themselves. Like most businesses, part of their reason for existence is to make a profit for themselves. They want to continue for a long time as a viable business. But, they also recognize that there is a lot of value in the businesses they purchase and that there is not necessarily a reason to "fix" what may not be broken. They are fortunate to have resources that can improve the businesses, and their plans are to implement improvements.
One other thing: IB is a private company and has no particular requirement to announce an acquisition, now or whenever. It obviously makes good sense to do, in most cases, at some point within a reasonable amount of time after a purchase. But, in our company's case, the announcement was not made for a fair amount of time after the official day that IB took over, and was not added to IB's web site for a while. So, the fact that IB has not made an official announcement or press release should be no reason for concern, as far as I can tell. It just seems to be their way of doing things.
I hope this might help to relieve any concerns that some of you may have. From my/our experience with IB, they did everything that they said they would do, in a professional and above-the-board way, and were really easy to deal with. While I would not necessarily agree with every single item throughout the process, at the time, and since, I can say that our experience was very, very positive.
Thanks for taking the time to read my reply.
I held the #2 position with a website (in the travel industry) that IB purchased over a year ago. At every point during the buyout process, IB conducted themselves very professionally, asked a lot of questions of us about our company, the employees, the processes, etc., and did not hesitate to answer a ton of questions from us about all the normal things that you talk about in these kinds of negotiations.
Their ideas at the time of the negotiations and during the process of the sale, and now over a year later, have been very consistent. They recognized what we had done well for a number of years and wanted to continue that success with as little change as possible. They have the strength of a larger corporate structure, with resources that allow them to improve things in a number of areas, often unseen and unknown by viewers. Some changes will obviously be made as time goes on, and a few minor things have changed in the plus year time-frame; however, the changes have been very subtle and have been done (as far as I can tell, while no longer having an active part in the company) with the intent of true improvement for the viewers. Obviously, they are not going to make decisions that would significantly affect revenue or expenses in a negative way (just as we would not have intentionally done when we were at the helm).
My previous experience with several mergers and buyouts, mostly on the seller side, have not been anywhere near as positive as this one had/has been. While I know nothing about the FT situation, I can say that all I have read in the forum from FT management sounds very similar and very consistent with my/our experience. I believe that IB, as a private company, has an excellent business philosophy and seems to act in the best interests of the parties concerned, not just themselves. Like most businesses, part of their reason for existence is to make a profit for themselves. They want to continue for a long time as a viable business. But, they also recognize that there is a lot of value in the businesses they purchase and that there is not necessarily a reason to "fix" what may not be broken. They are fortunate to have resources that can improve the businesses, and their plans are to implement improvements.
One other thing: IB is a private company and has no particular requirement to announce an acquisition, now or whenever. It obviously makes good sense to do, in most cases, at some point within a reasonable amount of time after a purchase. But, in our company's case, the announcement was not made for a fair amount of time after the official day that IB took over, and was not added to IB's web site for a while. So, the fact that IB has not made an official announcement or press release should be no reason for concern, as far as I can tell. It just seems to be their way of doing things.
I hope this might help to relieve any concerns that some of you may have. From my/our experience with IB, they did everything that they said they would do, in a professional and above-the-board way, and were really easy to deal with. While I would not necessarily agree with every single item throughout the process, at the time, and since, I can say that our experience was very, very positive.
Thanks for taking the time to read my reply.
I appreciate your post and it has done much to assuage my concerns about the sale and also
renew my confidence in Randy's judgement.
This does, indeed seem to be a very good fit. The more I read about IB, the better a fit it seems.
Mar 9, 2007, 10:17 pm
#99
Join Date: Jun 2004
Location: San Jose, CA
Programs: UAL1K 2MM UGS, Hilton Gold
Posts: 1,004
Internet Brands Travel Web sites:
BBOnline.com is one of the largest directories of B&Bs in the U.S., Canada and worldwide. BBOnline delivers highly cost-effective traffic to innkeepers.
CruiseMates.com . . .
CruiseReviews.com . . .
VacationHomes.com . . .
Vamoose.com . . .
Wikitravel.org . . .
World66.com . . . .
BBOnline.com is one of the largest directories of B&Bs in the U.S., Canada and worldwide. BBOnline delivers highly cost-effective traffic to innkeepers.
CruiseMates.com . . .
CruiseReviews.com . . .
VacationHomes.com . . .
Vamoose.com . . .
Wikitravel.org . . .
World66.com . . . .
Sincere congratulations, Randy on the sale. And thanks for making FT what it is.
Lihue1k
Mar 9, 2007, 10:31 pm
#100
Join Date: Nov 2004
Location: Current Micronesian, Ex Buckeye....
Programs: All My $$$ Went to CO (Plat) with a Lifetime PClub membership that got degraded to United crap...
Posts: 2,089
FT was a place that items could be shared freely and openly with little or no commercialization of what is posted. No one was using FT for their personal gains except Randy and he lost money and only gained ulcers and stress. Now he's got his buy out so good for him. But do I want it to look like travel web sites that only post positive reviews or will direct folks to certain areas or businesses, no I don't. Some web sites will post and market the properties that advertise with them and only them. Some sites will only direct you to places that advertise with them. And I'm talking the web in general. FT you didnt' have to question or worry about things.
IB has purchased slowtrav.com a month ago. They purchased doityourself.com two months ago. They launched loans.com in Jan also. This only adds to their 16 or so existing sites and I'm sure I missed some out there. Between their RealEstate and Home Financing, the travel sites, and the car sites that can take you from research to car loans to car purchases right up the vertical chain of web sites and that has me wondering where all the acquisitions of travel sites are going to take us. They must see a profit motive or have a long range plan in all these purchases or they wouldn't do it. I wouldn't be surprised if they are purchasing real estate sites so you can surf and pruchase a property and get your loan and closing all under "one" company. Maybe they do have that now. Is that good or bad? Could be good or bad.
Gerald Greenwald is on their Board of Directors (and they do have an impressive list of board of directors I'll give them that so they are not some fly by night company). Greenwald if I'm not mistaken is part of UAL. You've got a varied mix of Board of Directors in IB all bringing different experiences in different fields together on their board. You've got some from automotive, some from investment, some from accoutning etc... It's a nice list, a professional list. But it's a list of folks that I would assume are into making money not just buying web sites for no ultimate profit motive.
I worry about where the site will be directing folks too, are we going to have links to a travel agency in the future like them opening up their own expedia type content and directing folks to where they get the best deal on and only report on the best deals. Are we going to be directed or lead to only the places that advertise on their sites or what? Do they plan to try to strong arm arilines or hotel chains or such for a better rate then others and get the bookings themselves. They must have plans and plans that will give them financial gain or they wouldn't be buying up a bunch of web sites like they have been doing plus their directorships are people that are in the business of making money. And if it means financial gains for them then I wonder what we here will actually have in the future, will it be FT as it is now or will it go to something like Yahoo Travel. OK I joke, I don't think any of their sites are like Yahoo Travel, but I hope you see where I am going.
Those are some of my concerns. And as I said I'm fine being the odd person out in all of this and I've already said maybe it's my own personal background for not trusting things during take overs or selling off operations. I'm not faulting Randy at all for selling and he knows that as I've told him that. And I'll be more then happy if I'm wrong and FT stays the same it is now for the next twenty years with only improvements to the site as it is now. So fault me for wondering what their motive is in purchasing up so many travel web sites lately.
Mar 9, 2007, 11:09 pm
#101
Join Date: Nov 2006
Posts: 4
One possible reason for multiple travel division acquisitions
One observation I might offer regarding Internet Brands' travel division purchases ... they seem to like sites that are at or near the top of their particular niche in the travel arena, sites that already have built a large amount of traffic in and of themselves, and that can contribute positively in some way to the existing sites within the niche.
It doesn't seem like that contribution is necessarily "formalized" right now, where there are a lot of "direct" links in and out of their existing sites to each other. I would imagine that there are behind-the-scenes economies of scale in multiple areas of their web sites that can be achieved by having multiple companies within the same genres (travel, real estate, cars) all housed under the same umbrella, even though they could have operations for any of the companies still located away from their corporate offices. My guess is that there is more going on that "we" cannot see, but that is directed toward helping each niche group out in total.
IB does have a pretty broad management group and board of directors (as also noted by "KosraeTV"). There is some pretty hefty experience there.
"KosraeTV" mentioned the experience in M&A with Price Waterhouse that leads to the doubt. I can certainly understand that, having been on the short end of the stick several times. That is why I mentioned previously that I was so impressed with the positives that we experienced in dealing with the IB people - the comparison between the IB experience and most of the other ones I have been involved in was like night and day. So, I offer that "hope" in my posts.
I really do hope that this one ultimately goes just as well or better. From reading many of the comments, I can tell that there is a lot of passion involved among the FlyerTalk participants, and it would be a shame for the passion and interest to wane.
My two cents.
It doesn't seem like that contribution is necessarily "formalized" right now, where there are a lot of "direct" links in and out of their existing sites to each other. I would imagine that there are behind-the-scenes economies of scale in multiple areas of their web sites that can be achieved by having multiple companies within the same genres (travel, real estate, cars) all housed under the same umbrella, even though they could have operations for any of the companies still located away from their corporate offices. My guess is that there is more going on that "we" cannot see, but that is directed toward helping each niche group out in total.
IB does have a pretty broad management group and board of directors (as also noted by "KosraeTV"). There is some pretty hefty experience there.
"KosraeTV" mentioned the experience in M&A with Price Waterhouse that leads to the doubt. I can certainly understand that, having been on the short end of the stick several times. That is why I mentioned previously that I was so impressed with the positives that we experienced in dealing with the IB people - the comparison between the IB experience and most of the other ones I have been involved in was like night and day. So, I offer that "hope" in my posts.
I really do hope that this one ultimately goes just as well or better. From reading many of the comments, I can tell that there is a lot of passion involved among the FlyerTalk participants, and it would be a shame for the passion and interest to wane.
My two cents.
Mar 10, 2007, 8:03 pm
#102
Join Date: Dec 2000
Location: MA
Programs: DL DM/2MM Marriott Platinum, HH Diamond,
Posts: 8,906
What they may see is the tremendous traffic that FlyerTalk has and by perhaps spilling some of that traffic over time to their other Web sites, that may be how this all works out for them. They've got a few good sites and my guess is that they will get much better over time. WikiTravel is an amazing resource and I think members of FT should be pleased to have such a relative as that.
And to you, a hearty congtrats for creating this site, nurturing it along, and allowing it to evolve into the valuable (and FUN!) resource that it has become.
Mar 10, 2007, 8:27 pm
#103
FlyerTalk Evangelist
Join Date: Jun 2006
Location: IAD/DCA
Posts: 31,797
im familiar with several of them, but have used vrbo and cruisecritic more in the past as opposed to their vacationhomes and cruisereviews, respectively.
hopefully crossover happens the opposite way as well, with more discussion of rentals and cruises on FT. id personally prefer 1 site for everything, although im probably in the minority there. (im definitely in the minority by way of not caring about airline status)
hopefully crossover happens the opposite way as well, with more discussion of rentals and cruises on FT. id personally prefer 1 site for everything, although im probably in the minority there. (im definitely in the minority by way of not caring about airline status)
Mar 10, 2007, 8:55 pm
#104
Moderator, Hilton Honors
Join Date: Nov 2003
Location: on a short leash
Programs: some
Posts: 71,422
Quick question. Are the transcripts of chats with yourself and John going to be made available? The one chat time I could make the airline lounge internet connection went down part way through. Even though I can't ask questions I'd still be interested in the discussion.
Mar 10, 2007, 9:16 pm
#105
Join Date: Mar 2004
Location: Tucson, AZ USA
Programs: Membership has its benefits, or so I am told.
Posts: 265
I have learned so much over the last several years...mostly by keeping my mouth shut and learning from those with more experience and better tact (well, for the most part....). I have slogged through years of posts, trying catch up on tons of information, eager to educate myself without asking too many stupid questions. I know there are lots of travel websites, but there IS no where quite like this, with the breadth and range, plus the humor, and generosity of the members. I am sure some things will change, but change is not always something to fear. I am not preparing for some mad take over disaster and certainly don't plan to jump ship!
I am happy for Randy, and hope the load he has been under withh all his other commitments, whether it is financial, time or otherwise, is lessened a little! I look forward to continuing to learn....thank you all for the ongoing education, and especially thanks to Randy for making this such a wonderful resource
ITTIA
I am happy for Randy, and hope the load he has been under withh all his other commitments, whether it is financial, time or otherwise, is lessened a little! I look forward to continuing to learn....thank you all for the ongoing education, and especially thanks to Randy for making this such a wonderful resource
ITTIA
Last edited by ITravelThereforeIam; Mar 10, 2007 at 9:20 pm Reason: repetitive...