Lastminute

Market position

One of the longest-established European online travel brands, dating from the late-1990s UK internet boom, now part of the Swiss-owned lastminute.com Group and competing with online travel search and booking platforms such as Skyscanner, KAYAK, trivago and Expedia.

Long-standing brand recognition in last-minute and discounted travel, packaged Flight + Hotel bundles combining air and accommodation in a single booking, and app-exclusive pricing; historically distinguished by its focus on distressed and limited-availability inventory.

Technology

Consumer-facing web and mobile applications supporting search, booking, account management, stored traveller profiles, online check-in and mobile-wallet boarding passes. Earlier products included a personalised deals website launched in November 2000, lastminute.com-branded Talking Phrasebooks for Nokia and Sony Ericsson devices (2007) and 'nru', a GPS-based restaurant search app for Android released in the UK in January 2009 and in the US in May 2009 with Zagat.

Go-to-market

Direct-to-consumer distribution via branded websites and iOS/Android apps, supported by deal- and price-led merchandising such as last minute offers, app-exclusive prices and limited-inventory flash sales (branded 'WIGIGs' — When It's Gone It's Gone — introduced in 2009).

Leisure travellers in Europe booking flights, hotels, city breaks, all-inclusive and last-minute holiday packages.

Geography

Historically headquartered in London, England, with early international offices opened in Paris, Munich and Stockholm; the group's app operations are run from Chiasso, Switzerland by BravoNext SA, and sister brands serve Germany (weg.de) and Spain (Rumbo.es). A separate Australian site operated from 2000 under later Expedia ownership.

History

Founded 2 September 1998 and launched that October, the company raised a further $31m before flotation and opened offices in Paris, Munich and Stockholm. It listed on the London Stock Exchange on 14 March 2000 at 380p, valuing it at GBP 571 million; shares peaked at 511p on debut (GBP 768 million) before falling sharply as the dot-com bubble deflated. It acquired French online travel agent Degriftour in August 2000 for GBP 27.1 million cash plus 19.7 million new shares. Losses widened through 2000-2001 (GBP 35.7 million for the year to September 2000; GBP 54 million reported in November 2001) before a first pre-tax profit of GBP 200,000 in 2003, the year Martha Lane Fox announced she would step down as managing director. Sabre Holdings acquired the company in 2005 at 165p per share, valuing it at GBP 577 million. Brent Hoberman remained CEO until April 2006, handing over to Ian McCaig and serving as chairman and chief strategy officer until January 2007; Ed Kamm succeeded McCaig as CEO at the end of 2010. In May 2015 the business was acquired from Sabre by Bravofly Rumbo Group, which rebranded as lastminute.com Group.

Risks & controversies

The company's dot-com era listing was followed by a steep share price decline and years of losses before its 2005 sale below the flotation price. More recently, user reviews on Google Play raise complaints about pricing changes on booking modifications, name-matching errors when linking third-party accounts, and customer support responsiveness, to which the developer has publicly responded.