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SEC Filings

20-F
TRIVAGO N.V. filed this Form 20-F on 03/06/2018
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B.
Business overview
Overview
trivago is a global hotel search platform. We are focused on reshaping the way travelers search for and compare hotels, while enabling hotel advertisers to grow their businesses by providing access to a broad audience of travelers via our websites and apps. Our platform allows travelers to make informed decisions by personalizing their hotel search and providing access to a deep supply of hotel information and prices. In the year ended December 31, 2017, we had 727.1 million Qualified Referrals and offered access to more than 1.8 million hotels and other types of accommodation in over 190 countries. See “Item 5 Operating and financial review and prospects” for a further description of qualified referrals.
We have positioned our brand as a key part of the process for travelers in finding their ideal hotel. Our fast and intuitive hotel search platform enables travelers to find their ideal hotel by matching individual traveler preferences with detailed hotel characteristics, such as price, location, availability, amenities and ratings, across a vast supply of accessible hotels globally.
We believe that the number of travelers accessing our websites and apps makes us an important and scalable marketing channel for our hotel advertisers, which include OTAs, hotel chains, independent hotels and providers of alternative accommodation. Additionally, our ability to refine user intent through our search function allows us to provide advertisers with transaction-ready referrals. We generate revenues primarily on a “cost-per-click,” or CPC, basis, whereby an advertiser is charged when a user clicks on an advertised rate for a hotel and is referred to that advertiser’s website where the user can complete the booking. The CPC bids submitted by our advertisers play an important role in determining the prominence given to offers and their placement in our search results. Our CPC bidding function enables advertisers to influence their own return on investment and the volume of referral traffic we generate for them. Recognizing that advertisers on our marketplace have varying objectives and varying levels of marketing resources and experience, we provide a range of services to enable advertisers to improve their performance on our marketplace.
Our hotel search platform can be accessed globally via 55 localized websites and apps in 33 languages. Users can search our platform on desktop and mobile devices, but benefit from a familiar user interface, resulting in a consistent user experience. In year ended December 31, 2017, our revenue share from mobile websites and apps exceeded 60%.
We have grown significantly since our incorporation in 2005. In the years ended December 31, 2015, 2016 and 2017, we generated revenue of €493.1 million, €754.2 million and €1,035.4 million respectively. During the same periods, we had net losses of €(39.4) million, €(51.4) million and €(13.0) million, respectively. In the years ended December 31, 2015, 2016 and 2017, our adjusted EBITDA was €(1.1) million, €28.2 million and €6.7 million, respectively. See "Item 5 Operating review—Results of operations—Revenue" for referral revenue by segment, representing a breakdown according to principal geographic markets. See “Item 3 A. Key information—Selected financial data” for an additional description of adjusted EBITDA and a reconciliation of adjusted EBITDA to net loss.
trivago's search platform
We believe that we are reshaping hotel discovery for our users, while changing the way hotel advertisers identify, engage with and acquire travelers. Our search platform forms the core of our user experience, and can be accessed globally via 55 localized websites and apps in 33 languages. As we provide a hotel search website, users do not book directly on our platform. When they click on an offer for a hotel room at a certain price, they are referred to our advertisers’ websites where they can complete their booking. We maintain one of the largest searchable databases of hotels in the world. As of December 31, 2017, our database included more than 1.8 million hotels and other types of accommodation, gathered through OTAs, hotel chains, independent hotels and providers of alternative accommodations.

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