|TRIVAGO N.V. filed this Form 6-K on 10/24/2018|
Revenue. We also earn subscription fees for certain services we provide to advertisers, such as Hotel Manager Pro, although such subscription fees do not represent a significant portion of our revenue.
Referral Revenue, Other Revenue, Qualified Referrals & RPQR
Referral Revenue by Segment & Other Revenue (€ millions)
Management has identified three reportable segments, which correspond to our three operating segments: the Americas, Developed Europe and Rest of World (or "RoW"). Our Americas segment is comprised of Argentina, Brazil, Canada, Chile, Columbia, Ecuador, Mexico, Peru, the United States and Uruguay. Our Developed Europe segment is comprised of Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the United Kingdom. Our Rest of World segment is comprised of all other countries, the most significant by revenue of which are Australia, Japan, India, New Zealand, Russia and Turkey. We believe the different trends in Referral Revenue across our reportable segments is primarily related to the different stages of development of our markets. We generate the most Referral Revenue in Developed Europe, our segment that includes the markets where we have operated the longest and where we have the highest level of brand awareness, but have also historically experienced relatively modest growth. Our revenue levels are relatively more resilient in newer markets, and as a result, our Referral Revenue in RoW increased slightly in the third quarter of 2018 than those observed in the other segments and increased slightly in the nine months ended September 30, 2018 as compared to the same period in 2017.
Note: Some figures may not add due to rounding.
Total Revenue decreased by €34.2 million, or by 12% during the third quarter of 2018, and by €105.8 million or by 12% during the nine months ended September 30, 2018, in each case, compared to the same period in 2017. In both periods, revenue levels were negatively impacted by a decline in Qualified Referrals, lower levels of commercialization and unfavorable movements in foreign exchange rates.
Referral Revenue in the third quarter of 2018 decreased to €80.8 million and €114.4 million, or by 25% and 5% in Americas and Developed Europe, respectively, while Referral Revenue increased slightly to €55.3 million, or by 1% in RoW, as compared to the same period in 2017. Referral Revenue in Americas was negatively impacted by declining Qualified Referrals reflecting the reductions in our advertising spend, lower levels of commercialization and unfavorable movements in foreign exchange rates. These effects were partly offset by a slight improvement in traffic quality. Referral Revenue in Developed Europe was negatively impacted by a decline in Qualified Referrals and lower levels of commercialization, partly offset by the positive effect from significant improvement in traffic quality. Referral Revenue in RoW increased slightly compared to the same period in 2017 as the positive effect from improved traffic quality was partly offset by negatively impacts from lower levels of commercialization and a slight decline in Qualified Referrals.
Referral Revenue in the nine months ended September 30, 2018 decreased to €262.1 million and €311.7 million, or by 20% and 12% in Americas and Developed Europe respectively, as compared to the same period in 2017. Referral revenue in the nine months ended September 30, 2018 increased slightly to €163.6