TripIt Travel Planner Bought by Concur for $82 Million-Plus
Expense and travel management company Concur today announced it would buy travel planning start-up TripIt in a deal worth as much as $120 million, including $82 million in cash, stock and restricted stock units up front.
TripIt is one of an emerging group of services that help users format travel information for easy mobile consumption. That might sound simple, but it can be incredibly useful. A user emails any travel itinerary from 1,000 different airlines and other travel sites to firstname.lastname@example.org from a registered email account, and it can be saved to a mobile app and sent to a calendar. Once downloaded to a specific device, it can be accessed offline. If you’ve ever heard of Instapaper, it’s kind of like that for travel planning.
In a phone interview, TripIt CEO Gregg Brockway said that as TripIt moved into small-business services from the consumer market, and the publicly traded Concur began offering products for small- and medium-size businesses in addition to enterprise companies, the two realized they had a common opportunity around “unmanaged travel.” By some estimates, unmanaged travel–where employees book their own trips and expense them, rather than using a company travel agent and preferred providers–is half the business travel market.
TripIt, which says it has “millions” of consumer users and 15,000-20,000 corporate customers, offers many of its tools for free, with premium services like flight-tracking alerts available for $49 per year and a business-oriented offering starting at $399 per year. The company will stay intact in its San Francisco office following the acquisition, which is expected to close next quarter.
Brockway said users of the consumer TripIt product can rest assured it will continue to be free and available.
TripIt had raised $13.1 million from investors such as Azure Capital Partners and O’Reilly AlphaTech Ventures.