Trivago, the hotel search engine, was able to return to profitability during the third quarter of 2018 as it was able to cut down the advertising expenses of the company.
In the past, the firm has heavily invested in marketing. It said that the said move comes after a broader trend in the market.
The net income of the company was able to reach €10 million (£9 million) during the third quarter of this year. The amount is up from the net loss that amounted to €7.7 million that reported during the previous year, while the revenue was able to reach 12 percent to €254 million.
Rolf Schroemgens, the Chief executive of Trivago, disclosed that the company will not be increasing its investments in growth, instead, it will opt to concentrate on profitability. It is also set to introduce artificial intelligence to its platform.
He stated: “We have really invested a lot in tech in the last two years. We were founded in 2005 and a lot of our tech infrastructure dates back to then.”
He added: “Looking forward, people will want searches to be very different to what they have seen in the past. We need a system which is constantly learning and improving based on artificial intelligence.”