Trivago reported revenue growth for the fourth consecutive fiscal quarter and double-digit referral revenue growth for the third consecutive quarter.
The company reported 13% year-over-year revenue growth to €165.6 million in Q3, with 14% growth in the Americas, 9% in developed Europe and 12% in the rest of the world.
Trivago attributed this rise to an 11% year-over-year increase in referral revenue, which totaled €161.6 million. Branded channel traffic growth across Trivago’s core segments directly contributed to the rise in referral revenue, the company said.
Trivago also saw an 18% improvement in adjusted EBITDA, which totaled €16 million, and reported a net income of €11 million.
“We’re encouraged by the strength and durability of our momentum,” said Trivago CEO Johannes Thomas.
“The quality of this growth gives us confidence. It’s led by our strong double-digit branded channel traffic revenue growth, which continues to outperform our expectations and benefits from compounding effects. We achieved this growth despite major foreign exchange headwinds, while improving adjusted EBITDA by 18% year-over-year. Our AI-powered marketing campaign featuring brand ambassador Jürgen Klopp and our local productions made a strong impact this summer. Our product has significantly improved quarter after quarter, delivering a better user experience and stronger marketing efficiency.”
Advertising spend totaled €122 million for Q3, a €13.6 million jump from Q3 2024. With marketing, Trivago said it is taking a “disciplined approach” and focused on “long-term sustainability and profitability.”
In its earnings presentation, Trivago cited specific marketing efforts such as the launch of artificial intelligence-powered global and localized campaigns and its TV campaign, which was live in 27 countries over the summer.
CFO Wolf Schmuhl also pointed out that while Trivago is investing more in this area, the company saw a stable return on advertising spend (ROAS), stating that with branding, “elasticities are attractive, but returns come over time.” Global ROAS contribution in Q3 totaled €41.5 million compared to €36.9 during the same period last year.
AI updates
During its Q3 earnings call with analysts on Wednesday morning, Thomas addressed consumers’ shifting search behavior and use of artificial intelligence (AI)-driven tools—and how Trivago plans to defend its top-of-funnel traffic.
According to the CEO, traffic from AI platforms currently represents a “tiny share” of total traffic, and the technology is more of an inspirational source than a tool for planning and booking.
“It’s more clunky to use a chat experience to really nail down your selection,” he said. “I’m not saying nobody is doing it, but we don’t see a flood of people doing this.”
Still, Thomas conceded that AI traffic is growing and converting better than other traffic sources. He also pointed out that AI is part of Trivago’s overall strategy.
“I honestly believe we wouldn’t be where we are today without user experience and with our marketing and with our operations if we wouldn’t have AI,” he said.
“We’ve launched AI highlights, AI review summaries, AI search, which continues to improve a lot. So, I hope people will come to us, engage with our product, and I think it’s a UX game that we have a good chance to be winning and to be ahead of the curve.”
However, Thomas said Google is one of the large players leading in the travel AI space.
“We are present there. We’re part of Google Hotel Ads, we’re part of all kinds of ad formats in Google, and we are where we see attractive volumes and returns,” he said.
“I think where it matters at this point in time, we are very present, and we know how the game works.”
In the long term, Thomas said it’s hard to predict different players’ roles, but he doesn’t see travelers’ “chaotic” behavior changing in the meantime.
“I believe if we are strong in brand, if we are strong in leveraging AI, this can make our business very attractive, our proposition stronger, and that’s where we are playing.
“And I’m not hugely concerned about a flood of people suddenly switching the way and their behavior and how they search travel. It’s chaotic. People have chaos when they book their trip, they look [at] dozens of sites, and whether they now use AI at the top, we will be there when it’s relevant.”
This story was updated based on statements made during Trivago’s Q3 2025 earnings call.