Concur is an SAP Company

Concur's New Goals: Perfection, Ubiquity

The Beat ~ a travel business newsletter

2/2/12 9:31 AM EST 

Concur is aiming during the next decade to serve "the perfect business trip" to "every business traveler," chairman and CEO Steve Singh said during the company's December-quarter earnings call on Wednesday. 

Making no mention of how Concur would ensure an on-time arrival or a quiet night at the inn, Singh said "the perfect trip" would: 

  • Be booked by voice on a mobile device, whether it includes a "flight, train, hotel, car service, dinner reservation or any activity that is part of a normal business trip" 


  • Be managed automatically by TripIt, "which would, of course, rebook your flights when canceled or delayed, upgrade your seats where possible [and] be your concierge for ancillary supplier services along the way" 
  • "Check you in to the exact hotel room of your choice as you walk off the jetway" and "allow you to use your cell phone to open your hotel room door and check you out of your room as you come down the elevator and jump into a cab booked and paid for by TaxiMagic" 
  • And feature expense reports that "file themselves automatically throughout the business trip"

During the conference call, Singh revealed a heretofore undisclosed investment in hotel shopping site Room 77--whose tagline is "Find your perfect room"--and a "significantly increased" investment in RideCharge, owner of the aforementioned TaxiMagic cab app. The amounts of these investments were not disclosed. Room 77's investors include former Expedia execs Richard Barton and Erik Blachford.

Concur enjoyed its first-ever quarter topping $100 million in revenue, as its $100.4 million came in 25 percent higher than year-earlier revenues and 5 percent above the September 2011 quarter. The company recorded a net loss of about $900,000 in the December quarter versus net income of $3.7 million a year earlier. 

Singh said the quarterly results were better than expected, and Concur raised guidance for year-over-year revenue growth back to its pre-recession level of 25 percent.

"The strength of bookings growth in 2011 allowed us to enter calendar 2012 on a $400 million [annual] revenue run rate and affords us the expectation that we will exit 2012 on a $500 million revenue rate," said Singh. He expects the demand environment to remain "robust."

Concur in two weeks will join partner American Express in a ceremony to "launch Concur Travel and Expense to nearly 1,000 prospects in Tokyo." Also, Singh largely agreed with a BMO Capital Markets report released Sunday, which predicted that both Concur and CWT will win "hunting licenses" to sell solutions to federal agencies as part of the General Services Administration's ETS2 solicitation. Acknowledging that its hunting may not produce a dime for Concur until 2014, Singh said, "We're spending today against that opportunity, and we love our chances."

Singh noted that Concur Mobile during the December quarter became the first app to allow in-policy airline bookings on Android, BlackBerry and iOS devices, and he said TripIt now has nearly 4.5 million users.

~ Jay Campbell

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