Starboard’s Jeff Smith Urges TripAdvisor to Sell TheFork for Strategic Refocus

Starboard’s Jeff Smith Urges TripAdvisor to Consider Selling Its Restaurant Booking Platform TheFork

TripAdvisor, one of the world’s most recognized travel and review platforms, is once again in the spotlight after Starboard Value CEO Jeff Smith suggested that the company should consider selling its restaurant booking division, TheFork, to refocus on its core travel business.

Speaking at an investor conference in New York, Jeff Smith said TripAdvisor has tremendous brand power but has not yet reached its full potential due to scattered operations and underperforming segments. “TripAdvisor is a great company, but it needs sharper focus. Selling non-core assets like TheFork could unlock significant value for shareholders,” he remarked.

Starboard Value, which acquired roughly 9% of TripAdvisor’s shares earlier this year, believes that TheFork — while popular — may be diverting attention and resources from TripAdvisor’s core operations such as travel reviews, hotel listings, and advertising partnerships.

TheFork, originally founded in Europe and later acquired by TripAdvisor, facilitates millions of restaurant reservations annually and operates across multiple countries. However, its growth and profitability have slowed amid rising competition from regional booking apps and the post-pandemic shift in dining habits.

According to analysts, selling TheFork could allow TripAdvisor to:

Streamline its business around high-margin travel and advertising services.

Reinvest proceeds into expanding TripAdvisor Plus and AI-powered travel planning tools.

Improve investor confidence and overall stock performance.

Market Implications

If TripAdvisor decides to sell TheFork, it could mark a significant strategic shift for the company. The move might attract interest from private equity firms or large hospitality groups aiming to strengthen their digital booking ecosystems. Analysts predict that a potential deal could value TheFork between $700 million and $1 billion, depending on market conditions.

Still, some challenges remain. Finding the right buyer, maintaining consumer trust, and preserving partnerships with thousands of restaurants will be critical for a smooth transition. Moreover, regulatory considerations across European markets could slow down the process.

Industry Context

TripAdvisor’s overall valuation has been under pressure in recent years, even as global travel rebounds. Investors have been urging management to make bolder moves to boost profitability and adapt to an evolving travel-tech environment increasingly dominated by Google Travel, Expedia, and Airbnb.

Starboard’s involvement is expected to accelerate these discussions. The firm is known for pushing companies toward restructuring, improving governance, and enhancing shareholder value.

Conclusion

Jeff Smith’s call for TripAdvisor to divest TheFork could become a turning point in the company’s journey. The sale could help streamline operations, strengthen its focus on travel, and unlock billions in long-term value. Over the coming months, all eyes will be on TripAdvisor’s boardroom to see whether this activist-driven strategy reshapes the company’s future or sparks a new wave of industry consolidation.