Trivago has informed investors it is starting to make changes to its organisational setup, including “significant” headcount reductions, after a coronavirus-driven drop of more than 95% in referral revenue in the last week of Q1.

In 2019, Trivago generated 74% of its revenue from Booking Holding and Expedia Group, but these two companies virtually turned off their advertising spend.

Trivago made a small profit of around $18.7 million in 2019, but was already struggling this year.

The company was among eight German startups that pleaded for a reduction in their first quarter advertising bills with Google.

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