Tech blog

A US-owned travel website has been stung in a crackdown by the Australian competition regulator.

Expedia’s local travel website - http://www.expedia.com.au - agreed to make different its advertising practices after the Australian Competition and Consumer Commission (ACCC) raised concerns it may have been in breach of the Trade Practices Act.

The ACCC said that a Sydney boutique hotel told the regulator that Expedia misled internet audiences into believing that its accommodation could be booked through the website when no relation between the two companies existed.

Expedia agreed to a series of measures to remedy the situation including changing the wording of booking availability advertisements on its website and removing messages for sites with which it had no business relationship.

The ACCC said it would continue to closely monitor internet advertising for breaches of the TPA.

"This matter highlights the need for businesses to remain wide-awake when advertising on the internet. The ACCC will continue to keep a close eye on the online travel industry to make sure internet marketing practices comply with the Act," the ACCC said.