By Joshua Gliddon itnews

Focus on reducing transactional processing costs.

Leading etailer Webjet is in the midst of a major technology transformation, having spent $2.3 million in the six months to December 31 on cloud services and the creation of mobile applications.

Speaking at a financial presentation yesterday, managing director John Guscic told analysts the company’s capital expenditures were designed to ensure its future competitiveness.

“We have entered and made the Webjet technology compatible with operating in the cloud. The key benefit for us is reducing transactional processing costs, and giving us greater flexibility in scale as our business continues to grow,” he said.

Also key to the company’s tech growth is a strategic relationship with software giant Microsoft. This relationship last year saw the company adopt a Windows Azure hybrid cloud system, implement Office 365, and create a Windows Phone 8 travel application.

“Cloud computing has enabled us to expand our travel technology solutions in line with our business growth,” said Webjet solutions delivery manager, Graham Anderson, in an interview with Technology Spectator.

The company has also doubled down on its mobility focus, said Guscic in the investor presentation.

Along with the WinPho8 app, the company has a range of apps for rival – and market leading – platforms including iOS, and it will focus on developing a tablet app during 2013.

“We’re working on a tablet based application that we think will be a globally innovative solution that you will not have seen from any of the other providers in this particular space,” he said. The new offering would have an emphasis on travel packaging, he added.

Aside from investing in Microsoft cloud services, investment was also made in a contract renewal with Macquarie Telecom. Further comment is being sought by iTnews.

“The key benefit for us [in adopting cloud services] is reducing transactional processing costs, and giving us greater flexibility in scale as our business continues to grow,” Guscic said.

Guscic added the company has rewritten the front end of the core Webjet consumer application, and would be travelling further down the cloud path over the coming months.

“The key benefit for us is speed to make changes to the website and be able to have a more scalable business over the next 5-10 years,” he said.

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