The has shortlisted two unnamed digital specialists, according to sources close to the situation.
Expedia is looking to expand its online presence in an attempt to boost its visitor numbers, as hotels and airlines increasingly use their own online portals to sell their services.
The company, which was once the darling of the online industry, is also losing ground to rivals such as Travelocity and eBookers.
Its creative and media planning and buying accounts are unaffected by the review. DFGW handles the company's creative business, while PHD handles media duties.
Launched in 1998, Expedia has one of the highest media spends in the travel sector. It enables consumers to create their own holidays by purchasing each segment separately.
According to Nielsen Media Research, Expedia spent £14m on advertising last year, with the majority split between press, £4.9m, and TV, £4.7m. The company does not have a dedicated digital agency.
Last summer, Expedia unveiled a £2m marketing campaign and a new-look website.
The company also appointed Caroline Cartellieri, formerely head of strategy at Kingfisher, as vice-president and managing director.