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Gocompare sees 22.3% growth in revenue on back of greater marketing spend

By 8th October 2016No Comments

Esure-owned aggregator Gocompare has recorded a 22.3% growth in revenue in the first half of 2016 compared to 2015 at £72.9m(H1 2015: £59.6m).

​The fact that expenses increased too by 26.1% to £58.4m (H1 2015: £13.3m) meant that the operating profit was up 9% at 14.5m (H1 2015: £13.3m). The business contributed £13.2m to the overall Esure group trading profit (H1 2015: £10.6m).

In a statement Esure said that Gocompare – that is subject to a potential disposal – had seen an upturn due to a “reinvigorated” marketing campaign featuring Gio Compario; whilst this marketing spend contributed to the rise in expenses.

Overall Esure said that its underlying profit before tax was down 1.9% to £45.6m (H1 2015: £46.5m) due to adverse weather events in the first half of the year. Its gross written premium increased 16.3% to £320.4m (H1 2015: £275.5M) and in force policies stood at 2.076m, up 3.7% from 1.995m at this point in 2015.

EO Stuart Vann (pictured) said: “In Gocompare we have delivered excellent revenuegrowth and continue to drive the business forward through improved marketing, strengthened management team and a focus on the wider product offering.”

In June the business announced Matthew Crummack, former boss at travel website Lastminute, will take on the role of CEO at Gocompare from Jon Morrell.

Article care of insurance age, original article is here

Tim Kelly

Tim is a highly qualified Independent Engineer with over 20 years experience as an Engineering Assessor of damaged vehicles.

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