Moneysupermarket confident despite 23% revenue dip
Price comparison site Moneysupermarket will be hoping the £15m marketing blitz launched in January can help reverse its fortunes after reporting a 23% fall in revenues for 2009.
The site, which earns money from commission on the sale of financial products including mortgages and credit cards, says revenue fell to £136.9m last year, down from £178.8m in 2008 as consumers cut back on spending in the recession.
Visitor numbers were flat at 120 million, the company says, while marketing spend was 22% lower than in 2008.
Marketing investment is likely to be higher in 2010 after the brand launched a MCBD-created multimedia marketing campaign in January starring comedian Omid Djalili.
The activity supports its new “a great deal easier” positioning that aims to differentiate the brand in the busy price comparison market.
The sector has become fiercely competitive following the success of Comparethemarket.com’s “Comparethemeerkat” campaign. The activity, which launched a year ago, has boosted market share, traffic and sales for the company and prompted others in the market to review their marketing campaigns.
Search giant Google has also entered the market after launching a trial service letting consumers compare credit cards
Moneysupermarket says trading has picked up since the launch of the campaign with 2010 revenue currently “slightly ahead of last year, with momentum building”.
