A poor start for GoCompare’s new strategy

A poor start for GoCompare’s new strategy

GoCompare (GOCO) and Moneysupermarket (MONY) have both decided that increasingly aggressive marketing strategies are not the key to growth in the super competitive world of online price comparison. The latter has enjoyed success with its new consumer friendly site which sent revenue per active user up to £15.40 in the first six months of 2018. GoCompare’s approach has been to focus marketing on more profitable customers, and while this sent revenue per user up 8 per cent to £4.80, customer numbers fell 13 per cent to 14.9m. Daily share price movements following both sets of results show which strategy investors are more impressed with: Moneysupermarket climbed a tenth in early trading, GoCompare was down by the same amount.

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