Auto Trader to develop insurance services online
Junction, the affinity insurance provider and part of the BGL Group, has announced a new ‘Joint Business Framework’ (JBF) partnership with Auto Trader, the UK’s no 1 motoring website and magazine.
Auto Trader originally began working with the BGL Group when it selected comparethemarket.com to provide price comparison site for AutoTrader.co.uk.
This proved so successful, generating more than 90,000 quotes per month, that Auto Trader then selected Junction to launch its own brand insurance service, Auto Trader Insurance.
The new JBF business agreement sees both Auto Trader and Junction contribute to marketing spend for the insurance brand, and share the resulting profits.
Junction will provide an Auto Trader-branded aggregator facility. In addition, Auto Trader’s own insurance product will also be available on third party aggregator sites.
Tom White, head of financial services at Trader Media Group, said, “Junction has taken our consumer offering via the site to a whole new level. We wanted to expand beyond classified advertising and capitalise on our strong brand.
"Sales have been so successful that we want to develop further into price comparison sites – both via our own site and with our brand on the well-known aggregators. What we have found invaluable is Junction’s understanding of the marketplace, its marketing expertise and its speed to launch our offer to customers.
"Its commitment to a Joint Business Framework seals Junction’s confidence in our success.”
Peter Thompson, managing director of Junction, said: “Auto Trader is a massive brand in the UK for people buying and selling their cars. There was a real opportunity to expand that brand into new areas, which is our speciality.
"We will work closely with Auto Trader to help them achieve their growth targets by providing Auto Trader customers with an easy to use service which offers both choice and value.
"We know that with the right marketing support this new approach will be a major generator of revenue, so to ensure the best possible success we invited Auto Trader to join us in a Joint Business Framework.”
