Gocompare owner share price soars as auto-switch customers boom

Gocompare owner Goco’s share price soared nearly 11% today as it reported a boom in customers using its auto-switch service.

Auto-switching boomed 238% in the first nine months of this year compared to the same period last year, with revenue rising £5.3m to £17.9m.

Price comparison increased 4% to £109.1m. Overall group revenues were up 13% to £130.5m.

The auto-switching is offered under the brands of weflip and Look After My Bills for energy customers. It is not currently offered for general insurance.

The results are in contrast to Moneysupermarket which endured a challenging quarter as general insurance division declined. 

Chief executive Matthew Crummack said: “It’s been a very encouraging quarter that demonstrates the resilience of our business model throughout a highly changeable environment with more customers choosing to save time and money with GoCo Group.

“Our product innovation and new TV advertising campaign resulted in Price Comparison delivering a record sales month for car insurance in September and we continue to scale AutoSave sustainably through cost effective digital channels.

“We are supportive of the FCA’s proposed remedies to improve customer outcomes in the home and motor insurance markets.

”Consumers have been using GoCompare for over a decade to help them save time and money on their insurance products and we expect this to continue. We are committed to innovating in this space to further meet consumer needs through propositions such as Look After My Bills.

“The board is confident in delivering its expectations for the full year, subject to no further material impacts from Covid-19.”