GoCompare has revealed plans to invest around £10 million in marketing its automated switching service Weflip in 2019 to “unlock the potential for exceptional growth”.
In its annual results for 2018, released today (28 February), the price comparison website also reported a 22 per cent increase in adjusted operating profit to a new “record” high of £44 million.
GoCompare launched the Weflip service in October in response to the “controversial” introduction of a price cap on default tariffs.
Speaking to Utility Week, the company’s chief executive, Matthew Crummack, said it was focusing on the Weflip service in a bid to target both passive customers and those who may not understand the intricacies of the energy market.
“It’s a service for all those millions of people out there who just don’t get it,” he explained.
“Frankly, we think this is the type of innovation which is needed to help those millions of consumers that of course the government and Ofgem are worrying about for not switching.
“We think services like this can help those people and ultimately we think if we do this well it’ll avoid the government having to do things like price caps.”
GoCompare generated revenues to £152.6 million in 2018 – a 2 per cent increase on the previous year.
In a statement published alongside the results, company chairman Peter Wood said: “The group pursued a fast-paced and ambitious strategic plan in 2018, making investments and product developments that set the group up for long-term success.
“This was complemented by a continuation of our disciplined approach to financial performance and a focus on cash generation, resulting in good growth in adjusted operating profit.
“Throughout 2019 and beyond, we will continue to focus on delivering value to our shareholders by developing new and more efficient ways to help people save time and money.”