Investor overview May 2018 Disclaimer This document is for - PowerPoint PPT Presentation

Investor overview May 2018

Disclaimer This document is for information only. It does not constitute or form part of, and should not be construed as, an offer. It is not an invitation, or solicitation, or an offer to subscribe for or purchase any securities in any jurisdiction. It is not an inducement to enter into investment activity. This document contains only selected information and should not be relied upon. It does not form the basis for any investment decision. This document does not constitute a recommendation and should not be construed as legal, tax, investment or any other advice. Past performance is not a guide to future performance. You are strongly advised to seek your own independent advice. This document includes statements that are forward looking in nature. Forward looking statements involve known and unknown risks, assumptions, uncertainties and other factors which may cause the actual results, performance or achievements of the Group to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. The Company has no obligation to (and will not) update, revise or change any forward looking statements, or other content, in this document to reflect events or developments occurring, or information coming to its attention, after the date of this document. This document should not be distributed by recipients. Circulation of this document to certain persons or in certain jurisdictions may be restricted by law. May 2018 2

1993 We started out life as mortgage 2000 13M 989 Active Users in 2017 Providers 69% NPS £330M YouGov Brand Index Revenue 2017 £2.0bn Estimated customer savings 2017

Strong record of revenue and profit growth Revenue (£M) EPS (p) Adjusted EBITDA (£M) Operating Cash Flow (£M) Adjusted Operating Profit (“AOP”) is Operating Profit adjusted for impairment of Goodwill, amortisation of acquisition -related intangibles and other non-underlying costs 4

The best place for people to switch & save  Strong and diversified positions in growing markets  Reinvent strategy providing ways to unlock new market growth  Technology investment is our foundation Great returns to shareholders  Highly cash generative  Progressive dividend policy  £94M returned to shareholders in 2017 5

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Our business model, helping our customers save money Trusted brands – Data driven aggregation – Provider relationships – Talent Customer data Efficient acquisition Data ta driven ven mark rketp tplace ace Customer Provider savings profitability Personalised quotes Personalised quotes Operational leverage Operatio ional al leverage ge Scalable platform Shareholder returns and stakeholder value Sharehol olde der r returns s and stakehol olde der value 7

The MoneySuperMarket customer journey Making it easy to switch and save c. 60+ questions for car insurance. Results page sorted by Creates a very rich data asset Customer preferences Legally binding quotes inside a minute Deep link to over 100 car insurance providers 8

Market leading diversification 2017 Revenue split by vertical Leading and trusted brands 7% 13% 54% 26% Insurance - eg Car, Home, Life & Travel Money - eg Credit Cards, Loans & Current Accounts Home Services - eg Energy Other 9

Growing markets: Online switching Insurance 8% Money +9% +9% 7% GROWTH Home Services 24% 24% Our core price comparison channels are forecast to grow at 6-7% pa over the next 3 years Sources: Based on internal data extrapolations and various external sources 10

Our operating model 2017 Revenue 100% Online marketing and partnership Paid search, Retargeting, -26% Partnerships, Cash back costs Brand spend – TV, Radio, -9% Brand Advertising Creative production Total Marketing Costs -35% Personnel including share -16% Staff costs based payments Other admin costs (incl irrecoverable IT Costs, Office Expenses, -10% Professional Fees VAT) Total Adjusted Administration Costs -26% Adjusted Total Cost Base -61% Adjusted EBITDA 39% AOP definition: Operating profit adjusted for the amortisation of acquisition-related intangible assets and other non-underlying costs (2017: £19.0M, 2016: £16.7M) 11

Strong & differentiated core business • 6-7% Core switching annual growth forecast 2018-20 Growing • Diversified with >£5m revenue in 14 categories Markets • Opportunity to unlock further market growth • Market leading 69 NPS vs comparison average 64. Engaged • 13.2m Active users Users • £14.81 Revenue / Active user • 65% Marketing margin Marketplace • Proven provider benefits Model • Efficient cash generation Average annual switching volumes across our core markets based on internal data and external sources Comparison average NPS: Twelve monthly rolling average (1 Jan 2017- 31 Dec 2017 inclusive) measured by YouGov Brand Index service Recommend Score weighted by revenue to create a Group wide NPS Comparison average includes comparethemarket.com GoCompare, Confused, Clearscore, Uswitch & money.co.uk Active User: The number of unique accounts running enquiries in our core seven channels in the prior 12 month period Revenue per Active User: The revenue for the equivalent core seven Moneysupermarket channel’s divided by the number of active users 12

The Replatforming is now complete 2014 2015 2016 2017 2018 2019 REPLATFORMING FOCUS CUSTOMER EXPERIENCE FOCUS Customer Experience Optimisation New Proposition Development Adobe Content Management System Bespoke Aggregation engine API Service layer M-Cloud Infrastructure Enterprise Data Warehouse KEY DELIVERABLES: Commercial Gains Single customer view & Analytics New Proposition delivery Aggregate at Speed and Scale APIs to power our site and partnerships Secure, stable, scalable cloud platform 13

The Re:Invent growth strategy: Reaccelerate core and new market growth Reaccelerate Core Growth New Market Growth Leadin ing Trusted ed Brands 1 2 3 Customer Leadin ing Take Pric ice Mort rtgage Personali onalised ed Experience Provid ider Compari rison on Pric ice MSM Optimisation Offer to the user Compari rison on The Re:Invent strategy will reaccelerate growth and lead user experience innovation in the sector • 14

Customer Experience Optimisation Reaccelerate Core Growth Rapid innovation of the mobile customer journey • Easier, faster, simpler experience Leadin ing • Conversion gains and marketing efficiency Trusted ed Brands Will scale across core categories through 2018 • H2 2017 trials have proven the concept Team and roadmap restructured to align for delivery Customer Leadin ing Experience Provid ider Optimisation Offer Build out of Product Engineering hub in Manchester • Attracting proven marketplace optimisation talent KPI Goals:  Active users  Revenue / Active users  Marketing margin 15

Reinvent strategy can unlock new market growth We will make price comparison New Market Growth Personalised, Proactive and Painless 1 2 3 Take Pric ice Mort rtgage Three initial areas of focus Personali onalised ed Compari rison on Pric ice MSM to the user Compari arison on 16

1. Personalised MoneySupermarket What How Why us A hassle free service Automatically populate Single view of 13m for users to save on users’ policies in MSM active users across key bills in one place mobile app multiple categories Key policies stored Add policy monitoring Enabled by Enterprise • • • and monitored for and easy switching, e.g. Data Warehouse best deals Energy Simple summaries, Add additional helpful • • helpful reminders and reminders, e.g. Car easy switching MOT and Tax Disc In development, staged releases through 2018 KPI Goals:  Revenue / Active users  Marketing margin 17

2. Take Price Comparison to the user What How Why us Make it easier to save Seek B2B Leverages core by taking personalised Partnerships with strengths, enabled deals to users new platforms by new platform Present personalised New B2B sales Trusted Brands, • • • offers in the apps they channel leading Provider offer are already visiting Enabled by Partners’ Powered by • • E.g. Banking Apps data, enhanced with aggregation engine • attracting weekly visits open data and new API service layer Early Partnerships in discussion KPI Goals:  Active users  Marketing margin 18

3. Mortgage Price Comparison What How Why us Add mortgage Help users select and Currently market switching to price apply for mortgages leader in Mortgages comparison online search traffic Help users find the New user experience 16m visitors across • • • right deal for them to find most MSM and MSE, 25% online appropriate of search traffic mortgage Current model is a Trusted site for • • simple lead Enhanced leads credit eligibility in • generation to call a earning greater cards broker share of mortgage commissions Trials in development, staged releases KPI Goals:  Revenue / Active users Visitors: Number of visitors in 2017 to mortgage content on our websites Search traffic: In 2017 includes both paid and natural search 19

Priorities for capital Organic Acquisitions Special Ordinary Growth Distribution Dividends 20

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