10 May CGU plc Analysts Presentation

Transcription

1 10 May 2000 CGU plc Analysts Presentation

2 The Internet will radically transform the way people buy houses Fragmented providers - 12,000 estate agents Time consuming Frustrating Stressful Variable service offering Few established brands Significant turnover of individuals and companies Little technology support 1

3 asserta home addresses this opportunity Largest range of properties - 180,000 listings -c. 50% market share Multiple revenue sources - Transaction commissions - Further value added services - Advertising The most comprehensive online home search, information and home making service Broadest partnership with estate agents - 3,000 estate agency branches - clicks & mortar strategy Fully validated by customer research Widest and most integrated customer offer - One stop shop - High personalisation - Aggregation model 2

4 asserta home provides a range of services around a core property database Quotes from utility companies National property database Help finding house; prefiltering best negotiating deal Proactive monitoring and control of house buying process Home arranger service (not in first release) Other ancillary services Customer database Home related information Property database Magazine content; DIY deals; interior decorating Financial services supermarkets Professional services Local information Mortgages General insurance Life insurance Solicitors Surveyors Removals Property prices Amenities Maps Schools Crime statistics 3

5 A range of partnerships will provide content for asserta home s unique customer experience I I have moved Address changing Buy.co.uk Utility cost comparison E Loan Mortgage supermarket Other ancillary services Financial services supermarkets Ask Alex Professional services supermarket Home arranger service (not in first release) Customer database Property database Professional services Online conveyancing (negotiations with multiple candidates) Estate Agency partners Home related information Local information Multimap Local information Upmystreet Local information 4

6 The asserta home page leads customers into the site 5

7 asserta home will provide multiple search options 6

8 The asserta home mortgage supermarket provides an impartial mortgage intermediary service 7

9 asserta home supports customers migrating their utilities 8

10 asserta home makes change of address notification easy 9

11 asserta home provides comprehensive information on local businesses 10

12 asserta home offers a high level of personalisation 11

13 asserta home uses multiple channels and technology platforms Customers Estate agents Mobile phone (SMS available at launch) Extranet Internet Leading edge property upload infrastructure Digital TV (launch in June) 12

14 The launch is only the start - asserta home will continue to expand More More properties! properties! Channels: Channels: Digital Digital TV TV New New content content partners partners Services: Services: Online Online conveyancing conveyancing Removal Removal supermarket supermarket Value Value added added services services Financial Financial supermarkets: supermarkets: Insurance Insurance 13

15 asserta home addresses a major market Average cost of moving to a 100,000 home is 9, % = 9, million house moves per year % Agency Fees 19 Home improvement More than 300,000 properties on the market at any time, average turnover time 3 months Advertising Solicitor Estimated 9.4bn annual spend on house moving, excluding mortgage costs Land Registry 1 10 A yearly total of 120m commission fees from mortgages bought through intermediaries Searches Stamp 4 Duty 5 4 Surveyor Insurance Removals Each year 650,000 people change utilities as a result of moving home 14

16 Value rationale for asserta home Attractive opportunity Home movers often change financial services provider Home moving related financial services is a large market A customer focussed e-commerce solution can provide access to this opportunity There is space for a strong new entrant in this industry Sustainable revenue model Commissions: Mortgages General insurance Term assurance Introductions: Service providers Utility providers Advertising Direct customer relationships in personal financial services Shareholder value creation 15

17 asserta home will offer a much better service than the competition Digital TV Mobile phone Personalised user experience Quality of information (up-to date, accurate, detailed) Number of properties Advertising expenditure for 2000 Planned investment 180,000 c. 50% market share 9m 40m No competitor can match asserta home on all these criteria 16

18 asserta home: the most comprehensive online home search, information and home making service 17

19 10 May 2000 CGU plc Analysts Presentation