Chairman David Kirk said Trade Me's result provided a 'new record' with impressive revenue and profit growth.
Our classified businesses continue to grow and we see strong upside in our General Items marketplace.Our classified businesses continue to grow and we see strong upside in our General Items marketplace.
Another excellent year for classifieds trio
Our three classified businesses across real estate, employment and motoring continue to enjoy great success with double-digit revenue increases. Overall revenue across the three businesses was up 12.3 per cent year-on-year to $141m.Trade Me Motors had another good year with revenue up 12.7 per cent year-on-year and continues to be the market leader in the automotive category. Depth (formerly known as premium) revenue continued to grow, in particular for dealer depth products, up 41.0 per cent on F17.
Challenging but successful year for Marketplace
F18 was a challenging but successful year for our General Items marketplace. We were pleased to post revenue growth of 1.3 per cent year-on-year.Our competitive landscape is more challenging than ever, but we are well placed to continue growing. In September 2017 we rolled out Afterpay a ‘buy now, pay later’ payment product for new goods sellers and buyers. Buyers can purchase an item immediately and pay it off in four instalments – sellers receive their payment upfront. Afterpay is available on approximately three million Trade Me listings.
Brand and people
F18 has been a big year for both our people and our brand. In June, Trade Me CEO Jon Macdonald announced his intention to step down by December 2018. Jon has spent nearly 15 years at Trade Me and over a decade as CEO.In F18, the number of people at Trade Me has grown from 546 (514 FTEs) in June 2017 to 594 (561 FTEs) as at 30 June 2018.
In June 2018, our new debit and credit card payment system Ping was released to all members.
Ping allows all members to take instant payments and to spend with Ping onsite. It removes the need to wait for bank payments to clear and speeds up sales.We’re experimenting with artificial intelligence (AI) to speed up the listing process. We’ve built an Android app called Pinhole. This allows members to take a photo of what they want to sell then Pinhole’s AI understands what the item is, suggests the best category and a title, plus recommends a price.