Comparison websites

[TheseWordsAreMyOwN]

There isn't a day that goes by now where I don't see an advert for a comparison website on TV. I'm not just talking about the smaller channels, but mainstream TV also. The amount of money these companies are ploughing into advertising must be astonishing, but do they really have it? And how successful can a comparison site be with so much competition? This 'type' of website seems to be the new Internet craze and it's driving me round the bend.

I agree that they serve a purpose, and in some cases, can save people money but why do we need so many? Whether it be insurance, air travel or insurance, I can assure you there is a site out there comparing the market...

I was wondering if anybody here has ever used one and if you found it helpful? Do you think the market has become saturated? Please give some views...

[moneyman]

They all tend to be the same except where there is something added like myvouchercodes.co.uk. Where you get money off most of the companies.

[Martin]

Its a drop in the ocean compared to how many Web Designers exist.

[max99]

comparsion sites can make tons of cash, and so can afford to spend on tv adverts.

[TheseWordsAreMyOwN]

Thanks for the replies guys. in response to max, advertising during the middle of Coronation Street would cost hundreds of thousands of pounds which makes me wonder who are the people behind these sites? Maybe they are already established and wealthy business men

[Martin]

I wouldn't expect it to cost hundreds of thousands of pounds to advertise during Coronation Street, but may be around 40 to £50,000. (Could be wrong but that's a figure I remember from somewhere - I think it could have been a Channel 4 programme though )

Which is still a lot of money! I do remember someone here on Shell, who had a few minutes slot on This Morning which drew in about 25,000 visitors. Now if you look at the cost of advertising it works out at about £2 per visitor this is comparable to what some sites spend on Adwords.

These companies make about £65 to £75 for each referral. Taking 25,000 visitors as an example - If you can convert a fifth of those people (which are targeted - they know what they're going to find), it equals £325,000.

So as you can see there is plenty of money in comparison websites.

[mon478]

i have used confused.com for car insurance...

i found it useful because i could have different quotes from different companies and only have to add my details once.

however the quotes i was given were not accurate as a quote they provided for insurance company A would be about £200-300 cheaper when i enquired directly through company A's website?

useful in theory but not faultless.

[Martin]

I have to admit I wouldn't buy car insurance through a comparison website. The reason being that you must give many more details when buying car insurance, than you do when changing telephone or gas supplier. Plus the variables are indefinitely more complex.

Simple things like your address, your age, and the type of car it is (Model, Colour, Wheels, Security Features) can make a huge difference to insurance premiums.

It's probably the one sector where going direct will prove the cheapest option.

[RichardJohn]

Going to a broker saves you a fortune on car insurance - I think insurance companies must love the internet because everyone thinks they're getting a better deal!

[kinster]

Originally posted by moneyman
They all tend to be the same except where there is something added like myvouchercodes.co.uk. Where you get money off most of the companies.

is myvouchercodes.co.uk a comparison site? thought it was the same concept as hotukdeals?

[RichardJohn]

Originally posted by kinster
is myvouchercodes.co.uk a comparison site? thought it was the same concept as hotukdeals?

Nope, but he's just given me an idea!

[kinster]

Originally posted by RichardJohn
Nope, but he's just given me an idea!

thought it wasn't a comparison site.

[RichardJohn]

Nope, as in nope, myvouchercodes doesn't have a comparison section.

[max99]

myvouchercodes isnt a comparsion site, but a discount code site, it offers voucher/discount codes for many retailers online so you can save money !

Bearing in mind its rumoured that moneysupermarket employs near 1000 employees, and there turnover is huge its worth them advertising not just for sales, but for brand image and reputation.


"These companies make about £65 to £75 for each referral. "

I'll bet they make alot more than that, Probs at least double that or more.
I also believe most large comparsion sites charge the merchants to appear on there comparison site aswell.

[Martin]

Originally posted by max99
"These companies make about ï؟½65 to ï؟½75 for each referral. "

I'll bet they make alot more than that, Probs at least double that or more.
I also believe most large comparsion sites charge the merchants to appear on there comparison site aswell.

You can find many reports which state how much they're paid - and you can even sign up yourself as an direct affiliate to see the prices.

Obviously prices vary from supplier to supplier - and the type of product / service.

They don't charge for inclusion, because if that was so your price comparison would be rather poor - its because it finds prices from so many sources which makes the selling point.

But, its well known that they take kickbacks for putting you top of the list.