Why invest in us?
What sets us apart as an investment opportunity?
We aim to change how the UK shops for cars by providing the best online car buying experience, enabling all retailers to sell online.
While we seek to do things differently at every juncture of how we do business, below summarises five key traits that elevate us as a truly unique investment proposition.
1
Largest volume of in-market car buyers
Auto Trader has over 90% prompted brand awareness with consumers and attracts over 58 million cross platform visits each month. The audience is not only large but highly engaged, with an average of 561m minutes spent on Auto Trader each month and, when measured against competitors, we hold more than 75% share of minutes spent across all automotive classified sites. This scale, combined with our user experience, means we are the most effective sales platform for anyone wanting to sell a vehicle in the UK.
>90%
prompted brand awareness with consumers
>58m
cross platform visits on average each month in 2021
561m
minutes on average spent on AutoTrader each month in 2021
There is growing demand from consumers for more of the car buying process to be available online. Consumers believe that shifting to more of an online model will make comparing cars easier, avoid haggling and help in the research and understanding of ancillary products.
55%
of buyers would consider buying a used car online according to our research
2
The largest and most trusted automotive marketplace
Our marketplace hosts the largest number of vehicle sellers (listing 485,000 cars each day on average in the year) through our partnership with more than 13,300 retailers. Our marketplace provides our audience with an unrivalled choice of both new and used cars to meet all consumers’ needs. Auto Trader is the most trusted automotive classified brand in the UK.
Our leading digital automotive marketplace benefits from a network effect model whereby the largest volume of in-market car buyers generates the most effective response for our customers, who in turn provide consumers with the most extensive choice of trusted stock. We use the large volume of data we collect to enhance the car buying experience and create efficiencies for our customers.
485,000
live car stock on average per month in 2021
8.1m
car transactions in the UK in 2021
13,336
average retailer forecourts in 2021
>75%
of all minutes spent on automotive marketplaces are spent on the Auto Trader platform
4
Product innovation is digitalising the car buying process
The large volume of data, and the insight derived from it, powers everything that we do, from new product launches, through iterative feature changes, to enhancements of our search experience. We invest in our products to provide the best possible digital journey for the consumer and are building the component parts to allow more of the car buying process to be completed online.
5
Financially robust and strong cash generation
The highly cash generative nature of the business allows us to invest in long-term growth drivers and in more normal times to return cash to shareholders. Following an equity raise in April 2020 we have a robust balance sheet and are now in a net cash position.
A strong balance sheet
£152.9m
cash generated from operations in 2021
Continuing reduction of debt
0.0x
net debt/EBITDA ratio for 2021 (well below our covenant level of 3.5x)
Our revenue streams
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