0208 370 3877
hello@avrillo.co.uk

Avrillo Reviews: Your No.1 Law News Resource

Looking for a great resource to read all about the latest law news and articles? Avrillo Reviews have years of experience within the law industry so read on

OTM, on the market, debate continues

With the continuing opposition between Zoopla and OnTheMarket, Jefferies analyst Anthony

Codling has told investors that the recent debate in the industry press has switched from portals

criticising each other to some agents criticising OnTheMarket

Jefferies has written to investors increasing its prediction for Zoopla’s full year earnings by 15% to

£48m as a result of the recently-reported growth in agent numbers and a strong performance from

uSwitch, the utility price comparison website acquired earlier this year by the portal.

Anthony Codling has said “While we are keen to point out that these critiques are small in number,

rather than representative of the industry as a whole, we sense a change in climate and when the

soldiers rather than the generals start to complain, strategic intent, in our view, starts to unravel”.

He asks “Zoopla is currently the UK’s number two property portal and OTM intends to be number

two in January 2016. If it misses this target, it will be interesting to see if the industry judges it a

failure. If targets are missed will the agents be willing to invest more money in OTM to give it a

second chance at becoming number two, or will the marketing money switch back to the tried,

tested and truly innovative Zoopla’s coffers?” Codling claims Zoopla has more to gain from OTM’s

problems than Rightmove.

Codling ends his note with risks to his analysis – these remain, he says, “the threat of challenger

portal OTM, integration risks relating to the uSwitch acquisition and a downturn in the UK housing

market leading to a material reduction in the number of estate agency branches and new build

developments.”

Leave a Comment