Close
 

Trade Me's record full year financial results

  • News
  • March 1, 2018
  • Harriet Keown
Trade Me's record full year financial results

Trade Me’s interim financial results for the six months to 31 December 2017 have been released, reporting a record revenue of $122.7 million.

The online marketplace and classified advertising business had a greatly successful year, with a 6.8 percent year-on-year revenue increase and a 5.7 percent year-on-year EBIT increase.

Chairman David Kirk said Trade Me had delivered a great result to investors. “We’re pleased to report record revenue and a result in line with the guidance provided to investors in August and November last year.”

Kirk said the highlight was the stellar result from the classifieds segment, which delivered an increased revenue of 13.8 percent or $67.9 million, as well as an acceleration in growth on last year.

CEO Jon Macdonald said Trade Me Motors, the largest of the classified verticals, reported a superb revenue increase of 16 percent.

Trade Me Jobs also had a great performance, with revenue increasing by 18.6 percent. Macdonald said this was driven by “premium uptake and a series of product releases, including the introduction of promoted listings back in July and the recent roll-out of candidate profiles.”

Trade Me Property reported revenue growth of 6 percent in a soft listings market, with the premium revenue from agents listing properties for sale on the site increasing by 25.7 percent.

The three classifieds businesses now contribute 55 percent of Trade Me’s revenue.

Revenue in the general items marketplace business was up slightly, Macdonald saying, “The gross merchandise sales trend for used goods tracked down slowly, but was once again more than offset by the continued strength in new goods which was up five percent on last year.”

Macdonald said that a lot of work is being done to stimulate stronger growth in the marketplace, with a focus on new goods.

“The Afterpay instalment payment option launched in September 2017 is now available on over 60 percent of new goods onsite, we’ve completed our first subscription shipping experiment, rolled out ‘Quick List’ functionality in the iOS and Android apps, and held two success fee-free weekends.”

Trade Me has also recently announced in January the change of model to increase free shipping from retailers operating on the site.

Overall listings were up 25 percent year-on-year, driven by increased selection of new items.

It seems that the threat of the ‘Amazon-apocalypse’ has not yet sunk its claws into Trade Me’s success, something to which Macdonald credits locally-focused ambitions.

“We ourselves don’t have these big global ambitions, whereas what we’ve found is that these international players are very rational as to how they work. So, the reality is that New Zealand isn’t at the top of their list of priorities. It would be pretty crazy if it was, so I think that gives us an edge, or rather a basis, to compete.

“Amazon is a great business, certainly it has its own strengths and certainly it is making its presence felt here… [But] there is room for us all, and I’m very confident that we can continue to grow and succeed.”

​ ​

This is a community discussion forum. Comment is free but please respect our rules:

  1. Don’t be abusive or use sweary type words
  2. Don’t break the law: libel, slander and defamatory comments are forbidden
  3. Don’t resort to name-calling, mean-spiritedness, or slagging off
  4. Don’t pretend to be someone else.

If we find you doing these things, your comments will be edited without recourse and you may be asked to go away and reconsider your actions.
We respect the right to free speech and anonymous comments. Don’t abuse the privilege.

 

Hunting & Fishing New Zealand voluntarily pulls military-style assault weapons from sale

  • News
  • March 20, 2019
  • Sarah Dunn
Hunting & Fishing New Zealand voluntarily pulls military-style assault weapons from sale

In the wake of the attack on Christchurch’s Muslim community on March 15, strong calls for changes to New Zealand’s gun last have been made. Trade Me was the first retailer to act, halting the sale of all semi-automatic weapons on its platform, and it has now been joined by Hunting & Fishing New Zealand.

Read more
 
 

Superette to open new concept store showcasing international brands

  • News
  • March 20, 2019
  • The Register team
Superette to open new concept store showcasing international brands

Apparel boutique Superette has announced it will open an ‘international flagship’ in Newmarket on April 4. The store will feature handpicked products from both established and emerging international designers.

Read more
 
 

What businesses can do to help support Christchurch and the Muslim community this week

  • Opinion
  • March 19, 2019
  • Rosie Collins
What businesses can do to help support Christchurch and the Muslim community this week

As many New Zealanders go back to work for the first time today since Friday’s attacks, feelings of anger, sadness, numbness, apprehension, and confusion will be shared around the country. Rosie Collins is the managing director of Step Changers, a registered charity working to normalise corporate social responsibility in New Zealand. In the wake of the Christchurch terror attack, she shares three ways businesses can help both their staff and the wider Muslim and Christchurch community this week.

Read more
 

Social scoreboard

Zavy and The Register have worked together to create a scoreboard that compares how the top 25 traditional media advertising spenders in New Zealand have performed on social media over the past 30 days, updated in real time.

 
topics
Concept to closet
Business coverage of New Zealand Fashion Week.
Town centres
A positive retail environment over the past 12 ...
Amazon Arrival
Keeping up with all things Amazon as it ...
The Retail Yearbook 2017
As we battle our way through the busiest ...
Hospitality enhancing retail
Some think food and integrated hospitality offerings will ...
The future is bright
We spoke with four retailers in their twenties ...
Spotlight on signage
At first glance, the humble in-store sign might ...
Red Awards 2016
The Red Awards for retail interior design celebrate ...
Auckland Unitary Plan
Auckland is changing. The Unitary Plan will decide ...
How to open a store
Sarah Dunn considers what it would take to ...
All things to all people
Kiwi retailers share their omnichannel strategies.
Rising stars
Retail's top young achievers.
Delivering on your promises
The sale isn't over until your item is ...
Retail in heartland New Zealand
Retailers keep the regions pumping, but how strong ...
Sisterhood
Women in retail help one another. We spoke ...
The changing face of retail
Shifting demographics are creating big changes in New ...
The retail yearbook
With the help of experts in the retail ...
Retail rogues
We put the spotlight on staff training. Jai ...
Here come the giants
Topshop has arrived in Auckland’s CBD, David Jones ...
Window shopping: A spotlight on social media
Sarah Dunn and Elly Strang look at how ...
From retail to e-tail
Ecommerce has become part of the way mainstream ...
Loyalty in the digital age
How are retailers maintaining loyalty? Sarah Dunn, Elly ...
The Innovators | In partnership with Spark Business
Technology is rapidly changing the retail industry as ...
 

China and New Zealand’s year of tourism

  • Opinion
  • March 19, 2019
  • Juanita Neville-Te Rito
China and New Zealand’s year of tourism

Think about how to best welcome Chinese tourists into your store this year.

Read more
 
 

Coca-Cola reveals how much plastic it uses

  • News
  • March 19, 2019
  • Radio New Zealand
Coca-Cola reveals how much plastic it uses

For the first time, Coca-Cola has revealed it used three million tonnes of plastic packaging in one year.

Read more
 

Profits for The Warehouse on the rise after restructure

  • News
  • March 19, 2019
  • Radio New Zealand
Profits for The Warehouse on the rise after restructure

The Warehouse has made a solid first half profit as it continues to restructure and invest in digital services.

Read more
 
Next page
Results for
Topics
Jobs
About us.

The Register provides essential industry news and intelligence, updated daily. And the digital newsletter delivers the latest news to your inbox twice a week — for free!

©2009–2015 Tangible Media. All rights reserved.
Use of this site constitutes acceptance of our Privacy policy.

Advertise
The Register

editor@theregister.co.nz

Content marketing/advertising? Email anita.hayhoe@icg.co.nz or call 022 639 3004

View Media Kit

}