Rightmove puts in strong first quarter

Property website Rightmove has reported a 20 per cent year-on-year rise in traffic for the four months ended April 30th.

Average revenue per advertiser (ARPA) grew strongly, as a result of sales of additional advertising products and price increases, putting the company in a strong position to achieve a similar increase the the one made in 2011. However, the overall number of advertisers remained the same.

Over 75% of agents and new homes developers are now taking at least one additional product and over 30% of their spend in April was on additional advertising products.

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January was the company's busiest month ever, seeing more than one billion page impressions in that period, with particular growth seen in its mobile applications.

In a statement Rightmove said: "Agency ARPA has increased substantially compared to the same period in 2011 as a result of further adoption of additional advertising products, including the new Local Valuation Alert product, and price increases. Rightmove agency membership is unchanged this year reflecting a stable underlying market.

"New homes ARPA has continued to grow as a result of price increases, sales of additional advertising products and email campaigns. The number of developments on Rightmove at the end of April is unchanged from the start of the year.

"Our data services business, a modest contributor in terms of overall Rightmove revenue, has had a very strong start to the year with a number of long-term contract wins in recent months, including its biggest ever single contract win. Our overseas homes advertising business continues to trade profitably."

The company also emphasised that its operating costs remain low and remains confident of meeting its expectations.

The share price fell 0.74% to 1,474.00p by 09:12.

NR