Fairfax Media’s real estate arm Domain has ventured into the insurance market, with the launch today Domain Insure, as the company issued shareholders with a market update in preparation for its partial float.
Domain Insure will launch in conjunction with insurance specialist Envest to work with various established insurers, providing consumers access to a variety of products. The venture adds to a suite of real estate products and services spanning home loans, utility connections and trade services offered by Domain.
“Our new insurance offering will contribute to growing new transactional revenues for Domain through exposure to a total Australian market opportunity of more than $2 billion per annum in insurance commissions,” Domain chief executive Antony Catalano said.
The service is expected to be made available later this year to those who are renting, buying and selling property.
The announcement of the new venture came as Fairfax provided a market update ahead of its November 2 annual general meeting, where the float of Domain is expected to be outlined.
Overall, the company’s revenues fell four to five per cent below last year, roughly in line with guidance.
Domain has once again been the company’s shining light, with 22 per cent growth in digital revenue. Total revenue has improved 13 per cent. Fairfax expects Domain’s growth to remain steady in FY18 at around 13 per cent from FY17’s $206 million. This estimate excludes any costs from Domain being separately listed from the publishing company.
Revenue from Fairfax’s publishing arm is down this financial year to date. Metro Media suffered the most significant loss of 11 per cent, followed by Australian Community Media, down 10 per cent. Stuff, Fairfax Media’s NZ arm [link], has been impacted 7 per cent in local currency.