iSelect and News Corp enter $4.5m digital marketing partnership
iSelect Limited has entered into an exclusive digital marketing services partnership with News Corp Australia.
The two-year agreement, announced to the ASX today, is worth a minimum of $4.5 million and will see News Corp will receive payment for lead generation, content creation and revenue share of converted sales.
iSelect CEO Warren Hebard
The payment terms of the deal are 50% via scrip (shares) up to a maximum of 5% of iSelect’s total issued share capital per annum, with the remaining 50% in cash.
The share price will be calculated on the 90-day (prior period) VWAP, with scrip payments to be calculated quarterly.
iSelect CEO Warren Hebard said the partnership will be “expertly tailored” to the iSelect business model.
“We have been incredibly impressed by how News Corp has understood our business objectives and developed a unique partnership model that goes well beyond the realm of traditional media buying… to deliver topline revenue growth within agreed ROI metrics.
“We are confident it will be a successful venture for both parties, with the potential to scale significantly beyond the agreed minimum spend.”
News.com.au and eCommerce managing director Richard Skimin said this deal will support the growth of iSelect.
“News Corp is very excited to partner with iSelect and this equity agreement demonstrates our belief in the strength of the iSelect brand,” he said.
“We believe the company has the potential for significant growth over the coming years and look forward to playing a key role in the next phase of iSelect’s journey.”
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Zanda Wilson was a reporter and podcast producer at Mumbrella, specialising in radio reporting. He left Mumbrella in September 2021.
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