Dubai-based yallacompare has raised $8 million in its latest round of funding. Lead by existing investors STC Ventures and Wamda Capital, the financial comparison website also attracted new investor Argo Ventures, the investment arm of international insurance company Argo Group.
The investment will be used to expand to Egypt by the end of the first quarter of this year while also increasing market share in the UAE and Kuwait.
“Financial comparison websites in the region is still a nascent business,” said Jonathan Rawling, chief financial officer at yallacompare. “A big drive is to get people online, there is still a long way to go in bringing offline customers online.”
While consumers in the region feel comfortable comparing prices online, many still prefer to conclude the purchase offline, usually on the phone. yallacompare is working with insurance companies to automate more of the processes and interactions with customers.
“It’s growing, we’ve seen four times as many people buying online last year compared to 2017. It’s a confidence thing, it’s a new industry, before people spend a lot of money, they might want to hear a voice on the phone. We think we’re changing that and it will continue to improve.”
The company’s last round of funding was in May 2017 when it raised $3.5 million.
“We are delighted with this latest round of funding, which represents a ringing endorsement of our direct-to-consumer financial services model,” said Jon Richards, chief executive officer at yallacompare. “Of all the potential regional player candidates, Argo Ventures selected us as the clear leader in the market.’’
Oleg Illichev, head of Argo Ventures said: “Our mission is to discover and empower entrepreneurs who are reinventing financial services. We believe that yallacompare’s goal of educating and simplifying the purchase of financial products aligns nicely with our beliefs.”