We thought we would consider how breakdown cover organisations like The AA now diversify into as many financial areas as possible to increase bottom line profits. Of course many breakdown cover motoring clubs (as they were once known) as owned by insurance or financial organisations and see breakdown cover as an add on product rather than the main one.
In order to understand this more we are today looking at the homepage of the AA, to see what other services they sell and what you are likely to see in your emails, contact details and hear when talking to the sales call centre.
As far as the menu is concerned the homepage shoes the AA breakdown cover service as first, but when it comes to images the car insurance sticks out more., it is then followed by home insurance and the AA credit card. The largest area is dedicated to the new home breakdown cover service , which is probably expected with a new service. Move down the page below the fold and you start to see a whole array of other services, starting with Loans, then travel insurance, before travel themes finish off the homepage.
The AA has always been involved in travel by car, from rating bed and breakfasts to restaurants, but now all types of travel are part of its portfolio. A question we don’t know is, does these extra services support the AA breakdown cover service, in keeping costs down as economies of scale kick in. Or are they measured separately and are another way of added more money to the bottom line.