The internet advertising and marketing revolution is changing the way advertisers reach customers and the way customers engage with ads. Some of the latest ad tech startups till 2015 include Sharethrough, PubMatic, Mediaocean, Videology, Mediamath and more.
Infographic Source: leanbranding.com
Sharethrough, which has 160 employees, got $28 million in total venture funding. The company operates a programmatic native advertisement exchange and is aiming yearly revenue of 100 million dollars by the end of this year. Therefore, it is highly profitable. The company works with 400 small and big companies including Forbes, Time Inc, and Hearst as a supply-side platform to help them put native advertising on their websites.
PubMatic, which has 600 employees, had a revenue run rate of $130 million in 2014. As reported on October 2014, Ad tech startup Pubmatic was preparing for an initial public offering with a value of $1 billion. The company got $28 million in total venture funding. According to PubMatic the company, PubMatic, increased its revenue by 90% in 2014, as its rate of profitability doubled. Last year the company expanded into new markets including Japan, Singapore, Italy, Brazil, the Middle East, and North Africa. PubMatic going public will add to it ad tech firms that did an exit in the last year. Some of these ad tech firms include initial public offerings from RocketFuel, Tremor Media, YuMe, Marin, and Millennial Media.
The company was founded in 2006. Redwood City, Calif based startup recently closed a $13 million funding round from Nokia Growth Partners, August Capital, DFJ, Helion Venture Partners, and Nexus Venture Partners. PubMatic has raised $76 million funds as a total to date.
The company, Mediaocean, operates $100 million in media buying through its platforms for more than 80,000 advertisers. As Mediaocean partnered with iSpot.tv, it recently extended its platform to cover programmatic TV advertising. Also Mediaocean partnered with Facebook’s Atlas ad platform. In 2012, the company was reportedly worth $1.5 billion.
Videology, an ad tech company having 350 million employees, got $134.2 million in total venture funding. Videology CEO Scott Ferber, told Business Insider, Videology was preparing for an initial public offering; however, the market has changed a lot since March 2014 so preparing for IPO might not happen. Recently, Videology, had seen programmatic mobile video marketing campaigns jump 81% from late 2014 to early 2015.
Moreover, the company said that 50% of the company’s revenue comes directly from TV budgets because many advertisers and agencies began planning TV and Web Video campaigns in agreement. Videology got $130 million in venture funding until now and made their TV campaigns more efficient. The company provides advertisers and marketers with tools to buy advertisements online through a single interface.
Ferber further added that he is “preparing” his company for a possible initial public offering in 2015 although no final decision has been made. Advertisement technology, especially ad tech companies are a hot area for IPOs and big exits.
Joe Zawadzki co-founded the company called [x+1] in 1999 and worked at the company as the president and chairman. Joe Zawadzki’s two fellows, Erich Wasserman and Greg Williams, also co-founded [x+1] where they launched the company’s media division. Zawadzki wanted to create new software that he and his other co-founders felt advertisers and marketers actually needed and explains, “the company “wasn’t raw block of stone anymore” so he left [x+1].
He compared creating something new for the company with the story of Michangelo and his masterpiece that is a 17-foot marble statue of David. When the artist Michelangelo completed his David statue, the Pope asked the artist David, “how he knew what pieces of marble to chip away.
Joe Zawadzki says, its sales were $135 million the year prior and then sales increased to $311 million. It has been profitable in the last year also earning $14 million in 2013 before taxes or interest up from $0.6 million in 2012. Also it raised over $175 million in funding, bringing in $73.5 million in Series C funding in June.
Joe Zawadzki launched MediaMath in 2007 and showed people that company’s demand-side platform, which is DSP, makes the advertisement industry more efficient.
“They have managed to evolve with the changing scope and demands of the programmatic marketplace both through technology innovation and through strategic partnerships. They know what their core strengths are and seek to excel in those areas,” said Scott Ferber, chief executive officer of Videology, about Mediamath, “At a time when there’s the temptation to be everything to everyone, I believe clients appreciate that type of focus and transparency.”
Deepak Wadhwani has over 20 years experience in software/wireless technologies. He has worked with Fortune 500 companies including Intuit, ESRI, Qualcomm, Sprint, Verizon, Vodafone, Nortel, Microsoft and Oracle in over 60 countries. Deepak has worked on Internet marketing projects in San Diego, Los Angeles, Orange Country, Denver, Nashville, Kansas City, New York, San Francisco and Huntsville. Deepak has been a founder of technology Startups for one of the first Cityguides, yellow pages online and web based enterprise solutions. He is an internet marketing and technology expert & co-founder for a San Diego Internet marketing company.