Criteo, one of the few profitable advertising technology companies, raised its sales forecast for the year as revenue in the latest quarter benefited from a record number of new clients and increased spending from existing customers.
Criteo turned in a solid second quarter, growing its revenue ex-TAC by 65% to €110 million (US$120 million), up from €67 million (US$73 million) last year. Criteo continued its client growth streak, adding 730 net new advertiser clients in the last quarter to total about 8,500. It claims those clients are spending more, too, resulting in 25% ex-TAC revenue increases at common currency.
For investors, the ad-tech sector has been mostly a disaster. But there is one company that has bucked the trend – that is, Criteo. Criteo has a fairly unique approach to the ad-tech business. Keep in mind that the company is obsessed with helping customers drive sales.
There is no stopping the rise of online shopping. The product options are endless, it’s simple, more convenient, often cost-efficient—and the list goes on. It’s no shock that ecommerce has been lauded the future of retail, reaching $1.5 trillion in sales in 2014. Naturally, brick-and-mortar sales have been threatened, but not how one may think.