Adveritas signs up the fast growing sectors of online betting and Indian ecommerce, boosting revenue further
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The new contracts signify Advertitas’ ability to execute on its growth strategy, with revenue trajectory now growing by 126% since March.
Following a strong result in the June quarter, data software company Adveritas (ASX:AV1) has continued to accelerate its revenue growth trajectory by signing up new clients.
The company has just signed 12-month contracts with European sports betting company Betbull, and Indian-based online ecommerce platform CARS24, onto its Traffic Guard platform.
The new contracts will add a minimum of $215k in annualised revenue, increasing Adveritas’ total annualised revenue to approximately $1.4 million, up 41% since 30 June and 126% since 31 March.
Whilst the individual contracts may not be material, Adveritas says the combined $215k revenue represents the successful execution of its growth strategy.
Since the end of March, Adveritas’s revenue trajectory has indeed been increasing rapidly:
Betbull is Adveritas’ third major online sports betting client, with GVC Australia (owner of Ladbrokes and Neds) and Betfred (a substantial UK bookmaker) the other online betting clients that have already signed up to Traffic Guard.
Betbull is majority owned by Wynn Interactive, a social sports betting company that has achieved rapid growth since launching in 2016.
The Betbull business is on a rapid expansion growth internationally as a result of the partnership with Wynn, which has invested heavily in scaling throughout the US market.
CARS24 meanwhile, is an ecommerce platform for pre-owned autos (cars and bikes).
Founded in India in 2015, it is now valued at over $2 billion and backed by some of the world’s largest investors, including Softbank.
CARS24 has also expanded into the United Arab Emirates, Thailand, and Australia, with more countries in the pipeline.
“The online sports betting industry and ecommerce platforms are just two of the key verticals that we have been penetrating as we gain industry recognition and as our sales funnel expands,” says Adveritas co-founder and CEO Mat Ratty.
“These contracts follow the success we have had in providing TrafficGuard trials to a large number of companies that have gone on to sign 12-month contracts with us.”
Adveritas’ market-leading TrafficGuard is an ad fraud prevention software that targets invalid traffic before it reaches a client’s ad budget.
Using TrafficGuard, marketers, agencies and ad networks can both detect and prevent invalid traffic in real time in order to maximise the return on their advertising spend.
“The betting and ecommerce verticals spend a significant amount on online advertising to attract and retain customers, so it is crucial that invalid traffic is detected and eliminated to optimise their return on advertising spend,” Ratty commented.
Research data has also shown that advertisers’ total loss to fraud is forecast to rise to $100 billion by 2023, so it has been no surprise that Traffic Guard has been welcomed by the industry.
“Our solution, which was built out of demand, has consistently demonstrated an improvement in optimising the advertising spend of our clients and this is demonstrated by our strong renewal rate,” Ratty added.
In July, Traffic Guard was selected as the only certified ad verification vendor on the Google Cloud platform.
Adveritas found early success with its ‘freemium’ model user acquisition strategy, which rose by 20% in the June quarter to 2,750 customers.
To roll out new marketing initiatives in FY22, the company has just raised $3m to strengthen its balance sheet and support the acceleration of sales activities.
“Adveritas has a number of contracts that are currently being negotiated across fintech, gaming, retail and on demand verticals,” said Ratty.
This article was developed in collaboration with Adveritas, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.