The company is positioned for growth in new verticals while also cutting operational costs in its drives towards cash-flow breakeven.
2022 will be massive for Engage:BDR (ASX:EN1), as the firm executes on a series of strategic initiatives to further establish momentum in the $155bn market for programmatic advertising.
In an investor presentation this morning, EN1 outlined its strategy to expand and accelerate an advertising footprint which already spans across the full spectrum of internet-based content – from SmartTV platforms to display advertising and audio/visual ads.
Strategic priorities
EN1 is highlighting seven key priorities for the year ahead, as it looks to further build on the revenue growth generated through the second half of last year.
Leveraging the company’s extensive industry background is front and centre – with more than 12 years of operations since its 2009 launch – with new targets set to establish fresh Master Service Agreements (MSAs) with leading industry players.
EN1 is aiming to sign and on-board the top 50 regional buyers for programmatic CTV (SmartTV) and mobile app ads.
Stemming from that industry traction, the company also plans to execute MSA agreements with the top 500 regional mobile and CTV publishing partners, creating an expanded distribution footprint for its core service offering – a proprietary AI and machine learning solution aimed at maximising the return on investment for advertisers, agencies and publishers.
Private Marketplace
EN1 also plans to leverage its existing customer base to expand into more Private Marketplace trading agreements as well as on-board direct-response advertisers, giving it a multi-channel approach to revenue streams.
Rounding out its strategic initiatives, the company is aiming to expand its global reach by building customer numbers and publisher MSAs in the European and Asia-Pacific markets, while also deploying new cost-saving measures each quarter to drive margin growth as it moves towards positive operating cash flows.
Engage:2022
It adds up to an exciting year ahead for the business, which was able to establish operational traction despite the challenges posed by the pandemic, with preliminary core earnings of $1.39m for the 2021 calendar year.
Across programmatic, CTV and other digital advertising, the global digital advertising market is expected to reach around US$425bn in 2022, the company said.
And recent ComScore data showed EN1 is now ranked No. 9 across the US for Video advertising, and 20th for Display advertising.
Engage:BDR is still run by Ted Dhanik, who co-founded the business 13 years ago. The EN1 board also includes MySpace founder Tom Anderson as a non-executive director.
With an experienced management team in place, EN1 is set to convert its deep industry experience and market footprint into more revenue opportunities in the year ahead, in the world’s largest and fastest-growing programmatic advertising market.
This article was developed in collaboration with Engage:BDR, 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.
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