Video demand-side platform (DSP) TubeMogul posted Q3 revenue of $27.4 million, up 112% from $13 million during the same period last year. Total advertiser spend through its platform was $62.5 million, up from $25.7 million last year. TubeMogul stock was up 6% in late trading.
TubeMogul gained considerable business via its self-serve model "Platform Direct" used by brands and agencies. In Q3, 20% of Platform Direct spend came from brands TubeMogul has direct relationships with. This was up 7% YoY, said TubeMogul CEO Brett Wilson and includes tech manufacturer Lenovo and CPG upstart Hello Products.
Despite this trend, many clients aren't actually bypassing the agency. "More often than not, they have their media agency of record or trading desk execute the buys on their behalf," Wilson told AdExchanger.
For instance, TubeMogul client Mondelez International, continues to work with the agency MediaVest. Mondelez also entered into a deal with Google earlier in the quarter to enhance its video buys. Though TubeMogul remains its DSP, analysts wondered how this affects TubeMogul's relationship. "This was a spend commitment Mondelez was making with Google as a publisher," Wilson said. "We will be the pipes to facilitate any of their publisher buys, including Google."