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Adobe Q4: Record Marketing Cloud Revenues Due To Bookings, Transaction Sizes

adobeQ4Adobe Systems posted strong growth in its fiscal year ($4.15 billion in annual revenue). Adobe Marketing Cloud also did well in terms of revenue, bookings and customer adoption.

Revenue for the Marketing Cloud in Q4 was $330 million and more than $1.1 billion for the fiscal year, an annual record that occurred because the company exceeded its annual bookings target of 30%. This growth also came from size of transactions, number of solutions adopted by each customer and international growth and expansion in the partner community, according to CEO Shantanu Narayen.

Marketing Cloud recorded 74% growth in companies which have adopted three or more solutions. While retail continues to be strong in this category, Adobe is seeing more interest from financial services companies. Big customer wins in Q4 include: Ford, FedEx, MasterCard, QVC and Morgan Stanley. Adobe also claims 30 trillion data transactions are measured annually within the Marketing Cloud.

Adobe Campaign, built from campaign management tool Neolane, was among the Marketing Cloud's best-performing solutions this quarter, as was Adobe Target and Media Optimizer.

Narayen called mobile a key focus area for Adobe's Marketing Cloud, citing last month's launch of intelligent location-based marketing features allowing marketers to target content based on consumers' proximity to iBeacons.

Separately, Adobe in October rolled out additional cross-device targeting and personalization features via Adobe's data-management offering, AudienceManager.


TubeMogul CEO: Q3 Revenue Up, Yahoo Likely To Focus On BrightRoll's Network, Not Tech

Brett-Wilson-TubeMogul-2013Video 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."


Gigya CEO: We Always Thought ‘Identity Was A 10X Category To Social’

GigyaGigya, a customer identity management platform, has raised $35 million in growth financing led by new investor Intel Capital, bringing its total to $104 million. Common Fund Capital, Vintage Investment Partners and existing investors, also backed Intel in this round.

The new financing will go toward additional hires and to fund international expansion. Gigya’s headcount grew 50% since last September and it now has 325 employees.

Gigya has also entered into a strategic partnership with Intel Security to develop site and mobile-app authentication products. Since 2006, Gigya’s original value proposition revolved around turning unknown site visitors into recognizable customers using social registration data and email log-ins.

Now that the consumer identity net encompasses payments, security and devices, Gigya CEO Patrick Salyer said there has been a need to expand beyond social media. He could not detail the products in full but said they’d focus on “customer identity-related functionality.”

“The new players in this are folks like Amazon, PayPal and Apple,” Salyer said. Facebook also rolled out a persistent, cross-device ID earlier this fall.


LinkedIn Q3: Marketing Solutions Revenue Up 45% As Bizo Integration Continues

LinkedQ3LinkedIn's revenue grew 45% YoY in Q3 to $568 million. Its Marketing Solutions division also increased 45% YoY, totaling $109 million in revenue. Marketing Solutions, which makes up 19% of LinkedIn's total revenue, is one of the social network's three lines of business.

Overall member growth was strong. LinkedIn now has 332 million members, up 28% YoY. About 47% of LinkedIn members now access the platform through mobile.

LinkedIn also integrated B2B advertising platform Bizo in Q3, which it acquired for $175 million. LinkedIn intends to build an "end-to-end B2B marketing platform."

"We've seen an increase in Sponsored Updates spending and we're seeing existing customers increase their spend as our content marketing proposition develops," said CFO Steve Sordello on the earnings call. "We've seen a 60% increase in customers using more than one product." He added that next year, LinkedIn intends to establish a broader, content-based platform alongside the Bizo marketing platform.

LinkedIn's and Bizo's teams, Sordello said, are working on developing lead nurturing across the Web through display ads and finding ways to augment LinkedIn Sponsored Content. Analysts asked repeatedly about the "off-network" LinkedIn opportunity and how Bizo will help advertisers.


Fintech Data Player Segmint Snags $9M In Fresh Funding

Segmint’s sweet spot has alwasegmintys been the financial sector.

But the retargeting company, whose technology has mostly been used to help enterprise banking clients safely tap into reams of highly sensitive first-party customer data, is planning to use a $9 million injection of Series A funding to expand more deeply into the insurance vertical. The company is also looking to move into the retail vertical in the future. The latest round of funding brings Segmint’s total to $23 million.

Although company CEO Rob Heiser declined to name the specific investor, he was able to say that the money came courtesy of “a leading global fintech company.”

Segmint’s technology is designed to let financial institutions anonymize CRM data and use it to target consumers across desktop and mobile with personalized messages at the moment of purchase. The data can also be used to either predict their future shopping behavior or determine when they’re in-market for a particular product based on previous activity. For example, if a bank is offering a new type of college savings plan, Segmint can deliver related messages to consumers who either already have young children or are considering starting a family, Heiser said.


Amazon Q3: Ad Revenue Category Up Amid Weak Earnings

Amazonq3Amazon remained tight-lipped about its developing ad network during the company's Q3 earnings call, about which CFO Thomas Szkutak only said: "There's not a lot I can say there."

Amazon's "Supplemental Revenue" category, which includes advertising, Web services and co-branded credit cards, raked in $1.3 billion in Q3, up 40% YoY from $960 million. Amazon's supplemental revenue fared less favorably in international markets, as the company reported a 17% decrease to $42 million in that category.

A number of analysts called out the "vast difference" in growth rate between domestic and international markets. Szkutak acknowledged "the softer growth rate across a number of geographies," despite Amazon's interest and investment in global expansion.

Amazon, which in the last quarter, launched the Fire Phone and dropped about $1 billion on live gaming platform Twitch, reported operating losses that were close to $550 million, citing a $170 million charge for supplier commitments due to weak Fire Phone sales (it had $83 million in unsold inventory in Q3).

Szkutak didn't offer much about Twitch, saying: "It’s a really creative team doing innovative things on behalf of their customers and we are excited to have them as part of Amazon."  (more…)

Nielsen Reiterates Commitment To Digital During Q3 Earnings

NielsenQ32014We live in a world of media fragmentation, said Nielsen CEO Mitch Barnes during the company’s Q3 earnings call. And Nielsen, which reported Q3 revenue of $1.6 billion, a YoY increase of 13.3% (excluding its recent acquisitions of consumer research company Arbitron and market research firm Harris Interactive), wants to help measure it.

Net profits, however, continued their slump from last quarter, falling $91 million from $134 million year-over-year.

“The video landscape is evolving and that creates a growth opportunity for us,” Barnes said. “Fragmentation continues to increase and behavior is shifting as consumers take more control over when and how they choose to view content – and as they do, we see it’s not a zero sum game.”

That’s because, despite flatlining consumption of traditional television, digital video viewing shows no signs of slowing down. According to Adobe’s most recent video benchmark report, online TV viewing shot up 388% year-over-year.

“Choice leads to more, and this is true across every demographic,” Barnes said. “Nielsen is positioned to measure all of that viewing, both traditional TV and digital video.”

All in all, it’s proving to be a busy year for Nielsen. The company introduced mobile measurement functionality for its Online Campaign Ratings (OCR) offering in July, mobile measurement for TV in September and, finally, the beta version of Digital Content Ratings (DCR) in partnership with Adobe, which launched just this past Tuesday.


Alliance Data Systems Anticipates Conversant Will Increase Revenue To $6.6B

ads alliance dataAlliance Data Systems (ADS) reported Q3 2014 revenue of $1.3 billion, a 20% YoY change, mostly driven by the company’s private-label credit card services division, which saw 17% YoY revenue growth to $622 million.

ADS has steadily increased its outlook with each earnings call, and it did so again in its Q3, raising its core earnings per share (EPS) guidance by $.05 from Q2 2014.

ADS made a splash in the ad tech world when it agreed to acquire Conversant for $2.3 billion on behalf of its marketing data subsidiary Epsilon. Once the deal finalizes – ADS anticipates it’ll close by Jan. 1 – company President and CEO Ed Heffernan said he anticipates ADS revenue will increase 25% to $6.6 billion, raising core EPS to roughly $14.80 to $15, a 20% increase.

Heffernan emphasized this figure was just “a stake in the ground” and that ADS will refine the number.

Heffernan also noted growth in ADS’ other business units, including 52% YoY revenue growth to $324 million for airline loyalty program provider LoyaltyOne and 6% YoY revenue growth to $378 million for Epsilon. (more…)

Holding Ad Tech: Matomy Insiders Sell 20% Stake To Publicis Groupe

ofer-druker-matomyPublicis Groupe will acquire 20% of Matomy Media Group, an Israeli performance marketing company that recently went public on the London Stock Exchange, the companies said Monday.

The investment will not generate cash for the company's coffers, going instead to a small group of individual investors, but CEO Ofer Druker said it will result in collaboration between Matomy and Publicis-owned agencies.

Under the deal terms, Publicis will invest about $60 million to snap up 17.9 million shares of Matomy stock from a small group of individual investors that includes Druker and Chairman Ilan Shiloah. The agreement comes with an option to buy another 4.9% worth of Matomy shares.

"Publicis will be able to work with us on three main elements," Druker told AdExchanger. "One will be to include us whenever it makes sense in their media-buying activities. The second is Matomy is planning to grow to more territories; next will be Asia and Eastern Europe. Publicis has a strong ability to help us start building our presence there."

Third, he said Publicis will aid Matomy's efforts to diversify to new industry verticals such as "fashion, ecommerce, and so on where we are still not strong." The company's roots are in finance, education and other performance-obsessed categories.


Qubit Raises $26M From Accel Partners For ‘Predictive Data’ In Ecommerce

GrahamCookeLondon-based ecommerce personalization tech company Qubit has raised $26 million in a Series B round led by new investor Accel Partners.

Existing investors Balderton Capital and Salesforce Ventures also participated in the round, which brings Qubit’s total financing to $36.5 million to date.

“Our new funding is for continued investment in R&D, and we have some very exciting developments in predictive data and empowering marketers to take control of their optimization strategies,” company CEO Graham Cooke said. “We’re also continuing to scale up our sales, professional service and marketing teams in the US and Europe… (and) the plan is to IPO when the business is ready.”

Qubit is among a handful of tag management systems (TMS) like Ensighten, Signal (formerly BrightTag) and Tealium, whose technologies track and codify data signals and, oftentimes, run advanced analytics on top of that traffic flow. In Qubit’s case, tag management is a part of a broader portfolio of audience segmentation and online personalization apps developed by a bunch of Google alums.

Qubit helps retail customers ranging from Staples to Jimmy Choo create what company Cooke calls “Visitor Clouds” of first-party customer data.