Thanks to its investment in connected tech, Telaria is still going strong.
The ad-tech company announced its first quarter earnings today, topping out at $13.6 million, up 42% year over year. Meanwhile, the company’s losses—$4.3 million—marks a $1.8 million drop from 2018. According to CEO Mark Zagorski, the company’s upswing can be attributed to one thing: CTV. He pointed out that the company’s revenue in that space increased by a whopping 169% since last year, by roughly $5.2 million. It currently represents more than a third of the company’s quarterly revenue.
“It’s really the core driver,” Zagorski explained. “And we’ve got lots of tailwind in this space. We know that more people are watching in connected and over-the-top environments, and that just gives more eyeballs and more advertiser opportunities.”
And he’s right. Recent estimates of the CTV market put total viewership at more than 180 million—a number that’s expected to break more than 200 million over the next two years, according to eMarketer. But Zagorski admitted that some buyers might still be hesitant about wading from the linear pool and into the world of cord-cutting. “There’s this evolution of buyer education,” he explained. “The first thing we want people to understand is that this is a new digital format that’s just like TV; it’s just addressable. It lets us talk to people directly.”
As more and more inventory crops up across the connected landscape, he added, we’re going to see more companies taking that dive.