It's all about efficiency, offering end to end buying, resulting in better ROI's.
As all companies look at efficiency for enhanced profit margins, old school methods for a advertising campaign which apparently took up to 60 transactions have been reduced to as little as 5.
The recent launch of Adslot Media Market Place is what will drive higher revenues and ultimately profit.
As the website states 'The Adslot Media Marketplace is purpose built to allow large advertisers and media agencies to transact direct with our most premium publishers, effortlessly'.
The union with Facilitate brings buyers and sellers together, something rather unique in the advertising space.
It's taken a while, however more than ever Adslot's potential to become even a mid size player in the sector worth 42 Billion annually looks very probable.
The key edge which Adslot now hold in the advertising space is Straight Through Processing.
Go to Adslot's web site and take the time to watch the video's where you can watch:
Scaling Demand For Publishers With Programmatic Direct
and
What Programmatic Direct Means For Media Agencies
This is taken from Facilitates web site:
Recently, Facilitate Digital and Adslot announced a merger. Frankly, this is one of the best and most strategic mergers in advertising I have seen in years. Why? Straight Through Processing (STP.) A little used acronym that will become the next big three letter hype machine in ad tech.
The combined platform will be the first of its kind in advertising, allowing buyers to directly query inventory availability from inside the agency workflow, negotiate, book, traffic both publisher and advertiser ad servers, and push transactions to their finance systems, all on a single platfrom. On the surface, this does not seem like a big deal, but it is, it’s a really big deal. In my opinion, this was not a deal driven by traditional balance-sheet cost savings, rather it was driven by true value proposition synergies: the integration makes the Facilitate Digital platform more efficient and valuable while doing the same for AdSlot
As this recent article in BRW points out:
Management have a proven track record, the founding directors are no strangers to success in business, in 07 selling their web monitoring business Hitwise for $240 million.
Then there is Chris Morris, ex CEO for Computershare sitting on the board and a major shareholder.
I have held this little spec since early 2010 when it was WFM (Webfirm) Although it's been a long wait, I very much like the now emerging entity.
With no debt, and about 11 mill in cash, I doubt ADJ will turn to the market for extra capital.
I know of a broker who a few weeks ago along with a handful of other brokers were invited to a closed house investor presentation.
The word is internally everything is running smoothly and as planned.
His price target is .24 before March, and .35-.50 target within 8-12 months.
I know a guy who works in advertising for APN News, he thinks it has the potential to see $5 in 5 years if all goes well.
As we all know this is pie in the sky, Adslot are still to deliver, nonetheless it's encouraging, and I hold with added confidence.
I anticipate with the general market taking a breather, a retrace to .10 perhaps .09 or even a 61.8% fibonacci retracement from the .155 high down to .07 ish. All of which provides a stronger up move to .24
Good luck to those fellow faithful.
ADJ Price at posting:
11.5¢ Sentiment: LT Buy Disclosure: Held
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