Sramana Mitra: Could you give me a range of your setup and monthly fees?
Andy Nibley: The setup fees go from $10,000 to $80,000, depending on how complex the implementation is and how many ad services, order management systems, and third-party data they have for us to hook up with. Monthly fees go from $10,000 up to $80,000 or a little more, depending on how many ad impressions need to be processed.
SM: Based on the implementation of your model on these publisher’s sites, what kind of financial ROI are you delivering?
AN: For the client who uses our service well, we have seen doubled to tripled revenue over a year or two. That depends on how well the client uses the tool. You can give them a brilliant tool, but if they don’t use it they are not going to get the same revenue uplift. At the same time, we cannot take credit for all of their revenue uplift if they have really smart people using the tool, because they find ways to make money that we didn’t even think of. So, we have examples of both. We have people who have taken the tool and dramatically increased their revenue. We have others who have more modest gains. One of our challenges is how to get adoption and usage up among our clients to make sure they are getting as much value as they possibly can out of the tool. We are feeling very good about that because we have an extremely high renewal rate, and we want to make sure to keep that up.
SM: How long has the company been around?
AN: The company has been around five years. I would say the first three years were spent building this product, which is extremely complex and not easy to replicate. I would say we really focused on selling it over the past two years. Since then we have more than tripled our client base, and we dramatically increased revenue. Last year we doubled the client base and more than tripled the revenue.
SM: How many clients do you have?
AN: We now have over 30% of the comScore top 100. In big data terms, we process three terabytes of data every day, and we are processing more than 100 billion ad impressions a month. Those are huge numbers.
SM: I agree. What is the technology infrastructure that supports your product?
AN: We have our own private cloud, and we basically use all the latest stuff like Hadoop. We try to stay on top of cutting-edge technology. Our technical operation is based in Boulder. A large percentage of our company is involved in engineering and operations. We started entirely as an engineering firm, and we have been building out sales, marketing, and general management for the last couple of years.
SM: Are you based in Silicon Valley?
AN: No. Our corporate headquarters are in New York. Our technical operation is just outside of Boulder, Colorado, and we have a small office in San Francisco.