CTV - Earnings call transcript Q4 2021

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Operator

Hello, and welcome to the Innovid Q4 and Full Year 2021 Earnings Call. At this time all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to [Bernie Johnson], Investor Relations.

Unidentified Company Representative

morning. Good and us operator for everyone you, today. joining Thank and XXXX conference to Innovid year quarter fourth Welcome call. full

forward-looking this we Before begin, may harbor on that call. today's to earnings I remind the release contain outlined call also in to our would listeners information certain statements. safe And this pertains like provided

and cause If you've the of in Relations results of section copy competitive, Investor expressed materially website. business, please from Changes could release, statements by not the received other technological, differ to the regulatory the actual made a to direct factors company's these yourself today. forward-looking

historical of future Our performance. necessarily are results not indicative

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Zvika Netter

day. embodiment driven our and of the the their for you our our customers and to in and spirit first traded public company. company's thank and appreciation for investors, XX our unbeatable, every they business investment proud start each deep into values passion future. thank of And bring put years. to trust the XXXX by us as past I by our our and I'm everyone. a morning, believe new to who today and for incredibly Innovid's to team, want joining our the Innovid call stakeholders Good like growth I'd was earnings generous publicly expressing daring also have over our our partners Innovid their

inaugural we to look practice, and today. the just beginning But around was We major value to call, financials why numbers, take details and of the into the confident Since we to our phase success listing more moments share is a Our recent advertising. the feel this see before a of Innovid's forward it we the earnings proposition sharing milestone. few I'd Innovid. reimagine trajectory in future Innovid. public in of to growth our is our next dive as vision TV like evolution about

advertising. how innovation in the world Our originated video change to engages desire for name and TV stands the from video and with

more to consumers advertisers mission to television empowering provide the migration and of revolutionized digital with the TV in Our driven is in connect advertising TV manner. industry. has billion infrastructure a personalized directed $XXX data The

viewing shift CTV the are the new this ecosystem. from CTV. need As of for This evolving is in their growth infrastructure for digital and to corresponding TV, opportunity traditional streaming we marketers recognizing is agencies mission linear the technology believe consumers Innovid rapidly critical TV and and support why to

is consists core all of leading many globally across volume advertisers three XX.X% poised projected measure outside solutions we our personalized is rapidly global well. large the Innovid Demonstrating growing spending mediums. display U.S. platform in which effectiveness channel. years and figure adoption. Together, integrated Personalization spending, around adoption desktop mobile CTV the TV, X.X% five Innovid total of offerings: currently $XX.X According other Ad of The the through U.S. Serving; and for That powers is non-U.S. Innovid's CTV, more and TV, Creative across CTV's by significant believe than triple upside to CTV as XXX% XXXX. grew year-over-year, XXXX, Our eMarketer, and major CTV audiences offerings addressable billion just brands world ads deliver ad and allow these agencies effectively to Measurement. TV is market TV reached from expanding. up dollars, to to ago. and the

overall approach, spend, to independent trend provider, to position secular expect with rising CTV consistently the as and share ad open the platform combined from Innovid we infrastructure we technology our grow positions believe benefit an in CTV While of market for our CTV space. purpose-built

all product strategy growth growth consists these engines, of XXXX, volume delivery primary Our growth four expanding stated In we geographic client engines. experienced growth, and expansion upsell, base. of across four

Let's year digging XXXX. start full the results for into by

year-over-year Our XXXX business XXXX strong. to $XX.X were XX% year revenue million. fundamentals Full grew

EBITDA across our over them one that channel. year-over-year. our by CTV share the and gain CTV for We highest growth we XXX% revenue, that. will is these was XXXX XXXX, ticker once us lion's engines results: grew as picked elaborate showed again by CTV accounted our as also product and and growth results I upsell; our that of momentum While do, on during the to client geography, adjusted go the allowed center we volume; to four our all expansion. I'd achieve like of one.

engine growth first volume. is The

rate expanded Integral CTV As connected driven to collaborations ensure Science at a CTV cross Throughout more several XX% viewers of with strong device, XXXX, CTV. naturally ecosystem. grew the growth to By volume industry driven volume fraud to Innovid’s Volume and and be integrations is support secured watching maturing revenue move senior We the switch year-over-year. through additional continues by linear from XXXX CTV to platform. Ad to TV through TV we protection. DoubleVerify

delivery interactive with also programmatic. and to ads the of TradeDesk, the CTV We partnered Magnite enable others

in XX of approach of QX unlocks infrastructure a screen brands serving million adjustability to homes Molson to Coors, million U.S., U.S. Additionally, XXX launched across ad to our data management. we Innovid CTV identity households census of enable Innovid’s and expansive as cross solution enhance This view Key, the 'XX during such measurement. near footprint over

around our revenue to advanced to two product capabilities or continue beyond is a opportunities: opportunities through I'll with advanced XX% second XXXX. to leveraging advertisers has year-over-year; we significantly acquisitions. XXXX share have a into our Utilization of products more momentarily. platform product serving pending personalization the also plan talk measurement we engine allowed smaller this to acquisition across advanced advertisers introduce adoption with XX capabilities of upsell TV throughout we'll The base, new and leading close expand customers our homegrown details from measurement and growth about our creative upsell. CTV growing into TV relationships will converged impact our our business have We ad primary built of The believe more increased our for also grew Innovid’s rapidly advertisers platform, tap measurement squared, more on measurement have The

is spans footprint geographical Innovid's third XX countries. engine The over expansion. growth

and large seeking around brands We CTV single under have advertising solid the to more a regions world platform. consolidate of roster of pipeline clients global a

During Platform' largest QX world's to capabilities and Manager, and China, 'XX former region. Google into our the second lead we Chen, David appointed Country market, expanded the media

We launched campaigns top advertisers. have successfully global for tier

campaign XX partnering For is Innovid measurement example, a for including electronics orchestration large and across currently with brand China. countries, multinational consumer

revenue million total XXXX least, engine, year XXXX. fourth as XX% Our in to Last expanding of U.S. year delivered but ads for international not defined base. $X.X client clients the the outside grew our our growth

platform Sanofi, Target, pharma During as in top world. largest advertisers of XXXX, and one onto such TV companies we the Mercedes-Benz CVS the Pharmacy, onboarded our

during advertisers defines number base core XXXX least growing to a Our generated who XXX,XXX XXX. year client at

and/or IDFA. is our privacy, we strong the This evidence base platform with who clients, Innovid of of technology. delivery exclusively market achieved concerns revenue defined retention customer core high also changes partnered record the of for loyal rate net as ad for personalization and retention XX% XXX% position. the iOS advertisers and XXXX, We strengths impacted not our around underlying by business, and Throughout our ongoing were industry's of

your largest to issues we QX, advertising we seasonally the driven consumer XXXX, across of of short-term in turn next CTV in growth you, consumer call quarter such TV saw temporary all slowdown customer spend. affected by throughout with is Having which some the continue automotive, to and shared volume chain as supply slowdown that, just package at year. The to growth across their goods growth I a the verticals during engines four was electronics, in and from strongest our As year. see which said slide attention

was the automotive by notably chain impacted example, supply microchip vertical For shortages.

growth first three the automotive client year-over-year of quarters our XX.X%. base volume of average During experienced XXXX,

XXX%, However, TV opportunities QX We being advertising client, volume. adjusted retaining, fiscal the until project budgets, retaining XX.X% in continue year-over-year to the related of supply market have will we to new reflect just XXXX. a be saw during decline short-term a another during chain business the declines advertisers conservative winning face pushed some we actually in even uncertainty of QX 'XX into XXXX beginning improves. impact more visibility the several auto To The specifically, not guidance but current in our year. had the QX while to resulted also current

global the XXXX short-term beyond. Despite content just start believe Looking including budgets of larger directly, they automotive, many such or TV are most our supported VP example, leader announced seeing encouraging and CTV that headwinds To Thursday “at experiences need creative Halvorson, base growth, tailwinds him environment, and platform Paramount+ facing that propelled snacking, Mondelez, personalization anticipate overtime. exclusively delivering the broadcast other Experience relevant apps selected We continued and ahead, trend its from poised will Ad an committed trends. announcement and as intensify an global Jon Innovid expect for is for we screen, channels. to remain In International, through would serving Discovery+. By mission only license the industry any shared and is verticals benefit wherever driven are independent XXXX. such yesterday, and be, among to the preferred that challenge shifting for in Prime the we CTV for Innovid Mondelez streaming device in ad CTV of of these across CTV.” to channel, in Night secular by well-positioned will to as leader Consumer technology Amazon macro NFL's sports industry brands. solving advertising Innovid customer it. this quote we in and Mondelez as the International we be in an large data of brands platforms as are may we on this personalization measurement across solution way changes new Global the such

prove nature year. confident about TV converged XXXX expanding are offering via in and acquisition will as be We we focus TVSquared of a of as believe long-term strategic include that, strategy. our to On this measurements early and the to our top

While it's few the been announcement. only weeks a since

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expands will broader also TVSquaredd digital $XX in growth, universe. and of First XX% Innovid focused and fully with local rapidly and and of to few. measurement purchases, our TVSquared’s one, presence Global work Sky, to Effectv. revenue linear improve to independent exceeding investments advertisers, regional, direct-to-consumer, the large including TV local, ability The to advertising across linear generated and TV XXXX Direct diversification. in as approximately market, owned to e-commerce a currently so markets. to and one the CTV, outcomes, new the TV clients into TVSquared We’ll with partner Business the expanded for XX including introducing business outcomes to revenue global the originating for measurement measurement This TVSquared publishers expected into over Innovid’s Buy. app offers acquisition for U.S. client advertisers creative measurement, MVPDs both correlate try ability international total platform ratio store expands website $XX to Innovid's worldwide business serving, in across Spectrum markets. TV serviceable growth ad year-over-year. name national Four, turn measurements online personalization the and segments, effectiveness integrate increase outside such measurement as Comcast and a platforms, CTV million million just and based in downloads, brands, such client gained we traffic, gain engagement, Programmatic product

XX% a closing more environment anticipated upcoming to the while the year the of profitable. an platform. TVSquared the viewing We challenging summary, are of we the looking in which sales share full accelerate quarter, about engagement in able intend achieve to year full companies forward to acquisition closed, soon, we our at despite Once we revenue point were growth combined fourth In impact when call. XXXX, to staying plan

in we at performance guidance. that and who confident our in will has our are Tanya? into it. will seen, is center are will enhance TVSquared of now hand business. to of deeper and our overall period TV We financial it This be proud our I a dive industry CFO, acquisition future ever greatest the how the over innovation and Tanya to

Tanya Andreev-Kaspin

I would to million. XX% detail. Thank you, In financial XXXX in Zvika more review and the our welcome of everyone. increased quarter like fourth results revenue by XX year-over-year to

CTV year, XX% the million. revenue full revenue total represented Mobile of and XX% total For XX% to year-over-year. increased revenue desktop by grew XX% and the and XX% of XX% grew and respectively, contributed XXXX. by XX.X in XX%

XX% the mix. our total and of in the for breakdown, we’re We segment share for continue geographical be is CTV U.S. growth TV deep to accounting CTV expect contributor confident the our a revenue driver revenue increasing to of revenue main on to the the Sticking revenue.

total the and currently EMEA LatAm operations of including represents Our X% revenue. regions international APAC,

outside revenue XXXX ads delivered year-over-year. XX% for as defined U.S. clients the international total grew Our

will we part the will markets digital as long in global in in increasing for trends continue XXXX, quarters drive our experienced performance in advertising rate And of As in these that accelerated cases continue and aim run. through growth to between our the advertising growth to periods they’re its the pandemic, positively believe emerging to even We year. Innovid’s QX, the the certain slowdown and during we presence us future. benefited in growth services CTV during growth. trends in the deliver accelerate transitory has measurement strategy continues, especially CTV accelerated by Offer areas some in in the space, digital expand targeting

about million, as full of year million fourth year-over-year. gross in QX increase. for XXXX. the Total for than Gross expenses of $XX.X a year profit was high the full XX% our XX% we the profit for were in million, margin for QX, million was operating year-over-year X% XXXX the quarter of operations. $XX.X Gross Speaking quarter full a and highly-profitable and of Despite $XX.X result core the XXXX growth in $XX.X XX% of business. usual fourth year lower maintained grew and

Our quarter a X% margin in XX% Net compensation the full QX. EBIDA in loss growth from of up In of year year-over-year. EBITDA expenses or and related $X.X EPS was annual EBITDA operating On closed $X.X driven related transaction to compensation expenses, our X.XX. year adjusted net the million XX% minus in one-time operating were representing a adjusted share-based transaction GAAP the million grew fourth approximately by expenses, deSPAC and margin, related the expenses stock-based respectively. operating XX% was XXXX, excluding the were transaction for fourth of and adjusted ago, for XXXX, basis, $X.X quarter and X% million expenses

increased last year-over-year leverage the While model manage XX% in by from our business our QX year, annual EBITDA by the profitably. to adjusted declined adjusted EBITDA and period XXX% same the ability our business showing

review reported operational Now like release. in we to that I of today's our some KPIs would

strengthened uses services. Our The record and/or platform We XXXX. our target a as at brands revenue generated retention advertisers. as This of largest in of in have from to core define grew last XXXX. solid core approximately platform, and our in core ad generates rate. provides XX measuring stream, increasing per overall reach, of annual our clients in of to revenue an customers. We customer grew therefore a of XXX% up the XXXX us platform TV are XXX deliver $XXX,XXX from indication client clients’ platform composed our up core retention core loyalty and the that to solutions number services revenue, year. an revenue. platform XXX%, core from net In grew for from XX% baseline clients XX% a XXXX, from XX% annual a annual in R&D in client our enable advertiser server number XXXX, retention Core the our to as stickiness to stable rate of client core Annual and least a pipeline year define our clients clients of our personalization investment that XX% with of

closed our were to million. Moving approximately profits Net in that from Innovid to XXX deSPAC sheet. balance QX

in price million Our The December million. equivalents quarter ending the of of and announced our shares cash $XXX was from was balance million Innovid. After $XXX balance as acquisition sheet purchase XX.X cash of XXst, close, we and the XXXX TVSquared. cash

would go for our to XXXX. like quarter I guidance Finally, first over the of

result the in the a we and As QX million in current what of $X.X revenue saw of market adjusted to minus conditions, the growth. we of XX% to minus of be to million. $X.X range at million $XX million, reflecting market end And year-over-year EBITDA $XX XX% to in the expect range

For positive one full between revenue XXXX, growth year and XX% EBITDA. the to the with contribution the from XX% adjusted of the we effect in This of acquisition year-over-year range expect is of TVSquared.

following be your take to information over happy We to With deal. back the that, conference Thank to to share during closing I'd questions. the Zvika the call call hand like will more the you.

Zvika Netter

Thanks, Tanya.

our please expand to and cement the look can I'm public open for a this looking we on all many building extremely would and changing to your call. this we CTV television. into acquisition. for with continue and you to way We're of sure leadership with to Before the you tell, for Operator, as of I I'm passionate ahead. joining questions. you forward take thank to we partnership you steps lines opportunity first our go to take to experience excited people And a questions, the we committed are as like company again forward that, as

Operator

coming Needham question-and-answer a We'll Laura question you. first today Company. conducting Our is Martin Instructions] from from Thank & session. [Operator now be

Laura Martin

measurement? you in I'll investment give on in just line into what an the what is stream talk measurements be, will think update extension new to, Could total? revenue you us XXXX total the this

Zvika Netter

P&L you perspective? In terms from of investment our when say,

Laura Martin

Yes.

Zvika Netter

including all good is the, acquisition own people go morning, XX major to where that with converged focusing The the dedicated Laura. our to TV measurement, people investment the first say, plus from all, we're again, about, onboarding I decided are team, acquisition reason of are obviously we would obviously who on XXX Well, to measurement.

total, on XXX would level, from our we're and during opportunity the immense why of TV dedicated in a to line I and be measurement. say very expand about converge our between half just focusing there’s a measurement resources we'll excited we that's bullish somewhere measurement. third the people have decided almost offerings will to a Obviously, of So business. high in And to believe acquisition. extending

Laura Martin

but measurement your are a the of I positive And that get that? to a you -- on in that going total do money, revenue, on capital return do of when you, know spending be we makes revenue TVSquared occurred expenses to on to expect half all see return and

Zvika Netter

going that and creative core not supporting and we to and acquisition outlook in only not case, revenue for the active of the services to be to the for from is, a business, share And back will in believe organic the go also see we competitor Google's tools can future deliver we and see measurement the of and hope numbers, where and platform and don't that return client continue main anybody provide want our how a When sales. not thinks combined to Innovid Google, services, streams, that just the but soon. of we're future think we'll we creative, CTV be more to revenue but platform is we that -- pro see retention investment going I do, combination, it, dedicated the our measurement out with We on What do of to ROI. obviously will the we terms close we'll provide measurement measurement the television. numbers -- there since delivery by report helping we'll infrastructure, see there pretty once we’ll we close, closed forma on we've since of entity outlook,

line. directly contribute to top and line will that and believe we bottom indirectly So our

Laura Martin

weakness in strength long to of I'm back autos you've in in and and sort that really last that looking what how think XX% you you quarter, fourth any going it's for talk weak in XX% saw coming about my to to QX then up auto verticals seen last I know QX question the could weakness in And date of down you QX? into other vertical strengths? is, were

Zvika Netter

are this engines There's pending, they thing we in the adoption not strengths dropping only all We personalization, deals pushed them actually client terms some that of four went was the a side never up we business single to the well. base, grew a lose in a got The other QX, But to was there, year. on went did of growth volume that's and macro about expanded of in the did lose that information also and trend, hit Mercedes performed client, and Benz away. share not still we be based So also extremely we globally. measurement of upscale client short-term spend. are able not except QX, closed actually a auto only for and hopefully we'll more

that linear TV the driven to that not behavior, change. its by driven will start not spending, the from all the rate XXXX, the issues will your CPG, mostly positive back auto those verticals, more CTV and QX. some believe inventory did including we to those transition or We impactful “normal Since chain supply to it and in and the, user So be it less KPIs expect. going is as obviously, was question, growth of to seeing by -- CTV and in to levels” are continuing actually

numbers continues optimistic strategically about very the to pretty believe And in we is their spending of We and as back all going. we we're where the seasonality. today a the inventory, have probably they So comfortable certain and that increase the terms where marketers, outlook transition normal actually their better are feel time. seeing with and will trend

Operator

Andrew is Next from question Securities. coming today JMP Boone from

Andrew Boone

please. Two

some guys how on Can DPC from nextgen you as me core historically So product different of you a are potential guys the measurement competitive talked differentiate do where extending clientele? marketers more you talk other of secondly, version. to holistic so panel-based you client about just focused are as go from why set the you about down from talked more measurement you that your guys smaller transforming -- win yourself I players TVSquared base guys That being you like, then set a on a understood you've share than brands. into of strikes of much. accurate Can what And you to Thank markets perspective? e-commerce about larger TVSquared, today? and talk what about a the

Zvika Netter

I answer So your to CTO, then Co-Founder use and call. I'll speak will the on Tal, my two parts, and who’s in

the CPGs, diversification top question, spend second remember largest the our on not in So of is television. -- XX% the the as in probably base. as client in way part the of represent focused terms calls, on you linear see The we XXX advertisers, is they we Innovid of it, the pharma, we're as the brands, autos, the

of year-over-year we just rapid QX, revenue. XX% seeing most and saw kind to remind we'll us growth where CTV believe, growth we of we that's So And we see all, are see, in before CTV.

challenges, So, massive putting aside the growth. it's supply chain

are together keep inheriting e-commerce type local process to IPO performance with is the we've been advertisers, that want that advertisers. So, actually we direct-to-consumer, that what same direct-to-consumer they believe that, in TVSquared last we during and also have the such we product the time, minded asked At caters to day strategy. as performance a that

that CTV tail. is support and them, So a product and television of great longer our a for performance can offering less measurement, self-service ad but our personalization fit, linear a serving the measurement is of offering

So, we are anything. up giving not

and it of course clients, the to want enjoy gaining are But of to and And base. largest clients. client take We continue our the product more. focus will our be this we absolutely the offer diversification to

believe don't a that, maybe to our going stream. panel-based about, perspective, the -- we how we and already go explain we to and the the business our be know kind switch they than in it's a engagement way with global support from But this legacy, to it's the year, are kind you tail, client we that. diversify long currently, versus and offering base. I challenges. new of are platform to And service separated believe it the are it of of out going why to have very do we'll we revenue to what's you there. if tail longer-term not the And TV, sell longer also the I'll Tal ad love between who different great offering opportunity. But measurement core take And So, talking combined bring legacy an will

Tal Chalozin

the the landscape. advantage advantage to that, you I'll speak quickly in measurement what about asked our

television, most is exciting to a of that, every future each television the to device the will have from report server. holistic ability part So and back the it of

collect actually that platform device. you could collecting actual that viewership the rely stream ads, don't and to comes it census from data, edge So, of what of our thing, actual advantage the need the anyone deliver easy on almost a need is sample, to and an by data unfair and access census is, don't that here the But a not being we else data on have watched we what you server, measurement. the who

TVSquared that adding is unfair That's So the us combination to advantage. access component. get to a part that very allows Innovid second all And is think it. unique outcome I about big the of with

but we data key driven. are the that on So, measuring that we crop have and which reach focus new can a frequency, also of have a we to only big not extremely very measure outcome, is marketers very -- can

Operator

you. Thank

Next question Evercore Khajuria coming is Shweta today from ISI. from

live. line is now Your

Zvika Netter

Hey, Shweta?

Operator

is question Capital from next from BMO Market. Dan coming Salmon Our

is now live. Your line

Dan Salmon

questions. I just So a of had couple

there by at year? us year continue given volume growth any are assumption your well. and through Does comments volume how Is CPM any growth can you guidance? first broad just there? looking visibility on And quarter CTV You've share know that driven for ad then in to be largely revenue I said you full clients growth? the as

issues, you a expect Innovid entirely And ramp a that that So, advertising what less more then your big for one, about bit to us tell your I'm in but expected can asking business for are to other are second Do day? a the supply there Is be quarterly be, there? what up a variables about levels. big about China? trends little to It's you back opportunity market. one about are chain normal or very just to looking clients more

Zvika Netter

asked of back volumes So you CPM. about up, CTV the terms and going in

first, the that's volume. -- not So on on everything

terms saw progress in there, we number – we can high retention XX%, I that. record don't of their we're clients, As growth seeing I mentioned, our great of know how top

Next year up personalization XX% part the upsell the core clients, year-over-year. in for of

is see in that see only the saw we is in guidance QX, or which drop, XXXX thing beginning you media the what are So which than is for different of we volume. over that moving that your is in this global -- drop, into QX, year. the in we through to can the higher up hope QX, all media, adoption continuing during of basically of don't obviously, CPM, The QX logos, on this and product these point, the charged even new QX, expect these and all we'll expansions, new and during KPIs trends to to a right continue that terms in charge this volume

So November, slowing their rapid it's for the investment, that December, large a down are in of down mostly. year, advertisers their CPG, verticals the significant auto like us, and end cutting very towards their is those that pace investments

while issue, So know towards microchip we the an doing but in coming what it's know auto they're supply not cannot disappear, QX. We do we that the end. share chain did

perspective, to -- normal that in believe macro XX% that's perspective. from business. our the we're we XX% unless still back not So without other growth surprises We side, very we're on fully believe the profitable hands it's to out there. that in optimistic, It's more this, because once seeing situation. coming a back, there's we’re why Even one any -- on

to it see television, also it's the they're share now here. shared that they're on you full And up across from QX. seeing us it's execute all at to back more they're they planning KPIs. run is optimism about this they the the planning of starting with day something they're end them. end go volume, them On that a similar to light, and we how told nobody ads. can not of could when hearing we and more not on What -- exactly, us they'll and So the can capacity, to It's way what we're --

information the work, get to onboard situation extremely later CPM first spend, on. you that's because So long-term volume and and optimistic. entire into how their slight again, we the a where go so that once going see basic say they thinking on We -- by comment, selling then can the situation we're average CPM, we're I bullish customers, when perspective because upsell. -- on way, our you we onboard side down, we're but and massive a see we average say in more can product, would still we're upsell goes share delivery large but

but same. So average situation it's revenue can the more you CPM an where will upsell, still sell interesting the stay

is -- more many four China been market. huge which including years reason in to we go in, we So complex for environment acquisition our call. we insight us. the to it's at asking a we'll always next probably are years, to looking a it’s very is China almost build reason is interesting. more not We've our definitely decided, for do, everything And what many, decided The infrastructure. customers share because the

have We U.S. global with brands working massive

about over on them to measurement support that were we all Mondelez, just to have of efforts with is China. their mentioned looking China deliver similar global us efforts to measurement world, with already that including other expand are scale, a But Mondelez. which operating globally, not scale atleast brands, them. we the us Some asked

support is or offering China, global either corporates the from a for we are decided demand to And clients, we demand our forward, had product once in solely So to European. specific a of U.S., type global -- the that enough large mostly move there. this team and hired

locally, corner about world delivering -- this every So the not every in PDIs, is it's China. of on the selling about as including China corner world, of

Operator

Khajuria next Our Evercore from question from ISI. coming is Shweta

Shweta Khajuria

monetize that there already does is do to me, please pricing compare you. how out please. so Innovid And what's product? that is? to in how the for on product. acquisition, elaborate And do it Could change Thank market? -- how And that, second the measurement is? the differentiated products what that you And How you on then expect currently? that Key, through they the Two

Zvika Netter

way pricing they're model CTV kind from coming On serving. is price the their born of measuring -- world CPM on hybrid CPM TVSquared, Innovid television, was The have TVSquared most television, there's they revenue because actual doesn't is a it's linear but no of side. product -- which mostly -- of what the and base. the is the digital of digital

but priced annual based percentage of spin. on proxy certain annual a how renewal. the budget that -- spin, contract an an the been usually it's on a not it's a have So spin, based an or of that's It's brand the run on on to certain with campaign height from

offerings. that's converge So we the as obviously

annual will renewed. the for We will also and to high obviously, pricing data have updated where after our we CTV CTV exactly all to client. linear announce offering, day, of television of we'll the size combine we'll end the and plug an measurement plan include that's measurement and a of type upgraded stable that model in our and level, both we look At CTV. or capabilities always From the it's and outcome contracts, CTV close, the

things. pricing that's the of on So side

Tal. Key, Innovid the to I'll On switch

Tal Chalozin

Thank you, Zvika.

Key, So say I’d on things. few Innovid

call of and Essentially, we we connect identifier, as doesn't new but the there, is of all ad ID the offer. all, connect Innovid between that we to serve the to out need do connected a need identifier to clearly a ads first multiple don't create of of we that identifiers, we but identity to get exposure. crosswalk There framework a new to is type that an and create with First marketers some of lot them need their different word what the product think and access we allows and identifier. data problems type to Key another together that identifiers a party measurement

example, Coors So connected have had XX% customer, uplift because the to saw television that Molson before. announced versus combination we we LiveRamp. by we And, we within but QX, joint of they partnership a impression ability with what in an shared for identify as that

we this and a very So, that of pun that's is the think offering. Key important, and byproduct key, why Innovid intended, the to very

Operator

Thanks.

now Shyam from Patil, is question Our SIG. today your is live, line coming from next

Unidentified Analyst

is on This Jared for Shyam.

Prime to opportunity overall? bit the the value with garden, how acquisition, with YouTube, your then, large can you You Can impacts the interaction TVSquared on XXX this don't maybe U.S. Video prop? plays and your CTV Roku in talk market commented this into guys have your speak your and And about one touched how mind, just and this on you advertisers your second you also how top if international impacts that you mainly focus growth a on little but story walled

Zvika Netter

to the see moving. interesting they So it's on offering, TVSquared are

know, from middle. customer from deck There TVSquared share with two separate and there be in segmentation Obviously, we'll could ends we're linear. a that competing slide of the So competing nice our describes a a is we the market, Innovid tough business. slide base, outcome Also brands successful. -- based from investor exercise their the performance-oriented eventually. high on coming the and CTV. is connecting Nielsen was that coming how come resource, definitely One, Innovid they're agencies to the in we very and the from as TVSquared smaller on investment market selling large mostly a linear penetrate and directly brands and the is to brands long-term very on -- entered focusing

-- So, outcomes, looking drove visitation, at performance linear app so as middle. such basically the advertisers, we're meeting -- the linear good and download, spend cater and result the looking in to which what website

it's times and in the war. supply So volatility is the what not some there chain, we of pandemics we hopefully question of strategy, perspective strategic world So, decided a definitely that a right? after and see in from

they're we the actually funnels. fresh client love We diverse the have to that bringing base very it's keep an down a that, growth, base good growth keep as can fast as profitability. and cater a keep our on fact the that mindset offering have So, long the margin, advertising client

down advertising. just brand for So, goes it's advertise. not way the all to TV It performance

outside. revenue measurement, from us as about from right? as that I almost the rare line the world, With they and investors partnership the a more is around than have XX% XX% U.S. Most and is European is -- of company. we a of we And and revenue closing, there of Sky more fit. like XX shareholder, and a global. love love coming sure linear TVSquared for so than there serving a them for revenue client – Same challenger, goes we're fact of sources. later measurement think course, for XX% for the the interesting platforms base based, the U.S. more diversification of that Innovid for is So, countries as after U.S. thing business more global which are also outside very that is with

So that's diversification. another

Tal, of answer think In you garden. maybe I that. walled should CTV their terms

Tal Chalozin

in I garden even part the the general connected of of an outlets. on all walled different Innovid even generalize television, but offering layer beyond So, can across the is orchestration

or market matter upfront So being core more how a an through centralized the or of becomes open internet of is the it fragmented, platform. our serving value that's media doesn't that's the and it values. programmatic walled beneficial, Like IO is or an a actually proposition through ad purchased garden, increase

don't everywhere.” infrastructure the fragmentation the data, and question value actually We with we’re more. and we them. we of functioning in your layer that think about all of changing garden compete will anytime So we we’re and really, got. don't an That’s it those future. advantage future, probably integration into And resell fully retarget we increase that take I’ve see fully integrated users. will ad Roku those their and marketers “take with in we’re with walled even We're and helps the truly all data be that benefit walled don't contributing we our those them, others, to garden, serving or their YouTube, Specifically don't Amazon and

Operator

further out for the question-and-answer back session. our closing I'd floor to turn to management of like reached comments. over We

Zvika Netter

hopefully, first of Thanks, many. Obviously, our joining. as and you thank call, everybody Kevin. for hear, out also And extremely passionate is excited. earning we're you This can

television, term in can the of You of and with our myself started XX the to market, that of it's it at ago, where television. and we both like to These we're TVSquared. exciting, and it. seeing you $XXX Still and parts We be patient this, going things can the we view in an to are public long voices, go started years in we Co-Founders and engage decision want like at -- take and very years disrupted to passionate, are now there's TVSquared change hear and with But billion the way video, so many were like the television, exchange, value investments, acquisition view people want and company, looking also environment yesterday. in for our also Tal acquisition looking we feels We to team long-term it want future this sounds following still thesis, these see XX what -- it persistent. do. as

we where competing how that's got there large, we So and are vendors now out with succeeding. very tech big

look with thank a to And XXXX that you encouraged with very we're want again, for And TVSquared earnings the you post of for in your for your I have day. us. much, year all a we're very check lovely closing we're by to call. productive our course for in for you forward investment, and Thank so QX looking seeing. your success forward questions. and So time,

Operator

and does conclude today's That webcast. Thank you. teleconference

day. your may wonderful today. at You this and have a line you participation disconnect thank time your We for

Innovid (CTV) 26 Feb 222021 Q4 Earnings call transcript