When Don Draper of the TV show Mad Men roamed the hallways of Madison Avenue, the number of opportunities for businesses to connect with customers was a fraction of what we have today.
Measurements such as share of voice were easy when looking for brand mentions on billboards, radio or television or in magazines and newspapers. Now, the number of possible measurements is staggering, opening investment opportunities for those who know where to look.
One company that is in the vanguard of digital-advertising measurement is Criteo (CRTO) . It is an exciting mid-capitalization player with sustainable earnings growth momentum in a bull market that appears to be running out of gas.
To grasp the expansion of digital advertising, just consider the explosive growth of applications, most of them with advertising or social-media components.
On New Year's Day, Apple smashed app records. Jan. 1 was the Apple App Store's busiest day ever, generating $240 million. Last year, app developers earned $20 billion, a year-over-year increase of 40%.
As of today, about 2.2 million apps are available in the Apple App store.
Today, Draper would be lying on his couch with an ice pack on his head trying to make sense of the myriad ways businesses can engage customers. For him, measuring column inches or radio and television airtime were easy ways to assess the share of a brand's voice, but this leaves little for subjective interpretation.
The Internet is more complex and pervasive than "old media."
That is why investors should consider Criteo, which controls proprietary ad-targeting technology that functions on any platform, whether it is a desktop computer, laptop, smartphone or tablet.
Criteo's technology can re-target online ads with pinpoint precision, predicated on a consumer's buying habits, demographic profile, expressed interests and online surfing history.
This technology is more than just a means for Internet giants such as Alphabet's Google, Facebook, Verizon Communications and Yahoo! to increase revenue. It is a lasting transformation in the way that companies do business online.
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