DoubleVerify Enhances Brand Suitability Solution for Made For Advertising (MFA) in Response to Market Demand
DoubleVerify (DV), a prominent software platform for digital media measurement and analytics, has recently launched new tiered brand suitability categories designed to address the specific measurement and protection needs of Made For Advertising (MFA). Unlike ad fraud, MFA inventory is not inherently invalid, and many advertisers choose to run ads across MFA sites. In order to determine whether specific MFA sites are suitable for their brands, marketers require tools that offer a more nuanced and brand-specific approach.
In addition, DoubleVerify Holdings Inc’s corporate customers have experienced a significant increase in their cost of revenue, which has risen by 15.73% in the third quarter of 2023 compared to the same period last year. Sequentially, costs of revenue have grown by 13.89%. Meanwhile, DoubleVerify Holdings Inc recorded a substantial year-on-year revenue increase of 28.26%, with a sequential growth of 7.65%. However, revenue of the company’s corporate clients fell by -6.13% year on year, and sequentially revenue declined by -0.86%.Analyzing the current market environment, it is important to consider the impact of the recent downturn on business partners’ budgets. The decline in revenue for DoubleVerify Holdings Inc’s corporate clients was particularly evident in the Major Pharmaceutical Preparations industry, which saw a contraction of -41.5%. However, the Personal & Household Products industry performed well.
Recent results from one of DoubleVerify Holdings Inc’s corporate clients, Pfizer Inc (PFE), further affirm the conclusions drawn from the decline in revenue. To explain such a widespread contraction within the corporate environment, it may prove challenging, but increasing focus on corporate customers similar to Pfizer Inc could potentially lead to better performance in the future.
Investments in spending and capital expenditure are up by 14.54%. Many market participants view capital expenditure as an indicator of the CFO’s outlook for the future. In terms of costs of revenues, DoubleVerify Holdings Inc’s corporate clients experienced a 15.73% increase compared to the same period last year.
To provide context for the aforementioned capital expenditure figures, it is important to consider the level of spending and investments across relevant sectors of the U.S. economy. The Professional Services Industry saw an 18.91% increase in revenue, while the Computer Networks Industry recorded a -3.93% decline. It should be noted that these figures include all corporations within these industries, not just DoubleVerify Holdings Inc’s corporate customers.
In conclusion, DoubleVerify has taken steps to enhance its brand suitability solution for Made For Advertising (MFA) in response to market demand. This move comes as the company’s corporate clients face challenges in revenue growth, particularly in the Major Pharmaceutical Preparations industry. However, investments and capital expenditure are on the rise, indicating optimism for the future. Overall, DoubleVerify’s new brand suitability categories offer a more targeted approach to help marketers navigate the complexities of MFA.
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