Jivox, the Best-in-Class Platform for Personalized Digital Marketing, Secures Strategic Investment from You & Mr Jones

World’s First ‘Brandtech’ Group Makes Multimillion Dollar Investment in Jivox

Strategic investment by You & Mr Jones highlights Jivox’s best-in-class platform for personalized digital marketing

June 13, 2016 08:30 AM Eastern Daylight Time

SAN MATEO, Calif.–(BUSINESS WIRE)–Digital marketing platform leader Jivox today announced it has raised $6.0 million in new financing, led by the world’s first “Brandtech” group You & Mr Jones and its founder David Jones, the former global CEO of advertising conglomerate Havas. You & Mr Jones will also join Jivox’s board of directors, and its senior management team will play a hands-on role in guiding the company into the next phase of its growth.

“We think the programmatic creative space has a huge future. Jivox is a very exciting company, both in terms of what its technology offers and its proven ability to deliver for brands. Diaz’s track record speaks for itself and the Jivox platform is a great addition to our Brandtech ecosystem.”

“David Jones is at the vanguard of a completely new paradigm in marketing – bringing both brand expertise and a carefully curated ecosystem of the most advanced marketing technologies,” said Diaz Nesamoney, founder and CEO of Jivox. “As the only platform for personalized digital marketing within the You & Mr Jones portfolio, we’re pleased by the endorsement this confers on Jivox’s technology and our team.

“As brand marketers continue seeking ways to improve the performance of their marketing, the demand for data-driven, highly personalized marketing campaigns has skyrocketed – driving significant interest in platforms that can bring scale and automation to an otherwise complex, manual and error-prone process.”

Founded in 2007, Jivox enables some of the world’s most successful brands and media companies to deliver sophisticated, highly personalized digital marketing and advertising campaigns. This new data-driven approach to digital marketing is completely transforming the way companies communicate with people.

David Jones, founder and CEO of You & Mr Jones said: “We’re extremely interested in the whole area of machine-generated creativity. We don’t believe people hate brands or branded content – they just don’t want to hear from brands they are not interested in with irrelevant messaging, hence why ad blockers are becoming so prevalent. Jivox solves this issue for brands by combining data and technology to deliver tens of thousands of different versions of highly personalized, relevant ads that are based upon what people are actually interested in.

“We think the programmatic creative space has a huge future. Jivox is a very exciting company, both in terms of what its technology offers and its proven ability to deliver for brands. Diaz’s track record speaks for itself and the Jivox platform is a great addition to our Brandtech ecosystem.”

Jivox’s impressive growth lies at the heart of a key need identified in a recent report from Accenture – The Future of Digital Advertising: “Companies not wired to be thinking about personalization will really struggle going forward. Re-targeting is not the answer; consumers move on too quickly. They want the right message, at the right time, on the right device, right now.”

Jivox brought to market the first and only platform built from the ground up to manage the complexities of personalized digital marketing. Utilizing a robust content management system, technology for dynamically assembling creative in real time and advanced machine-learning algorithms to analyze and optimize campaigns, Jivox has been credited with reinventing the market for personalized dynamic creative.

The move to programmatic media buying has significantly reduced performance and engagement by users leading them to resort to ad blocking and other means to avoid being interrupted by thousands of irrelevant ads each day. Personalized marketing technology ensures the right creative experience is delivered to the right person at the right time.

In addition to You & Mr Jones, existing investors Fortisure Ventures and Jivox CEO Diaz Nesamoney participated in the current financing round. Jivox will invest its new capital in growing sales and marketing globally as well as continuing to invest in its market-leading platform.

About You & Mr Jones

You & Mr Jones is the world’s first Brandtech group. Its mission is to help businesses build brands better, faster and cheaper using technology.

It was founded in June 2015 by former Havas Global CEO and Facebook Client Council member David Jones. Since launch, the group has completed the acquisitions of Mofilm, fifty-five and theAmplify, launched the start-ups Mosaic and Blood, and invested in Pixlee, Mashable, Beeswax, Gfycat, Niantic, Automat and now Jivox.

It sits at the intersection of: the dramatic growth in mobile; a tech revolution that has empowered people to create, produce and share unprecedented amounts of content; and frustrated global companies looking for brand and tech-savvy partners.

Group clients include Airbnb, Netflix, Facebook, Accenture, Unilever, L’Oréal, Coty, Richemont, Emirates, Mastercard, Google, Sony, Coca-Cola, Diageo, Danone, AXA, Orange, Renault, Ferrero, Lacoste, BNP Paribas, Europcar and Total.

The group focuses on the following areas: user and machine generated content; creative, brand and content strategy; social media marketing; programmatic media buying and creative; multi-channel networks; and real-time measurement and analytics.

You & Mr Jones is headquartered in New York and has offices in 12 cities including San Francisco, London, Bangalore, Sao Paulo, Los Angeles, Shanghai, Sydney, Mexico City, Cape Town, Hong Kong & Paris.

About Jivox

Jivox enables the world’s top brands to deliver highly personalized digital marketing experiences. The company’s flagship Jivox IQ™ is the industry’s first platform designed to deliver dynamic ads at scale for programmatic media across all formats and screens.

With its unique ability to integrate first-party, audience and contextual data, the Jivox IQ platform creates personalized digital ads in real time – customized to the individual – by dynamically generating thousands of creative and messaging variations at scale.

Several hundred leading companies today use Jivox, including Bayer, Bose, Condé Nast, Toyota, Johnson & Johnson, REI, Sony, Starcom Mediavest, Time Warner Cable and Universal McCann.

Contacts
For Jivox
Samantha Moore, +1-408-712-0612
samantha@jivox.com

or

For You & Mr Jones
Seven Hills
Henny Hamilton, +44 (0) 20 7199 2212
+44 7920 557475
Henny.Hamilton@wearesevenhills.com
Matthew Rowlands, +44 (0) 20 7199 6182
+44 7450 206318
Matthew.Rowlands@wearesevenhills.com

AdAge: Dentsu Aegis Network Acquires Digital Analytics Shop Cardinal Path

Dentsu Aegis Acquires Analytics Shop Cardinal Path

By Alexandra Bruell. Published on March 10, 2016.

AdAge - 20160308_Cardinal_Path_Leadership_cr_Dentsu_Aegis

Cardinal Path leadership (l.-r.: John Hossack, Alex Langshur, Corey Koberg, David Booth, David Eckman).
Credit: Courtesy Dentsu Aegis

Dentsu Aegis has acquired digital marketing shop Cardinal Path as it looks to build its performance marketing and analytics offering.

“I want a more scaled, more digitally focused capability in this space, and I want a business that I think fits and is complimentary to the business we already have,” said Robert Horler, U.S. CEO of Dentsu Aegis, which is the name for Dentsu’s operations outside its Japanese headquarters.

For Cardinal Path, it represents an opportunity to grow internationally through the holding company’s global network.

Cardinal Path has “a number of clients who have said to them, ‘If you were a global business and could scale globally, we’d give you other business in other markets,'” said Mr. Horler. “They want to be part of a global opportunity and can only do that in a network.”

Following the acquisition, Cardinal Path President and Co-Founder John Hossack will report jointly into Mr. Horler and Annette Warring, CEO of Dentsu Aegis in Canada.

While Cardinal Path will maintain its brand within the network, it will work closely with media agencies Carat and Vizeum, as well as performance marketing shop iProspect.

The firm’s capabilities — digital analytics, user experience and search and performance — are complimentary to the network’s existing search, data and performance business, but also enhance Dentsu Aegis’ current offering with a digital training function. The shop has been managing Google’s Global Partner Academy, a program that provides training sessions to Google Partner agencies around the world. The shop’s current clients include Intel, Bridgestone, Universal Music Group and Pfizer.

Cardinal Path was founded in 2011 as a merger of three web analytics and digital intelligence firms — Ottawa-based PublicInsite, Vancouver-based VKI Studios and Tempe, Ariz.-based WebShare — and currently touts a presence in Chicago, Vancouver, Phoenix and Toronto. Dentsu Aegis wouldn’t disclose any information regarding the firm’s financials or the terms of the deal, beyond saying that Cardinal Path’s annual growth rate in gross revenue is greater than 30%.

The shop has grown under the guidance of Abundant Ventures, a minority investor and healthcare and media accelerator started by media agency and tech vets Andrew Swinand and Eric Langshur. Mr. Langshur and Cardinal Path Senior Partner Alex Langshur are brothers.

Dentsu Aegis has had an appetite for performance, data and analytics acquisitions since Japanese holding company parent Dentsu acquired the Aegis media agency network in March 2013. A year after the deal closed, Dentsu Aegis acquired New York-based events and promotions shop MKTG for $52 million. Later in 2014, it bought global performance shops Covario and Rockett Interactive to scale its existing capabilities within iProspect.

~ ~ ~

CORRECTION: An earlier version of this article erroneously said Eric Langshur is a co-founder of Cardinal Path. He is not; Cardinal Path Senior Partner Alex Langshur is.

WSJ: Deloitte Digital Buys Creative Agency Heat

Madison Alley Advises Heat on its Strategic M&A Sale to Deloitte Digital Establishing the World’s First Creative Digital Consultancy

Acquisition is latest evidence of consulting firms’ continued push into Madison Avenue’s territory.

Management consultants are moving deeper into Madison Avenue’s territory.

Consulting firms have spent years working with chief executive officers and chief information officers on tasks ranging from developing high-end business strategies to implementing new technology.

Now, they are increasingly targeting the chief marketing officer as the marketing segment of the C-suite is becoming more responsible for the overall customer experience.

In addition to coming up with communications strategies, marketing chiefs are under the gun to drive tangible results and help reinvent the business. Plus, CMOs are spending more money on information technology services nowadays.

As consulting firms try to win more work with the digital marketing side of the business, they are sharpening and building out their creative credentials, long the territory of traditional advertising firms.

Deloitte LLP is the latest example. The company has acquired Heat, a 110–person creative agency that has done work for companies such as videogame marker Electronic Arts Inc. and travel website Hotwire. Terms of the deal, which is being announced Monday, aren’t being disclosed.

Heat, which won several awards during last year’s Cannes Lions advertising festival, is the 11th digital marketing company that Deloitte has bought since it launched its creative consulting unit, Deloitte Digital, in 2012. The unit, with about 7,000 employees and $2.1 billion in revenue last year, is one of the biggest digital agencies in the world.

Deloitte is just one of the many consulting firms and technology consultants that have created big digital marketing and design divisions in the past few years, thanks in part to purchases of companies with capabilities such as building user experiences, digital marketing, design, and Web and mobile development skills. Now many are starting to ramp up their creative expertise.

“We realized the consulting industry needs a bit of a shake up and the way you do that is bring creative thinking to the business,” said Andy Main, chief executive of Deloitte Digital. Mr. Main said he needs good creative skills to be part of everything the company does from designing a loyalty program to overhauling the experience people have when they visit a car dealership.

PricewaterhouseCoopers LLP said it is in the process of buying two or three digital creative firms in Europe and Asia that will be part of its PwC Digital division, which had $1.2 billion in revenue in 2015. Meanwhile, IBM snapped up three different firms this month that specialize in digital marketing, creative and design, including Resource/Ammirati, a digital creative agency that works with companies such as Nestlé and Toys “R” Us. IBM Interactive Experience said it has over 10,000 employees and posted revenue of about $1.9 billion for 2015.

Companies like Deloitte, PwC and IBM are expanding the traditional set of companies competing for marketing dollars, in turning challenging advertising giants such as WPP PLC, Publicis Groupe SA and Omnicom Group Inc.
The new entrants “are definitely trying to move into the turf” of the ad holding companies, said Anjali Yakkundi, an analyst at Forrester. “They are all trying to gain traction with chief marketing officers.”

In January, Celebrity Cruises named Accenture Interactive, a unit of the broader consulting and tech services firm, as its digital agency of record.

The evolution of the CMO role has opened the door for consulting firms to want cozier relationship with marketers, analysts said.

“We want to address the new addenda of the CMO,” said Glen Hartman, head of Accenture Interactive North America.

Reinventing businesses is something that “management consultants have historically been good at,” said Jay B. Wilson, a research director at Gartner. Meanwhile, digital agencies owned by ad companies have largely been focused on “marketing communications and have been less responsible for building experiences” in things like e-commerce and less involved in revenue generation, he added.

Deloitte recently worked with LG Electronics to launch Signature Kitchen Suite, a new brand of high-end appliances. It helped do strategic planning work, developed consumer insights and help LG learn more about how to reach its target customer through digital channels. Deloitte recommended Heat to LG and it was given the task of creating the advertising that brought to life the business and marketing strategy that the companies had developed together.

Despite holding talks with several companies, Heat said it was swayed by Deloitte because it gives the shop the chance to build a new type of agency.

“We know there are weaknesses in the modern advertising agency model and we want to redefine and reinvent it,” said John Elder, Heat’s president.

Madison Avenue’s top brass, including WPP CEO Martin Sorrell and Interpublic CEO Michael Roth, have acknowledged that consulting firms like Accenture, Deloitte and IBM are among their long list of competitors—along with firms like Salesforce and Oracle.

“I know our competitors—whether it be the tech companies or consulting companies—are trying to have inroads,” Mr. Roth said last year during the company’s second-quarter earnings call. But he defended the unique role agencies play. “We do have that secret sauce, as I put it, in terms of bringing that creative aspect to all of these different tools and resources. We’re the ones who are going to provide that, because this is where the talent wants to be.”

The consulting firms aren’t alone in broadening their purview. Ad companies have also expanded deeper into the domain of consulting firms by buying up more technology firms and consulting practices to add to their services, and some have pushed deep into product development and strategy work.

About a year ago, Publicis Groupe completed the $3.7 billion acquisition of Sapient Corp., a digital consulting firm that not only offers creative execution but also provides services such as system integrations, website development, and e-commerce and app development.

That doesn’t mean the management consultants’ ongoing investments in creative aren’t a threat to ad companies.

“So far they have approached the spaces slowly and steadily, but they are looming ever larger because of the size and resource of their individual parent companies,” said Brian Wieser, senior research analyst at Pivotal Research.

Strategic M&A and Investment Transactions in Marketing Data & Analytics

Audience intelligence derived from quality data and insightful analysis has become critical to brands and agencies on their quest to identify, engage and build lasting relationships with consumers – particularly their most valuable, loyal and influential advocates.

Data and analytics have also played a critical role in the disruptive force of programmatic media buying, nowadays often instructed by machine learning-based algorithms. Marketers have become empowered with data and technology to not only precisely target audiences at scale, but to also engage consumers with dynamic personalized creative content.

Theoretically, this is all leading to highly effective advertising; if it weren’t for the moving target of capturing consumers’ attention – and their attraction to novel, relevant personalized experiences coordinated across all screens.

As content proliferates across an increasing array of channels, whether that be online (Web, social, search, etc.), the mobile Web and apps, television or other non-digital channels, the task of identifying, reaching and engaging target audiences is as challenging as ever.

According to IDC, the data analytics market is expected to reach $125 billion worldwide in 2015, of which marketing and audience analytics has played a signficant part of this growth. Research by Regalix indicates that 84 percent of business-to-business organizations are investing in marketing analytics to optimize online media advertising, provide personalization, and formulate promotions.

Marketers’ dependence on data analytics is growing. Over 70% of marketing executives surveyed expect to increase their reliance on data analytics for decision-making over the next three years.

Our team at Madison Alley has recapped notable transactions in marketing data and analytics in the last 18 months, as provided below. Continue reading

Digital Video Advertising 2014 Review: Strategic M&A and Public Market Activity Analysis

eMarketer estimates that U.S. digital video ad spend grew 56 percent in 2014 to $6 billion. By 2018, eMarketer predicts that U.S. digital video ad spend will reach nearly $13 billion and make up 30 percent of all digital ad spend, up from only 22 percent in 2013.

Our team at Madison Alley has closely monitored M&A and other strategic activity in the digital video content and advertising sector for many years — mindful of the inevitable — that traditional TV content and advertising will inherently be digital — and that video tends to engage consumers much more effectively than static display advertising. Traditional TV has been the leading individual medium for ad spending by far — almost $69 billion in the U.S. alone in 2014 — but this is shifting. Continue reading

AlwaysOn Announces OnMedia 100

AlwaysOn just released its OnMedia 100 with the Top 100 Private Companies in Digital Media. With assistance from Madison Alley, AlwaysOn has identified the top private companies that are creating a new digital media, commerce, and advertising ecosystem. These leaders are building high-growth businesses that offer huge upside potential for investors.

We are happy to have collaborated with AlwaysOn Network in identifying these market leaders. For the full list visit AlwaysOn Network.

Madison Alley Insight: Yahoo Acquires Flurry

Madison Alley Insight by Boris Fridman, Managing Director, Media & Ad Tech Platforms

On July 21, Yahoo (NASD: YHOO) announced that it has reached a definitive agreement to acquire mobile advertising company Flurry.

Flurry
Founded in 2005, Flurry is best known for its mobile analytics. More than 170,000 developers have integrated Flurry’s free Analytics SDK into more than 540,000 apps, including Skype, Zynga, Pinterest, and Snapchat. Its technology measures user behavior by tracking taps, swipes, purchases, level completions, and other user interactions with an app. App developers use Flurry Analytics to improve how apps work and to understand ways to better monetize app usage.

Analytics is not all that Flurry offers. The company makes money by providing monetization solutions to mobile publishers. It supports programmatic selling of display ads, competing directly with Twitter’s MoPub, Inneractive (an independent programmatic ad platform for mobile publishers), and other mobile ad exchanges. Flurry has also built a growing mobile video advertising business and sells app marketers solutions for incentivized app downloads.

Flurry uses data from Flurry Analytics to enhance its advertising platform by enabling advertisers to target specific audiences in Flurry’s network. The company has been aggregating vast amounts of behavioral data that have become very valuable for ad targeting and in-app commerce.

Flurry raised about $74 million of equity and debt from investors including DFJ, Crosslink Capital, Menlo Ventures, and Union Square Ventures.
Continue reading

Madison Alley Insight: Twitter Acquires TapCommerce for $100 Million to Broaden its Mobile Ad Platform

Madison Alley Insight by Boris Fridman, Managing Director, Media & Ad Tech Platforms

On June 30, 2014, social network Twitter (NYSE: TWTR) agreed to acquire TapCommerce, an NYC-based mobile retargeting specialist, for a reported $100 million.

TapCommerce

Founded in 2012, TapCommerce provides a programmatic platform for delivering retargeted advertisements (i.e., ads that are served based on a person’s prior response to one or more ads). Think Criteo (NASD: CRTO) for mobile apps.

TapCommerce raised about $12 million in two rounds from savvy mobile and digital media investors, including Eniac Ventures, Metamorphic Ventures and RRE Ventures. It serves major customers such as eBay and Zulily.
Continue reading

Perion Acquires Grow Mobile for up to $42 Million

Perion Network Ltd. (NASD: PERI), announced that it has entered into a definitive agreement to acquire Grow Mobile, Inc., for up to $42 million, including $10 million of cash and $7 million of equity to be paid upfront.

Grow Mobile provides an innovative platform for mobile advertising that enables developers to buy, track, optimize, and scale user acquisition campaigns from a single dashboard.

(Read full article on Venturebeat: App Network Perion Acquires Mobile Ad Marketing Firm Grow)

Opera Acquires AdColony

Opera (Oslo: OPERA) has acquired AdColony, a leading mobile video advertising platform, to deliver best-in-class mobile video ads to publishers and brands with a combined reach of more than 700 million global consumers.

(Read full press release: Opera Acquires AdColony to Become the World’s Leading Mobile Video Ad Platform)

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