Yieldbot 2013 Year in Review

by Jonathan Mendez
December 19th, 2013

The first full year of our real-time marketplace for consumer intent was an amazing year of growth and learning. Since our business is about delivering measured performance I thought I would deliver some of Yieldbot’s performance to our friends, partners, buyers and anyone else that cares to know.

First-Party Data

We’ve continued to attract an amazing group of premier media partners to our platform. Our
technology is deployed with 3 of the top 5 and 7 of the top 10 media companies. To give you some sense of our scale we recorded and analyzed 471 million user sessions just in the month of November. In little more than a year Yieldbot grew big. In total we saw 10 billion page-views in 2013 up from 2.7 billion in 2012. Most of that in Q3 and Q4. That’s a lot of data.

Publisher Revenue

Data is meaningless without associating revenue to it. In 2013 we established ourselves as a top media partner in the space. A number of publishers are now over $1 million annual run rates in revenue from Yieldbot.

On average Yieldbot paid publishers 142% more on a CPM basis than they got from Ad Exchanges and SSPs. Some media companies are getting over 300% higher returns. We have created a true mid-tier for premium publishers at a 97% fill rate where one did not exist before. No small accomplishment if you understand this side of the business.

A New Channel

All that publisher revenue comes from our machine learning that creates real-time “queries” from the click-stream. Unlocking the real-time intent of consumers during site-sessions has created for the first time, a direct and transparent path for Search advertisers into premium-media.

In 2013 we ran 436 campaigns vs 58 in 2012 – many of which are now “always-on” campaigns. 7 of the top 10 SEM agencies in the United States buy Yieldbot and we count 2 of the top 5 largest US Search spenders as customers. All told our advertiser list is a who’s who of largest and most respected brands in the world. Top buyers in the marketplace are spending mid-six figures annualized.

What everyone also discovered this year is that if Yieldbot performs like search but can
scale like display it will crush the competition in other CPC campaigns like Social, Retargeting and Mobile. It’s a truly amazing development because you can count on 1 finger the other company can get all four budgets.

ROI

NONE of this happens unless consumers find the ads relevant and then take action in the marketer environment. That is entirely what our function is. Helping consumers get relevant information and helping brands connect with consumers.

In that regard, we hit a grand-slam in 2013. We established that Yieldbot has the ability to generate performance equal to and in many cases greater than Paid Search. From e-commerce giants getting $4:$1 ROAS on Yieldbot, to major CPG brands getting over 60% conversion rates, to 34% lift in “intent to purchase” and everything in between, Yieldbot set new benchmark after new benchmark for our buyers back-end performance data. The best part for everyone is that we’re only getting smarter.

Technology

From incredible work across our data collection, to our data processing, to our real-time data streaming, to our databases, to our real-time matching, to our wicked fast ad server, to our creative technology to our analytics to our UIs and reporting and whatever else I’m missing (oh,
open-sourcing cool stuff), we just continue to lead the development of technology for first-party data analytics, real-time decisioning and marketplace optimization. There is not a better team on the planet. Proof: only 14 (really smart) people (and a bunch of machines) built this monster.

Business Growth

We did more revenue yesterday than we did in the entire month of December last year. Overall, Q4/13 will achieve 2,400% growth vs the same period last year. To say we’re growing fast is an understatement. Our growth rate for the first full year is a rarified feat. It has gotten crazy at times but the team has been amazing all year enjoying the start-up craziness they signed up for.

Overall we grew headcount this year from 14 to 30. Some companies will brag about how many employees they have, as you already read, I like to brag about how few. We also had the great fortune of adding media legend Cathie Black to our Board of Directors. If you’re interested in being a part of what we’re doing let us know.

Next

It has been a great year both for the digital media industry and for our business. There is no doubt where this is going. When you listen to the top brands and media buyers in the world you hear that they are moving more budgets into digital in an effort to capture the relevant moments when consumer need matches the promise of their brands. Yieldbot will be there to deliver that every step of the consumer journey in 2014. We can’t wait for the year to begin. To all our friends and associates, we send you happy and healthy holiday wishes from Yieldbot himself.

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