Viant Technology Inc - Ordinary Shares (DSP) Q2 Earnings call transcript Aug 12, 2024
In Viant Technology's Second Quarter 2024 Earnings Call, the company showcased its continued growth and innovation in the programmatic advertising market. With a focus on artificial intelligence (AI) and automation, Viant is capitalizing on the shifting sentiment among advertisers seeking alternatives to the dominant players in the industry.
Key Themes and Trends
Viant's earnings call highlighted several key themes and trends, including:
Strong Financial Performance: The company reported record advertiser spend on its platform, with a 15% year-over-year increase in revenue and a 23% increase in contribution ex-TAC. This strong performance is a testament to Viant's ability to attract and retain clients, particularly in the high-growth areas of CTV and streaming audio. Investment in AI and Automation: Viant's focus on AI and automation is a differentiator in the market, with its AI suite, ViantAI, set to revolutionize digital ad campaigns. The company's large language model (LLM) and autonomous optimization technologies demonstrate its commitment to staying ahead of the competition and providing innovative solutions to clients. Capitalizing on Industry Shifts: With the growing dissatisfaction among advertisers and partners with the dominant players in the industry, Viant is well-positioned to capture market share. The company's strategic investments in technology, AI, and its focus on customer service and support are key factors in its success.
Investor Insights
During the earnings call, analysts asked key questions about Viant's market positioning, growth opportunities, and strategic initiatives. Some notable questions and answers include:
Market Opportunity and Penetration: Andrew Marok from Raymond James asked about the penetration rates of Viant's AI-enabled services among clients and the potential for future growth. Tim Vanderhook responded that the company sees the AI suite as a suite of solutions working together towards autonomous advertising and expects significant growth as more clients adopt these technologies. Direct Access and Netflix: Jason Kreyer from Craig-Hallum asked about Viant's role in Netflix's ad-tech stack and potential opportunities for collaboration. Chris Vanderhook indicated that Viant will remain on the buy side and that Netflix is not a significant consumer base for CTV advertising in the U.S. However, Viant sees potential for growth as Netflix scales its ad business globally. Customer Adoption and Satisfaction: Chris Vanderhook addressed concerns about customer adoption and satisfaction with Viant's AI-enabled services, emphasizing the need to prove customer value and the positive feedback from clients regarding cost savings and performance improvements. Market Share and Competition: Laura Martin from Needham asked about Viant's market share and competitive landscape, particularly in comparison to Trade Desk and Google. Chris Vanderhook acknowledged that Viant's market share is still growing and that the company is focusing on the midmarket segment, which values Viant's data-driven approach and efficient ad spend.
Looking Ahead
Viant Technology's Second Quarter 2024 Earnings Call painted a promising picture of the company's future in the programmatic advertising market. With a strong financial performance, a focus on AI and automation, and a strategic positioning to capitalize on industry shifts, Viant is well-positioned for continued growth and success. As the company continues to innovate and invest in its technology and customer service, it is likely to attract more clients and further solidify its position as a leading player in the programmatic advertising market.