COVID-19 and Martech's Law Companies Close Gap, Digital Advertisers Thrive
- NetworkNewsWire Editorial Coverage
NEW YORK, May 4, 2021 /PRNewswire/ -- Eight years ago, Hubspot's Platform Ecosystem VP Scott Brinker introduced Martech's Law, a now-famous thesis that technology changes at an exponential pace, while organizations change at a logarithmic rate (https://www.nnw.fm/ALrg5). By definition, the gap between technological advances and business implementation gets wider all the time, creating a conundrum for management that requires quick decision making to keep up with tech. For its part, the coronavirus pandemic tightened the gap by forcing the hands of businesses to rapidly adopt new digital solutions to reach consumers, a cataclysmic event that resulted in explosive growth for DGTL Holdings Inc. (TSX.V: DGTL) (OTCQB: DGTHF) (Profile), as major international brands came in search of DGTL's artificial intelligence-driven marketing platform. What COVID-19 did to accelerate everyday use of adtech and martech will not be undone, which benefits an array of companies in the space, including Digital Turbine Inc. (NASDAQ: APPS), Viant Technology Inc. (NASDAQ: DSP), IZEA Worldwide Inc. (NASDAQ: IZEA) and PubMatic Inc. (NASDAQ: PUBM).
- An estimated 62% of Americans shop more online post the backdrop of COVID-19.
- DGTL more than doubling revenues with its Hashoff to approximately $5 million or more in the first year since acquisition.
- Company lands Suntory, the third-largest producer of premium distilled product brands worldwide, as new client.
- DGTL trading at three to four times price-to-earnings ratio, while sector peers are trading up to 50 times.
Click here to view the custom infographic of the DGTL Holdings Inc. editorial.
The New Advertising Paradigm
COVID lockdowns, while unfortunate to say the least, may have been a blessing in disguise for some companies that were forced into purposeful choices on spending. This was especially true for advertising and marketing budgets, as they are the lifeblood to sales that keep a brand in business. With stimulus money going to people globally, advertising spend needed to be more targeted than ever to get into the wallets of consumers, most of which were sheltering, working and shopping at home.