Adslot : Signs Global Deal with Worlds Largest Media Buyer

ASX Announcement

Friday 19th August 2016

• Long term Symphony contract signed with the world's largest media buyer, groupm (the media buying division of WPP)
• Global deal with immediate focus on multiple market deployments across Europe and APAC
• Immediate, significant impact on Trading Technology revenues anticipated via increased, contracted Licence Fees
• Value of media executed via Symphony expected to more than double from circa $3 billion per annum to more than $6 billion per annum over the next 2 - 3 years
• Represents an effective doubling of the future Trading Fees revenue opportunity via Adslot- Symphony integration
• Positions Adslot as a leading provider of media workflow and trading technology globally

  Adslot Ltd (ASX: ADJ) today announced it has signed a multi-year global contract with groupm, the world's largest media buying group. The contract will see groupm activate Adslot's workflow and trading automation platform Symphony into a significant number of new markets, including an immediate commitment to multiple deployments in Europe and APAC.

  The global contract also sees groupm renew their commitment to Adslot across APAC, where

  Symphony has already been deployed in a number of markets including Australia, China and Japan.

  Adslot confirmed the deal has a number of material implications, including:

  • Additional revenue derived from Licence Fees as new markets are deployed

  • Fully funded market entry for each new country deployment

  • Establishes a significant footprint in the EMEA region for Adslot, and Adslot as a truly global solution

  • In combination with organic growth from existing customers and other new business, the value of media executed via Symphony is expected to increase from circa $3 billion per annum to more than $6 billion per annum over the next 2 - 3 years

  • As a result, Adslot's Automated Guaranteed Trading Fee opportunity via the Symphony-Adslot integration will effectively double

"This is the single most significant customer contract in the history of the business", said Adslot CEO Ian Lowe.

"In addition to being the world's largest media buyer, groupm services a long list of significant global advertising clients via operations in more than 100 countries - the most extensive footprint of all the major media services groups. Groupm is also a market-leading innovator, and so their decision to pursue a long term, global relationship with Adslot not only underscores the value groupm sees in the Adslot relationship currently (groupm are already a Symphony customer in multiple APAC markets) it is the strongest possible validation of our vision - to be the leading global provider of media workflow and trading technology.

"This multi-year deal repositions Adslot as a key player on a global stage", said Lowe. "The game- changing aspects of this deal are several."

"Every new country we deploy for groupm will generate recurring incremental revenue, and see us with a market-ready capability we can take to the broader industry in each of those countries.

"And as our footprint grows, this strengthens our prospects of securing additional local, regional and global customers.

"Above all, as we continue to enrich our Automated Guaranteed capability and its integration into Symphony, Adslot is in the strongest possible position to build a meaningful revenue stream from Trading Fees, the scale of which is many times greater than Licence Fees. And while the $51b forward guaranteed display market's transition to automation is still developing, we see strong evidence this is accelerating.

"We will use the corresponding period to aggressively build out enhancements and new capabilities with clarity of purpose, and the confidence of contracted growth as a foundation on which to do so", said Lowe.

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About Adslot

Adslot's mission is to automate the trading of forward guaranteed display advertising, referred to as automated guaranteed. Our leading technology is a purpose built, global media trading platform. Adslot benefits a global community of media buyers and sellers, including media agencies, publishers and advertisers, by providing trading efficiencies and effectiveness made possible only via technology, and by doing so the basis on which the $50B online display industry will realise its full growth potential.

Adslot is a global organisation with operations in North America, Europe and Asia Pacific and is headquartered in Australia.

About groupm

Groupm is the leading global media investment management operation serving as the parent company to WPP media agencies including Mindshare, MEC, MediaCom, and Maxus, each global operations in their own right with leading market positions. Groupm's primary purpose is to maximize performance of WPP's media agencies by operating as leader and collaborator in trading, content creation, sports, digital, finance, proprietary tool development and other business-critical capabilities.

Groupm's focus is to deliver unrivaled marketplace advantage to its clients, stakeholders and people.

Groupm invests in people, content, technology and data to make its agencies optimally effective and efficient for clients, providing intelligence to find or create valuable audiences and outcomes. Our leadership, inventiveness and scale drive success for our clients, partners and people.

Groupm enables its agencies so they can help clients build their businesses and lead in their respective industries. The importance of developing a technology stack for data management cannot be understated. It's the key to maximizing advertising performance and pricing. Groupm has developed its own technology to collect, optimize and store data on a proprietary Data Management Platform and is rigorous in continuously expanding the stack with new solutions and companies.

Contact

Investor Relations Adslot Ltd

Email: investor.relations@adslot.com