The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: Yes, that sounds great. Thank you both. That was very helpful. Maybe we'll actually start off on the ROI point, right? I think it would be really helpful
if you can help both contextualize how much is it that you charge on a per transaction basis? What do CPMs look like across various channels? And
what is the benefit that customers get, whether it's reduction in fraud, whether it's avoiding adverse outcomes from adverse ad placement. Yes.
Maybe just walk through some of those dynamics.
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: And so as long as they're running digital ads, they're going to keep DV turned on?
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JUNE 07, 2022 / 1:40PM, DV.N - DoubleVerify Holdings Inc at William Blair Growth Stock Conference
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: And so one of the -- I think one of the interesting parts about where you play in the ad-tech ecosystem is that you are channel agnostic, right? It
doesn't matter. As long as it's digital -- whether it's on social media, whether it's on CTV, as long as it's digital, you can verify that. But we're in the
digital ad ecosystem are you seeing the most growth? Which channels are resonating most with customers right now based on the data that you're
seeing through your platform?
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: One of the successful parts or the very successful parts of the business, I think, has been the premium solutions. And I think authentic brand
suitability or ABS has been a great example of that. Talk about some of the success that you've had launching that product now that it's been in
market for a couple of years? And what is next in your portfolio that gives you that level of excitement that can be -- that can see the similar levels
of success as ABS?
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JUNE 07, 2022 / 1:40PM, DV.N - DoubleVerify Holdings Inc at William Blair Growth Stock Conference
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: And so following on that innovation point, right, you do charge a premium for something like ABS, where you are delivering more value to customers.
But there's other products in the pipeline as well. There's authentic attention. There's perhaps some contextual -- where are we in the adoption of
those products? And maybe just walk us through some of the recent trends that you're seeing there?
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: Awesome. And I know -- I think something that's on top of mind for everybody in this room is the macro environment, right? We are -- obviously,
the markets are reflecting it. There's inflation, rising interest rates, et cetera. What are you seeing from your customers in terms of their ad spend?
Is there anything in your pipeline or what your customers are telling you that is suggesting that there may be a slowdown in ad spend coming?
Just maybe walk us through where sentiment is based on your conversations.
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: Is there a scenario where CPMs may actually come down for maybe some of the higher priced channels like CTV, and that may actually cause the
industry to mature faster, where volumes might go up faster? Like how do you think about that dynamic?
Question: Arjun Rohit Bhatia - William Blair & Company L.L.C., Research Division - Analyst
: One of the things that I want to touch on, I think, Nicola, before we wrap up here. You did mention the rule of 60 model, right? You have a 30%
plus revenue growth, 30% plus EBITDA margin. As you see some of these newer growth opportunities, whether it's TikTok, whether it's Meta,
whether it's CTV, how do you think that balance between growth and profitability might change in the coming quarters and the coming years? Is
there one that you prioritize more over the other to look at?
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