Welcome!

Symbian Authors: Jack Newton, Kevin Benedict, Matthew Lobas, Shelly Palmer, RealWire News Distribution

News Feed Item

Digital Globe Services Considers AIM for Next Stage of Growth

Digital Globe Services, a leading provider of outsourced online customer acquisition solutions for large, consumer-facing corporations, today announced its intention to launch into Europe, Latin America and Asia Pacific. N+1 Singer has been appointed as Financial Adviser to assess funding options for the expansion, which may include a flotation on AIM.

Jeff Cox, Founder and Chief Executive of DGS, commented, “We believe our market leading technology and expertise in paid search and online customer acquisition places us at the forefront of a vast and rapidly growing market. With our blue chip customer base and strong financial position we are confident in our ability to replicate our successes in the US telecoms market into other verticals and territories.

“There is clearly a growing momentum in the number of technology companies joining the UK market via AIM and we believe this could provide a credible home for our business, raising our profile internationally and supporting our launch into European and Latin America markets as well as into new verticals.”

Overview of DGS

Founded in 2008 and headquartered in Colorado, USA, DGS employs over 430 staff both in North America and internationally. The Company currently has over 30 customers globally, many of which are in the US Fortune 500. DGS is a specialist provider of online customer acquisition solutions, through the delivery of optimised paid search, websites and call centre support.

DGS is seeking to establish itself as the leading provider of outsourced online customer acquisition services through its focus on having the premier technology platform for pricing and procuring paid search advertising on a cost effective basis. The Company has been consistently profitable every quarter since 2009, establishing a track record of increasing revenue, profitability, and cash generation, with these metrics and shareholder dividends showing annual growth rates in excess of 40%. The Company believes that medium term revenue growth in the region of 20-30% per annum will be sustainable.

What is Paid Search?

Search providers, such as Google, Yahoo, etc. typically provide advertisers with the opportunity, in exchange for a fee, to position search results or advertisements in response to specific search terms that users enter. In such “paid search” or “sponsored search” opportunities, the search provider will undertake an auction, in real time, for the key search terms which prospective advertisers will compete for in order to have their advertising or search results displayed. DGS uses its proprietary technology and database to enter bids in these auctions at price levels that seek to maximize DGS’s profitability and deliver the highest quality customers to DGS’s clients.

The Directors believe that DGS’s proprietary technology and databases, which include information on over 10 million search terms in over 6,000 geographic locations developed over five years, allow the Company a key source of competitive advantage within its industry.

In addition, DGS provides outsourced call centre and online services in order to respond to client customers who have followed a paid search link and registered their interest in the client’s offering. By optimising the results of paid search advertising, DGS is able to efficiently and cost effectively draw customers to DGS’s estate of web and contact centre properties. By further managing the process of converting these interested customers to paying customers, DGS provides considerable value in terms of ROI for advertisers seeking to acquire new customers.

The Market for Paid Search

Internet advertising, and paid search in particular, is a significant and fast growing global market. In calendar year 2011, corporations spent approximately $94 billion on Internet advertising out of which approximately 49%, or $46 billion was spent on paid search. Gartner projects that this amount will increase to approximately $138 billion by 2016, reflecting a compound growth rate in excess of 40% over the next three years.

DGS estimates that currently only 10% of the paid search market is outsourced to specialists such as DGS on a “fee per sale” commercial model. The balance is either not optimized to the level provided by the DGS, or advised or managed by third party providers that operate on a “percentage of spend” or “retainer” model. In a percentage of spend model, third parties will contract with companies to acquire paid search advertising in exchange for a percentage of the aggregate amount spent by the buyer. In a retainer model, third parties will contract to provide procurement and optimization services on a time and efforts or other fixed price basis.

DGS believes that both percentage of spend and retainer models do not align the interests of the corporate buyers of paid search advertising with the paid search service provider. DGS further believes that, over time, an increasing proportion of the overall paid search spend by companies will migrate towards providers such as DGS because of the greater transparency and clear return on expenditure provided by the fee per sale model.

A growing component of DGS’s paid search advertising has been procured for mobile devices. In fiscal year 2011 such mobile advertising accounted for approximately 25% of all DGS’s advertising dollar volume. This grew to approximately 55% of DGS advertising in fiscal year 2012.

Expansion of DGS

To date, DGS has focused on providing its solutions to US corporations operating in the telecommunications sector; all of the fifteen largest cable telecommunications companies (as measured by revenue) acquire customers through DGS. The Company believes the international market for its services to be significant and has begun exploring expansion opportunities.

DGS already has contracted with several clients in Mexico and is in the process of expanding more broadly into the Latin American marketplace. The Company is also in the process of establishing operations in Europe, with an initial focus on the United Kingdom, France and Germany. Finally, the Company is in exploratory stages of developing a market entry strategy for Asia-Pacific with material revenues targeted for 2015. These territories have been selected because of their strong telecommunications brands, competitive landscape and the shift in consumer purchasing behavior from more traditional marketing to internet marketing.

The Company is also expanding beyond its initial focus on telecommunications clients with expansion into adjacent markets such as energy utilities, education, financial services and other consumer facing industries that are seeking to optimize their online customer acquisition efforts. The Company has recently launched in the deregulated electricity utility sector in North America. The Company believes that a material proportion of its revenue will be derived from customers outside of the global telecoms sector by early 2015.

Key People

Jeff Cox, Founder & Chief Executive Officer, has over twenty years of wireless and cable sales and operations experience and has held executive positions in sales channel development and execution, on and off-line marketing programs and call center sales and operations for some of the world's most recognized brands. Jeff has held executive management positions at Charter Communications and senior management positions at mobile phone operator AirTouch (acquired by Verizon). Jeff holds a BS in Psychology from San Diego State University.

Bruce Casely, Chief Financial Officer, is a Member of the Chartered Institute of Bankers in Scotland. He has worked in banking, finance, M&A, investment, corporate advisory and strategy roles for more than twenty years. Bruce has held executive and management roles for The Bank of Scotland, Rothschild, Ernst & Young, a global brewer and a private equity firm. He has held various board directorships. Bruce holds a BA in Commerce from The Robert Gordon University and an MCIBS in Banking from Napier University.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with the 19th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world and ThingsExpo Silicon Valley Call for Papers is now open.
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
SYS-CON Events announced today that ReadyTalk, a leading provider of online conferencing and webinar services, has been named Vendor Presentation Sponsor at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. ReadyTalk delivers audio and web conferencing services that inspire collaboration and enable the Future of Work for today’s increasingly digital and mobile workforce. By combining intuitive, innovative tec...
Amazon has gradually rolled out parts of its IoT offerings, but these are just the tip of the iceberg. In addition to optimizing their backend AWS offerings, Amazon is laying the ground work to be a major force in IoT - especially in the connected home and office. In his session at @ThingsExpo, Chris Kocher, founder and managing director of Grey Heron, explained how Amazon is extending its reach to become a major force in IoT by building on its dominant cloud IoT platform, its Dash Button strat...
Connected devices and the industrial internet are growing exponentially every year with Cisco expecting 50 billion devices to be in operation by 2020. In this period of growth, location-based insights are becoming invaluable to many businesses as they adopt new connected technologies. Knowing when and where these devices connect from is critical for a number of scenarios in supply chain management, disaster management, emergency response, M2M, location marketing and more. In his session at @Th...
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
It is one thing to build single industrial IoT applications, but what will it take to build the Smart Cities and truly society changing applications of the future? The technology won’t be the problem, it will be the number of parties that need to work together and be aligned in their motivation to succeed. In his Day 2 Keynote at @ThingsExpo, Henrik Kenani Dahlgren, Portfolio Marketing Manager at Ericsson, discussed how to plan to cooperate, partner, and form lasting all-star teams to change t...
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
19th Cloud Expo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterpri...
SYS-CON Events announced today that Bsquare has been named “Silver Sponsor” of SYS-CON's @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. For more than two decades, Bsquare has helped its customers extract business value from a broad array of physical assets by making them intelligent, connecting them, and using the data they generate to optimize business processes.
There are several IoTs: the Industrial Internet, Consumer Wearables, Wearables and Healthcare, Supply Chains, and the movement toward Smart Grids, Cities, Regions, and Nations. There are competing communications standards every step of the way, a bewildering array of sensors and devices, and an entire world of competing data analytics platforms. To some this appears to be chaos. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, Bradley Holt, Developer Advocate a...
There is little doubt that Big Data solutions will have an increasing role in the Enterprise IT mainstream over time. Big Data at Cloud Expo - to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA - has announced its Call for Papers is open. Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is...
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - comp...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is expected in the amount of information being processed, managed, analyzed, and acted upon by enterprise IT. This amazing is not part of some distant future - it is happening today. One report shows a 650% increase in enterprise data by 2020. Other estimates are even higher....
Cognitive Computing is becoming the foundation for a new generation of solutions that have the potential to transform business. Unlike traditional approaches to building solutions, a cognitive computing approach allows the data to help determine the way applications are designed. This contrasts with conventional software development that begins with defining logic based on the current way a business operates. In her session at 18th Cloud Expo, Judith S. Hurwitz, President and CEO of Hurwitz & ...
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...
industrial company for a multi-year contract initially valued at over $4.0 million. In addition to DataV software, Bsquare will also provide comprehensive systems integration, support and maintenance services. DataV leverages advanced data analytics, predictive reasoning, data-driven diagnostics, and automated orchestration of remediation actions in order to improve asset uptime while reducing service and warranty costs.
Vidyo, Inc., has joined the Alliance for Open Media. The Alliance for Open Media is a non-profit organization working to define and develop media technologies that address the need for an open standard for video compression and delivery over the web. As a member of the Alliance, Vidyo will collaborate with industry leaders in pursuit of an open and royalty-free AOMedia Video codec, AV1. Vidyo’s contributions to the organization will bring to bear its long history of expertise in codec technolo...