Q4 2021 Criteo SA Earnings Call

Speaker 1: Good morning and welcome to Cribio's fourth quarter and fiscal year 2021 earnings call. All participants will be in listen-only mode. Should you need assistance, please press the star key followed by zero. After the prepared remarks, there will be an opportunity to ask questions.

Good morning, and welcome to Kbr's fourth quarter and fiscal year 2021 earnings call. All participants will be in listen only mode should you need assistance. Please press the star key followed by zero.

After the prepared remarks, there will be an opportunity to ask questions to ask a question. Please press Star then one to withdraw your question. Please press Star then two please note. This event is being recorded.

Speaker 1: To ask a question, please press star then 1. To withdraw your question, please press star then 2. Please note this event is being recorded.

Speaker 1: I would now like to turn the conference over to Edward LaSalle, SVP, Market Relations and Capital Markets. Please go ahead.

I would now like to turn the conference over to Eduardo Lasalle S V P market relations and capital markets. Please go ahead.

Speaker 2: Thank you, Kate. Good morning, everyone, and welcome to Crudill's fourth quarter in fiscal year 2021 earnings call. We hope you're all doing well.

Good morning, everyone and welcome to <unk> fourth quarter and fiscal year 2021 earnings call, We hope you're all doing well today joining.

Speaker 2: Joining us on the call are Chief Executive Meghan Clarkin, Chief Product Officer Todd Parsons, and Chief Financial Officer Sara Glickman. As usual, you'll find an investor presentation on our website now, as well as a script and transcript after the call. Before we get started, I'd like to remind you that our remarks will include forward-looking statements, which reflect critical judgment, assumptions, and analysis only as of today.

Joining us on the call our Chief Executive Megan Clarken, Chief product Officer, Todd Parsons, and Chief Financial Officer, Sorry, Glickman as usual, you'll find an investor presentation on our website now as well as the script and transcript after the call.

Before we get started I'd like to remind you that our remarks will include forward looking statements, which reflect kudos judgment assumptions and analysis only as of today.

Speaker 2: Actual results may differ materially from current expectations based on a number of factors affecting Creo's business.

Actual results may differ materially from current expectations based on a number of factors.

<unk> cruise business.

Speaker 2: except as required by law. We do not undertake any obligation to update any forward-looking statements discussed today. For more information, please refer to the risk factors discussed in our earnings release as well as our most recent Form 10-K and 10-B filed with the FCC. We'll also discuss non-GAAP measures of up-performance. Definitions and reconciliations to the most directly comparable GAAP metrics are included in our earnings release published today.

As required by law, we do not undertake any obligation to update any forward looking statements discussed today for more information. Please refer to the risk factors discussed in our earnings release as well as our most recent Form 10-K and 10.

Filed with the SEC.

We'll also discuss non-GAAP measures of our performance definitions and reconciliations to the most directly comparable GAAP metrics are included in our earnings release published today.

Finally, unless otherwise stated all growth comparisons made during this call are against the same period in the prior year.

Speaker 2: Finally, unless otherwise stated, all growth comparisons made during this call are against the same period in the prior year. With that, let me now hand it over to Megan.

With that let me now hand, it over to Megan.

Speaker 3: Well, thanks, Ed and good morning, everyone. 2021 was a pivotal year for Credo as we worked hard to execute against our strategic transformation plan.

Thanks, Ed and good morning, everyone.

<unk> 21 was a pivotal year for <unk> as we worked hard to execute against our strategic transformation plan.

I'm proud of the tremendous progress that we've made and I'm bullish about what lies ahead I want to thank all of our employees across the globe for their relentless dedication to drive innovation and change for our clients, enabling us to deliver our impressive performance and reposition our business to lead the future of Ed Tech.

Speaker 3: I'm proud of the tremendous progress that we've made and I'm bullish about what lies ahead. I want to thank all of our employees across the globe for their relentless dedication to drive innovation and change for our clients, enabling us to deliver our impressive performance and reposition our business to lead the future of ad tech.

Speaker 3: Today I'll cover three main topics on the call. First, the strong progress we've made in 2021. Second, the ambitious goals that drive our bold vision and commerce media. And third, the relentless focus that we put on execution.

Today I'll cover three main topics on the call first the strong progress we've made in 2021.

The ambitious goals that drive followed division in Commerce media and the relentless focus that we put on execution Todd.

Speaker 3: Todd will then present our product and go to market priorities for 2022. And Sarah will discuss our performance highlights and our guidance for the year. Let's start with our progress on our...

Todd will then present, our product and go to market priorities for 2022, and Sarah will discuss our performance highlights and our guidance for the year.

Let's start with our progress on our transformation.

Today, we believe we've turned the corner and entered a new stage one of growth and scale from a declining pure play re targeting business, which turned around to become a strategically diversified and growing business and our comments media strategy has come to life. This is evidenced by our double digit growth in 2021.

Speaker 3: Today, we believe we've turned the corner and entered a new stage, one of growth and of scale. From a declining pure play retargeting business, we've turned around to become a strategically diversified and growing business.

Speaker 3: and our commerce media strategy has come to life. This is evidenced by our double digit growth in 2021, which we believe we can sustain for the years to come.

We believe we can sustain for the years to come.

In 2021, we continue to build scale across our business as shown by the 19% growth in the annual media spend we activate for our clients, reaching $2 7 billion in 2021 with.

Speaker 3: In 2021, we continue to build scale across our business, as shown by the 19% growth in the annual media spend we activate for our clients, reaching $2.7 billion in 2021.

We have capitalized on our strong first mover advantage in commerce media, a rapidly expanding retail media footprint and fast growing global consumer reach to position <unk> as an AD tech leader differentiated by comments media <unk>.

Speaker 3: We've capitalized on our strong first mover advantage on commerce media, our rapidly expanding retail media footprint and fast growing global consumer reach. Physician Criteo is an ad tech leader differentiated by commerce media.

We are building on multiple strong differentiators.

Speaker 3: We're building on multiple strong differentiators to sustain and strengthen our lead in commerce media. These include 685 million daily active users who are online to buy products and services amongst other activities.

Ah sustain and strengthen our lead in Commerce media. These include 685 million daily active users, who are online to buy products and services amongst other activities.

Speaker 3: Our large scale and first party data from 22,000 clients, unique access to over a trillion dollars of e-commerce sales.

A large scale and first party data from 22000 clients unique access to over a trillion dollars of E Commerce sales.

Speaker 3: Our differentiated retail media offering powering over 50% of the top 25 retailers in the US and Europe and 16 years of commerce focused AI expertise.

Differentiated retail media offering powering over 50% of the top 25 retailers in the U S and Europe and 16 years of comments focused AI expertise, we have all the right assets to accelerate our strategic plans and be the go to for commerce in retail media for the open.

Speaker 3: We have all the right assets to accelerate our strategic plans and be the go-to for commerce and retail media for the open internet.

Internet.

Talking about <unk> strategy, let me take a moment to remind you of the goals guiding our ambitions and comments media.

Speaker 3: Talking about Kritio's strategy, let me take a moment to remind you of the goals guiding our ambitions in commerce media.

Speaker 3: At Critio, we believe that we invented commerce media, which we first introduced in the fall of 2020.

At <unk>, we believe that we invented comments media, which we first introduced in the fall of 2020.

E Commerce continues to grow in the form of sales dollars and percentage of total retail sales.

And Commerce media takes advantage of this by bringing advertising spend into the digital stores paid with advertising campaign.

Against Offsite media to maximize marketing spend and drive significant comments outcomes.

Speaker 3: We combine large-scale commerce data and intelligence to deliver rich consumer experiences, engaging consumers from discovery all the way through to purchase, to drive both online results and in-store visits and sales.

We combine large scale commerce data and intelligence to deliver rich consumer experiences engaging consumers from discovery, all the way through to purchase <unk>.

But online results and in store visits and sales.

With comments media, we have all parties increased digital advertising returns by informing marketing decisions, improving targeting and creating efficient effective ads, we bring consumers to brands.

<unk> to retailers and audiences to publishers in short, we're creating an open marketplace, where we connect consumers marketers.

And media owners to drive commerce outcomes with control and transparency.

Speaker 3: We don't believe that anyone else is doing this across the open internet like we are.

We don't believe that anyone else is doing this across the open internet like we are.

Speaker 3: Our commerce media platform opens up a potential $100 billion TAM by 2024, more than doubling the market we serve prior to our transformation.

Now Commerce media platform opens up the potential $100 billion Tam by 2024 more than doubling the market, we said prior to our transformation.

Speaker 3: We believe a number of strong secular industry tailwinds support our massive opportunity, including the rapid surge of e-commerce since the beginning of the pandemic, the huge potential that having access to first party data unlocks the market as a media owner.

We believe a number of strong secular industry tailwind support a massive opportunity, including the rapid surge of e-commerce since the beginning of the pandemic the huge potential that having access to first party data unlocks for marketers and media owners.

Speaker 3: and the critical need retailers have to partner with technology and media companies.

And the critical need retailers have to partner with technology and media companies.

Speaker 3: According to multiple industry experts, retail media has become the number one secular growth trend in digital advertising today, overtaking search and social.

According to multiple industry experts retail media has become the number one secular growth trend in digital advertising today, other taking search and social.

Speaker 3: And as marketers respond to the consumer shift to e-commerce, which expected to grow double digits again in 2022, traditional trade marketing dollars used for bricks and mortar in-store promotions are rapidly moving to digital, allowing retailers and brands to personalize promotions and add placements for consumers, for customers, and drive sales both online and in-store.

And as market has responded to the consumers shift to e-commerce , which is expected to grow double digits again in 2022 traditional trade marketing dollars used for bricks and mortar in store promotions.

Rapidly moving to digital allowing retailers and brands to personalize promotions and Ed placements for <unk>.

Consumers for customers and drive sales, both online and in store.

Speaker 3: This shift represents the market opportunity of an additional $80 billion in TAM.

This shift represents a market opportunity of an additional $80 billion.

And Tim.

When adding the full potential of online trade marketing, which were poised to capitalize on that total addressable market reaches 180 to 200 billion.

Speaker 3: When adding the full potential of online trade marketing, which we're poised to capitalize on, our total addressable market reaches $180 to $200 billion.

Speaker 3: leveraging these powerful trends and opportunities as well as our recently signed acquisition of iPod Web.

Leveraging these powerful trends and opportunities as well as our recently signed acquisition of iPhone with Wil.

Speaker 3: will enable us to further scale to meet the demand of commerce media capabilities across the open internet. In fact, certain industry experts already view Criteo as a walled garden for commerce media. This is ironic, but if this means providing commerce media solutions to everyone by creating commerce connections and delighting consumers, then we'll take it.

It will enable us to further scale to meet the demand of commerce media capabilities across the open Internet in fact sitting industry experts already view <unk> as a walled garden for comments media. This is ironic but is this if this means providing comments media solutions to everyone by creating <unk>.

<unk> connections and delighting consumers and we will take it.

Speaker 3: looking at 2021 in the context of our bold vision.

Looking at 2021 in the context of a bold vision we.

Speaker 3: We delivered on all of our key milestones around growth, execution, and first-party data. Starting with growth.

We delivered on all of our key milestones around growth execution, and first party data starting with growth we.

Speaker 3: We delivered double-digit growth above our guidance in 2021 of 11% at constant currency on a contribution-extact basis.

We delivered double digit growth above our guidance in 2021 of 11% at constant currency on a contribution ex Tac basis.

Speaker 3: which is previously called Revenue XTAC. Our fourth quarter marked the fourth consecutive quarter of contribution XTAC growth.

Which is previously called revenue ex Tac.

Fourth quarter marked the fourth consecutive quarter of contribution ex Tac growth.

We remained laser focused on execution in 2021, we accelerated our business diversification with non targeting products, representing 32% of contribution ex Tac in our fourth quarter and close to 30% in 2021 up from 19% a year ago.

Speaker 3: We remained laser focused on execution. In 2021, we accelerated our business diversification with non-targeting products representing 32% of contribution X-TAC in our fourth quarter and close to 30% in 2021, up from 19% a year ago.

Speaker 3: Credo is no longer a single product company. We're the third of our live clients using more than one Credo product.

<unk> is no longer a single product company with a third of our live clients using more than one <unk> product.

Speaker 3: In terms of client count, this is 17% more than a year, the year before, demonstrating that our broad commerce media platform enables our clients to market and monetize their digital assets up and down the marketing funnel.

In terms of client count this is 17% more than a year the year before demonstrating that our broad comments media platform enables our clients to market and monetize the digital assets up and down the marketing funnel.

Speaker 3: In turn, this enables us to grow our business in a more balanced way across our portfolio.

In turn this enables us to grow our business in a more balanced way across our portfolio.

Our growth was also well balanced between existing and new clients. We added hundreds of net new clients across all solutions.

Speaker 3: Our growth was also well balanced between existing and new clients. We added hundreds of net new clients across all solutions.

Speaker 3: Importantly, we benefit from fast increasing traction and upselling and cross-selling our solution to existing clients. For example, our Commerce Media platform is supporting multiple brands in Denone's portfolio to drive product awareness, engage off-site and in-store customers online and generate sales.

Importantly, we benefit from fast increasing traction in Upselling and cross selling our solutions to existing clients for example.

Commerce media platform is supporting multiple brands.

Into 99 portfolio to drive product awareness engage upsides and in store customers online and generate sales.

We're leveraging a full funnel capabilities for these brands with a holistic audience approach integrating many of our solutions across marketing solutions and retail media.

Speaker 3: We're leveraging our full funnel capabilities for these brands with a holistic audience approach, integrating many of our solutions marketing solutions and retail media.

Another example includes a large new York based Omnichannel retailer.

Speaker 3: Another example includes a large New York based omni-channel retailer that is constantly broadening their partnership with us through time and is using our audiences targeting and retargeting along with our omni-channel capabilities and of course retail media.

That is constantly broadening broadening their partnership with us through time and is using our audience targeting and re targeting along with our omnichannel capabilities and of course retail media.

Speaker 3: In 2021, this retailer's always-on strategies and new product adoption across our portfolio led to a 40% increase in our business with them. This is the Commerce Media Effect.

2021, this retailers always on strategies and new product adoption across our portfolio led to a 40% increase in that business with them. This is the comments meteor effect.

More specifically retail media remains a powerful growth engine for us.

Speaker 3: More specifically, retail media remains a powerful growth engine for us. As we continue to...

As we continue to earn in this exciting space our platform offers to differentiate itself service interface.

Speaker 3: Our platform offers a differentiated self-service interface.

Speaker 3: to both retailers and brands and drives positive network effects for all parties. In 2021, we expanded our platform adoption with large retailers, including Lowe's, Carrefour, Best Buy, Nordstrom, Michaels, Costco and Douglas, and started off-site campaigns for Lenovo, Best Buy and Walmart.

Both retailers and brands and drive positive network effects for all parties in 2021, we expanded our platform adoption with large retailers, including Lowe's Carrefour best by Nordstrom, Michaels, Costco and Douglas and started Offsite campaigns for Illinois.

Best buy and Walmart Mexico.

We've also invested in multiple growth areas to position retail media to meet new client needs, including retailer marketplaces.

Speaker 3: We've also invested in multiple growth areas to position retail media to meet new client needs, including retailer marketplaces.

With new clients like freeway and new campaigns with Sam's Club Myers.

Speaker 3: with new clients like Freeway and new campaigns with Sam's Club, Meyers, Amaya and Metro.

And Mitra.

And we're thrilled to have recently signed a three year global partnership with <unk>, the world's leading media investment company part of WP to accelerate the demand and supply growth of retail media.

Speaker 3: And we're thrilled to have recently signed a three-year global partnership with GroupM, the world's leading media investment company, part of WPP, to accelerate the demand and supply growth of retail media.

Speaker 3: while empowering GroupM's agency with the...

While empowering group payments agency with the wood.

Around the world with incentives and first to market opportunities within our retail media ecosystem and platform globally. This is our first global retail media agreement with a major agency holding company and further positions us as the retail media partner of choice on the open Internet.

Speaker 3: around the world with incentives and first-to-market opportunities within our retail media ecosystem and platform globally. This is our first global retail media agreement with a major agency holding company and further positions us as the retail media partner of choice on the open internet.

When it comes to audience fifth targeting we are capitalizing on fast growing opportunities we.

Speaker 3: When it comes to audience first targeting, we're capitalising on fast growing opportunities.

We saw strong renewal rates and budget increases in the back half of the year.

Speaker 3: We saw strong renewal rates and budget increases in the back half of the year. We launched hundreds of contextual ad campaigns and saw good traction in online video with exciting results from our new shoppable video ads product. Our omni-channel solution enabling retailers to link their offline commerce data and online consumer identities grew by triple digits again in 2021, providing us with another strong layer of differentiation in the marketplace.

We launched hundreds of contextual AD campaigns and so good traction in online video with exciting results from our new shuffle.

Video ads product.

The channel solution, enabling retailers to link their offline commerce data and online consumer identities grew by triple digits again in 2021, providing us with another strong layer of differentiation in the marketplace.

And finally on first party data, we've made significant strides to solidify <unk> leadership position.

Speaker 3: And finally on first party data, we've made significant strides to solidify Credio's leadership position. Once the industry finally moves beyond third party identifiers, our ability to connect first party data from the supply side with first party data from the demand side should provide a crucial advantage to effectively find and monetize commerce audiences on the open internet.

Once the industry finally moves beyond third party identifiers ability to connect first party data from the supply side with first party data from the demand side should provide a crucial advantage to effectively fund the monetize commerce audiences on the open internet.

Speaker 3: With this key objective in mind, we believe our pending acquisition of iPod Web will greatly enhance our direct integration with publishers and accelerate the interoperability of first-party data between demand and supply. This capability is a key differentiator for the commerce media platform.

With this key objective in mind, we believe our pending acquisition of <unk> with <unk>.

Greatly enhance our direct integration with publishes and accelerate the interoperability of first party data between demand and supply. This capability is a key differentiator for the comments media platform.

Our focus is on removing removing platform fatigue for our clients who are required to extend themselves across more and more DSP and SSP as the environment becomes more segmented.

Speaker 3: Our focus is on removing platform fatigue for our clients who are required to extend themselves across more and more...

Speaker 3: and SSPs as the environment becomes more segmented and the threat of third party identifies disappearing Loon

The threat of third party identifies disappearing looms.

Speaker 3: All of our 2021 achievements would not have been possible without our people, who are our greatest asset to drive Criteo's long-term success.

All of that 2021 achievements would not have been possible without our people who are our greatest asset to drive <unk> long term success.

Speaker 3: Investing in talent was one of our top priorities in 2021 and will remain front and center. A number of employees grew by 7% in 2021.

Investing in talent was one of our top priorities in 2021 and.

And we will remain front and center a number of employees grew by 7% in 2021.

Speaker 3: showing our differentiated employer value proposition and our strong innovative culture.

Showing our differentiated employee value proposition and a strong.

Innovative culture.

Everyday we celebrate who we are through our diverse and inclusive culture, our commitment to the rights of people.

Speaker 3: Every day we celebrate who we are through our diverse and inclusive culture, our commitment to the rights of people and to the planet.

To the planet.

In 2021, we achieved gender pay parity.

We extended our parental leave to be inclusive of our diverse workforce.

Speaker 3: We extended our parental leave to the inclusive of our diverse workforce.

And we saw some <unk> hundred <unk>, it's over half of our company volunteer across seven different employment employment resource groups with passion.

Speaker 3: And we saw some 1,500 crittios. It's over half our company volunteer across seven different employment resource groups with passion.

We are delighted that 100% about data center energy is now using renewable energy sources or offset by certificates.

Speaker 3: We're delighted that 100% of our data center energy is now using renewable energy sources or offset by certificates.

Speaker 3: To even more carbon, we worked with Tree Nation to plant over 7,000 trees in 2021, an effort that will accelerate. I'm passionate about this subject and will continue to present Critio as a poster child for what's right.

But even more carbon we worked with tree nation to plan over 7000 trees in 2021, and if it that will accelerate.

I'm passionate about the subject and we will continue to present Korea is a poster child for what's right.

Speaker 3: As we focus on 2022, we'll be keeping you updated through a new set of strategic pillars, which will be consistent throughout the year. Over the past year, we've prioritized around growth, execution, and first-party data. Going forward, we're evolving those priorities to focus on integration, differentiation, and scale. And firstly, integration. Now more than ever, our culture of high performance and accountability will be instrumental in achieving our growth ambition.

As we focus on 2022, we'll be keeping you updated through a new set of strategic pillars.

Which will be consistent throughout the year over the past year, we prioritized around growth execution and first party data going forward, we're evolving those priorities to focus on integration differentiation and scale.

The integration now more than ever our culture of high performance and accountability will be instrumental in achieving our growth ambitions.

To further scale, our leading position and accelerate the deployment of our commerce media platform, we intend to continue to invest in high growth areas and hire or acquire strong talent.

Speaker 3: To further scale our leading position and accelerate the deployment of our commerce media platform, we intend to continue to invest in high growth areas and hire or acquire strong talent.

Speaker 3: Our pending acquisition of iPod Web and the integration of this exciting asset is critical.

Our pending acquisition of <unk> and the integration of this exciting asset is critical.

Speaker 3: as is the opportunity for us to unlock the power of the commerce media platform through a more integrated go-to-market pivot.

As is the opportunity for us to unlock the power of commerce of the comments media platform through a more integrated go to market pivot.

Our commercial push in 2022 is critical and you'll see more from us on client segmentation product mix talent and more integrated go to market initiatives.

Speaker 3: Our commercial push in 2022 is critical, and you'll see more from us on client segmentation, product mix talent, and more integrated go-to-market initiatives. Second differentiation of

Second differentiation is what makes us unique.

Speaker 3: and the right choice for clients. You'll see us focusing on things that set us apart, from the assets that we continue to build on, to the product functions and features, to our tech investments and our people.

And the right choice for clients Youll see us focusing on things that set us apart from the assets that we continue to build on to the product functions and features to our tech investments in our people.

We will continue to differentiate to create opportunities for our clients and for ourselves and finally scale is critical to deliver sustainable growth, you'll see us focusing on making choices that enable us to scale from partnerships that we form to investments and efficiency plays.

Speaker 3: We'll continue to differentiate to create opportunities for our clients and for ourselves. And finally, scale is critical to deliver sustainable growth. You'll see us focusing on making choices that enable us to scale. From partnerships that we form to investments and efficiency plays, everything we do is grounded on our ability to make it scale.

Everything we do is granted on our ability to make it scale.

Speaker 3: In closing, we expect to deliver double digit growth again in 2022, with continued growth in retail media and marketing solutions.

In closing, we expect to deliver double digit growth again in 2022 with continued growth in retail media and marketing solutions.

The accelerated shift towards e-commerce , and digital advertising is a macro trend that will continue to grow we are well positioned to help retailers target their customers anywhere including to bridge offline commerce with online consumers.

Speaker 3: The accelerated shift towards e-commerce and digital advertising is a macro trend that will continue to grow. We're well positioned to help retailers target their customers anywhere, including to bridge offline commerce with online consumers.

Speaker 3: Communist media is the most important secular growth trend in the entire digital industry and we're confident that our strong differentiated offering will allow us to continue to gain sure psychic o External

<unk> media is the most important secular growth trends in the entire digital industry and we are confident that our strong differentiated offering will allow us to continue to gain share there.

Speaker 3: and pursuing our scale priority, we'll focus on improving our efficiencies across our business, building for growth, and gaining share on our existing market opportunity. We believe we're heading into 2022 with a clear strategy and a great plan, a focus on deeper integration, differentiation and scale with world-class talent.

In pursuing out scale priority, we will focus on improving efficiencies across our business.

Building for growth and gaining share on an existing market opportunity. We believe we're heading into 2022 with a clear strategy and a great plan focused on deeper integration differentiation and scale with world class talent.

Speaker 3: commerce media assets, and strong execution momentum. With that, I'm going to turn the call over to Todd, who'll provide an update on our product and go to market priorities for this year. Todd!

Commerce media assets and strong execution momentum with that I'm going to turn the call over to Todd who.

We'll provide an update on our product and go to market priorities for this year.

Speaker 4: Thank you, Meghan, and good morning, everyone. Our team's efforts over the last year have been instrumental in bringing our commerce media platform to life. And I'm truly excited about the promising opportunities that lie ahead for Critio and our partners.

Thank you Megan and good morning, everyone.

Our team's efforts over the last year have been instrumental in bringing our commerce media platform to life and I am truly excited about the promising opportunities that lie ahead for <unk> and our partners.

First to follow up on Mega our primary focus in 2022 will be on integration.

Speaker 4: First, to follow up on Meghan, our primary focus in 2022 will be on integration.

From a product perspective that means we are streamlining our go to market strategy and converging all of our solutions under a unified Commerce media platform experience.

Speaker 4: From a product perspective, that means we are streamlining our go-to-market strategy and converging all of our solutions under a unified commerce media platform experience, offering a single point of entry to all of our customers.

<unk> a single point of entry to all of our customers.

Speaker 4: We're also excited to leverage IponWeb's complementary assets across our product portfolio to turbocharge the delivery of our product roadmap. We've had a long-standing partnership with the IponWeb team and ultimately anticipate a fast integration of the BIDCOR DSP and the MediaGrid SSP into our Commerce Media Platform.

We're also excited to leverage <unk> webs complementary assets across our product portfolio to turbocharge the delivery of our product roadmap.

We've had a longstanding partnership with the icon web team and ultimately anticipate a fast integration of the bid for DST and the media grid SSP into our Commerce media platform.

Speaker 4: Combining BIDCOR's DSP for mid and upper funnel marketing to our existing strengths in retargeting and on-site retail media should make our Commerce Media Platform proposition even more powerful for marketers and agents.

Combining <unk> DSP for mid and upper funnel marketing to our existing strengths and re targeting and onsite retail media should make our commerce media platform proposition, even more powerful for marketers and agencies.

Speaker 4: because it will cover the entire consumer buying journey across digital stores and media destinations on the open internet.

Does it will cover the entire consumer buying journey across digital stores and media destinations on the open Internet.

And the media grid SSP brings direct relationships with many publishers as well as the technology to scale. These direct integrations and deteriorate media inventory and audiences across our broad publisher network.

Speaker 4: And the MediaGrid SSP brings direct relationships with many publishers, as well as the technology to scale these direct integrations and to curate media inventory and audiences across our broad publisher network.

Speaker 4: By integrating the media grid with our existing Critio Direct Bitter and powerful retail media SSP, we're well positioned to significantly expand our direct publisher footprint while enhancing our first party data operations, making our platform even more attractive to all types of media owners.

By integrating the media grid with our existing <unk> direct bidder and powerful retail media SSP, we're well positioned to significantly expand our direct publisher footprint, while enhancing our first party data operations, making our platform even more attractive to all types of media owners.

Yeah.

Meanwhile, <unk> webs highly custom R&D expertise is expected to meaningfully strengthen our own R&D capabilities, especially around making the commerce media platform fully customizable for our largest and most strategic enterprise and agency clients.

Speaker 4: Meanwhile, iPod Web's highly custom R&D expertise is expected to meaningfully strengthen our own R&D capabilities, especially around making the commerce media platform fully customizable for our largest and most strategic enterprise and agency clients.

We believe this will greatly enhance the attractiveness of our value proposition to the including for many retail media players as they expand into this booming space.

Speaker 4: We believe this will greatly enhance the attractiveness of our value proposition to them, including for many retail media players as they expand into this booming space.

Speaker 4: Finally, we expect the bid switch media trading marketplace to run independently and transparently, while broadening our distribution of commerce audiences to a wider set of demand and supply park.

Finally, we expect to bid switch media trading marketplace to run independently and transparently, while broadening our distribution of commerce audiences to a wider set of demand and supply partners.

Secondly, with integration being a core enabling priority. We will also be focused on further scaling our commerce media platform offering in 2022 to realize its full potential for our clients and partners on the demand side. This includes scaling our audience targeting solutions in our DSP offering.

Speaker 4: Secondly, with integration being a core enabling priority, we'll also be focused on further scaling our commerce media platform offering in 2022 to realize its full potential for our clients and partners.

Speaker 4: On the demand side, this includes scaling our audience targeting solutions and our DSP offering. Shifting from selling point solutions to an audience first sales approach that meets the advertising needs of our customers across the entire customer journey. And allows us to capture additional marketing budget.

Shifting from selling point solutions to an audience first sales approach that meets the advertising needs of our customers across the entire customer journey and allows us to capture additional marketing budgets.

We are encouraged by the early traction and positive client response, including the adoption of our contextual offering by over 600 advertisers in 2021, and we're on track to fully ramp our sales efforts by the second half of this year.

Speaker 4: We are encouraged by the early traction and positive client response, including the adoption of our contextual offering by over 600 advertisers in 2021. And we're on track to fully ramp our sales efforts by the second half of this year.

In pursuing this strategy online video remains a high priority in 2022, as we continue to engage in market consumers everywhere. They are we capitalized on strong demand for video campaigns, including shop bubble formats that we introduced last year and our growing agency partnerships.

Speaker 4: In pursuing this strategy, online video remains a high priority in 2022 as we continue to engage in-market consumers everywhere they are. We capitalize on strong demand for video campaigns, including shoppable formats that we introduced last year and our growing agency partnerships.

Speaker 4: We've already partnered with over 400 advertisers for online video campaigns in 2021 and look forward to many many more before brand launches our plan in the coming months.

We've already partnered with over 400 advertisers for online video campaigns in 2021 and look forward to many many more before brand launches are planned in the coming months.

On the supply side, we're thrilled to formally launch our media monetization offering and expect to fully ramp our commercial efforts by the second half of this year.

Speaker 4: On the supply side, we're thrilled to formally launch our media monetization offering and expect to fully ramp our commercial efforts by the second half of this year. With the anticipated addition of the media grid SSP, this will be a critical development priority in 2022, and we will continue to update you on our progress.

With the anticipated.

Addition of the media grid SSP.

This will be a critical development priority in 2022, and we will continue to update you on our progress.

Important to both the demand side and the supply side of our business is our plan to further develop our partnerships with media agencies, which play a critical role for mid and upper funnel advertising.

Speaker 4: Important to both the demand side and the supply side of our business is our plan to further develop our partnerships with media agencies.

Speaker 4: which play a critical role for mid and upper funnel advertising.

Speaker 4: Our exciting multi-year partnership with GroupM is just the beginning here, and we want to give the top media agencies access to our powerful combination of commerce audiences and high quality curated inventory for campaigns they can run with a DSP of their choice.

Our exciting multiyear partnership with Groupon is just the beginning here and we want to give the top media agencies access to our powerful combination of commerce audiences and high quality curated inventory for campaigns. They can run with the DSP of their choice.

Lastly, we will focus on reinforcing our differentiation in the marketplace with our privacy focused first party media network.

Speaker 4: Lastly, we'll focus on reinforcing our differentiation in the marketplace with our privacy-focused first-party media network.

Speaker 4: We think our strong media buying power, largely enhanced by the $1 billion of incremental media spend we expect to get from iPod Web, will help us further broaden our access to unique media, expand our consumer reach, and enhance our distribution and activation of first party data.

We think our strong media buying power largely enhanced by the $1 billion of incremental media spend we expect to get from <unk> Web will help us further broaden our access to unique media expand our consumer reach and enhance our distribution and activation of first party data.

In turn this free flow of consented first party data should help broaden our high performing commerce audiences at scale on the open internet with the network effects of attracting more advertising demand to our platform.

Speaker 4: In turn, this free flow of consented first party data should help broaden our high performing commerce audiences at scale on the open internet, with the network effects of attracting more advertising demand to our platform.

Before closing I'd like to comment briefly on the topics API.

Speaker 4: Before closing, I'd like to comment briefly on the Topics API, Google's new proposal for the private

<unk> new proposal for the privacy sandbox.

Speaker 4: This recent development provides a sense of déjà vu in our industry.

This recent development provides a sense of deja vu in our industry.

As we did with flock in 2020, and 2021, we plan to collaborate with Google and our industry partners to participate in the origin trial testing of topics and we will continue to update you in the coming months on their ability to bring value to consumers marketers and media owners.

Speaker 4: As we did with Flop in 2020 and 2021, we plan to collaborate with Google and our industry partners to participate in the Origin Trial testing of topics and we will continue to update you in the coming months on their ability to bring value to consumers, marketers and media owners.

Overall, we support providing a differentiated audience solution through googles privacy sandbox and emerging tech that promises to support a fair and open internet.

Speaker 4: Overall, we support providing a differentiated audience solution through Google's Privacy Sandbox and emerging tech that promises to support a fair and open Internet. With that, I'll turn it over to...

With that I'll turn it over to Sarah Sarah.

Speaker 5: Thank you, Told, and good morning, everyone. I'm delighted to be sharing our strong results for 2021 and really excited about our growth opportunities for 2022 and beyond. Starting with our financial highlights.

Thank you Taylor and good morning, everyone.

I'm delighted to be sharing our strong results for 2021, and really excited about our growth opportunities in 2022 and beyond.

Starting with our financial highlights for 2021 rare.

Speaker 5: Revenue was 2.3 billion dollars growing 9 percent.

Revenue was $2 3 billion growing 9% throughout the year revenue growth was primarily driven by favorable pricing.

Speaker 5: Throughout the year, revenue growth is primarily driven by favorable prices.

Speaker 5: Contribution XTAC through 12% or 11% are constant currency to 921 million dollars with 72% of the growth driven by existing clients and 28% driven by new clients.

Contribution ex Tac grew 12% or 11% at constant currency to $921 million with 72% of the growth is driven by existing clients and 28% driven by new clients.

In line with expectations. This included $57 million of incremental privacy impact or seven points of growth.

Speaker 5: In Lywin Expat patient, this included $57 million of incremental privacy impact or seven points of growth.

Our contribution ex Tac margin in 2021 was 41% of revenue up 100 basis points and I am pleased that we delivered record high adjusted EBITDA margin free cash flow and EPS.

Speaker 5: Our Contribution X tech margin in 2021 was 41% of revenue, up over 100 corporation Climate.

Speaker 5: and I'm pleased that we delivered record high adjusted EBITDA margins, free cash flows and DTS

Speaker 5: As we mentioned in our earnings release, starting in Q4, we now disclose two reportable segments. Marketing Solutions. In addition to all Comm.

As we mentioned in our earnings release, starting in Q4, we now disclosed two reportable segment.

Marketing solution and retail media.

Speaker 5: As part of this disclosure, Revenue X-Tack has been renamed Contribution X-Tack and remains our key non-gap performance metric that we now reconcile to growth progress.

As part of this disclosure revenue ex Tac has been renamed contribution ex Tac and remains our key non-GAAP performance metric that we now reconciled to gross profit.

Speaker 5: Looking at Q4, we achieved strong performance across our business.

Looking at Q4, we achieved strong performance across our business.

Speaker 5: We grew retargeting in the low single digits and grew our retail media and targeting solutions 46% with a tough comp to Q4 2020.

Re targeting and a low single digit and grew our retail media and targeting installations, 46% with a tough comp to Q4 2020.

Anticipated incremental privacy impact of $28 million negatively impacted growth by 11 percentage points in Q4.

Speaker 5: Anticipated incremental privacy impact of $28 million negatively impacted growth by 11 percentage points in Q4.

Reflecting continued upselling and cross selling across our client base outside the same client contribution ex Tac grew over 9% at constant currency and 44% of life clients now use services other than VITAS team and.

Speaker 5: reflecting continued up-selling and cross-selling across our client base, our site's same client contribution x-tax grew over 9% at constant currency and 44% of live clients now use services other than retargeting.

In Q4, our top 10 client business and marketing solutions grew 60% year over year, and 47% compared to Q4 2019.

Speaker 5: In Q4, our top 10 client business and marketing solutions grew 60% year over year and 47% compared to Q4 2019.

Speaker 5: In addition, close to a third of new business came through both our direct and agency channels for retail media and targeting solutions.

In addition, close to a third of new business case to buy stock.

Direct and agency channels of retail media and targeting solution.

Speaker 5: Client retention again remains high at close to 90%.

Retention again remains high at close to 90%.

We enjoyed a strong holiday season again this year as expected we saw any sales trend.

Speaker 5: We enjoyed the strong holiday season again this year. As expected, we saw early sales trends solidifying what is now Black November .

Solidify.

Now Black November .

Retail media had a record performance during black Friday.

Speaker 5: Retail media had a record performance during Black Friday.

Speaker 5: And during the Cyber6 weekend, overall client spend in marketing solutions increased 5% in the US and 11% in lifetime.

And during this five or six weekend overall client spend and marketing solutions increased 5% in the U S and 11% and Latam.

There were no material impacts from supply chain issues across our business in Q4.

Speaker 5: There were no material impacts from supply chain issues across our business in Q4.

Looking at our business segments, and retail media week with media spend by an outstanding 64% sequentially to close to $260 million in Q4, and close to $700 million in 2020 was up 60.

Speaker 5: Looking at our business segment, in retail media we grew media spend by and out standing 64% sequentially to close to $260 million in Q4 and close to $700 million in 2021. Up 63% year-over-year.

63% year over year.

Speaker 5: Retail media grew 58% in 2021 on a contribution tech basis and has more than doubled since 2009.

Retail media increased 58% in 2021 on a contribution ex Tac basis and has more than doubled since 2019.

We closed 2021 with 74% of our retail media business conducted dream retail media platform, including 82% in the Americas, and we expect the RMP transmission to be completed by mid 2022 in the Americas in the second half of the year.

Speaker 5: We closed 2021 with 74% of our retail media business conducted through our retail media platform, including 82% in the Americas. And we expect the RMP transition to be completed by mid 2022 in the Americas and the second half of the year in EMEA.

EMEA.

And our marketing solutions segment, we had balanced growth between our existing and new business.

Speaker 5: In our marketing solution segment, we had balanced growth between our existing and new vids.

Retail <unk> grew 17% at constant currency across our business in Q4, and 22% on a two year basis.

Speaker 5: Retail as a vertical grew 17% at constant currency across our business in Q4 and 22% on a two year basis.

Speaker 5: reflecting sustained strong customer demands across physical and digital services.

<unk> sustained strong customer demand across physical and digital stores.

Speaker 5: Our plans for Fife's business further recovered in Q4 and travel clients contributed to show signs of recovery.

Classifieds business further recovery in Q4 and travel clients contributed to show signs of recovery.

Speaker 5: Our American region has been growing at a rapid pace, reflecting a solid, resilient retogies in business.

Our Americas region has been growing at a rapid pace, reflecting a solid resilient photography business strong performance with strategic and core retail customers and a 50% growth in retail media with top brands and retailers.

Speaker 5: Strong performance with strategic and core retail customers and they 50% growth in retail media with both top brands and retail.

Speaker 5: We continue to be a leader in the U.S. retail media space and to strengthen our leading position in this vast growing market.

It continues to be a leader in the U S retail media space and to strengthen our leading position in this fast growing market.

Speaker 5: AsiaPack also experienced solid momentum driven by good retail performance in Japan, Southeast Korea and Southeast Asia and Korea, and a strengthening performance in classified.

Asia Pac also experienced solid momentum driven by good retail performance in Japan, Southeast Korea, and Southeast Asia, and Korea, and a strengthening performance in classified.

EMEA remained solid with a strong black Friday and continued strong traction across retail, including in retail media, notably in Germany, and our emerging market.

Speaker 5: The MEA remains solid with a strong Black Friday and continued strong traction across retail, including in retail media, notably in Germany and our emerging markets.

Speaker 5: The region was also impacted by explicit consent.

The region was also impacted by explicit consent.

We delivered strong profitability, while still investing in growth.

Speaker 5: We delivered strong profitability while still investing in growth. Adjusted EBITDA of $322 million in 2021 was up 26% at constant currency, driving an all-time high 35% margin at 460 basis.

Adjusted EBITDA of $322 million in 2021 was up 26% at constant currency driving an all time high 75% margin up 460 basis points.

While this margin improvement was largely driven by operating leverage from topline growth and.

Speaker 5: While this margin improvement was largely driven by operating leverage from top line growth and productivity improvement, it also reflects several structural cost measures initiated in 2020, including in our hosting and facility cost.

Productivity improvement. It also reflects several structural cost measures initiated in 2020, including in our hosting and facility costs.

We closed the quarter with 2800 <unk> the highest level since Q3 2019.

Speaker 5: Close the quarter with 2800 crittyos, the highest level since Q3 2009.

non-GAAP Opex increased 18% in constant currency in Q4, and 6% in 2021, including 13% for R&D and only grew 4% in 2021 before the impact of a higher stock price.

Speaker 5: Nongaf Alpex increased 18% in constant currency in Q4 and 6% in 2021, including 13% for R&D and only grew 4% in 2021 before the impact of a higher stock price.

In Q4 of 2021 over performance resulted in an incremental $10 million for bonus accruals and sales commissions or eight percentage points in the growth of non-GAAP OPEC.

Speaker 5: Thank you for 2021 overperformance resulted in an incremental ten million dollars for bonus accrual of self-commissioned or eight percentage points in the growth of non-gap offer.

Speaker 5: As expected, we incur three tax restructuring and transformation cost of $22 million in 2021, including $16 million in facilities as we write size of global office portfolio.

As expected, we incurred pre tax restructuring and transformation costs of $22 million in 2021, including $16 million in facilities as we right sized our global office portfolio.

Depreciation and amortization was flat in the year and the growth of our stock price in 2021 drive share based compensation expense up 43%.

Speaker 5: Appreciation and amortization was flat in the year and the growth of our stock price in 2021 drove share-based compensation expense up 43%.

Speaker 5: Our strong business performance coupled with disciplined cost management drove a 40% increase in income from operations in 2021 and 84% growth in their income.

Our strong business performance, coupled with disciplined cost management drove a 40% increase in income from operations in 2021, and 84% growth in net income.

The $2 million in financial and other income in the year largely related to proceeds from selling service and dividends received from an investment.

Speaker 5: $2 million in financial and other income in the year largely related to proceeds from selling service and dividends received from an investment.

Our effective tax rate for 2021, with 11%, primarily with primarily reflecting the release of the valuation allowance against deferred tax assets in the U S and the benefits of our French patent both tax rate.

Speaker 5: Our effective tax rate for 2021 was 11 percent, primarily reflecting the release of the valuation allowance against deferred tax assets in the US, and the benefits of our French patent-bolts tax rate.

Speaker 5: Our 2021 diluted EPS, growing 80% and adjusted diluted EPS, growing 56% both reached record level.

2021 diluted EPS growing 80% and adjusted diluted EPS grew 56% both reached record levels.

Speaker 5: We cancelled 1.5 million shares in 2021 resulting in total share count of 65.9 million at the end of 2021 down 1% including 5.2 million Treasury shares.

We cancelled one 5 million shares in 2021, resulting in total share count of $65 9 million at the end of 2021 down 1%, including $5 2 million Treasury shares.

Speaker 5: Our strong cash generation and cash position continues to provide ample financial flexibility to execute on our growth stress.

Our strong cash generation and cash position continues to provide ample financial flexibility to execute on our growth strategy.

Speaker 5: ReCache flow grew 157% to 56 million dollars in Q4 and 40% to a record 168 million dollars in 2021 reaching an all-time high conversion of 52% of adjusted EBITDA.

Free cash flow grew 157% to 50.

$56 million in Q4, and 40% to a record $168 million in 2021, reaching an all time high conversion of 52% adjusted EBITDA.

The year with a strong balance sheet and $571 million in cash and marketable securities up $41 million in the year after repurchasing over $100 million worth of <unk> with.

Speaker 5: We closed the year with a strong balance sheet and $571 million in cash and marketable securities up $41 million in the year after repurchasing over $100 million worth of Criteo shares.

Speaker 5: In total liquidity close to $1.1 billion, for about $700 million after closing IPON web, we maintain a robust capital allocation process with the primary goal of investing in organic growth and leveraging M&A to accelerate our commerce media plans.

With total liquidity close to $1 1 billion.

For about $700 million closing ipod web we maintain a robust capital allocation process with a primary goal of investing in organic growth and leveraging M&A to accelerate outcome as media platform.

Speaker 5: We repurchased over $2.6 million for $2.6 million shares in 2021 as an average cost of $37.8 per share and completed our $100 million buyback program early December . We extended our share buyback program by $75 million last October and we'll stop executing on it now that we have announced year end earn.

We repurchased over $2 6 million for two.

Two 6 million shares in 2021 at an average cost of $37 $8 per share and completed a 100 million buyback program early December we extended our share buyback program by $75 million last October and we'll start executing on it now that we have.

Our year end earnings.

We are also extending our buyback program by an additional $105 million to a total of $280 million.

Speaker 5: We are also extending our buyback program by an additional $105 million to a total of $219 million per parameter.

Speaker 5: Before I cover off financial guidance, I'll say a brief word on my homework.

Before I cover our financial guidance I'll say, a brief word on iPhone web.

Speaker 5: IPON-Wrested preliminary, preliminary, unordered, non- GAAP financial s for 2021 are in line with our expectations and include net revenue growth of 23% to over $100 million and an adjusted EBITDA margin of 20%. We expect a close acquisition by the end of 2021.

I think west preliminary preliminary unaudited non-GAAP financials for 2021 are in line with our expectations and include net revenue growth of 23% to over $100 million.

And adjusted EBITDA margin of 20%, we expect to close the acquisition by the end of Q1.

Speaker 5: I'll now provide our guidance for 2022, which reflects our expectations as of today, February 9th.

I'll now provide our guidance for 2022, which reflects our expected expectations as of today February 9th.

Speaker 5: Overall, we see continued favorable macro trends with expected double-digit growth in e-commerce again.

Overall, we see continued favorable macro trends with expected double digit growth in E Commerce again.

We do not expect a meaningful impact from supply chain issues or inflation on our business as marketers continue to lean into advertising to promote that product.

Speaker 5: do not expect meaningful impact from supply chain issues or inflation on our business, as marketers continue to lean into advertising to promote their product.

Speaker 5: That means that we have clients across various sectors, including consumer electronics and auto, that continue to experience challenges.

That being said, we have science across various sectors, including consumer electronics and auto that continued to experience challenges.

Like others, we are experiencing a tight talent market and have anticipated highest salary level for 2022.

Speaker 5: Like others, we are experiencing a tight talent market and have anticipated highest salary level for 2022.

We now anticipate incremental privacy impact of $55 million in 2022 related to apples ATT and iOS 15, as well as explicit consent in Europe to a lesser extent.

Speaker 5: We now anticipate incremental privacy impacts of $55 million in 2022 related to Apple's APT and iOS 15 as well as explicit consent in Europe to a lesser extent.

Speaker 5: We expect about 75% of these privacy impacts to materialise in H1 2022, including close to 40% in Q1 alone.

We expect about 75% of these privacy impact to materialize in <unk> 2022, including close to 40% in Q1 alone.

While we may not be as exposed as other companies iOS and other proxy impact have impacted the underlying performance of advertising on the internet.

Speaker 5: While we may not be as exposed as other companies, iOS and other privacy impacts have impacted the underlying performance of advertising on the open internet.

Speaker 5: All of our 2022 guidance excludes the contemplated acquisition of I-POM web.

All of our 2022 guidance exclude the contemplated acquisition of iPhone web.

Speaker 5: Overall, we view 2022 as a ramp up year with an acceleration for continued growth in 2020 stream as we continue to execute on our strategic roadmap. But fiscal year 2022 with targeting constant currency growth of 10 to 12 percent in contribution reducing open growth of new PVR deal.

Overall, we view 2022 with a ramp up year with an acceleration of continued growth in 2023, as we continue to execute on our strategic roadmap.

For fiscal year 2022, we're targeting constant currency growth of 10% to 12% and contribution ex Tac on top of double digit growth in 2021.

Speaker 5: This assumes organic growth of around 20% in growth media spend.

This assumes organic growth of around 20% in gross media spend including to over a billion dollars for retail media online.

Speaker 5: including to over a billion dollars for retail media alone, growing close to 60% in 2020.

Close to 60% in 2022.

Speaker 5: We expect re-targeting to be resilient, despite the incremental privacy impacts. Retail merely out to grow by 50% in 2022, with accelerating growth throughout the year, and audience targeting to grow by 40% to 45%, all in line with a framework provided at our university in June of last year.

We expect re targeting to be resilient, despite the incremental privacy impact retail media to grow by 50% in 2022 with accelerating growth throughout the year and audience targeting to grow by 40% to 45% all in line with the framework provided at our Investor day.

<unk> in June of last year.

On the expense side, we have budgeted a 16% growth in non-GAAP expense driven by continued investments in our growth areas and an increased run rate for expenses related to marketing events and travel we.

Speaker 5: On the expense side, we have budgeted a 16% growth in non-gap expense driven by continued investments in our growth areas and an increased run rate for expenses related to marketing events and travel.

Speaker 5: We will continue to hire new critters to fuel our growth agents.

We will continue to hire new radios to fuel our growth agenda.

Speaker 5: In 2022, we expect an adjusted EBITDA margin of approximately 32%.

For 2022, we expect an adjusted EBITDA margin of approximately 32%.

Speaker 5: to normalize tax rate of 25% to 30%, which includes the anticipated impact of OECD reform.

We expect a normalized tax rate of 25% to 30%, which includes the anticipated impact of OECD reforms.

We expect capex of about $85 million and our free cash flow conversion rate of about 45% of adjusted EBITDA.

Speaker 5: We expect catacves of about 85 million dollars and a pre-cash flow conversion rate of about 45% of adjusted in bidar.

For modeling purposes, we would assume a flat number of shares outstanding in 2022.

Speaker 5: For modeling purposes, we would assume a flat number of shows outstanding in 2022.

We estimate Forex changes in 2022 compared to 2021 to drive a negative impact of about $20 million on contribution ex Tac arrived two percentage points of growth and $8 million on adjusted EBITDA of 15 basis points of margin.

Speaker 5: We estimate 4x changes in 2022 compared to 2021 to drive a negative impact of about $20 million on contribution X-PAC or over 2% to points of growth and $8 million on aron had justikon of here V at & artificial.

In Q1, 2022, we expect contribution ex Tac $216 million to 220 million.

Speaker 5: To 2022, we expect contribution X10, 216 million to 220 million.

Speaker 5: $5% to 7% at cost and currency and adjusted either $5.2 million to $56 million.

<unk> growing by 5% to 7% at constant currency and adjusted EBITDA of $52 million to $56 million.

We expect negative impact from contribution ex Tac of $8 million from Forex or close to four percentage points of growth and 20 million from incremental privacy impact or about 10 percentage points of growth.

Speaker 5: We expect negative impact on contribution tax of $8 million from 4X or close to 4% of points of growth and $20 million from incremental privacy impact or about 10% of points of growth.

Retail media is expected to grow 40% in Q1 following over 120% growth in the same period last year.

Speaker 5: Resel Media is expected to grow 40% in Q1, following over 120% growth in the same period last year.

Speaker 5: We expect underlying growth in retargeting to be offset by incremental privacy impacts, especially related to iOS.

We expect underlying growth can be targeting to be offset by incremental privacy impact, especially related to Iowa.

Marketers are more conscious of motor performance post Io.

Speaker 5: Marketers are more conscious of intention of lower performance worst ioware.

Speaker 5: On the expense side, we expect to accelerate hiring in Q1 and increase our marketing spending around the critical brand.

On the expense side, we expect to accelerate hiring in Q1 and increase our marketing spend.

Around the <unk> brand.

In closing <unk> has the ambition to be the largest AD tech player on the open Internet without commerce media platform strategy thoughts coming to life, we're well positioned to deliver on our plans to double digit growth.

Speaker 5: In closing, Cridio has the ambition to be the largest ad-tact player on the open internet. With our commerce media platform strategies fast-coming to life, we're well positioned to deliver on our plans to double-digit growth, healthy profitability and strong cash generation to drive long-term shareholder value in 2022 and beyond.

Healthy profitability and strong cash generation to drive long term shareholder value in 2022 and beyond.

Speaker 5: future is wide open for credio and with that I'll now open up the floor to our

<unk> is wide open for radio.

With that I'll now open up the floor to a question.

We will now begin the question and answer session to ask a question. Please press Star then one on your Touchtone phone. If you are using a speakerphone. Please pick up your handset before pressing the keys to withdraw your question. Please press Star then two.

Speaker 1: We will now begin the question and answer session. To ask a question, please press star then one on your touch tone phone. If you are using a speaker phone, please pick up your handset before pressing the keys. To withdraw your question, please press star then two. At this time, we'll pause to assemble our roster.

At this time, we'll pause to assemble our roster.

So first question is from Doug Anmuth of Jpmorgan. Please.

Speaker 1: The first question is from Doug Ann Moose of J.P. Morgan. Please.

Our questions.

Speaker 4: My question, I have to just first on the commerce media, it was hoping in the negative, you could talk a little bit more about how budgets are getting set, are you seeing more, coming through the annual budgeting process or we're still more primarily in recorder. And then secondly, just on the three-year deal with group them, just curious about the potential for other agency deals and what you think these kind of partnerships can unlock for you versus what's currently addressable. Thanks.

Just first on E. Commerce media was hoping megabit, you could talk a little bit more about how budgets are getting set are you seeing more coming through the annual budgeting process or we're still more primarily intra quarter.

And then secondly, just on the three year deal with Great I'm, just curious about the potential for other agency deals and what you think these kind of partnerships can unlock for you versus what's currently addressable.

Thanks for the question Doug Good to hear from you on the on the budget front.

Speaker 3: Thanks for the question, Doug. Good to hear from you. On the budget front.

It's again, it's different for different for different retailers.

Speaker 3: It's again, it's different for different retailers. We go from retailers that are very clear about what their strategies are for their digital presence, digital store for the year, that have dollars set aside in budgets for...

We go from retailers that are very clear about what their strategies for the digital.

Presence digital store for the year that have dollars set aside and budgets for.

For using on platforms like ours to enhance their ability to get a strong omnichannel play for the year.

Speaker 3: for using on platforms like ours to enhance their ability to get a strong on the channel play for the year.

And so their clients that we know very well we've worked with for a long time.

Speaker 3: And so there are clients that we know very well, we've worked with for a long time, that it's predictable and helps us work out what we're doing for them throughout the year. And then what I find really...

Predictable and it helps us work out what we're doing for them throughout the year and then what I find really.

Speaker 3: Well, exciting, I guess, in terms of the opportunity is that there are retailers who are evolving and evolving really quickly. And they can see that there's a benefit, and I guess this is through the pandemic, there's a major benefit for them to accelerate what they're doing.

Exciting I guess in terms of the opportunity is that there are retailers, who are evolving and evolving really quickly and they can see that there is a benefit and I guess this is through the pandemic and it is a major benefit for them to.

To accelerate what Theyre doing.

Speaker 3: online to create a more sophisticated e-commerce present.

Online too.

To create a more sophisticated e-commerce presence and to utilize us to help them to get there.

Speaker 3: and to utilize us to help them to get there. From bringing brands to them, to helping them attract brands to their sites, to actually supplying the tech. And as I said before, to create a seamless experience for them and a long-term vision around things like, platform fatigue and how we can help them.

From bringing brands to them to help helping them attract brands to their sites to actually supplying the tech and as I said before to create a seamless experience for them and our long term vision around things like platform fatigue, and how we can help them.

Speaker 3: not have to build the South themselves. So again, it's just, it's very much different, but all of it is, is, is, is, is exciting around the opportunity that it brings to us for our comments media platform.

Not have to build this out themselves. So again, it's just it's very much different.

It's all of it is is is.

It is.

These exciting around the opportunity that it brings to us for our commerce media platform.

On that.

On the.

Speaker 3: On the agency front, there's a ton of opportunity there. I'm thrilled with the announcement around GroupM. I think it speaks volumes to what we're doing and how we can help agencies out. And GroupM is a strong partner of ours and this really solidifies that.

On the agency front.

There's a ton of opportunity there im thrilled with the announcement around group Pam I think it speaks to speaks volumes.

What we're doing and how we can help agencies out and group <unk> have.

Strong partner of ours, and this really solidifies that.

Speaker 3: The retellers that we're working with, as I said before, are looking for us to help them to attract brands.

The retailers that we're working with as I've said before are looking for us to help them to attract brands and a lot of that comes from from agencies and our relationships with agencies and.

Speaker 3: And a lot of that comes from agencies and our relationships with agencies and our therefore our relationships with brands and with CPT products and everything that we can bring to the table. So it's the starter something I think is going to be a big opportunity for us. I've talked about this for the last couple of years about how we haven't had...

And our therefore, our relationships with with brands and with our CPG products and everything that we can bring to the table. So it's the start of something I think is going to be a big opportunity for us I've talked about this for the last couple of years about how we haven't had.

Speaker 3: strong relationships with agencies and we're really flexing some muscle here to lean into it and be helpful to them and not feel threatened by them or not compete with them but to become partners with them and this is I hope a real indicator of our success there.

Strong relationships with agencies, and we're really flexing some muscle here to to lean into it and be helpful to them and not feel threatened by them or not compete with them, but to become partners with them indices by hype.

Indicator of our success there.

That's great. Thank you Megan.

The next question is from Richard Kramer of a REIT.

Speaker 1: The next question is from Richard Kramer of Areet. Please go ahead.

Please go ahead.

Okay. Thank you very much.

Im Megan.

Speaker 6: Megan, I'd like your thoughts on whether Criteo is undergoing a sort of structural change in this business model in both the balance of agency versus principal business that you mentioned, but also working with retailers as publishers versus buying direct from publishers. Can you give us some sense or implications of what that'll be for the take rate to the business on your activated media spend? And then maybe

I'd like your thoughts on whether it was undergoing sort of a structural change in its business model in both the balance of agency versus principal business that you mentioned, but also working with retailers as publishers versus buying direct from publishers can you can you give us some sense or implications.

What that'll be for the take rate so the business on your activated media spend.

And then maybe.

Another call. It how you see the business evolving for Todd I mean, given the mentions of contextual and video and increased volume going through retail media. How do you see the balance of business between where you would expect to have had the persistent identifier in the past.

Speaker 6: Another cut at how you see the business evolving for Todd. I mean, you may give them mentions of contextual and video and increased volume going through retail media. How do you see the balance of business between where you would expect to have had the persistent identifier in the past and where you would be leaning on other internal solutions? What point do you think you can cross over into not relying on those third party or persistent identifiers and instead looking at some of these new approaches? Thanks.

And where you would be leaning on other internal solutions what point do you think you're going to cross over into not relying on those those third party or persistent identifiers and instead looking at some of these new approaches.

Yeah, I'll start sort of at a very high level, and then I'll pass it across to Todd.

Speaker 3: I'll start at a very high level and then I'll pass it across to Todd.

I do see a shift in our client mix and I've said it for some time in terms of retailers are now media owners and this is accelerating really quickly they understand that they have.

Speaker 3: I do see a shift in our client mix, and I've said it for some time, in terms of retailers are now media owners, and this is accelerating really quickly. They understand that they have...

Speaker 3: that they have content and that they can attract brands, they can attract, they can monetize that, both from a media perspective, but also a promotion, in-store promotion perspective that's gone from bricks and mortar to their online presence as well. They also see an opportunity to monetize by partnering with brands to advertise off site and reach a much broader audience. Right!

That they have content and that they can attract brands. They can attract that can monetize that.

Both from a media perspective, but also a promotion in store promotion perspective, that's gone from bricks and mortar to to their online third their online presence as well.

But you also see an opportunity to monetize by partnering with brands.

To advertise upsides and reach a much broader audience.

For us.

Our ability to help.

Speaker 3: Our ability to help them with that off-site play.

Help them with that Offsite play.

Speaker 3: really leans into our years and years of retargeting and targeting our ability to get to the amount of media owners or publishers that we have access to is just so unique to an ad tech company that's leaning also leaning into onsite and helping them with their retail media presence.

Really leans into are years and years of re targeting and targeting.

Our ability to get to the amount of meteor covenants of publishers that we have access to is just it's so unique to <unk>.

Ed Tech company, that's leaning also leaning into onsite and helping them with their retail media presence.

Speaker 3: And so it sort of broadens the capability to something that aids.

So so it's sort of broadens the capability to something that.

Speaker 3: Richard, I think you've, you've set up a lens on this before in terms of the uniqueness that retail media and the comments media platform has and what Kredio can bring to that broader set of clients.

Richard I think.

And Thomas before in terms of the uniqueness that reap that retail media and content <unk> media platform has and what <unk> can bring to that.

Broader set of clients.

Speaker 3: And also, as I said before, the agencies just key to this. They're right in the center of it. They hold the keys to relationships with not just the retailers, but the...

And also as I said before the agencies just key to this they're right in the center of it.

Hold the keys to the relationships with.

Not just the retailers but.

Speaker 3: but the endemic brands, the CBG brands, and everything in between. And so that for us is just a really important critical part of our business that is just opening up opportunities and will have an impact, I think, structurally on the way in which we go to market.

But the endemic brand.

<unk> brands.

And everything in between and and so that for US is just really important critical part of our business that is just opening up opportunities and will have an impact I think structurally.

On the way in which we go to market.

Todd you want to add to that.

I would love to Richard Nice to hear from you. So I think.

Speaker 6: Yeah, I would love to Richard nice to hear from you. So I think part of your question was, how do the different audience approaches kind of fit together for our customers under the commerce media platform umbrella? And I just want to go back to when we first started talking. We have taken deliberately a path of investing in multiple approaches to create access to in market audiences.

Part of your question was how do the different audience approaches kind of fit together for.

Our our customers under the Commerce media platform umbrella and I just wanted to go back to when we first started talking we have taken deliberately a path of investing in multiple approaches to create access to in market audiences commerce audiences for our partners.

Speaker 6: commerce audiences for our partners across the open internet.

Across the open Internet.

We do some of that addressable <unk>, we do a lot of that increasingly now with with contextual and we also continue to experiment with cohorts.

Speaker 6: We do some of that addressably. We do a lot of that increasingly now with contextual and we also continue to experiment with cohorts. And the reason for that is because we want to provide all of our partners the best combination of audience targeting approaches to get to those in market customers. They wouldn't otherwise see on their website or their app.

The reason for that is because we want to provide all of our partners. The best combination of audience targeting approaches to get to those end market customers. They wouldn't otherwise see on their website or their app and so if you look at it that way you can think of what we're doing with Commerce media platform is just making a lot.

Speaker 6: And so if you look at it that way, you can think of what we're doing with Commerce Media Platform is just making it a lot simpler to pull a variety of audience approaches together to give great scale access.

It's simpler to pull a variety of audience approaches together to give great scale access to them and then to make sure on site that we're packing a ton of value around what we're doing with on site monetization and also with trade marketing coming online.

Speaker 6: and then to make sure on site that we're packing a ton of value around what we're doing with on-site monetization.

Speaker 6: and also with trade marketing coming online. So whether that means...

So whether that means.

Speaker 6: has implications for our take rate or not is sort of academic. What's important for everyone on the call to know is that the approach to packaging these things means we can take a lot more of the total money.

Yeah.

Has implications for our take rate or not is sort of academic what's important for everyone. On the call to know is that the approach to packaging. These things means we can take a lot more of the total money.

Speaker 6: And we're just really getting into that with our go-to market, which was a little hidden in my script. But we're packaging now to make it simpler for those two parts, those two use cases to work very gracefully together. And with that, we're gonna take a lot more of the overall share of wallet.

And we're just really getting into that with our go to market, which was a little hidden in my script.

But we're packaging now to make it simpler for those two parts. Those two use cases to work very gratefully together and with that we're going to take a lot more.

Overall share of wallet.

The next question is from Dan Salmon of BMO capital markets. Please go ahead.

Speaker 1: The next question is from Dan Salman of BMO Capital Markets. Please go ahead.

Speaker 4: Okay, great. Good morning, everyone. I've got two questions. One for Megan one for Sarah.

Okay, great good morning, everyone.

Two questions one.

Went from negative one from Australia.

Speaker 4: Megan Ferrer mentioned a new brand positioning for Critio and I see the news this morning you'll be making a local buy in New York, Chicago in the Bay Area during the Super Bowl.

Megan here I mentioned.

New brand positioning for cardio and I see the news this morning, youll be making a local buy in New York, Chicago and the Bay area during the Super Bowl.

Speaker 4: That sounds very interesting. So could you give us a bit more of a sneak peek at what you and your CMO have in mind for repositioning the view of proteobose within the digital ad ecosystem, but also with consumers?

That sounds very interesting so could you give us a bit more of a sneak peak yet.

You in your CMO have in mind for repositioning the view of cardio base within the digital AD ecosystem, but also with consumers.

Speaker 7: And then the second one for Sarah, I just follow up on the privacy impacts.

And then a second one for Sarah just to follow up on the privacy impacts.

It sounded like it was a little ahead of your expectations for the fourth quarter.

Speaker 7: It sounded like it was a little ahead of your expectations for the fourth quarter. Three months ago it was very helpful when you broke down the impacts of ATT versus and IOS. So my question first was, one of those greater than expected during the quarter or was it maybe the privacy changes in Europe ?

Three months ago. It was very helpful. When you broke down the impact ETT versus the iOS.

So my question first.

One of those greater than expected during the quarter or was it maybe the privacy changes in Europe .

Speaker 7: And then likewise, thank you for all the seasonal color on the 2022 privacy impacts possible to break that down into those three components of HGT, iOS 15, and the Europe impact that would be great.

Likewise, thank you for all the seasonal color on the 2022 privacy impacts possible to break that down into those three components with BTT.

<unk>.

And the Europe impact that would be great. Thank you.

Yes.

Yeah, I'll take I'll take the first one Tim good to hear from you and thanks for spotting the use on the brand campaign. We are really excited by this one there's three things that we want to achieve here.

Speaker 3: Yeah, I'll take the first one. Dan, good to hear from you and thank you for spotting the use on the brand campaign. We're really excited by this one. There's three things that we want to achieve here. No, no four. One.

No not for one is.

<unk> brand awareness.

Speaker 3: So, you know, I've set my CMO a task of making sure that we're a household name. And he's taking that very seriously, he's doing a terrific job. And so this is one way to do it. And it's not just a Super Bowl campaign that's a kickoff. It's a series of...

I've set my CMO of a task of making sure that we're a household name.

And he is taking that very seriously it's doing terrific job.

And so this is one way to do it and it's not just the Super Bowl campaign that to kickoff.

It's a series of differ.

Speaker 3: different Brand awareness pieces that actually if you see the ad narrow us down to you know 15 second spots and six second spots And those things that will appear and really solidify the message

Different.

<unk> awareness pieces that actually if you see the AD narrow it down to 15 second spots in six second spots and those things that will appear in really solidify the message the.

Speaker 3: The message is for a few constituents. In terms of consumers, it is really about opening minds to what's going on on the open internet. And the notion that with the World Gardens taking away the ability for media owners to, you know, rightfully see their audiences and understand their audiences and sell their audiences.

The message is is for a few constituents in terms of.

Consumers.

It is really about opening.

Opening mines to what's going on on the open internet and the notion that with.

<unk>.

The walled garden, taking away the ability for media owners to rightfully see their audiences and understand their audiences and sell their audiences.

Speaker 3: It's, you know, that has an impact on the open internet, which could be devastating. And we've talked about this for the last couple of years.

It is.

That has a.

And that has an impact on the open internet, which is could be devastating and we've talked about this for the last couple of years.

Speaker 3: So to make sure that consumers understand why they're accepting cookies, why they're giving their data and is I think critical for all of us. So this is a total play for in terms of education.

So to make sure that consumers understand why they are accepting cookies.

Why are they giving their data and it is.

Is I think critical for all of US. So this is a this is a total play for in terms of education.

The second is of course would be to be so for those who knew us as a re targeting company to bring some awareness to them to ask questions about what we're doing now and come back to our business.

Speaker 3: The second is of course a B2B, so for those who knew us as a retargeting company to bring some awareness to them to ask questions about what we're doing now and come back to our business is an objective of the campaign. And then thirdly, as a talent acquisition, you know, in the spirit of different...

As a.

The objective of the campaign and then thirdly as a talent acquisition.

The spirit of differentiation for us to tell our story and to have great Tech talent, which is.

Speaker 3: For us to tell our story and to have great tech talent, which is

Speaker 3: You know, is a reason why, one of the reasons why we've been, you know, been selective around the parts of the country that the ad will err on is to attract talent to critty that sees the campaign is fascinated by it. Comet and Texel look further and just differentiate us from everybody else. So.

There is a reason why one of the reasons why we've been.

We've been selective around the parts of the country that Ed will air on needs to attract talent to <unk>.

That sees the campaign is fascinated by it comes and takes a look further than just differentiates us from everybody else.

Speaker 3: So it has sort of this multi faceted objective to it and I hope that I think it's gonna be great. If you've seen the campaign run, it's unusual and quirky and I'd love it.

This multi faceted objective to it and I hope, it's I think it's I think it's going to be great. If you've seen if you've seen the campaign around it.

Unusual in quick cannot love it love it.

Speaker 5: And I was just at take a minute on the micro, so I also love it. In 2020, I'm just to answer on privacy. So we had in our guidance expected $55 million in on November Also, it's a message alone with people who have PLEGED at makes within their business.

And I would just add.

Many of the Blackberry side.

I love it.

2021, disruptor on privacy that we had in our guidance expected $55 million and I'll dive into the guidance.

Speaker 5: and about $24 million in Q4. And I think all of it, well, we have, all of us have seen a much more aggressive...

And about $24 million in Q4, and I think all of it we have.

<unk> seen a much.

Much more aggressive.

Speaker 5: iOS 14.515 impact. So for us in Q4, the overall impact was about $28 million in incremental year-on here, about $23 million of that with iOS.

At $14 5 million 15 impact for us in Q4, the overall impact was about $28 million incremental year over year about $23 million of that with Iowa.

Intensive 2022.

Speaker 5: In terms of 2022, we have assumed $55 million.

We have assumed $55 million.

About $20 million of that is in Q1 for Iowa.

Speaker 5: about 20 million dollars of that is in Q1 for Iowa. And about...

And about $17 million in Q2, our Iowa.

Speaker 5: for IWAR and then 20

And then 2000.

Q3, 8 million in Q4 3 million. So a total of iowa's impact of about $48 million.

Speaker 5: 8 million 2.4 3 million so a total of IOS impact from about 48 million dollars.

The incremental year on year.

Speaker 5: And then we've got other impacts for experience and other identifiers. We have not assumed any impact from other privacy measures, for example, Android. We, you know, because there's a lot of talk, we feel that remote.

And then we've got other impacts for explicit consent.

Identify it we have not seen.

Any impact from other privacy measures for example, undulate.

Another tool we feel that.

For 2020.

Speaker 5: for 2022. We do see a significant front loading impact of iOS, and it did impact us, it impacted us, it impacted everyone on the open internet. So with that, for me, you know, it's hard off that. And that being said, we're with the

Significant frontloading impact of Iowa, and it did impact us impacted up impact everyone on the Internet. So we definitely heard of that.

That being said.

Certainly.

Speaker 5: see kind of the strong positives of 685 million CDX

See kind of the strong positive 695 million daily active users and then we continue the.

Speaker 5: and then we continue as far as we've talked about to look at how the wheat finds access.

The way it talks about how do we find access to use a signal to target another way though.

Speaker 5: target in other ways. But we're happy to share more detail on privacy and hopefully that gives you some colour.

But we're happy to share more detail on privacy.

That gives you some color.

Great. Thank you very much.

Politically.

The next question is from Tim Nolan of Macquarie. Please go ahead.

Speaker 1: The next question is from Kim Nolan of McQuarrie. Please go ahead.

Speaker 4: Hi everyone, thanks for taking the question. A couple, actually, one is it looks like your reported top line revenue number in the quarter was down 1%. But your contribution number, I think organic was up, forget, and that was a 7 or 9%, which obviously means the traffic acquisition cost went down. It seems like that was on the retail media side. I wonder if you could just talk about why the cost of media seems to have gone down in Q4. And then another question is,

Hi, everyone. Thanks for taking the question.

A couple actually one is it looks like your reported topline revenue number in the quarter was down 1%.

But your contribution number I think organic was up.

And that was at 7% to 9%, which obviously means the traffic acquisition cost went down it seems like that was on the retail media side I Wonder if you could just talk about why the cost of media seem to have gone down in Q4 and then another question is theres been a lot of discussion about regulatory moves in the U S and in Europe , and I guess I'm curious.

Speaker 4: you know there's been a lot of discussion about regulatory uh... moves u.s. and Europe and i guess i'm curious any common you can have in general about that but in particular with your seat in Europe you know hearing about the i.a.b. for example being um... hit with a fine uh... by the authorities i'm just wondering what what if you could give us your updated thoughts on what the regulatory environment is i'm not talking apple and google moves i'm talking the regulators themselves

Any comment you could have in general about that but in particular with your seat in Europe , you're hearing about the Iab for example, being hit with a fine.

Authorities I'm just wondering what if you could give us your updated thoughts on what the regulatory environment is we're not talking Apple and Google News I'm talking to the regulators themselves. Thanks.

Yeah.

Okay.

Hello, I can definitely talk about the gross media spend all the revenue versus the contribution ex Tac.

Speaker 5: So hello, I can definitely talk about the gross media spend or the revenue versus the contribution X-TAC. It all relates to the move of our retail media customers onto the platform and going from gross revenue to net revenue. In the slide deck, there's a supplementary slide that details that impact, that really is the impact. So we're happy to address it further, but that's the...

It relates to the new.

<unk> of our retail media customers onto the platform and going from gross revenue to net revenue in the slide deck.

A supplementary slide that details the impact that really is the impact. So we are happy to address it further but that's that's the I.

I guess.

Speaker 5: I guess the dynamic that we're going through now is the different.

The dynamic that we're going to be.

Right.

Speaker 5: Smart Pixel

Gross and net accounting for retail media other than that there's really no other significant trends to talk about and then I'm regulatory happy to hand over.

Speaker 5: Other than that, there's really no other significant trends to talk about.

Speaker 6: And then on regulatory, happy to have it to Todd. Yeah. So there's obviously quite a bit of activity happening, which we participate in very directly with the DPAs and the industry working groups fully.

Todd.

So there is there is.

Obviously quite a bit of activity.

Happening, which we participate in very directly with the DPA ads.

Industry working groups fully.

Speaker 6: including the IAB Tech Lab where I sit on the board and that body which created the TCF camp. Here's the deal. What Megan said is really the under all that chatter and the meaningful conversation is a theme of giving consumers crystal clear understanding of what they're doing with their data from cradle to grave.

Including the Iab Tech lab, where I sit on the board.

Body, which created the Tcf Kim here's the deal.

What <unk> said is really the update under all of that chatter and.

And the meaningful conversation is the theme of giving consumers Chris.

Crystal clear understanding of what Theyre doing with their data from cradle to grave.

Speaker 6: And that's what's behind this. So the more we invest in making sure our partners are able to explain what data is being collected, how it might be used.

And Thats whats behind us so the more we invest in making sure. Our partners are able to explain what data is being collected how it might be used what the value exchange with consumers is up for that data, which is used we.

Speaker 6: what the value exchange with consumers is for that data which is used, we will be navigating too much safer ground. And that's how we look at it as a company. We obviously work with the regulators, we work with the industry bodies, and then we engineer solutions, which are a better alternative.

We'll be navigating to much safer ground and that's how we look at as a company. We obviously work with with the regulators we work with the industry bodies, and then we engineer solutions, which are better alternatives.

Speaker 6: So that's kind of our North Star while we work through these situational things which are important.

So thats kind of where our Northstar, while we work through these situational things which are important.

But overall, we think we will be able to get through them and help others through them our partners through them and of course.

Speaker 6: But overall we think we will be able to get through them and help others through them, our partners through them in course.

Okay. Thanks Todd.

Okay.

The next question is from Matthew Thornton of Truest. Please go ahead.

Speaker 1: The next question is from Matthew Thornton of Truist. Please go ahead.

Hey, good morning, everyone.

Speaker 8: maybe a couple of i could i guess uh... i don't know if this is for for magon but maybe talk a little bit just about retail media the competitive plans get more broadly obviously uh... microsoft has acquired zander i think there is the mention of retail media three times in for was a pretty short press release actually

Maybe a couple if I could I guess.

I don't know if this is for Megan, but maybe you could talk a little bit just about retail media the competitive landscape more broadly obviously.

Microsoft has acquired Zander I think there was the mention of retail media three times in what was a pretty short press release actually.

Speaker 8: Your publicist has had citrus ad, you know, kind of, um...

<unk> has had citrus at kind of.

You onboard for a couple of quarters now just just maybe some high level thoughts as to what Youre seeing competitively in the retail media opportunity.

Speaker 8: on board for a couple quarters now. Just maybe some high level thoughts that's what you're seeing competitively in the retail media opportunity.

Speaker 8: And then just secondly, as you think about the linearity of 2022 in retail, media, and more broadly, obviously you talked about retail media, accelerating throughout the year, my question is I guess, is that just a function of easing comes or do you see the group M partnership or the IPON web relationship or improving travel, improving supply, so I'm just curious if it's anything else underpinning that linearity for the year that we should be thinking about. OK, thanks everyone.

And then just secondly, as we think about the linearity of 2022 in retail media more broadly obviously, you talked about retail media accelerating accelerating throughout the year.

My question is I guess is that just a function of easier comps or do you see the group and partnership or the ipod web relationship or.

Improving travel improving supply issue I'm, just curious if there's anything else underpinning that that linearity for the year that we should be thinking about thanks, everyone.

Came out I'll take that Matthew I'll take the first one and then I'll pass across to Todd.

Speaker 3: I'll take Matthew, I'll take the first one, and then I'll pass across to Todd. So in terms of competition, it's pretty much the same as we've been talking about now for a while. We do see Citrus ad going to publicists and then continuing to do what they do.

So intensive competition.

It's pretty much the same as we've been talking about now for for a while we do see.

Citrus add going to publicists in them continuing to do what they do.

Speaker 3: We see Microsoft out in the field, and they're a strong competitor, but we put our blinkers on and we go. And what's most important to us is are the assets that we have and the fact that more than half of the top 25 US retailers and top 20.

We see it.

See Microsoft out in the field and they're a strong competitor, but we've put out blend Kazan and we go and whats most important to us is.

The assets that we have and the fact that more than half of the top 25 U S retailers and top 20.

Speaker 3: European retailers are our clients. So if I was to sort of summarize the things that are important to us that set us aside.

European retailers.

Our clients. So if I was to sort of summarize the things that are.

Important to offset setups aside.

Speaker 3: from everybody else that helps fuel us and help us when business is that retailer footprint and an extension to that, our plans to continue to grow that footprint.

From everybody else has helped fuel us and help us win business is that retailer footprints.

And an extension to that our plans to continue to grow that footprint.

Speaker 3: Our first mover advantage, as I said earlier on the call, we feel like we coined the phrase, Thomas Media Platform and retail media as part of that.

Our first mover advantage as I said earlier on the call we feel like we.

Coined the phrase comments media platform in retail media as part of that.

Speaker 3: The relationships that we have with our clients, with our partners, with consumers, everything that we bring to the table, which is extremely broad as part of our retail media offering.

The relationships that we have.

With our clients without partners with consumers everything that we bring to the table.

Which is extremely broad as part of our retail media offering.

And our relationships with our existing clients that make us sticky it's.

Speaker 3: And our relationships with existing clients that make, you know, a sticky. It's when you put in a retail media offering for the most part into those retailers. It's a long cycle in terms of integration or deployment. And so it's really is a partnership in getting the software and houses services and how.

When you put it in our retail media offering for the most part in to those retailers.

It's a long cycle in terms of.

Integration or deployment.

And so it's.

It really is a partnership in and getting getting suffer in house services in house.

Speaker 3: The other thing is that we continue to innovate and for every piece of innovation as we see the market move and change and grow, what we do for one affects everybody. So there's this network effect of us being specialists in this area and continuing to invest in it and being bullish about it.

The other thing is that we continue to innovate and for every piece of innovation as we see the market move and change and grow.

What we do for one affects everybody. So there's this network effect of us being specialists in this area and continuing to invest in it and being bullish about it.

And then Ah.

Speaker 3: And then two more things. We're, if there's a back off between two players, then we're up for it all the time. And we stand by the performance that we provide for our clients. And we'll go ahead to head with anybody.

Two more things.

Sure.

Theres a bake off between two players and we're up for it all the time and we standby the performance that we provide for al.

Our clients and and we will go head to head with anybody anytime.

Speaker 3: anytime. And then one more thing on this one is, you know, the push towards the offsite is a very, very unique positioning for us as compared to our competitors. And so this one we find incredibly valuable. So there's a lot of reasons.

And then one more thing on this one is the push towards the off site is a very very unique.

Positioning for us as compared to our competitors and so this one we find incredibly valuable so there's a lot of reasons.

Speaker 3: to go with Kredio and There's a lot of room out there for others, but we put our blinkers on and we do what's best for our clients

To go with Caribbean and.

There's a lot of room out there for others, but we put out blinkers on and we do what's best for our clients.

Speaker 3: And we have a long and healthy runway ahead of us.

And where we have a long and healthy runway ahead of us.

Speaker 6: Yeah, I would just add to that, you know, as Megan said, we have a lot of advantages at first mover, but we also, in retail media, we also have an advantage of being a great performance marketer, a legacy of great performance marketing. And of course, you know, putting those two things together is not trivial. Okay, the unlock, I think that makes us different from other competition that are singing the retail media tune these days.

Yes, I would just add to that.

As Meghan said, we have a.

A lot of advantage of first mover, but we also in retail media. We also have an advantage of.

Being a great performance market or a legacy of great performance marketing.

And of course, putting those two things together is not trivial okay. The unlock I think that makes us different from other competition that are singing the retail media tune. These days is that we are able to simplify the execution across the entire <unk>.

Speaker 6: is that we are able to simplify the execution across the entire

Speaker 6: you know customer buying journey and as I said that's not simple. So getting the plus plus plus of that is something we have an advantage over and you look, design posts that it's hard are everywhere.

Customer buying journey and as I said thats not simple so getting the plus plus plus of that is something we have an advantage over and you look the signpost that its hard are everywhere.

Speaker 6: you know, even the Walmart and trade us together have struggled with this. And so we feel like...

Even the Walmart and the trade and trade ups together have struggled with us and so we feel like.

Speaker 6: of the composition that you've mentioned that were quite a bit ahead. And as long as we keep...

The competition that you've mentioned.

That were quite a bit ahead and as long as we keep.

Speaker 6: Completely focused on plus plus plus and delivering that in a simple way

Lately focused on plus plus plus and delivering that in a simple way.

Speaker 6: to our customers that we will be the winning hands.

To our customers that we will be the winning hand.

I can.

Speaker 5: I can just close on the ramp up for the year, so it's a few things. First of all, it's the LT product having a significant impact on G1.

<unk> closed on the ramp up for the year. So it's a few things first of all is the.

LC private is having a significant impact on Q1 Q2.

Speaker 5: The ramp up about comment media platform with IPon where these anticipated that will be significant increase

The ramps up about call it media platform with iPhone web as anticipated.

B.

<unk> increased.

Capability as well.

Scale and then in terms of travel.

Speaker 5: and then in terms of travel, we've seen that all our major clients...

The.

Major clients.

Speaker 5: have relaunched that recent news that's like within the last month.

And we launched that recent news that like within the last month.

With the 95% up year on year.

Speaker 5: We've seen 90 photos then up year on year, but that's also very low-base. So we feel we feel constant on travel, but it's just the beginning.

It's off a very low base. So we feel we feel confident on travel, but it's just the beginning.

Okay.

Speaker 2: Well, thank you, Sarah. Thanks Megan and Todd. This no particular corporate today. Thanks everyone for joining. The team is available as usual for any additional request. And we wish you all a good day. Bye now.

Thank you soph. Thank you Megan and so this concludes the call for today. Thanks, everyone for joining the team is available as usual any additional request and we wish you all a good day bye now thank.

Thank you.

Speaker 1: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

The conference has now concluded. Thank you for attending today's presentation you may now disconnect.