Global business news twenty four hours a day. If Bloomberg dot Com the radio plus mobile lap and on your radio, this is a Bloomberg business flag from Bloomberg World Handquarters. I'm Charlie Pellip. We just heard from shake Shack. It's served up second quarter same store sales that missed analysts estimates. Another sign of the fast food industry may be entering a slump. Stocks fell SMP five hundred index down by the most in more than a week. Energy producers tumbled
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a drop of two tenths of one percent. Nez Stack down twenty to fifty two oh four, a drop of four tenths of one percent, the ten year up eleven thirty second zeal their one point five percent, Gold up five eight ounce to a team forty seven, a gain of four tenths of one percent, and crude oil down three. West Texas Intermedia down a dollar under barrel on w T I I'm Charlie Pellett, and that's a Bloomberg Business flash. This is taking Stock with Kathleen Hayes and Pin Box
on Bloomberg Radio. You're reading a story online and you'd like to read even more. At the bottom, there's a story that may be connected to what you were previously interested in. That story is generated by a company, in one case, by Taboula. This is a digital content recommendation company, and the founder and the chief executive of Taboula, Adam Single, that joins me now, Adam, thanks very much for being here, Thanks for having me. Did I describe that correctly? Does
that make sense? Yeah? I would say it's it's content recommendation and beyond. You know, we're really trying to be that discovery box that helps you be connected with things you may like and never knew existed. It could be content, could be products, and as of last week, could be videos. All right, tell us about this new Actless acquisition, because this has to do with video becoming in many cases,
the dominant form of online content. That's true. You know, we we've been really taking a good look at Facebook news feed and you've seen how in the past year, really we used to see pictures and stories, and as of recent we've started seeing videos and there's a great user value in that, and we wanted to essentially bring the power of news feed that we see on Facebook
to all over the web. So as you get at the bottom of the article, instead of just being recommended with stories, you could also experience videos in a way that's relevant to you based on who you are and what you may like. And the company that you just purchased is called convert Media. And let me guess how much did you pay? Maybe a hundred millions something like that.
You're smiling now we we we don't we don't share that we diach here that the company fantastic team um I said it a few times, but it's now one big family. Were very excited about it, and we did share that they generated fifty million dollars in runway at the point we purchased them. Now you've raised what about a hundred and sixty million, I believe, yeah, yeah, And that you say you're currently profitable your private leon and
valuation maybe a billion already. So when we raised the money, and of two thousand fourteen, we were on a two million dollar revenue. Ever since then, We've grown the company to over half a billion dollars in revenue this year. At the time, we were shy of a billion dollars. So we're a private company. I don't really know. I'm trying to spend most of my time thinking instead of what's evaluation, more about financial metrics that drove the business,
you know forward, all right. So some of those metrics include the kinds of companies that you have in the kinds of content recommendations that you're making. Uh A O. L I believe is one of your customers. Conde Nast is a customer, Microsoft, Microsoft is a customer. How do those companies make sure that the content that you are being sent to is first of all appropriate and that you're actually sending a real person not just kind of a you know, a robotic back and forth that would
take place online. Right. So, we have about five million pieces of content index across the Tabula ecosystem, and every piece of content, similar to a TV rating, is rated in a way that publishers can say, for us, we'd like to recommend things within the financial section, or they can say, never recommend entertainment. So we really work with all the spectrum of publishers from Microsoft, a L two,
Daily Mail, TAMZ, and anyone in the middle. We call it the bulla choice, and that allows them to decide, almost like the parent decides for their kids at home, what content makes sense for them and who they want to be. And then beyond that, we use technology to try to do a really good job curate the best piece of content that you may like of the entire universe. Now, obviously this is all end up tied to advertising online because if you click again and read the next story,
then there are ads being served. Is there a distinction to be made between the advertising that is purchased as part of a big plan versus advertising that is involving real time bidding based on the traffic that they get, right, I mean real time bidding is more of the mechanics of how brands can buy efficiency, and we support that.
We work without public companies such as credo um, private big companies such as the Nexus and others that you're touching A good point, which is the transition into this content marketing right. Traditionally, we used to monetize the web, a hundred and fifty billion dollar market online with banners and all of us most of us stopped clicking on those. And the transition that is going on is that brands
are becoming storytellers. They invest in the YouTube channel, they invest in the corporate blog, they want to create relationship with consumers. We to call them infomercials. That was another age, right, advertorial, informational. But now you see brands with thousands of pieces of content,
really high quality content. American Express is open forum. Um. You know, red Bullets sends people to the sky to to film that on the video and and you've seen people invest a lot in storytelling because what we see now and we see that in a big way, is that when someone with a piece of content they're engaged with that, they will consider your products over time. So I think Facebook is the largest discovery company. We got a Facebook to see pictures of our friends. We end
up buying things we weren't sure we needed. But that drove eighteen billion dollars of purchases last year to bullas over half a billion dollars a year. And I think this category will continue to grow as display and banners will retransform into this in feed native field storytelling that's been paid by top brands all over the world. The video is where we started because of the purchase that you just made of convert If you're in mobile and you're in content, if you're not in video, you did.
I think it's a problem because I think video will be a significant part of how mobile is monetized um and a lot of it because the you know, mobile is a great consumption device for video. If we hope to become one of the largest TV companies out there, streaming over one billion VA views a day, that's really where we want to be. Thank you very much. Adam Sinolda is the founder and the chief executive of Tabula. This is taking Stock. Thank you for listening. I'm pim Fox.
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