The digital advertising industry is forecast to see substantial growth over the next several years, thanks to continued growth in mobile computing and social media usage. According to Statista.com, the entire U.S. digital advertising market is forecast to see total revenue of $80.18 billion in 2016. By 2021, Statista analysts predict the U.S. digital advertising market will be pulling in $116.1 billion in total revenue.
The analysts still see search advertising making-up the bulk of digital advertising revenues from 2016 through 2021. However, search advertising represents the least amount of revenue growth during that time period. The highest revenue growth over this period can be found in video and social media advertising methods.
Furthermore, the Statista report on the U.S. digital advertising industry forecasts that digital advertising revenue from mobile platforms will top advertising revenues from desktop/laptop platforms for the first time ever in 2017. By 2021, Statista forecasts digital ad revenue from mobile will account for $71.46 billion, compared to desktop/laptop ad revenue of $44.62 billion.
One company that stands to not only benefit from this industry growth, but also from taking a niche entertainment approach, is bBooth, Inc. (OTCQB: BBTH).
Overview: bBooth, Inc. (OTCQB: BBTH)
Hollywood, California-based bBooth, Inc. (OTCQB: BBTH) is an entertainment technology company. Through the company’s bNotifi technology, bBooth, Inc. (OTCQB: BBTH) is the first company able to deliver direct “push-to-screen,” interactive video messaging and advertising content to mobile and desktop screens world-wide. This technology is great for consumer brands looking for more effective ways to engage their customers, or for music artists seeking to interact with their fans and promote their latest tracks or upcoming concerts.
Due to the interactive nature of the technology, brands, artists, and sales pros can now push ecommerce opportunities directly to their consumers’ screens assertively – instead of waiting passively for consumers to visit a website or click on a social media ad. Aside from consumer brands and music artists, celebrities, corporations, governments, schools, health care providers, and even Presidential Candidates, could find bNotifi to be the most effective messaging, brand activation, lead generation, and consumer engagement tool available today.
bBooth, Inc. (OTCQB: BBTH) is effectively creating a niche “push” advertising company that can increase user engagement for consumer branding and activation initiatives. The bNotifi platform also serves as an effective sales lead generation tool for clients that utilize the technology. Unlike most app companies that need to wait for users to download their app, the company is deploying a brilliant marketing strategy. The company offers bNotifi as a white-labeled product, which is compatible with all mobile devices and desktop computers. The technology is easily integrated into the applications and platforms of clients that already have a large user/consumer or fan base. In other words, experiencing the bNotifi service is simple: the next time you download an update for some of your favorite apps and programs, bNotifi may be embedded in it. And with its licensing and per user monthly subscription-based pricing models, bBooth, Inc. (OTCQB: BBTH) is well positioned for impressive revenue growth.
“Experiencing” bNotifi technology is really the operative word. Imagine browsing for sunglasses on Amazon (not yet a client) and then seeing Nick Cannon come walking-out onto your screen, in a 3D-like image, and telling you about the hottest styles, trying them on and modeling them for you (all without interrupting your browsing). Nick then tells you to click on the glasses he’s wearing – and bam – you just purchased them. In fact, how about if Nick Cannon, or any other artist or celebrity walked-out onto your screen, without your browser being open. Then the celebrity opens your browser to take you to a website for the latest news or information you opted-in to bNotified about. THAT is what’s so exciting about this technology. That’s assertive technology.
“bBooth, Inc. (OTCQB:BBTH)’s groundbreaking bNotifi push-to-screen technology literally brings a person (celebrity, music artist, brand spokesperson, etc.) or a product to life, directly on the screens of fans’ computers, tablets and mobile devices around the globe. bBooth’s unprecedented, interactive technology is the new platform for content creation and distribution, artist promotion, fan engagement and brand activation. With an increasing list of clientele including major consumer brands, corporations, music artists and celebrities, bBooth is positioned to become Hollywood’s thriving, elite entertainment technology company.”
Aside from its bNotifi video advertising platform, bBooth, Inc. (OTCQB: BBTH) also offers its bBooth kiosks. The bBooth kiosk is a unique form of “experiential entertainment” for truly interactive, in-your-face brand activations. The kiosks are shaped like a giant smartphone and have built-in cameras and mics. This allows users to record themselves singing karaoke or interacting with a brand right in a store or at the mall. Then with a tap on its huge touchscreen display, users can share their videos (and stills or GIFs) across their favorite social media, with an advertiser’s branding embedded. The kiosks are so cool and engaging that AMERICAN IDOL deployed bBooth’s kiosks in shopping malls to handle the auditions for the show’s farewell season. You’ll see them on other TV shows this fall.
Through its bNotifi technology and its bBooth kiosks, bBooth, Inc. (OTCQB: BBTH) is positioned for strong growth over the coming years. Management is forecasting full-year 2017 gross revenues of $49.69 million, full-year 2018 gross revenues of $143.62 million, and full-year 2019 gross revenues of $282.75 million.
BBTH Star Power: Nick Cannon and Frank Thomas
bBooth, Inc. (OTCQB: BBTH) is not only well-positioned within the high-growth market of digital advertising, but the company has added an important entertainment factor that will help the company break-out from the rest of the pack. The platform is impressive and its ability to deliver higher levels of user-engagement makes it a must-have for businesses that are interested in advertising services that break through the noise.
In addition to producer, writer, director, actor, entrepreneur, and shareholder Nick Cannon, the company’s Chief Strategy Officer and Global Brand Ambassador, bBooth, Inc. (OTCQB: BBTH) has also attracted Major League Baseball Hall of Famer, Frank Thomas, who serves on the company’s advisory board.
The star power that Nick Cannon and Frank Thomas bring to bBooth, Inc. (OTCQB: BBTH) is enormous. bBooth, Inc. (OTCQB: BBTH)’s technology is already impressive, innovative and state-of-the-art, but with two big celebrities on-board, it only adds to the potential. The connections to the entertainment, music, and sports industries that Nick Cannon and Frank Thomas bring, not only opens the door to greater brand awareness and recognition for bBooth, Inc. (OTCQB: BBTH), but also to greater revenue opportunities.
For instance, imagine Peyton Manning walking-out on your screen with a “chicken parm” and advertising Nationwide Insurance services – and then walking-you through filling-out the application right there on your screen! Another example could be Taylor Swift coming out onto your screen thanking you for being a fan and promoting her upcoming concerts, just after you listened to one of her songs on a streaming music service. Maybe even Adam Sandler walking-out onto your computer screen while browsing movies on Netflix, Inc. (NASDAQ: NFLX) and having him promote his next Netflix Original. The possibilities and examples for how bNotifi can be used effectively to engage – not just reach – fans, followers, and target audiences, are endless.
“Imagine being able to communicate your message directly to the screens of your customers, distributors, team members, fans, and followers – in a media-rich interactive video format, where the message is delivered by someone who appears to walk right out onto the desktop and mobile screens of your recipients – all without your recipients having to open a web browser or other mobile or desktop program,” – Nick Cannon, bBooth, Inc. (OTCQB: BBTH)’s Chief Strategy Officer.
This… is bNotifi!
BBTH: Industry and Financial Analysis
Now we will take a look at bBooth, Inc. (OTCQB: BBTH)’s financial and industry analysis. This new entertainment technology company already has a market cap of more than $12 million, as of September 19, 2016. Furthermore, bBooth, Inc. (OTCQB: BBTH) has a share structure consisting of 200 million authorized shares, 78.7 million shares issued and outstanding, and a float consisting of only 17.63 million shares, as of July 2016.
bBooth, Inc. (OTCQB: BBTH) also boasts margin efficiency, with projected EBITDA margins near 72%, and no toxic debt on its balance sheet. With its bNotifi product launch just underway, and a full sales-pipeline of high-margin recurring revenue opportunities, the company is well-positioned for a strong 2017, with management forecasting full-year gross revenues of nearly $49.69 million.
While there are no direct competitors to bBooth, Inc. (OTCQB: BBTH) able to deliver bNotifi’s level of “engaging, direct-to-user, interactive experience,” there are other companies that engage in web advertising and marketing. Constant Contact is a major email marketing company that was founded in 1998 and was a big player in internet marketing and advertising. In November 2015, Endurance International Group Holdings Inc. (NASDAQ: EIGI) purchased Constant Contact for $1.1 billion. Email marketing is an older technology that certainly is effective, but bBooth, Inc. (OTCQB: BBTH)’s software-as-a-service platform is the next generation of internet advertising, marketing, and brand awareness. Here are five companies that are engaged in web advertising, software-as-a-service, or music streaming, all of whom could benefit from bBooth, Inc. (OTCQB: BBTH)’s technology:
Endurance International Group Holdings, Inc. (NASDAQ: EIGI)engages in small and medium-size business solutions, ranging from search engine marketing and email marketing, to cloud solutions and productivity tools. As previously mentioned, Endurance International Group Holdings, Inc. (NASDAQ: EIGI) purchased Constant Contact in 2015 for $1.1 billion. As of September 2016, Endurance International Group Holdings, Inc. (NASDAQ: EIGI) has a market cap value of $1.16 billion, 133.57 million shares outstanding, and a float of 80.83 million shares. During the second quarter of 2016, the company reported total revenue of $290.71 million, but a net loss of $28.04 million.
Omnicom Group Inc. (NYSE: OMC) is a holding company that provides advertising services, marketing and enterprise communications solutions. The company operates four main businesses: advertising, customer relationship management (CRM), specialty communications, and public relations. Omnicom Group Inc. (NYSE: OMC) has a market cap of just over $20 billion, 236.54 million shares outstanding, and a float consisting of 235.2 million shares, as of September 2016. During the second quarter 2016, Omnicom Group Inc. (NYSE: OMC) reported total revenue of $3.88 billion and net income of $326.1 million.
Salesforce.com, Inc. (NYSE: CRM) is engaged in enterprise cloud computing services and provides an extensive cloud software product line that helps businesses manage customer relationships, sales automation, customer service, support, analytics, application development, Internet of Things (IoT) integration, enterprise services, and more. The software-as-a-service company has a market cap value of $50.13 billion, shares outstanding of 677.5 million, and a float consisting of 646.44 million shares. During Salesforce.com, Inc. (NYSE: CRM)’s fiscal second quarter ending on July 31st, the cloud company reported total revenue of $2.04 billion and net income of $229.62 million.
Alphabet Inc. (NASDAQ: GOOGL) is a holding company that houses Google Inc. and its vast network of subsidiaries. Google’s rise to fame and original roots are firmly in internet search and advertising. Alphabet Inc. (NASDAQ: GOOGL) has since expanded vastly into other areas such as virtual reality, venture capital, Nest, Android, etc. Search and internet advertising still remain a vital part of Alphabet Inc. (NASDAQ: GOOGL)’s overall earnings, but its portfolio of advertising solutions has since expanded to YouTube, Android, and Google Play. As of September 2016, Alphabet Inc. (NASDAQ: GOOGL) has a market cap value of $550.7 billion, 294.84 million shares outstanding, and a float consisting of 294.05 million shares. During the second quarter 2016, Alphabet Inc. (NASDAQ: GOOGL) reported total revenue of $21.5 billion and net income of $4.9 billion.
Apple Inc. (NASDAQ: AAPL) engages in the design, manufacture, distribution, programming, and marketing of personal computers, media devices, software, cloud services, music streaming and downloading, etc. Apple Inc. (NASDAQ: AAPL)’s Apple Music streaming platform is finally beginning to see popularity increase, after a very slow start. However, Spotify continues to be the leader of the music streaming industry. Apple Inc. (NASDAQ: AAPL), among others on this list, would be a perfect candidate to utilize bBooth, Inc. (OTCQB: BBTH)’s advertising and direct-to-user solutions. Imagine after listening to a Taylor Swift song on Apple Music, Taylor walks-out onto your device’s screen and thanks you for listening to her music. In addition, Taylor could say “Click here to purchase tickets for my upcoming concert in your hometown,” or “Click here to purchase, or for information about my new line of make-up,” providing a level of fan engagement and merchandising capabilities no other streaming service could offer. This direct-to-user approach allows for more engaging and effective marketing to fans, and substantially greater revenue opportunities not only for Apple, but for the artists as well.
As of September 2016, Apple Inc. (NASDAQ: AAPL) has a market cap value of $622.7 billion, 5.4 billion shares outstanding, and a float consisting of 5.37 billion shares. During Apple Inc. (NASDAQ: AAPL)’s fiscal second quarter, ending on June 25th, the technology company reported total revenue of $42.36 billion and net income of $7.8 billion.
In our view, bBooth, Inc. (OTCQB: BBTH) is the next generation of direct-to-consumer marketing and advertising. No other company has technology that comes close to bBooth, Inc. (OTCQB: BBTH)’s proprietary bNotifi technology, which combines entertainment and powerful branding, merchandising, and lead generation capabilities. With Nick Cannon as bBooth, Inc. (OTCQB: BBTH)’s Chief Strategy Officer, and Baseball Hall of Famer, Frank Thomas on the company’s Advisory Board, this entertainment technology company carries heavy celebrity firepower that will help it expand further into the entertainment and sports verticals. This all translates to strong earnings growth forecasts. Management is forecasting full-year 2017 gross revenue of $49.7 million, full-year 2018 gross revenue of $143.62 million, and full-year 2019 gross revenue of $282.8 million.
The bottom line is that bBooth, Inc. (OTCQB: BBTH) is a unique, niche marketing and advertising company with a disruptive just-launched next-generation technology that may indeed be the most effective messaging, brand activation, consumer engagement, and lead generation tool for years to come. www.bbooth.com