Performance marketing network Tradedoubler today revealed the results of its Interim report January-September 2014 and has announced the launch of a new marketing strategy in an effort to’ turn business around’ and take performance marketing to ‘the next level’.
Net sales were SEK 1,280 M (1,497), a decrease of 19% adjusted for changes in FX rates and gross profit amounted to SEK 283 M (341), a decrease of 21%.
In Q3, net sales were SEK 424 M (479), a decrease of 18% currency adjusted and gross profit, excluding change related items, was SEK 91 M (107), a decrease of 15%. When changes in exchange rates are factored in, the decrease is 21%.
Tradedoubler’s results have been attributed to poor-performing markets and a decrease in working capital, with more than half of the decline referred to lower revenues from two pan-European customers and reductions in non-core business.
Despite dwindling results, Tradedoubler remain positive about the future. In conjunction with this report, the company announced the launch of new company strategy which implies significant expenditures to enhance the core offerings in affiliate and technology as well as build new functionalities.
Tradedoubler are set to start a “challenging yet exciting journey” as they focus on improving profitability and stability of revenue, according to CEO Matthias Stadelmeyer.
“I see substantial potential for improvements and I am content with the progress we are making. Nevertheless it will take time until we see the financial impact of these efforts”.