Shareroot Ltd’s (ASX:SRO) half-year result for the six months to December 31, 2017 reflects a transformational period for the provider of user generated content (UGC) services.
There was rapid growth in the company’s user base, increasing from 180,000 June 30, 2017 to 436,976 as at December 31, 2017.
There was not only an increase in the number of companies interacting with the group’s platform, but there was also a lift in traffic.
Clients publishing additional social walls
The rapid growth has been attributed to a growing number of clients publishing additional social walls on web pages.
This utilises ShareRoot’s UGC platform, which will likely result in further spikes in user engagement as this becomes a common theme among clients.
ShareRoot’s UGC product offerings continue to receive validation from large enterprises, with a number of prominent clients signing contracts and renewals.
READ: ShareRoot secures contract with global industry leader, Kampgrounds of America
This has provided a platform for growth and should continue to drive revenues in 2018.
Introduction of Snapchat Ad Manager
ShareRoot continues to be at the forefront of innovation in the UGC space, with the introduction of the world-first UGC integration with Snapchat’s Ad Manager.
The feature allows clients to easily push image and video content sourced from ShareRoot’s UGC platform directly to Snapchat’s advertidement platform (NYSE:SNAP).
MediaConsent targets multi-billion dollar industry
The group is preparing to roll out its MediaConsent platform over the coming quarter.
This product is designed to enable companies to comply with new digital marketing laws (data privacy) and regulations that are being implemented globally.
It also provides consumers with the ability to control their data preferences and specify how and when they are interacted with by companies and marketing agencies.
MediaConsent positions ShareRoot to participate in the growing multi-billion dollar digital marketing consent market.
This is also known as the Customer Identity Management (CIM) market segment which based on independent research is expected to grow to over US$14.5 billion by 2021.
Funds in place to deliver on 2018 initiatives
The company’s financial position was strengthened through the completion post-period end of a rights issue shortfall placement.
This, along with an over-subscribed additional placement, raised $2.8 million providing sufficient funding for initiatives planned in 2018.