What it does
It taps into the US$160bn digital advertising industry, working in partnership with brands, media agencies and suppliers to reduce ad-wastage and improve the effectiveness of location-based advertising campaigns.
Its core product is Verify, the world's first independent location verification product, which detects location ad-fraud and shines a light on location data inaccuracy.
Among its clients are billboard advertiser JCDecaux, the world's largest outdoor ad company, and the7stars, the UK’s largest independent media agency, which serves huge brands such as Papa Johns and Nintendo.
How it's doing
Location Sciences reported revenues growth revenue growth of 60% to £1.2mln in 2019, with the contribution from Verify climbing ten-fold to £496,000.
The AIM-listed company also said it is targeting doubled ad impressions and for 100 new brands to adopt its Verify software in 2020.
Later in March, the company reiterated that it is “on track to deliver value” in 2020 in an update addressing the impact of the coronavirus (COVID-19) pandemic.
That month, two potentially significant deals were announced.
One was for a global master service agreement with a large advertising holding company while the other was a partnership agreement with Horizon Media, one of the world’s leading independent media agencies.
The agreements follow multiple tests carried out at the end of 2019 using the Verify platform.
In April, the firm said its first-quarter performance was in line with expectations but added that the second quarter will see some impact from the coronavirus pandemic and it has offered its services to the government during the lock-down period.
On the plus side, the company noted that it's annual revenues are typically heavily weighted towards the fourth quarter so there is the opportunity to recover some of the revenues lost in the second quarter.
What the boss says: Mark Slade, chief executive
In March, Slade said increased privacy regulations and operating systems updates are squeezing the supply of location data and boosting demand for Verify.
"Restricted location data supply is having a massive and immediate impact on several key elements of the marketing toolkit.
“There is a tremendous opportunity for Location Sciences to drive the adoption of Verify across the ad-tech ecosystem, be part of the solution which drives ROI for advertisers, and deliver significant value to shareholders."
Latest Proactive research video
- Location Sciences says the digital advertising market place remains unregulated and unmonitored, with an estimated US$19bn wasted on ad-fraud in 2018
- Analysts say it offers a unique verification solution into a mobile advertising market of more than US$145bn
- The company says it has laid "solid foundations" to grow Verify globally