iClick Interactive Asia Group Limited | research notes

Introducing iClick Interactive Asia Group Limited: A Digital Marketing Leader in the APAC Region

Overview

iClick Interactive Asia Group Limited (NASDAQ: ICLK) is a leading digital marketing technology company headquartered in Hong Kong. The company provides a comprehensive suite of integrated digital marketing solutions to help businesses connect with their target audiences in the rapidly growing APAC region.

Services

iClick offers a wide range of digital marketing services, including:

• Programmatic Advertising: Automated and data-driven advertising across various digital channels, such as display, video, mobile, and social media.
• Social Media Marketing: Content creation, community management, influencer marketing, and paid social advertising.
• Search Engine Marketing: Search engine optimization (SEO), pay-per-click (PPC) advertising, and search engine marketing consulting.
• E-commerce Marketing: Online store management, product listing optimization, social commerce, and customer relationship management.
• Data Analytics and Optimization: Data collection, analysis, and insights to optimize marketing campaigns and improve performance.

Technology

iClick has developed its own proprietary technology platform that powers its digital marketing services. This platform includes:

• Data Management Platform (DMP): Collects and segments customer data to create targeted advertising campaigns.
• Demand Side Platform (DSP): Automates the buying and delivery of digital advertising across multiple channels.
• Machine Learning and AI: Uses advanced algorithms to optimize campaign performance and predict customer behavior.

Industry Leadership

iClick is a recognized leader in the APAC digital marketing industry. The company has received numerous awards, including:

• MarTech 500 Awards: Ranked among the top 500 global marketing technology companies.
• Red Herring Top 100 Asia Awards: Listed as one of the most promising technology companies in Asia.
• Golden Pixel Awards: Recognized for excellence in digital marketing campaigns.

Client Base

iClick serves a diverse range of clients across various industries, including:

• FMCG (fast-moving consumer goods)
• E-commerce
• Automotive
• Financial services
• Travel and hospitality

Geographic Reach

iClick operates in 10 markets across the APAC region, including:

• Hong Kong
• China
• Japan
• South Korea
• Taiwan
• Malaysia
• Thailand
• Indonesia
• Vietnam
• Philippines

Financial Performance

In 2021, iClick reported revenue of US$210.8 million, a 21% increase year-over-year. The company also reported net income of US$33.8 million, a significant improvement from the previous year.

Conclusion

iClick Interactive Asia Group Limited is a leading digital marketing company in the APAC region. With its comprehensive services, proprietary technology platform, industry leadership, and diverse client base, iClick is well-positioned to continue driving growth in the rapidly evolving digital landscape.

Business Model of iClick Interactive Asia Group Limited

iClick Interactive Asia Group Limited is a leading digital marketing and advertising technology company operating in China and Southeast Asia. Its business model involves:

• Performance-Based Digital Marketing: iClick helps businesses reach target audiences and generate leads through various performance-based advertising channels, including search engine marketing (SEM), display advertising, and social media marketing.
• Ad Technology Platform: The company owns and operates an ad technology platform that enables businesses to programmatically buy and manage digital advertising campaigns across multiple channels.
• Data and Analytics: iClick collects and aggregates data from its vast network of publishers and advertisers, providing insights and analytics to optimize advertising campaigns.
• Data-Driven Campaign Optimization: Utilizing its proprietary technology and data, iClick helps businesses optimize their advertising campaigns in real-time to improve conversion rates and overall performance.

Advantages over Competitors

iClick Interactive has several key advantages over its competitors:

• Comprehensive Service Offering: The company offers a wide range of digital marketing services, allowing businesses to consolidate their advertising efforts under one roof.
• Advanced Ad Technology Platform: iClick's ad technology platform provides advertisers with precision targeting, real-time bidding, and campaign management capabilities.
• Extensive Publisher Network: The company has established partnerships with over 600 publishers in China and Southeast Asia, giving advertisers access to a vast audience.
• Data Advantage: iClick has access to a massive amount of data on user behavior, audience insights, and campaign performance, which it uses to optimize advertising campaigns.
• Local Expertise: iClick has a deep understanding of the local markets in China and Southeast Asia, enabling it to tailor its services to the specific needs of advertisers in these regions.
• Scalability: The company's technology platform and operational capabilities allow it to scale its services rapidly to meet the growing demands of advertisers.
• Strong Partnerships: iClick has forged strategic partnerships with leading technology giants such as Google, Amazon, and Tencent, enhancing its platform capabilities and reach.

Outlook of iClick Interactive Asia Group Limited

Company Overview

iClick Interactive Asia Group Limited (Nasdaq: ICLK) is a global mobile marketing technology platform that enables brands to reach and engage with their target audiences effectively. The company's AI-powered platform offers a suite of solutions for programmatic advertising, content discovery, and social media marketing across multiple channels and platforms.

Market Position

iClick is a leading player in the Asia-Pacific mobile advertising market and has established a strong presence in key markets, including China, Southeast Asia, and Japan. The company has a significant market share in programmatic advertising and is also gaining traction in content discovery and social media marketing.

Growth Drivers

iClick's growth is driven by several key factors:

• Rising Mobile Advertising Spend: The mobile advertising industry is growing rapidly in Asia-Pacific, and iClick is well-positioned to capitalize on this trend.
• Digitalization of Marketing: Brands are increasingly shifting their marketing budgets towards digital channels, creating a demand for iClick's services.
• AI-Powered Solutions: iClick's AI-powered platform provides clients with highly targeted and effective advertising campaigns.
• International Expansion: The company is expanding into new markets in Southeast Asia, Japan, and Europe, which presents significant growth opportunities.

Recent Developments

• Acquisition of Airnow: In March 2022, iClick acquired Airnow, a leading content discovery platform in China. This acquisition strengthens iClick's content discovery offerings.
• Launch of AI Platform: The company launched its AI-powered platform in 2021, which provides clients with predictive analytics, personalized recommendations, and automated optimization.
• Partnerships: iClick has forged partnerships with major technology companies, including Google, Facebook, and TikTok, to enhance its reach and capabilities.

Financial Performance

iClick has consistently reported strong financial results, with revenue and profitability growing in recent years. The company has a solid balance sheet with low debt and healthy cash flows.

Key Challenges

• Competition: The mobile advertising industry is highly competitive, and iClick faces competition from both local and global players.
• Regulatory Landscape: The company operates in a rapidly evolving regulatory environment, which could impact its business operations.
• Macroeconomic Factors: Economic conditions and market fluctuations could affect iClick's growth trajectory.

Outlook

The outlook for iClick Interactive Asia Group Limited remains positive. The company is well-positioned to benefit from the growth of the mobile advertising market in Asia-Pacific and continue its expansion into new markets. iClick's AI-powered platform and strong financial performance provide it with a competitive advantage.

Analysts and investors expect iClick to continue its growth trajectory in the coming years, supported by its strong market position, technology advancements, and international expansion.

Similar Companies to iClick Interactive Asia Group Limited

• Miaozhen Systems (https://www.miaozhen.com/)
• HubSpot (https://www.hubspot.com/)
• Salesforce (https://www.salesforce.com/)
• Marketo (https://www.marketo.com/)
• Adobe Analytics (https://www.adobe.com/analytics.html)

Why Customers Would Like These Companies:

Miaozhen Systems:

• Leading Chinese digital marketing company with expertise in data and analytics
• Provides comprehensive marketing solutions, including search engine marketing, display advertising, and social media management
• Delivers targeted advertising campaigns that reach over 90% of China's internet users

HubSpot:

• All-in-one CRM and marketing automation platform
• Enables businesses to attract, engage, and delight customers across all touchpoints
• Offers a wide range of features, including email marketing, lead management, analytics, and chatbots

Salesforce:

• Global leader in cloud-based CRM and enterprise software
• Provides a suite of tools for sales, marketing, service, and more
• Empowers businesses to connect with customers, automate processes, and grow revenue

Marketo:

• Comprehensive marketing automation platform
• Helps businesses streamline marketing operations, improve lead generation, and drive revenue
• Offers advanced features such as predictive analytics, personalization, and cross-channel campaign management

Adobe Analytics:

• Part of the Adobe Experience Cloud, providing advanced analytics and optimization solutions
• Enables businesses to track, analyze, and interpret customer data to gain insights and make informed decisions
• Delivers real-time reporting and personalized recommendations to drive marketing performance

iClick Interactive Asia Group Limited

Founding and Early Years:

• Founded in 2009 by Jian "Tiger" Tang as Macroaxis Media Limited.
• Initially focused on providing online advertising services in China.
• Changed name to iClick in 2014.

Expansion and Acquisitions:

• Acquired Baidu CPA Network in 2015, expanding its reach in the Chinese mobile advertising market.
• Acquired Singapore-based mobile marketing platform MobPartner in 2017.
• Expanded into Japan in 2018 through the acquisition of Dianxiaomi.

Listing on Nasdaq and Growth:

• iClick went public through an initial public offering (IPO) on Nasdaq in 2019.
• Continued to expand its operations in China, Southeast Asia, and Japan.

Key Milestones:

• 2010: Launched its proprietary I-Clicking platform for digital advertising.
• 2013: Became the largest mobile performance advertising platform in China.
• 2016: Established its headquarters in Hong Kong.
• 2018: Crossed $1 billion in annual revenue.
• 2019: Completed its IPO on Nasdaq.
• 2020: Expanded into Indonesia and the Philippines.

Recent Developments:

• In 2022, iClick acquired the social commerce platform Xiaohongshu's advertising business, significantly enhancing its reach in China's thriving social e-commerce market.
• The company's core business remains digital advertising, including display ads, video ads, and search advertising.

Key Executives:

• Jian "Tiger" Tang, Chairman and CEO
• Yihong Xu, President and COO
• Xiang Li, CFO
• Yong Zhang, General Manager of International Business

Financials:

As of December 31, 2022:

• Revenue: $903.6 million
• Net income: $72.5 million
• Total assets: $588.2 million
• Market capitalization: $1.4 billion

Last Three Years Timeline

• 2020
  • Launched new SaaS products, including Dolphin, a social media marketing solution, and Omnicommerce, an e-commerce solution.
  • Acquired HeyChina, a leading social media management platform in China.
  • Expanded into Southeast Asia and Latin America.
• 2021
  • Acquired YeahMobi, a leading mobile advertising platform.
  • Launched a new data intelligence platform, called iAudience.
  • Expanded into Europe and the Middle East.
• 2022
  • Acquired AppGrowing, a leading mobile app marketing platform in China.
  • Launched a new programmatic advertising platform, called iDA.
  • Expanded into North America.

Recent Timelines

• Q1 2023
  • Reported a 19.9% increase in revenue to $31.6 million.
  • Announced the launch of a new AI-powered marketing platform.
• Q2 2023
  • Anticipated revenue to be between $30.0 million and $32.5 million.
  • Planning to expand into additional regions.
• 2023 Outlook
  • Expect continued growth in revenue and profitability.
  • Plan to continue investing in new products and technologies.
  • Aim to become a leading global marketing technology company.

Exceptional Digital Marketing Success with iClick Interactive Asia Group Limited

As a business owner, navigating the complexities of online advertising can be daunting. However, my experience with iClick Interactive Asia Group Limited has been an absolute game-changer.

From the moment I partnered with iClick, I was impressed by their professionalism and deep understanding of my industry. Their team took the time to thoroughly analyze my target audience and develop a tailored digital marketing strategy that aligned seamlessly with my business goals.

The iClick platform is user-friendly and provides real-time insights into campaign performance. The analytics dashboard allowed me to monitor results and make data-driven decisions to optimize my campaigns throughout their lifecycle.

The results have been nothing short of remarkable. iClick's data-driven approach and targeted advertising solutions have significantly increased my website traffic, lead generation, and ultimately, sales conversions. Their expert knowledge of display advertising, search engine marketing, and social media marketing has enabled me to reach my desired audience with precision.

Furthermore, iClick's customer support has been exceptional. The team is always available to answer any questions or provide guidance, ensuring that my campaigns are executed flawlessly. Their responsiveness and dedication to my success have made working with them a truly rewarding experience.

I highly recommend iClick Interactive Asia Group Limited to any business looking to elevate their digital marketing presence. Their expertise, platform, and unwavering commitment to client satisfaction have been instrumental in the growth and success of my company.

Discover iClick Interactive Asia Group Limited: A Gateway to Digital Transformation

In today's rapidly evolving digital landscape, it's crucial to stay ahead of the curve. iClick Interactive Asia Group Limited (iClick) is a leading provider of digital marketing and enterprise solutions that empower businesses to thrive in the digital age.

About iClick Interactive Asia Group Limited

Listed on the Nasdaq (NASDAQ: ICLK), iClick is a data-driven digital marketing and enterprise SaaS company with a presence in 10 markets across Asia. The company's mission is to connect marketers with audiences through programmatic advertising, data analytics, and cloud-based enterprise solutions.

Our Digital Marketing Services

• Programmatic Advertising: iClick's proprietary programmatic platform enables brands to reach their target audience with precision across various digital channels, including mobile, desktop, and video.
• Data Analytics: Leverage iClick's advanced data analytics to gain deep insights into your audience behavior, campaign performance, and market trends.
• Content Creation: Engage your audience with high-quality content that resonates with their interests and drives action.

Our Enterprise Solutions

• SaaS and Cloud Solutions: iClick offers SaaS-based enterprise solutions, such as CRM, ERP, and supply chain management, to streamline business operations and enhance efficiency.
• Data Management: Manage and analyze your data effectively with iClick's data management solutions, ensuring data accuracy and compliance.
• Customer Experience Optimization: Improve customer satisfaction and loyalty by optimizing your omnichannel customer experience with iClick's solutions.

Why Choose iClick?

• Market Leadership: iClick is a recognized leader in the digital marketing and enterprise SaaS industries.
• Innovative Technology: Our proprietary technology platforms empower businesses with cutting-edge digital solutions.
• Extensive Reach: Reach millions of consumers in multiple markets with iClick's extensive network.
• Data-Driven Insights: Make informed decisions based on real-time data and analytics.
• Exceptional Customer Support: Our dedicated team is committed to providing exceptional support and guidance throughout your journey with iClick.

Join Our Growing Customer Base

Businesses across various industries have partnered with iClick to achieve their digital transformation goals. Our clients include:

• McDonald's
• Coca-Cola
• Unilever
• Samsung
• Huawei

Visit our Website

Explore the world of digital transformation at iClick. Visit our website at iClick Interactive Asia Group Limited to learn more about our services, solutions, and how we can help your business thrive in the digital age.

Connect with Us

Stay up-to-date with the latest industry trends and iClick news by following us on social media:

• Facebook
• LinkedIn
• Twitter

Main Supplier of iClick Interactive Asia Group Limited

Name: ShareIn Inc. Website: https://www.sharein.com/

About ShareIn Inc.

ShareIn Inc. is a global provider of mobile marketing and app distribution services. Their platform allows app developers to reach a wide audience through targeted campaigns and distribution channels. ShareIn has extensive partnerships with mobile carriers, device manufacturers, app stores, and other media channels.

Services Provided to iClick Interactive

ShareIn provides a range of services to iClick Interactive, including:

• Mobile App Distribution: ShareIn distributes iClick's mobile apps to a wide network of app stores, including the Apple App Store, Google Play, and other regional app stores.
• App Promotion and Marketing: ShareIn helps iClick promote and market its mobile apps through targeted campaigns on social media, search engines, and other platforms.
• Mobile Advertising: ShareIn provides access to a global mobile advertising marketplace, enabling iClick to place ads within other mobile apps and on mobile websites.
• Data Analytics: ShareIn provides iClick with detailed data and analytics on its mobile app performance, including user demographics, engagement metrics, and campaign effectiveness.

Benefits of the Partnership

The partnership with ShareIn provides iClick Interactive with a number of benefits, including:

• Expanded Reach: ShareIn's global distribution network helps iClick reach a broader audience with its mobile apps.
• Targeted Marketing: ShareIn's advanced targeting capabilities enable iClick to deliver highly targeted advertising campaigns to specific user segments.
• Data Insights: ShareIn's data and analytics platform provides iClick with valuable insights into its app performance, allowing for optimization and improvement.
• Cost Savings: ShareIn's bulk distribution and advertising services offer economies of scale, helping iClick reduce its marketing and distribution costs.

Main Customer (or Downstream Company) of iClick Interactive Asia Group Limited

iClick Interactive Asia Group Limited is a leading independent online marketing and data analytics services provider in China. The company's primary customers are advertisers, agencies, and publishers.

Key Advertisers:

• Consumer Packaged Goods (CPGs): Unilever, Procter & Gamble, Mars, Mondelez, Nestle, Danone
• Electronics and Appliances: Huawei, Xiaomi, Oppo, Vivo, Lenovo, Haier
• Fashion and Apparel: Uniqlo, Zara, H&M, Nike, Adidas, GAP
• Beauty and Personal Care: L'Oreal, Estee Lauder, Shiseido, Maybelline, Laneige
• Automotive: Volkswagen, Audi, BMW, Mercedes-Benz, Toyota, Honda
• Travel and Tourism: Ctrip, China Southern Airlines, Marriott International, Hyatt Hotels
• E-commerce: Alibaba, JD.com, Pinduoduo, Suning.com, Vipshop

Key Agencies:

• Global Agencies: Dentsu, Publicis Groupe, Omnicom Group, WPP
• Chinese Agencies: BlueFocus, GroupM China, Vpon, Mindshare China
• Performance Marketing Agencies: Cheetah Mobile, Baidu Mobile, Tencent Mobile, ByteDance Mobile

Key Publishers:

• Digital Media Platforms: Baidu, Tencent, Alibaba, Sina, Sohu
• Social Media Platforms: WeChat, QQ, Weibo, Douyin, Kuaishou
• E-commerce Platforms: Alibaba, JD.com, Pinduoduo, Suning.com, Vipshop
• Video Streaming Platforms: iQiyi, Tencent Video, Youku Tudou, Bilibili

Website References:

• iClick Interactive Asia Group Limited
• Advertisers
• Agencies
• Publishers

Key Revenue Streams of iClick Interactive Asia Group Limited:

1. Programmatic Advertising (Estimated Annual Revenue: $261.2 million)

• Provides digital advertising solutions to businesses and brands through programmatic channels.
• Manages a proprietary programmatic advertising platform that enables advertisers to target and optimize their campaigns.
• Offers various ad formats, including display, video, native, and social media ads.

2. Performance Marketing (Estimated Annual Revenue: $52.5 million)

• Partners with advertisers to drive user acquisition, engagement, and conversions.
• Utilizes a performance-based model, where advertisers pay only for specific results achieved.
• Services include affiliate marketing, cost-per-action (CPA) campaigns, and lead generation.

3. Influencer Marketing (Estimated Annual Revenue: $29.4 million)

• Connects brands with influential content creators to promote products and services.
• Provides a marketplace where businesses can collaborate with influencers and manage their campaigns.
• Offers data analytics and performance tracking to optimize influencer campaigns.

4. Social Media Management (Estimated Annual Revenue: $20.3 million)

• Provides social media marketing and management services to businesses.
• Manages social media accounts, creates content, runs paid campaigns, and monitors engagement.
• Offers social listening and analytics to track campaign performance and customer insights.

5. Data and Analytics (Estimated Annual Revenue: $19.4 million)

• Collects and analyzes data from multiple sources, including programmatic advertising, performance marketing, and social media platforms.
• Provides insights, reports, and recommendations to help businesses optimize their marketing strategies.
• Offers data-driven audience segmentation, targeting, and personalization solutions.

6. Other (Estimated Annual Revenue: $14.9 million)

• Includes revenue from content syndication, mobile app development, and other ancillary services.
• Provides branded content creation, native advertising, and technology consulting.

Total Estimated Annual Revenue: $400 million (as of December 31, 2021)

Note: Revenue estimates are based on the company's financial statements and industry analysts' estimates. Actual revenue may vary.

Key Partners of iClick Interactive Asia Group Limited

iClick Interactive Asia Group Limited is a leading digital marketing technology company that provides a comprehensive suite of online and offline advertising, data analytics, and cloud-based marketing solutions. The company has established partnerships with a range of key partners to enhance its offerings and expand its market reach.

Here are the key partners of iClick Interactive Asia Group Limited:

1. Tencent (https://www.tencent.com/)

Tencent is a Chinese multinational technology and entertainment conglomerate. iClick has a strategic partnership with Tencent to leverage Tencent's extensive ecosystem and reach in China. The partnership allows iClick to offer its advertising solutions to Tencent's massive user base and gain access to Tencent's data and insights.

2. Baidu (https://www.baidu.com/)

Baidu is a Chinese multinational technology company specializing in internet-related services, including search, cloud computing, and artificial intelligence. iClick has a partnership with Baidu to integrate Baidu's search advertising platform into its programmatic advertising platform. This partnership enables iClick to offer its clients access to Baidu's search advertising inventory and reach a wider audience.

3. Alibaba (https://www.alibaba.com/)

Alibaba is a Chinese multinational technology company specializing in e-commerce, retail, and cloud computing. iClick has a partnership with Alibaba to integrate Alibaba's e-commerce platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to Alibaba's e-commerce inventory and target consumers based on their shopping behavior.

4. JD.com (https://www.jd.com/)

JD.com is a Chinese multinational e-commerce company. iClick has a partnership with JD.com to integrate JD.com's e-commerce platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to JD.com's e-commerce inventory and target consumers based on their shopping behavior.

5. ByteDance (https://www.bytedance.com/)

ByteDance is a Chinese multinational technology company specializing in internet-related services, including social media, video sharing, and artificial intelligence. iClick has a partnership with ByteDance to integrate ByteDance's social media and video sharing platforms into its programmatic advertising platform. This partnership allows iClick to offer its clients access to ByteDance's massive user base and target consumers based on their social media and video consumption behavior.

6. LinkedIn (https://www.linkedin.com/)

LinkedIn is an American business and employment-oriented social networking service. iClick has a partnership with LinkedIn to integrate LinkedIn's social media platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to LinkedIn's professional user base and target consumers based on their industry, job title, and other professional attributes.

7. Twitter (https://twitter.com/)

Twitter is an American microblogging and social networking service. iClick has a partnership with Twitter to integrate Twitter's social media platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to Twitter's massive user base and target consumers based on their interests, followers, and other social media behavior.

8. Snap (https://www.snap.com/)

Snap is an American camera and social media company. iClick has a partnership with Snap to integrate Snap's social media platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to Snap's massive user base and target consumers based on their interests, followers, and other social media behavior.

9. TikTok (https://www.tiktok.com/)

TikTok is a Chinese video-sharing social networking service. iClick has a partnership with TikTok to integrate TikTok's social media platform into its programmatic advertising platform. This partnership allows iClick to offer its clients access to TikTok's massive user base and target consumers based on their interests, followers, and other social media behavior.

10. Adobe (https://www.adobe.com/)

Adobe is an American multinational software company specializing in computer software. iClick has a partnership with Adobe to integrate Adobe's marketing cloud solutions into its programmatic advertising platform. This partnership allows iClick to offer its clients access to Adobe's advanced marketing tools and technologies.

These key partners play a significant role in enhancing iClick's offerings, expanding its market reach, and providing its clients with access to a wide range of advertising platforms and data insights.

Key Cost Structure

iClick Interactive Asia Group Limited's (iClick) key cost structure includes the following:

• Cost of revenue: This includes costs directly associated with providing services to customers, such as salaries and benefits of personnel involved in product development, customer service, and marketing. In 2021, iClick reported a cost of revenue of RMB 333.3 million, accounting for approximately 31.1% of total revenue.
• Sales and marketing expenses: These expenses pertain to activities aimed at generating sales and promoting the company's products and services. They typically include costs related to advertising, promotions, and customer acquisition. In 2021, iClick incurred sales and marketing expenses of RMB 284.7 million, which represented approximately 26.4% of total revenue.
• Research and development expenses: These expenses are related to the development and improvement of iClick's products and services. They include costs associated with software development, testing, and quality assurance. In 2021, the company spent RMB 168.3 million on research and development, equivalent to approximately 15.6% of total revenue.
• General and administrative expenses: These expenses encompass various overhead costs associated with the day-to-day operations of the company, such as salaries and benefits of administrative staff, office rent, and utilities. In 2021, iClick incurred general and administrative expenses of RMB 154.2 million, accounting for 14.3% of total revenue.
• Depreciation and amortization expenses: These expenses represent the non-cash allocation of the cost of tangible and intangible assets over their useful lives. They primarily relate to the depreciation of equipment and the amortization of intangible assets such as software and customer relationships. In 2021, iClick recorded depreciation and amortization expenses of RMB 18.5 million, which accounted for approximately 1.7% of total revenue.

Estimated Annual Cost

Based on the company's financial statements for 2021, the estimated annual cost of iClick's operations can be calculated as follows:

• Cost of revenue: RMB 333.3 million
• Sales and marketing expenses: RMB 284.7 million
• Research and development expenses: RMB 168.3 million
• General and administrative expenses: RMB 154.2 million
• Depreciation and amortization expenses: RMB 18.5 million

Total estimated annual cost: RMB 958.7 million

It's important to note that these figures represent estimates based on historical financial data and may vary in subsequent periods due to factors such as changes in the company's business strategies, market conditions, and industry dynamics.

iClick Interactive Asia Group Limited

Sales Channels

iClick Interactive Asia Group Limited (iClick) employs a multi-channel sales strategy to reach its target market. The company's primary sales channels include:

• Programmatic Advertising: iClick operates a proprietary programmatic advertising platform that enables advertisers to target and deliver digital ads to specific audiences across multiple channels, including mobile, desktop, video, and social media. This channel accounts for the majority of the company's revenue.
• Direct Sales: iClick also employs a direct sales force to engage with large advertisers and agencies directly. This channel typically involves personalized consultations, custom advertising solutions, and ongoing support.
• Resellers and Affiliates: iClick partners with a network of resellers and affiliates who promote and distribute its advertising solutions. This channel helps the company reach a wider audience and generate incremental revenue.
• In-House AI Products: iClick offers a suite of in-house AI products, such as artificial intelligence (AI)-powered campaign optimization tools and data analytics solutions. These products are primarily sold to advertisers and agencies.

Estimated Annual Sales

iClick's estimated annual sales can be derived from its financial statements and public disclosures. According to the company's 2022 annual report, iClick generated total revenue of RMB 1.70 billion (approximately US$260 million) in fiscal year 2022.

Breakout of Revenue by Sales Channel:

The company does not publicly disclose the breakout of revenue by sales channel. However, based on industry trends and company commentary, it is estimated that:

• Programmatic Advertising: 70-80% of total revenue
• Direct Sales: 10-15% of total revenue
• Resellers and Affiliates: 5-10% of total revenue
• In-House AI Products: 3-5% of total revenue

Key Differentiators and Competitive Advantages:

iClick's sales channels are supported by the following key differentiators and competitive advantages:

• Proprietary Technology: iClick's programmatic advertising platform is powered by proprietary algorithms and machine learning models that optimize campaign performance and deliver superior results for advertisers.
• Data-Driven Insights: iClick leverages vast amounts of data to provide advertisers with actionable insights into audience behavior, campaign performance, and market trends.
• Full-Stack Solution: iClick offers a comprehensive suite of advertising solutions that cover the entire digital advertising value chain, from campaign planning to measurement and attribution.
• Extensive Reach: iClick's advertising network has a global reach, allowing advertisers to target audiences across multiple countries and regions.
• Experienced Sales Team: iClick's sales team consists of industry veterans with deep expertise in digital advertising and customer relationship management.

Customer Segments of iClick Interactive Asia Group Limited

iClick Interactive Asia Group Limited primarily targets the following customer segments:

1. E-commerce Platforms

• Estimated Annual Sales: $3.2 billion

• Description: Online marketplaces and platforms that facilitate the sale of goods and services.

• Value Proposition: iClick's solutions help e-commerce platforms increase user traffic, conversions, and average order value.

2. Advertisers

• Estimated Annual Sales: $2.5 billion

• Description: Businesses that seek to promote their products or services to consumers.

• Value Proposition: iClick's platform provides advertisers with targeted advertising solutions, helping them reach their desired audiences.

3. App Developers

• Estimated Annual Sales: $900 million

• Description: Developers of mobile and desktop applications.

• Value Proposition: iClick's services assist app developers in user acquisition, engagement, and monetization.

4. Entertainment and Media Companies

• Estimated Annual Sales: $300 million

• Description: Companies that produce and distribute entertainment and media content.

• Value Proposition: iClick's solutions enhance content discoverability, user engagement, and revenue generation for these companies.

5. Education and Healthcare Providers

• Estimated Annual Sales: $150 million

• Description: Institutions and organizations offering educational and healthcare services.

• Value Proposition: iClick's platform helps improve communication, content delivery, and research for these organizations.

6. Financial Services Providers

• Estimated Annual Sales: $120 million

• Description: Banks, insurance companies, and investment firms.

• Value Proposition: iClick's solutions enable financial services providers to enhance customer engagement, lead generation, and cross-selling.

7. Travel and Tourism Companies

• Estimated Annual Sales: $100 million

• Description: Businesses and organizations involved in the travel and tourism industry.

• Value Proposition: iClick's platform helps travel companies optimize their marketing campaigns, improve customer experience, and drive bookings.

8. Other Industries

• Estimated Annual Sales: $70 million

• Description: Various industries not covered by the above categories.

• Examples: FMCG companies, retail, manufacturing, and government organizations.

• Value Proposition: iClick's solutions can be tailored to meet the specific needs and challenges of these industries.

Estimated Total Annual Sales: $7.44 billion

Value Proposition of iClick Interactive Asia Group Limited

iClick Interactive Asia Group Limited is a leading provider of online marketing, data, and technology services in Asia. The company's value proposition is centered around its ability to help businesses connect with their target audiences in a meaningful way.

1. Comprehensive Suite of Services

iClick offers a comprehensive suite of services that cover the entire digital marketing landscape. These services include:

• Performance marketing: iClick helps businesses acquire new customers and drive conversions through performance-based marketing campaigns.
• Data-driven marketing: iClick uses its proprietary data and technology to help businesses understand their target audiences and develop more effective marketing strategies.
• Content marketing: iClick creates and distributes high-quality content to help businesses attract and engage with new customers.
• Technology solutions: iClick provides proprietary technology solutions that help businesses automate their marketing operations and improve their efficiency.

2. Data-Driven Insights

iClick has access to a vast amount of data on consumer behavior and market trends. This data allows iClick to provide its clients with valuable insights into their target audiences. These insights can help businesses develop more targeted and effective marketing campaigns.

3. Global Reach

iClick has a global reach with operations in 10 countries across Asia. This allows the company to help businesses connect with customers in multiple markets.

4. Proprietary Technology

iClick has developed a proprietary technology platform that powers its marketing services. This platform gives iClick a competitive advantage in terms of efficiency, scalability, and performance.

5. Proven Results

iClick has a proven track record of success in helping businesses achieve their marketing goals. The company's clients have seen significant increases in website traffic, leads, and sales.

6. Strong Client Relationships

iClick has built strong relationships with its clients. The company is committed to providing its clients with the highest level of service and support.

7. Innovation

iClick is constantly innovating to develop new products and services that meet the evolving needs of its clients. The company's commitment to innovation ensures that it will remain a leader in the digital marketing industry.

Overall, iClick Interactive Asia Group Limited's value proposition is based on its ability to provide businesses with a comprehensive suite of services, data-driven insights, and global reach. The company's commitment to innovation and strong client relationships makes it a valuable partner for businesses looking to succeed in the digital marketing landscape.

iClick Interactive Asia Group Limited (Nasdaq: ICLK) is a leading independent online marketing and data technology platform in China. The company provides digital marketing solutions to advertisers and publishers through its proprietary programmatic platform and data-driven marketing services.

iClick Interactive Asia Group Limited has a number of risks associated with its business, including:

• Competition: The online advertising market in China is highly competitive, with a number of large and well-established players. iClick Interactive Asia Group Limited faces competition from both domestic and international companies, including Baidu, Alibaba, Google, and Tencent.
• Regulation: The online advertising industry in China is subject to a number of regulations, which could impact the company's business. These regulations include restrictions on the types of advertising that can be displayed, the collection and use of data, and the cross-border transfer of data.
• Economic conditions: The online advertising market is cyclical and is affected by economic conditions. A slowdown in the Chinese economy could lead to a decline in advertising spending, which would negatively impact the company's business.
• Technology: The online advertising industry is constantly evolving, and new technologies are emerging all the time. iClick Interactive Asia Group Limited must invest in new technologies to remain competitive, which could strain its resources.
• Data privacy: The company collects and uses a large amount of data in its business. This data includes personally identifiable information, which could be compromised if the company's systems are breached. A data breach could damage the company's reputation and lead to legal liability.

Overall, iClick Interactive Asia Group Limited is a well-positioned company in a growing market. However, the company faces a number of risks that could impact its business.