Criteo's revenue drops 11% in Q3 2020
Criteo is transforming its business into a Commerce Media Platform. The new solutions grew 43% year-over-year, and Retail Media grew close to 60% year-over-year.
Criteo last week announced the financial results for the third quarter ended September 30. The revenue dropped 11% in Q3 year over year. Revenue for the quarter was $470 million.
In the Americas, revenue declined 4% year-over-year, in EMEA, declined 10% year-over-year, and n Asia-Pacific, revenue declined 20% year-over-year.
In the guidance, Criteo expects a new decline next quarter, Q4. Criteo predicts a less concentrated peak Holiday Season compared to prior years, and a slow rebound in the Travel and Classifieds verticals.
Transforming the business in a Commerce Media Platform
Criteo said it is transforming the business into a Commerce Media Platform. "As we look forward, we are transforming our company to a Commerce Media Platform over the next few years to maximize the value of our unique Reach and Commerce assets, enabling our strong customer base, including global brands and retailers, to optimize their sales and digital advertising returns. We believe we have a path to growth over time with a clear product roadmap," said Megan Clarken, CEO of Criteo.
The new solutions grew 43% year-over-year, and Retail Media grew close to 60% year-over-year.
In June, Criteo hired Sherry Smith to lead the Retail Media commercial team. Criteo Retail Media is a self-service ad platform for retail ads.
According to Criteo, the number of clients grew 3% year-over-year to close to 20,600 after adding over 200 net new clients. Criteo says this is the highest number since Q4 2019.
Criteo says it is working with The Trade Desk on the Unified ID 2.0, an alternative to third-party cookies. Criteo's header-bidding technology now connects around 5,000 direct publishers.