Will the Zoopa IPO throw light on digital media stock?

image courtesy of WSJ

image courtesy of WSJ

As a house hunter in one of the most crowded markets in the world (London) Zoopla has been indispensable for me.

Able to scale so quickly from a website to a reasonably useable app, it has cast a shadow over the estate aggregaters online that used to stand along side it such as Findaproperty. News reached me today about Zoopla heading for the stock exchange imminently and as with many of technology IPOs recently this will once gain cause the worlds media to speculate on the value of online technology. At £1billion sterling, investors will clamour over one another to get a piece of this virtual property pie.

Meanwhile in the world of digital advertising technology; longer standing technology companies with global reach and scale sit on the substitute bench where big companies and startups wait to be sold or go public. Many are understandably impatient. It has been a long wait for technology companies holding up the commercial infrastructure of many of these pure digital publishers and as ever new startups come to the table, the investor have a tough time deciding if the business has long term value.

Casting a thought to potential investors, we in digital advertising technology wonder what might give realization to the fact that Advertising can and does support many global enterprises and that despite the three party nature of advertising economics (Advertiser, Publishers and User); Advertising is a billion dollar source of revenue.

Some ad technologies processing millions of dollars of ad revenue every day, stir the hearts of the most excitable marketers yet fail to raise an eyebrow on the trading floor. Perhaps, in the wrong seat, the view is obscured and it is difficult to determine the rules of the game. Just as with my lack of education around boxing, i can watch a whole match with one boxer winning on a score and not understand how said boxer deserves to be a winner. Education in fast moving times. Can investors be bothered to go back to school to realize the potential of groundbreaking, advent Advertising tech?

 

 

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