NEW DELHI: New Delhi Television (NDTV), and digital advertising and content discovery firm Taboola have inked a new 5-year deal that will guarantee a minimum of Rs 300 crore in revenue for the former. The deal is the largest such partnership signed by Taboola in the Asia Pacific region, a statement from the two firms said.
The partnership is not new, with the two firms having signed an earlier three-year partnership in 2015. But the value and the tenure are both “vastly north of the last NDTV—Taboola arrangement that lasted three years and was worth Rs 100 crores based on traffic projections”, the companies said.
Taboola is one of the world’s largest content and digital advertising companies which uses its presence on sites like NDTV to recommend content from across the internet to audiences and to offer highly-personalised native advertising.“The five-year deal ties NDTV Convergence exclusively to Taboola and involves a minimum guarantee of more than Rs 300 crore for NDTV Convergence, making it one of the largest deals not just for digital content but for the media space in its entirety,” NDTV said in a filing to the BSE on Friday.
Following the announcement, shares of NDTV Ltd., rose nearly 10 per cent before being locked at the upper circuit at Rs 39.25 (up 9.94 per cent) on the BSE and rising 9.97 per cent on the NSE to hit `39.15. “The growth of the mobile internet in India is skyrocketing, and with over half a billion smartphone users, its mobile adoption is second only to China.
Mobile users are continually looking for those “moments of next,” and publishers such as NDTV are well positioned to deliver a dynamic, personalised content experience to their readers,” said Adam Singolda, founder and CEO of Taboola. Meanwhile, NDTV Group CEO, Suparna Singh said, “Taboola’s energy and innovation allow us to enlarge our own goals... And this deal proves that Brand NDTV remains unchallenged and the go-to for world-class firms”.
Taboola feed gives bump to revenue
NDTV’s Suparna Singh had earlier stated that the launch of the Taboola on its desktop and mobile sites had given the company a 30 per cent bump in RPM (Revenue Per Mille) from its location. NDTV had implemented the Taboola Feed in May this year.