Prediction certainty 4/5 debate potential 3/5

Wise: DSP take rates of 18% to 22% will inevitably get commoditized

Bill Wise · 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend · Dec 4, 2017 · at 8:00

MediaOcean CEO Bill Wise argues that DSP fee structures represent an unsustainable 'ad tech tax' compared to traditional agency margins.

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“If they're making, you know, 18 20, 22%, you think that's going to get commoditized.”

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More from Bill Wise

Insight
Wise: Competing with MediaOcean requires $50B to $60B in processing volume
“So we've commoditized, you know, what we do way down so it'd be very difficult for someone to compete with us, because you would really, literally need to have 50 or sixty billion of spend going through the system just to compete.”
Bill Wise Dec 4, 2017 ▶ 7:25 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
Insight
Wise: Executives who excel at golf are probably poor CEOs
“It's like I have a I have a thing where if you're a CEO or executive and you're good at golf, it means you're probably not that good of a CEO.”
Bill Wise Dec 4, 2017 ▶ 3:21 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
Assertion Contradicted
Mediaocean claims to be the only adtech firm covering all media types
“We're the only ad tech company that is across all those media types.”
Bill Wise Dec 4, 2017 ▶ 5:32 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
Assertion Not checkable as stated
Wise: Mediaocean's incremental revenue yields nearly 100% EBITDA margin
“The next incremental dollar is near a hundred percent EBITDA.”
Bill Wise Dec 4, 2017 ▶ 20:18 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
Disclosure
Mediaocean Uses Wonderlic Testing Exclusively and Only Hires Top 21% Scorers
“We use no external recruiters because we ask everyone to take a wonder like test. And 21% of the world's population gets an A or B on this test. We only hire A's and B's.”
Bill Wise Dec 4, 2017 ▶ 21:51 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
Disclosure
Wise: Vista Allowed 100% Equity Liquidity in Mediaocean Acquisition
“They allowed me to sell a hundred percent of my equity on their acquisition, re-upped me.”
Bill Wise Dec 4, 2017 ▶ 22:34 863 AdTech: $720m Valuation, The 50+ Year Unicorn Processing $160 Billion in Spend
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