In answer to an analyst question, Giuliani answered a client-related, Facebook advertising question, saying that Facebook advertising was part of his company's mix as clients were asking to buy on the social giant's site. (AdExchanger has yet to see the obligatory Facebook Exchange release from ValueClick.)
Analysts were a tad obsessed with Google Affiliate Network revenue. Giuliani, the CEO, let out a clue to the potential of these affiliate advertisers by saying they didn't get the service level at Google that they do at ValueClick's own Commission Junction. Hence, the pricing potential of the $30 million Google Affiliate Network business that ValueClick inherited is weak. It may be time to start thinking GAN revenue is inconsequential for the overall growth of ValueClick.
ValueClick said the 32 quarters of sequential growth remained unbroken for retargeter Dotomi, which operates within the company. Furthermore, Giuliani said he expects more Dotomi growth in the second half of the year. Overall, the expectation seems to be a combo of current Dotomi growth and selling its retargeting services to ValueClick's Commission Junction clients.
Interestingly, demand-side platforms were mentioned as partially to blame for ValueClick's dwindling ad-network business.
Parts of Wall Street still seem to be learning about DSPs in that ad-network-like arbitrage can be easily created by a DSP -- and often is. In answer to a question about whether Dotomi could lose business to DSPs, Giuliani claimed that clients "wouldn't move to a DSP; there's not enough richness and personalization." Companies like Amazon, Criteo, TellApart, eBay Enterprises (was Fetchback) and many others are most certainly creating a competitive environment for ValueClick's Dotomi. But the ValueClick CEO continues to position Dotomi as something beyond a retargeting product and is calling it "CRM" as, presumably, a marketer's first-party data is used to create addressable display advertising across exchangelike inventory sources.
ValueClick isn't exactly swimming in cash, with $127 million in the bank, but perhaps it could make a few acqui-hires to help propel business in the future. Any acqui-hire target will have to be comfortable with the transition issues ValueClick has suffered in the recent past.
In after-hours trading, ValueClick stock was taking a pounding, down nearly 15% and giving the company a market cap of approximately $1.9 billion, according to Google's ticker.