Media-tech firm SyncMedia to end FY21 with net profit of Rs 6.25 crore while revenue to remain flat at Rs 21 crore

Media-tech firm SyncMedia, expects net revenue to remain flat at Rs 21 crore at the end of FY21, while net profit is expected to double to Rs 6.25 crore – on the back of decline in operational cost, Anubhav Sharma, founder and CEO, SyncMedia told BrandWagon Online. “This year we are not expecting to invest in any acquisition or double our team strength like we did in last fiscal so our profitability is heading to 25% onwards in the current fiscal,” Sharma added. The company reported a net profit of Rs 3 crore in FY20.

According to Sharma, the media-tech company has two revenue models. “There is a basic module in which the clients pay a fixed amount per month ranging between Rs five to 10 lakh. However, if a client opts for optimisation and predictive algorithms, then the revenue derived would be anywhere between one percent to 3% of the brand’s overall media spends,” Sharma explained. For example, any large FMCG brand spending Rs. 1000 crores on TV advertising, the attribution model implemented across campaigns could potentially generate a revenue of anywhere between Rs. 8-10 Crores. For Sharma, the pandemic has led to an increase in online shopping thereby allowing the company to map consumers’ journey. “We were able to map television advertisements and analyse its impact on sales online,” Sharma added.

The company claims to have worked with over 150 companies in the last two years including HUL, Vivo, Pepsi, and Maruti Suzuki. Further, SyncMedia expects an increase in its clientbase by 25-30% this fiscal on the back of digital acceleration. SyncMedia, which acquired measurement platform Adorithm in June, measures the baseline of Google search queries and site visits minute-by-minute, tracking the spikes in site visits back to the advertisement aired on television, at a particular channel. According to the company, the tech platform opens its attribution window for a small period when the ad is being aired on TV and runs multiple regression and causal algorithms to map the digital footprint resulting from a particular ad spot. “By running regression and causal algorithms, we are able to provide brands with the data which tells them how much digital traffic a particular ad running on a particular channel garnered. This is how we provide our clients with actionable insights to better optimise the media buying process,” Sharma explained.

The company was supposed to expand operations to GCC countries and South-East Asia this year, reveals Sharma, but the plans have been put on hold due to the pandemic.

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