HONG KONG--(BUSINESS WIRE)--iClick Interactive Asia Group Limited, (NASDAQ: ICLK the “Company” or “iClick”), an independent online marketing and data technology platform in China, today announced a controlling investment in Changyi (Shanghai) Information Technology Co., Ltd. (“Changyi”). The investment is part of an inorganic growth strategy pursued by the Company as it seeks to extend its client solutions beyond the core digital marketing business, addressing enterprise needs in China. In particular providing products in the emerging area of “New Retail” – an expanding and innovative market involving the combination of online and offline solutions. The Chinese retail market is set to become the largest in the world in 2019, surpassing the US by more than US$100bn1. New Retail is a key driver of this growth.
Changyi is a leading independent software vendor (ISV) in China. The Shanghai-based company provides intelligent retail and CRM solutions for clients, allowing them to consolidate customers’ online and offline information to provide connections within the organization and with stakeholders. These solutions support detailed profiling of customers, which facilitates data-driven strategies and enhances business process at various levels. Changyi’s clients include a number of tier-1 luxury brands as well as renowned brands in retail and other sectors from China and worldwide.
“Adding Changyi to our suite of solutions for global brands is an important next step in our evolution. This investment will accelerate the transformation of iClick by enhancing our BI Solutions that complement our core digital marketing business,” said Sammy Hsieh, Chief Executive Officer and Co-Founder of iClick. “Our clients are continually looking for ways to increase operational and marketing efficiency, as well as resolving the challenges of doing business in China. Changyi’s capabilities will enhance our Enterprise SaaS Solutions and allow us to address the demand that we are seeing.”
Ramboo Zhao, Founder and Chief Executive Officer of Changyi, said, “We are excited about the potential synergies created by joining iClick, a company with strong data management and analytics capabilities, and an established and positive reputation in the Marketing Technology industry. Together with iClick’s strong salesforce and deep understanding of top-tier global brands and retailers, we are better able to serve our clients with a wide range of solutions to help them make their business in China more accessible, efficient and profitable.”
The newly enhanced BI Solutions will support iClick’s strategy to further align itself with the long-term business objectives of clients by going beyond its core digital marketing business to sustain its growth. In particular, the Company will be able to offer New Retail solutions – an expanding and innovative market involving combining online and offline solutions. While the total retail sales in China are forecast to grow 7.5% to reach US$5.636 trillion in 2019, retail ecommerce is set to expand at an even faster rate of 30.3% to US$1.989 trillion, making up 35.3% of the overall retail volume in the country2. This strategic shift will grow the top line and improve margin for the Company as it moves into its next development phase.
About iClick Interactive Asia Group Limited
iClick Interactive Asia Group Limited (NASDAQ: ICLK) is an independent online marketing and data technology platform that connects worldwide marketers with audiences in China. Built on cutting-edge technologies, our proprietary platform possesses omni-channel marketing capabilities and fulfills various marketing objectives in a data-driven and automated manner, helping both international and domestic marketers reach their target audiences in China. Headquartered in Hong Kong, iClick Interactive was established in 2009, currently operating in nine locations worldwide including Asia and London.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements constitute “forward-looking” statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Such statements are based upon management’s current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company’s control. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company's fluctuations in growth; its success in implementing its mobile and new retail strategies, including extending its solutions beyond its core digital marketing business; relative percentage of its gross billing recognized as net revenues under the gross and net models; its ability to retain existing clients or attract new ones; its ability to retain content distribution channels and negotiate favorable contractual terms; market competition, including from independent online marketing technology platforms as well as large and well-established internet companies; market acceptance of online marketing technology and business intelligence solutions; effectiveness of its algorithms and data engines; its ability to collect and use data from various sources; ability to integrate and realize synergies from acquisitions or investments, fluctuations in foreign exchange rates; and general economic conditions in China. Further information regarding these and other risks is included in the Company's annual report on Form 20-F and other filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.
1 Source: eMarketer, January 2019
2 Source: eMarketer, China Retail and Ecommerce, December 2018