VANCOUVER, March 16, 2020 /CNW/ - Datable Technology Corporation (TSXV: DAC) (OTCQB: TTMZF) (the "Company" or "Datable"), is advising of its plans to mitigate the impact of the COVID-19 virus for customers and employees. Datable Technology Corporation provides an integrated suite of digital marketing applications sold as Software-as-a-Service ("SaaS"), its core product being PLATFORM³.
To date, COVID 19 has not impacted any of the Company's license agreements or its ability to deliver its services to customers. Nor has there been any significant negative impact on discussions regarding the expansion of existing license agreements and new agreements under discussion. However, Datable is monitoring the potential and immediate impact of COVID-19 and working with customers and service providers to mitagate issues that may emerge.
"We are holding ongoing discussions with our customers regarding how to deal with the COVID-19 virus. Our dialogue with leading consumer brands indicates that the loyalty, rewards and data driven engagement that we enable through PLATFORM³ will be a key part of maintaining relationships with consumers during the crisis, as well as during the recovery," said Rob Craig, CEO of Datable. "In addition, we are implementing policies to minimize risk for our employees, service providers, industry partners and customers."
Most of Datable's large customers are leading consumer goods companies that provide staples including food, beverages, and household products which are expected to remain in demand during the crisis. In addition, many of Datable's license agreements and marketing programs extend into late 2020 for back-to-school and holiday shopping promotions, and into 2021 as long-term loyalty programs.
Datable is implementing the following to protect customers and employees in response to COVID-19:
- Many of our customers offer rewards and loyalty for in-store and online purchasing. Given that consumers may prefer to shop from home to avoid public spaces, Datable is facilitating the expansion of shop-from-home options.
- Datable's sales and project management team regularly engage with customers through video conference. Historically, most of the Company's sales presentations have been conducted online with teams participating from multiple cities in the U.S. and Canada. During the COVID-19 crisis, project management and sales presentations will be conducted almost exclusively online.
- Employees, contractors and consultants who have symptoms or have been exposed to people with symptoms will be required to work from home until they are cleared for contact.
Datable ended February 2020 with approximately $2.1 million of baseline contracted licenses for PLATFORM³, with a gross margin of about 70%. Baseline contracted licenses do not include transaction fees, which generate additional revenues in many of Datable's agreements. Approximately 64% of the baseline contracted licenses are expected to be recognized as revenue in 2020 with the balance recognized in future periods.
Datable previously provided guidance that revenue will grow by over 100% in 2020 with expenses increasing by about 10% compared to 2019 (see press release dated February 5, 2020). Datable expects gross margin to remain at about 70% in 2020. Datable's progress in March 2020 has increased the Company's confidence in this guidance.
About Datable Technology Corporation
Datable has developed a proprietary, mobile-based consumer marketing platform – PLATFORM3 – that is sold to global Consumer Packaged Goods ("CPG") companies and consumer brands. PLATFORM3 is delivered as a subscription service (Software as a Service model) and used by CPG companies to engage consumers, reward purchases and collect valuable consumer data. PLATFORM3 incorporates Artificial Intelligence and Machine Learning to monetize the consumer data, including demographics and purchasing behaviour, by sending consumers targeted offers by email and text messages. For more information, visit datablecorp.com.
For additional information about the company please visit www.sedar.com. The TSX Venture Exchange Inc. has in no way passed upon the merits of the transaction and has neither approved nor disapproved the contents of this press release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors – including the availability of funds and the results of financing efforts, – that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Datable Technology Corp.
For further information: Datable Technology Corporation, Robert Craig, Chief Executive Officer, (604) 639-5441, [email protected]