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What is “Taboola” and how it emerged as market leader?


What is “Taboola” and how it emerged as market leader?, This article is on the internet industry leader Taboola, which is an online website which provides the traffic to the websites in exchange of some fees. The detailed explanation of the website is given here.

What is Taboola ?

Taboola CAknowledge

Taboola is a platform where the content writers or the creator of the content which offers them the external links to the articles or the blogs written by them and divert the visitor to other related videos, slideshows (within and outside the website)

Brief Detail of the Website:

  1. CEO – Adam Singolda
  2. Founded in – 2007 in Israel
  3. Headquarters – New york, USA
  4. Why in discussion – It has recently became the market leader in the internet industry by achieving the dream of 1 billion monthly clicks.
  5. Competitor – Outbrain, Gravity
  6. Clientele – BBC, USA Today, etc.
  7. Valued at – $1 billion

History of Taboola:

The year wise achievement of the website is described below:

Year Achievements
2007 Founded by Adam Singolda in Israel, having content which the people haven’t thought of it. Raised $1.5 mn from Evergreen Venture Partners
2008 Investment by Evergreen Venture Partners of $4.5 additional
2010 It was only video to video transmission which has expanded to text to video and other modes also. It changed its headquarters from Israel to New york
2011 Raised another $9 mn from various investors
2012 In June 2012, raised another $10 mn
2013 In February 2013, raised another $15 mn, started article recommendation which is the best revolution till date. At the end of the year, brought the app.
2014 Acquired Perfect Market, Text based advertiser company
2015 Funding from Baidu, Chinese Internet Giant

How it makes Money ?

  1. Firstly there are content creators which need the traffic to be diverted to their website and get some earnings, through which they would pay to Taboola for diverting such traffic
  2. Secondly there are publishers who would be displaying links or the widgets through which the content creator would get traffic and through which the purpose of both of them is served.
  3. It is merely an intermediary which acts as a way to communicate to the people they are willing to. Its tag line says it all – “Content you may like”
  4. The revenue or the income of Taboola in the year 2013 was around $100 million which increased to around $200 million in the subsequent year 2014, which suggest a 100% growth in the income growth.

Worth of Taboola :

The expected worth of these company is around $1 billion which is tend to increase in the coming years, as it is in talks with near investment by which would provide the funding such that it can operate its day to day activities easily. The main competitor of Taboola has opted for IPO (Initial Public Offer) which would come in the market likely this year. Looking on to the success of the Outbrain, Taboola would also be planning to increase its funding and invest more and more on the infrastructure part.

Challenges and Future Prospects of the Company:

There are some challenges which may be faced by Taboola such as it may be regarded as spam by the internet user as it would be against the willingness of the end user to get diverted to other site, which may be irrelevant for him. The other challenges can be making the user click is not an easy task, it may include malicious sites which may affect the thinking of user, etc. The future opportunities with Taboola is that they can get more and more target audiences which they are looking for, the diversion links would be similar and interesting to the users, and good pay-outs to the publishers which would lead to better revenue.

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About Yash Shah

Yash Shah is passionate article writer and has written more than 100 articles in the field of Finance, Insurance, Stock Market, Company Law, Auditing, Taxation and many others. In case of any queries or suggestions, you can reach the author @ [email protected], you can also catch him on facebook @ yashshah299

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