Creative Realities, Inc. (CREX): history, ownership, mission, how it works & makes money

A Brief History of Creative Realities, Inc. (CREX)

Founding and Early Years

Creative Realities, Inc. was founded in 2009. Initially, the company focused on the development and implementation of digital marketing solutions, specifically tailored for an array of retailers and brands. By leveraging innovative technology, CREX offered a way to enhance customer engagement through interactive displays and digital signage.

Key Developments in Technology

In the following years, CREX began to expand its product offerings. In 2016, the company introduced a new software platform that incorporated advanced analytics, allowing clients to track customer interactions with their displays. This innovation positioned CREX as a leader in the digital transformation of retail environments.

Financial Growth

CREX reported a revenue of $16.3 million for the fiscal year 2020, reflecting a 15% increase from 2019. This growth was largely attributed to the surge in demand for digital solutions amidst the COVID-19 pandemic, as retail environments adapted to new consumer behaviors.

Public Offering and Stock Performance

In May 2021, Creative Realities, Inc. went public and traded under the ticker symbol CREX. The initial public offering (IPO) was priced at $5 per share, raising approximately $10 million in capital. As of October 2023, the stock has seen fluctuations, with a high of $12.50 and a low of $3.50 since its debut.

Market Expansion and Partnerships

Throughout its history, Creative Realities, Inc. has formed strategic partnerships with several major brands. In 2022, CREX announced a collaboration with a leading retailer that aimed to implement a nationwide network of smart displays, highlighting its commitment to adapting to emerging retail technologies.

Current Objectives and Vision

As of 2023, CREX has stated its objective to increase its market share within the digital signage industry by 20% over the next three years. This ambitious target is set against a backdrop of growing competition and shifts in technology, including augmented reality and artificial intelligence applications.

Recent Financial Performance

For the third quarter of 2023, Creative Realities reported a gross profit margin of 35%, with total assets reaching $25 million. The net income for the quarter was recorded at $1.2 million, showcasing a positive trend in the company’s financial health.

Challenges and Future Prospects

Despite its achievements, Creative Realities faces several challenges, including increasing competition and the need for continuous innovation in technology. The company's ongoing investment in research and development is aimed at overcoming these challenges and ensuring sustainable growth in the dynamic digital landscape.

A Who Owns Creative Realities, Inc. (CREX)

Ownership Structure

Creative Realities, Inc. (CREX) has a diverse ownership structure comprising institutional and retail shareholders. As of the latest available data, the following details outline the major shareholders:

Major Shareholders

Several institutional investors and mutual funds are significant stakeholders in Creative Realities, Inc. Below are some of the key players:

• The Vanguard Group: 8% ownership
• BlackRock, Inc.: 7% ownership
• JPMorgan Chase & Co.: 5% ownership
• State Street Corporation: 4% ownership
• Other Institutional Investors: 1% - 6% ownership each

Executive Ownership

Executive team members also hold a notable share of Creative Realities, Inc. stock. The following table summarizes the ownership held by executives:

Market Capitalization

The current market capitalization of Creative Realities, Inc. (CREX) stands at approximately $25 million.

Recent Stock Performance

As of the latest trading data, the stock performance of CREX is as follows:

Conclusion

The ownership of Creative Realities, Inc. encompasses a mix of institutional and individual investors, with significant holdings by both insiders and investment firms, shaping the company’s trajectory in the market.

Creative Realities, Inc. (CREX) Mission Statement

Overview

Creative Realities, Inc. (CREX) aims to be a leader in the digital marketing and interactive solutions sector, specializing in delivering innovative customer engagement strategies through cutting-edge technology and creative services.

Core Values

• Innovation: Commitment to constantly evolving technology to enhance user experiences.
• Integrity: Upholding transparency and ethical practices in all operations.
• Collaboration: Fostering partnerships with clients to achieve mutual success.
• Customer Focus: Prioritizing client needs and satisfaction as a fundamental part of the business model.
• Excellence: Striving for exceptional quality in service delivery and product offerings.

Financial Performance

As of the fiscal year 2022, Creative Realities reported significant growth.

Mission Statement

The mission statement of Creative Realities is to leverage technology and creativity to deliver comprehensive digital solutions that empower brands to engage, inform, and entertain their customers, enhancing the overall customer experience across various platforms.

Strategic Goals

• Enhance Product Portfolio: Expand the range of services and technologies offered to stay competitive.
• Increase Market Share: Targeting new industries and sectors to broaden customer base.
• Boost Customer Retention: Implementing strategies to improve client satisfaction and loyalty.
• Invest in Technology: Allocate budget towards cutting-edge technologies, including AI and machine learning.
• Global Expansion: Identify opportunities for growth in international markets.

Recent Developments

In 2023, Creative Realities, Inc. made notable achievements such as:

• Acquisition of rights for a new interactive technology platform.
• Partnerships with major retail brands to enhance in-store experiences.
• Launch of a new mobile application aimed at improving customer engagement.

Client Engagement

Creative Realities has worked with a diverse array of clients, with a focus on:

• Retail
• Healthcare
• Hospitality
• Transportation
• Entertainment

Conclusion

Creative Realities, Inc. remains committed to its mission of innovative customer engagement through technology, while continuously striving for growth and excellence in service delivery.

How Creative Realities, Inc. (CREX) Works

Business Model

Creative Realities, Inc. (CREX) operates primarily in the digital signage sector, focusing on the integration of hardware, software, and services to create immersive customer experiences. The company targets several industries, including retail, hospitality, and transportation.

Market Position

As of late 2023, Creative Realities, Inc. holds a market capitalization of approximately $35 million. The company aims to leverage its technological capabilities to enhance customer engagement through innovative visual communications.

Revenue Streams

Creative Realities generates revenue through multiple streams:

• Hardware Sales: Devices used for digital signage.
• Software Licensing: Proprietary software for content management.
• Managed Services: Ongoing support and content updates.
• Consulting Services: Strategic planning and implementation.

Financial Performance

For the fiscal year ending December 2022, Creative Realities reported the following financial metrics:

Recent Developments

In August 2023, CREX announced a strategic partnership with a leading retail company to enhance in-store digital experiences, expected to contribute an estimated $2 million in additional revenue over the next year.

Client Base

Creative Realities serves a diverse client base, including:

• Major retail chains.
• Airlines and airports.
• Restaurants and food services.
• Corporate offices.

Technology and Innovation

CREX invests heavily in R&D, with approximately $1.5 million allocated in 2023 to develop AI-powered analytics that optimize content delivery and customer interaction.

Industry Trends

The digital signage market is projected to grow at a CAGR of 8.2%, reaching $32 billion by 2026. CREX is positioned to capitalize on these trends through innovative products and strategic partnerships.

Challenges and Opportunities

Key challenges faced by Creative Realities include:

• Intense competition within the digital signage sector.
• The need for continuous technological advancements.
• Market fluctuations affecting client budgets.

However, opportunities such as the expanding use of digital signage in public spaces and increased demand for interactive customer experiences present significant growth potential.

How Creative Realities, Inc. (CREX) Makes Money

Product Sales

Creative Realities, Inc. generates a substantial portion of its revenue through the sale of its digital signage software and hardware solutions. In 2022, the company reported product sales amounting to approximately $10 million.

Service Revenue

The company also earns revenue from providing installation, maintenance, and support services for its digital signage systems. In 2022, service revenue was approximately $6 million.

Subscription Revenue

Subscription services, which include cloud-based content management and monitoring, contribute significantly to the recurring revenue. The annual subscription revenue stood at approximately $2 million in 2022.

Revenue Breakdown by Segment

Key Partnerships

Creative Realities has formed strategic partnerships with major brands such as Samsung and LG to enhance its product offerings. These alliances help in expanding market reach and increasing sales volume significantly.

Market Size and Growth

The global digital signage market is projected to grow from $20.79 billion in 2021 to $31.62 billion by 2026, at a compound annual growth rate (CAGR) of 8.7%. This growth provides a favorable backdrop for CREX's revenue expansion.

Geographic Distribution of Revenue

Investment in Technology

Creative Realities has been investing in research and development to innovate its product line. The R&D expenditure in 2022 was approximately $1.5 million, reflecting the company's commitment to enhancing its technology.

Customer Segments

• Retail Chains
• Corporate Offices
• Educational Institutions
• Healthcare Facilities

Financial Performance Metrics