LONDON (ShareCast) - (Sharecast News) - Data-based commerce platform provider Bango set out its long-term growth plan at its annual strategy day on Wednesday, which it said was based on a "strong transactional business" in an "expanding addressable market".

The AIM-traded firm said that the market saw increased revenue at a 52% compound annual growth rate (CAGR) over the last five years.

It said future growth was expected to continue to generate a gross margin higher than 95%.

The company said it was aiming to accelerate momentum of its synergistic software-as-a-service (SaaS) based platform licensing business.

Early wins there included BT and Verizon, driving an estimated $7m of additional high-margin annual recurring revenue (ARR) in 2023.

Bango was also looking to increase success in its purchase behaviour targeting business, which had achieved 20x growth in app developer engagement over the last 18 months, and 10x growth in usage in the first half of 2021.

It said six app developers had already increased their spending on Bango Audiences to an annualised rate of over $0.1m per year each, with "many more" expected to follow the same path.

With gross margins expected to be at least 70%, and "thousands" of app developers as potential customers, Bango said that business was set for substantial growth.

"Bango is on a strong revenue growth trajectory, driven by our unique and highly scalable platform," said chief executive officer Paul Larbey.

"Continued high margins mean that this organic growth will be funded by our own cash generation."

At 1257 BST, shares in Bango were up 2.26% at 181p.

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