Red Violet, Inc. (RDVT): Marketing Mix Analysis [Dec-2025 Updated]

You're digging into Red Violet, Inc.'s (RDVT) market playbook to see if their identity intelligence and AI focus is truly translating to sustainable shareholder value, and after two decades analyzing these plays, I can tell you their 2025 performance is worth a close look. Honestly, their strategy is defintely sharp: fusing massive datasets into actionable intelligence for products like idiCORE and FOREWARN, which already serves 9,853 billable customers as of Q3 2025. What really caught my eye, though, was the 84% adjusted gross margin in that same quarter, supported by 75% of revenue being contractually locked in, signaling serious pricing power and customer stickiness. So, let's peel back the layers on exactly how their Product development, Place distribution, Promotion messaging, and Price structure are working together to fuel that 21% year-over-year revenue growth.

Red Violet, Inc. (RDVT) - Marketing Mix: Product

You're looking at the core offerings of Red Violet, Inc. (RDVT), which are built around transforming massive, disparate data into actionable intelligence for risk management and identity verification. The product strategy centers on a unified, cloud-native technology foundation.

CORE™ is the intelligent, cloud-native platform that serves as the engine for all solutions. It assimilates, structures, and unifies billions of records to create comprehensive views of subjects, enabling real-time analytics for functions like identity verification and fraud prevention. This platform is purpose-built for the enterprise but flexible enough for organizations of all sizes.

The primary solutions powered by CORE™ are:

• idiCORE investigative solution for enterprise risk mitigation and due diligence.
• FOREWARN app provides instant knowledge for professional safety and risk mitigation.

The idiCORE solution is used across multiple industries for challenges including due diligence, identity authentication, fraud detection and prevention, customer acquisition, and regulatory compliance. The platform's data assets cover nearly 100% of the U.S. adult population, which is key for public sector agencies using the solution via the GSA Schedule contract.

The FOREWARN app is designed for real-time knowledge delivery, analyzing billions of data points to verify identity, search criminal histories, and validate information provided by potential clients, using just a phone number. This allows professionals, particularly in real estate, to mitigate risks before face-to-face engagement.

Here are the latest reported metrics that reflect the scale and adoption of these products as of the third quarter of 2025:

Red Violet, Inc. is actively advancing these products. The company is executing on strategic investment in enterprise-wide AI initiatives for product advancement, aiming to enhance data gathering and operational efficiency. This focus on AI integration is intended to move the company beyond traditional verification into predictive analytics.

The growth in the IDI segment is notable, having added 304 billable customers sequentially during the third quarter of 2025. Also, FOREWARN added over 25,538 users in that same quarter.

Red Violet, Inc. (RDVT) - Marketing Mix: Place

Cloud-native platform delivery ensures real-time, remote access for clients.

Distribution utilizes direct sales, value-added distributors, and resellers.

App-based delivery for FOREWARN targets mobile professionals like realtors.

Strong market penetration via contracts with over 590 REALTOR® Associations.

Serves key verticals: law enforcement, financial services, collections, and real estate.

The distribution model supports the company's reported Q3 2025 total revenue of $23.1 million.

The company's market reach is quantified by specific product adoption figures:

• FOREWARN users added in Q3 2025: 25,538
• idiCORE customers added in Q3 2025: 304
• Gross revenue retention (TTM): 96%

The key verticals accessing Red Violet, Inc.'s intelligence solutions include:

• Collections
• Financial/Corporate Risk
• Real Estate
• Investigative firms
• Law enforcement and government agencies

Red Violet, Inc. (RDVT) - Marketing Mix: Promotion

Promotion for Red Violet, Inc. centers on communicating the value derived from its identity intelligence platform, CORE™, to specific, high-value enterprise and professional audiences. The messaging is designed to resonate with organizations where data accuracy directly impacts risk exposure and operational confidence.

Key messaging consistently emphasizes the core capabilities of identity intelligence, fraud prevention, and risk mitigation. Red Violet, Inc. solutions enable the real-time identification and location of people, businesses, and assets, supporting functions like identity verification, due diligence, and regulatory compliance. The company's stated mission is to transform data into intelligence, empowering clients to operate with confidence.

Management actively engages the investment community to convey this value proposition. This includes active investor relations with presentations at industry conferences. For instance, Red Violet, Inc. presented at the Southwest IDEAS Investor Conference in November 2025, with Camilo Ramirez, Senior Vice President, Finance and Investor Relations, presenting and hosting meetings on November 20, 2025. The company also presented at the Midwest IDEAS Investor Conference in August 2025.

The public relations and sales literature are clearly aimed at specific enterprise-level buyers. The company highlights wins with a large state toll authority and a major payroll processor, noting the enterprise pipeline is the strongest management has seen. The solutions are used across diverse sectors including investigative, collections, financial/corporate risk, government, and emerging markets.

During the Q3 2025 earnings call on November 5, 2025, CEO Derek Dubner specifically highlighted the company's forward-looking investments. He spoke about platform capabilities, product advancements, go-to-market expansion, and the continued integration of AI across operations. Furthermore, the CEO noted the company's Rule of 40 score notched an impressive 60%.

The success of the communication strategy is reflected in strong customer metrics. Gross revenue retention remained strong at 96% for the third quarter of 2025, an improvement by 2 percentage points over the prior year. This high retention, coupled with platform expansion, signals high customer satisfaction and the mission-critical nature of the service. You can see the underlying growth supporting this messaging in the Q3 2025 performance:

The company is using its financial strength to signal confidence, having announced a $15.0 million increase to its Stock Repurchase Program.

Red Violet, Inc. (RDVT) - Marketing Mix: Price

Red Violet, Inc. maintains a high-margin business model, evidenced by the adjusted gross margin reported at 84% for the third quarter of 2025. This strong margin performance is supported by an adjusted gross profit of $19.4 million in Q3 2025.

The pricing structure for Red Violet, Inc. is a mix of recurring revenue streams and usage-based charges. Specifically, the company recognizes revenue from licensing fees on a transactional basis, via a monthly fee, or from a combination of both. Pricing contracts are generally annual or longer-term agreements with auto-renewal features.

Revenue stability is significantly bolstered by contractual commitments. For the third quarter of 2025, 75% of total revenue was contractually driven. This contrasts with the second quarter of 2025, where contractual revenue was 77% of total revenue. The pricing strategy is designed to command premium rates by leveraging proprietary data and the increasing reliance customers place on the solutions, which creates high switching costs.

The overall financial performance reflects the effectiveness of this pricing strategy. Total revenue for the third quarter of 2025 reached a record $23.1 million, marking a 21% increase year-over-year. This growth occurred despite a shift in the revenue mix toward transactional activity compared to the prior year.

You can see the revenue composition for the recent quarters below:

The pricing strategy is clearly structured to maximize value capture:

• High margin achieved at 84% adjusted gross margin in Q3 2025.
• Revenue mix shows a strong base of 75% contractually committed revenue for Q3 2025.
• Pricing supports premium rates due to data advantage and reliance.
• Total revenue hit $23.1 million in Q3 2025.