Valueclick Snaps Up Commission Junction

  |  October 10, 2003   |  Comments

Move will create largest affiliate marketing player.

Online ad technology company ValueClick, Inc. (Quote, Chart), announced late today it signed an agreement to acquire affiliate marketing technology and services company Commission Junction for an aggregate purchase price of $58 million in cash, ValueClick common stock and stock options.

The pickup, ValueClick's eighth acquisition in three years, helps position the company as the largest affiliate marketing player. The deal is expected to close next month, pending regulatory approval.

In early 2002, ValueClick acquired another major affiliate marketing tech player, Be Free, in a $128 million all-stock deal.

John Ardis, ValueClick VP of corporate strategy, said his company's reasoning for the acquisition was "additional scale. This doubles our footprint in the marketplace. Our goal is to be Number One or Number Two in the space. This makes us the industry leader in affiliate marketing."

Ardis expects Commission Junction to compliment the offerings of the Be Free subsidiary. "Commission Junction has focused on automation side. Be Free has traditionally handled large accts with high-touch customer offerings," he noted.

Commission Junction will somehow be combined with Be Free, but details have not been determined. A name for the affiliate unit, staffing and structure are still unresolved. "It's too early to tell," said Ardis.

Be Free powers affiliate marketing programs for over 200 retailers, including Best Buy, CitiFinancial, Staples, and Travelocity. Clients CJ brings to the table include MSN, eBay, Overture, and Quicken Loans; as well as international clients Expedia, Marbles and Marks and Spencer.

Affiliate marketing is presently a $95 billion industry. Forrester Research recently predicted it will grow to $230 billion by 2008.

ClickZ Live Toronto Twitter Canada MD Kirstine Stewart to Keynote Toronto
ClickZ Live Toronto (May 14-16) is a new event addressing the rapidly changing landscape that digital marketers face. The agenda focuses on customer engagement and attaining maximum ROI through online marketing efforts across paid, owned & earned media. Register now and save!

ABOUT THE AUTHOR

Rebecca Lieb

Rebecca was previously VP, U.S. operations of Econsultancy, an independent source of advice and insight on digital marketing and e-commerce. Earlier, she held executive marketing and communications positions at strategic e-services companies, including Siegel & Gale, and has worked in the same capacity for global entertainment and media companies, including Universal Television & Networks Group (formerly USA Networks International) and Bertelsmann's RTL Television. As a journalist, she's written on media for numerous publications, including "The New York Times" and "The Wall Street Journal." Rebecca spent five years as Variety's Berlin-based German/Eastern European bureau chief. Rebecca also taught at New York University's Center for Publishing, where she also served on the Electronic Publishing Advisory Group. Rebecca, author of "The Truth About Search Engine Optimization," was ClickZ's editor-in-chief for over seven years.

COMMENTSCommenting policy

comments powered by Disqus

ClickZ Today is our #1 newsletter.
Get a daily dose of digital marketing.

COMMENTS

UPCOMING EVENTS

Featured White Papers

ion Interactive Marketing Apps for Landing Pages White Paper

Marketing Apps for Landing Pages White Paper
Marketing apps can elevate a formulaic landing page into a highly interactive user experience. Learn how to turn your static content into exciting marketing apps.

eMarketer: Redefining Mobile-Only Users: Millions Selectively Avoid the Desktop

Redefining 'Mobile-Only' Users: Millions Selectively Avoid the Desktop
A new breed of selective mobile-only consumers has emerged. What are the demos of these users and how and where can marketers reach them?

Jobs

    • Sr. Paid Search Manager
      Sr. Paid Search Manager (Bisk Education) - TampaCurrently seeking a Sr. Paid Search Manager in Tampa, FL for Bisk Education! Bisk Education is a...
    • Contact Center Professional
      Contact Center Professional (TCC: The Contact Center) - Hunt ValleyLooking to join a workforce that prides themselves on being routine and keeping...
    • Recruitment and Team Building Ambassador
      Recruitment and Team Building Ambassador (Agora Inc.) - BaltimoreAgora, www.agora-inc.com, continues to expand! In order to meet the needs of our...