Incentive Marketer Cybergold Files for IPO

  |  May 26, 1999   |  Comments

Berkeley, CA-based Cybergold Inc., one of the firstWeb-based incentive marketers, filed for an initial public offering thatcould raise as much as $46 million.

Berkeley, CA-based Cybergold Inc., one of the first Web-based incentive marketers, filed for an initial public offering that could raise as much as $46 million.

The company gives cash incentives to consumers who view or respond to selected online ads. Members can receive their online earnings through their credit cards or bank accounts, or spend them on music, software and other products advertised on Cybergold's Web pages or those of its clients.

Membership is free, and the company says it has compiled a database of 1.8 million members -- though its base of frequent users is smaller, according to its filing with the SEC. The company said most of its revenue comes from "a small percentage of our members," and 20 percent of its members "have requested not to receive email from us."

Cybergold charges advertisers only when consumers respond to enticements.

Although first quarter revenues were $503,000 compared to $107,000 in the first quarter of 1998, Cybergold's net loss widened to $1.7 million from $1.2 million. The company has run up a $13.8 million deficit to date, according to the filing.

Cybergold, founded by Chairman and Chief Executive Officer Nathaniel Goldhaber, didn't say exactly how many common shares it plans to sell or what price it will seek, and estimated the IPO's top value at $46 million only as a basis for calculating the filing fee.

Goldhaber is the current top shareholder at Cybergold with a 34 percent stake. Cybergold would be traded on the Nasdaq market under the symbol CGLD.

ClickZ Live Chicago Join the Industry's Leading eCommerce & Direct Marketing Experts in Chicago
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda and register by Friday, August 29 to take advantage of Super Saver Rates!

ABOUT THE AUTHOR

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

IBM: Social Analytics - The Science Behind Social Media Marketing

IBM Social Analytics: The Science Behind Social Media Marketing
80% of internet users say they prefer to connect with brands via Facebook. 65% of social media users say they use it to learn more about brands, products and services. Learn about how to find more about customers' attitudes, preferences and buying habits from what they say on social media channels.

Marin Software: The Multiplier Effect of Integrating Search & Social Advertising

The Multiplier Effect of Integrating Search & Social Advertising
Latest research reveals 68% higher revenue per conversion for marketers who integrate their search & social advertising. In addition to the research results, this whitepaper also outlines 5 strategies and 15 tactics you can use to better integrate your search and social campaigns.

Resources

Jobs

    • Product Specialist
      Product Specialist (Agora Inc. ) - BaltimoreDescription: The Product Specialist is hyper-focused on the customer experience and ensures that our...
    • Partnerships Senior Coordinator
      Partnerships Senior Coordinator (Zappos.com, Inc.) - Las VegasZappos IP, Inc. is looking for a Partnerships Senior Coordinator! Why join us? Our...
    • Assistant Product Listing Ads (PLA) Manager
      Assistant Product Listing Ads (PLA) Manager (Zappos.com, Inc.) - Las VegasZappos IP, Inc. is looking for an Assistant Product Listing Ads (PLA...