Home  › Social › Social Media
buddy-media-in-austin-airport

Salesforce's Big Price Tag for Buddy Media Emboldens Social

  |  June 4, 2012   |  Comments

Vitrue was also considered as an acquisition target.

buddy-media-in-austin-airportThe biggest winner so far in the Facebook marketing vendor ecosystem was declared today when Salesforce.com bought Buddy Media for $689 million. Maybe those Buddy Media airport ads (pictured) weren't so wacky after all, as they seemed to have led to some sales.

Salesforce.com CEO Marc Benioff said he met with 10 social media vendors before beginning negotiations with Buddy Media. Benioff said his decision was significantly based on Buddy Media having "the largest transactions" from clients like Ford and WPP.

One vendor under consideration, the CEO mentioned, was Vitrue, which was recently bought by Oracle for $300 million. Other major players that were probably reviewed by Salesforce.com include Wildfire, Syncapse, Friend2Friend, Offerpop, and FanBridge. And for further price tag comparisons, Salesforce.com last year purchased social listening platform Radian6 for $326 million - less than half of what Buddy Media went for.

"At the end of the day," Benioff said, "[Buddy Media] had the best product…We are going to market and sell the heck out of it."

Marketers who already use Salesforce will now be able to incorporate Facebook efforts into their digital workflows via the Buddy Media system. At the same time, it's probably too early to say what Buddy Media's sale to Salesforce.com means to the evolution of social media-enhanced CRM. For instance, when ClickZ asked what brand clients should now anticipate, Scott Monty, the oft-quotable social media director for Buddy Media customer Ford, wouldn't bite.

"We're not really prepared to provide an assessment," Monty said.

The Buddy Media purchase is seen by some as the next step to Salesforce.com's acquisition of Radian6. John Donahue, director of business strategy and consumer engagement at content and technology firm Socialistic, said it seems that Salesforce.com is "assembling a war chest of technology to go after Fortune 1000 brands. The question remains on how Salesforce will work to adapt their consulting model to work closer with marketers as all of these technologies only work well when they are implemented correctly organizationally."

Meanwhile, for brands that want social to become more of a centerpiece in their CRM, getting Salesforce.com more heavily involved in the scene can likely be interpreted as a positive sign. Few tech companies have performed as industriously in the marketplace, garnering the confidence of Wall Street investors to the tune of an 80 percent stock price increase over the last four years in an otherwise bad economy.

Tags:

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

Christopher Heine

Christopher Heine was a senior writer for ClickZ through June 2012. He covered social media, sports/entertainment marketing, retail, and more. Heine's work has also appeared via Mashable, Brandweek, DM News, MarketingSherpa, and other tech- and ad-centric publications. USA Today, Bloomberg Radio, and The Los Angeles Times have cited him as an expert journalist.

COMMENTSCommenting policy

comments powered by Disqus

Get ClickZ Social newsletters delivered right to your inbox. Subscribe today!

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...