One of the most common topics for many bloggers is blogging. Whenever I write about blogging in my blog I feel a little odd. I wonder if all this blogging about blogging is like blogging to the blogosphere. (Today I’m going to see how many times I can write blog, blogging or blogger in this entry before I’m compelled to poke my own eye out with a pen.)
I think most bloggers write about blogging because they truly believe it’s a hot topic deserving of their considerable time and energy. Successful bloggers are also very savvy and know that getting others to link to their site boosts traffic and ultimately their rankings on search and blog engines. It’s all about the links.
Smart bloggers also know that some among their audience are journalists interested (or scared) of the blogging phenomenon. If a blogger is recognized as a blogging expert in a main stream media story, that is likely to boost their traffic along with their profile and status in the blogosphere.
So far this tact has created a blogging universe with a top echelon of blogging stars. And if you ever attend a conference on blogging you’ll realize the first names of these blogging celebrities are bandied about as if they were Britney, Madonna or Oprah.
While there’s a pile of research to show how pervasive blogging has become, there’s now mounting evidence that not every single person in the entire world has a blog, reads a blog or even knows what a blog is. Just ask my mom or my aunt or my cousins in western Massachusetts.
Better yet, just ask some typical folks in London. A story earlier this week says that a survey of British taxi drivers, pub landlords and hairdressers, which are often seen as barometers of popular trends, found that nearly 90 percent had no idea what a podcast is and more than 70 percent had never heard of blogging.
In fact, when one of the researchers asked a panel of people about blogging, they thought she meant dogging, which was defined in the story as the phenomenon of watching couples have sex in semi-secluded places such as out-of-town car parks.
“Our research not only shows that there is no buzz about blogging and podcasting outside of our media industry bubble, but also that people have no understanding of what the words mean,” the researcher says. “It’s a real wake-up call.”
But that’s not stopping many from continuing to champion blogs as extremely cost-effective in driving Web traffic to campaign sites and creating interest, according to many of the panelists speaking at the OMMA East Conference on Wednesday.
And speaking of blog news from OMMA…Feedster will within the next two weeks release a product that will allow small publishers to more easily place ads in their RSS feeds. To complement the product, Feedster will also release a feed-profiling tool later this year.
Finally, Nielsen/NetRatings recently released research showing that traffic to image hosting Web sites has skyrocketed due to the massive rise in blogging activity seen since the beginning of this year. As a category, image hosting sites have grown 406 percent to more than 14.7 million unique users since January 2005, accounting for nearly 10 percent of active U.S. Internet users.
In July 2005, 20 percent of active Web users, or 29.3 million people, accessed blogging or blog-related Web sites, growing 31 percent since the beginning of the year.
Jon Gibs, senior research manager, Nielsen//NetRatings say. “The large rise in blogging activity has lifted other Web sites, the primary one being image hosting sites. Simple text-based ‘diaries’ have evolved into a more image-oriented presentation.”
By the way, the latest issue of Revenue is out. You should be getting it within a week or so. When you do, look for my feature article on blogging.
Now, where’s my pen? Ouch. My eye.
Let me know about your blogging activities or better yet, post something in the comments. lisap@revenuetoday.com
It’s a mixed bag of information today. And in honor of Google celebrating its 7th birthday, here are seven things that caught my eye this week.
1. Google’s one-year ban on talking with online tech news group Cnet has been lifted. Google CEO Eric Schmidt is quoted in a Cnet article about the company increasing the size of its search index.
Okay, I just can’t stop going on about my recent trip to CJU. It’s made for good blog fodder all week. That’s because there was a lot of useful information along with some great networking with advertisers and publishers as well as many entertaining Commission Junction people. I especially liked many of CJ’s Marlborough contingent.
Being that I was born and raised in Massachusetts before moving to California many years ago, it was great to talk about the old stomping ground and all the things I miss about Boston. The best part - all of this fabulous interaction and stimulation took place in a picturesque seaside setting.
But of course, if you know me, it’s hard to imagine that I wouldn’t have something to say that was well, not so positive. Needless to say, there were a few things at the conference that struck me as a bit off. Not bad, just a little odd. Here are a few observations.
First - the music. Admittedly, I’m a bit of music junkie. I used to be in radio, so I’m very attuned to music in my environment.
Music at the conference was a weird mix of modern, adult contemporary and slightly off cover versions all played just a bit too loud. There was a scary rendition of Fleetwood Mac’s Tusk by some unidentifiable group. I think I heard the B52’s Love Shack no less than a half dozen times. I was also barraged by the same Roberta Flack tune over and over again.
And don’t even get me started on the music at the Horizon awards. I’m guessing that because the awards dinner/reception was a swankier nighttime affair, it was okay to break out the funk and hip-hop. Several people at my table commented on the clear disconnect between the winners and the loud music that played during the walk to the stage to accept their awards. When I think about CouponCabin.com, I just don’t think Diddy. Now, if it was 50 Cent, I might have appreciated the subtle humor.
For the record, I’m not sure it was actually Diddy. I was taking notes on the winners but I was also enjoying my second pleasant glass of cabernet at that point. However, I do know that our table spent the better part of the ceremony scratching our collective heads at the musical choices.
Okay, enough about the music. What about the sessions? There were two that I found slightly odd - both were general sessions. First, there was the Dating Game. Here’s what it said on the conference agenda:
“11:00 - 12:00 PM General SessionThe Dating Game - Affiliate StyleModeratoron Batsford, Publisher Business Development Manager, Commission Junction
Session 1: David A. Coppins, Vice President, Online Mall, Upromise
David M. Lewis, CEO, 77Blue
Eva Klein, Merchant Relations, FatWallet
Melissa D. Salas, Senior Marketing Manager, Buy.com
Session 2:E va Hung, Senior Manager, Acquisition Marketing, Yahoo! Inc.
Joe Nardolilli, Director of Marketing, Ritz Interactive, Inc.
Larry Joseloff, Marketing Manager, The Discovery Channel
Paul Nichols, Director of Business Development, eBates
Location: Grand Ballroom
Be in our studio audience as Commission Junction presents The Dating Game - Affiliate Style. You’ll watch three talented publishers strut their program models as they vie to be chosen by a popular affiliate program in the first of two episodes. In part two you will see three well-known advertisers share their juicy offerings as they strive to be picked up and promoted by a highly desirable publisher. Watch each side meet their performance objectives by finding the partner of their dreams!”
But this session struck me the wrong way. I think it was designed to put a humorous and somewhat saucy spin on advertisers picking partners and affiliates signing up for programs. However, the overly scripted, heavy-handed, double entendres just didn’t resonate well for me. My bet is that they wanted the audience to be laughing with them.
Still, there were some who enjoyed the Dating Game. I certainly don’t speak for everyone, but several people commented to me after the session ended that they were cringing during the whole thing. One top CJ executive even asked me if I intended to write about it. When I said probably not, the executive was clearly relieved. Sorry, but when I reflected on the entire event I couldn’t resist mentioning the Date Game here.
The Tuesday morning session given by Lex Sisney, the founder and former CEO of CJ, was also not for me. I also expecting a talk about how far CJ and online marketing have come over the years and less about personal growth, realizing your full potential and following your dreams.
Perhaps years of being a journalist has made me cranky, skeptical and not very open to such positive messages. I know it definitely works wonders for some people, but from what I observed people were exiting that session left and right. One woman wandered out from the large, dark room looking befuddled and annoyed. “I came to learn about affiliate marketing, I’m really okay with myself,” she said to me as she poured herself a cup of coffee.
On the positive side, I can’t say enough about the quality of people that attended the conference. I met some amazing people that are doing exciting things in online marketing. I came home with a notebook full of ideas and inspiration. You’ll see many of those ideas make it into future issues of the magazine.
And, kudos to those in charge of planning the conference. The organization was top-notch. Everything was extremely well executed and ran like a well-oiled machine. The CJ people were gracious and helpful and very knowledgeable – even on subjects not related to affiliate marketing.
Here’s a non CJU-related item. The call for submissions for Revenue’s By Design Makeover is over. If you haven’t already sent in your entry, then you’ll just have to wait for the next issue. I’ll let you know when that time comes. The response to this one was overwhelming and one lucky person is going to get a visual page redesign by Web design guru Pedro Sostre of Sostre & Associates. The before and after pictures will appear in Pedro’s new column, which makes its debut in the January issue of Revenue.
Let me know what you thought of CJU or whatever else is on your mind. lisap@revenuetoday.com
Once I came out of my daze from being at beautiful outdoor lunch where I met lots of great CJU attendees, I started to focus more on gathering some information and less on schmoozing.
The Monday afternoon sessions offered a more in-depth look at Commission Junction’s path. “Take a Ride on Commission Junction’s Roadmap” led by Frank Gerstenberger, CJ’s director of product development, offered a glimpse into what’s in store over the next 12 months.
The company is still working hard at creating a single platform that combines the best features of BeFree and CJ Marketplace. No word on exactly when that will be completed. The key areas of focus are reporting initiatives, Web Services, relationship management and action life cycle.
For the remaining half of 2005, the company is looking at implementing Phase 2 of its reporting initiative, which includes more robust reporting and tracking features. The company is working to offer new transaction reports for a greater view into transactions. They want publishers to be just two clicks away from seeing all the data they are most concerned about when it comes to their transactions. The new tools will also let advertisers view top relationships and how those are trending. The ability to create new reports and share them will also be available.
Web Services offerings will enable customers to access systems via a programmatic interface using industry standards. This means that CJ clients will be able to simplify the building of solutions that are simple or complex - such as catalog data. They will also be able to publish that data and include links, advertiser details, etc. There were more details on this in a later session, which I had to skip as it overalapped with another session.
There was also lots of talk about insuring network quality by automating some of the processes and enhancing the publisher’s application process.
I have some more info on those features as well as the relationship management functionality, but I’ll have to discuss more later this week.
Right now I’m having some wirless connection difficulties and CJ’s technical staff has generously let me use their lab facilities at the conference (Thank you, Todd!!) so I need to wrap this up and before the first session starts and I’m kicked out.
Anyway, on to the Horizon Awards, which were given out Monday night at a lovely ceremony under the stars. The reception was great. I got to put a lot of faces with the voices I talked to on the phone and exchange email with. There was some mighty good mixing and mingling.
BTW: Congrats to Beth Kirsch on her new job at LowerMyBills.com. Welcome to sunny California.
The actual awards part of the reception was short and sweet. No acceptance speeches. There were three categories: People, Greatness and Innovation:
Without further ado…drum roll, please…
In the People category: the winner for advertiser was Real Networks. The winner for publisher was CouponCabin.com.
In the Innovation category the winner was publisher Jeremy Palmer for his site QuitYourDayJob.com. And in the first-ever Global Vision category the award went to eBay.
Ok, now I have to rush off to more sessions this morning. No matter how much I want to I can’t be blogging all day folks.
Let me know if you were at CJU and have something interesting you want to share. lisap@revenuetoday.com
Who would think that staring at the Pacific Ocean for the last five days could be so exhausting? The drive down from San Francisco to Santa Barbara for CJU went as planned making the entire trip very enjoyable. There was even an unexpected trek to Los Angeles on Saturday.
But right now it’s back to work. CJU kicked off on Sunday night with a welcome reception at Commission Junction’s headquarters. Locals say the city of Santa Barbara is normally relatively quiet on a most Sunday nights. I guess no one told that to the more than 500 advertisers, publishers and online marketers that descended on the beautiful seaside village. Good times, my friends.
Monday was the first full day of sessions and festivities. ValueClick CEO Jeff Pullen kicked off the conference with a talk about being in the right place at the right time. There were lots of gridiron analogies from the ex-footballer. He also tossed out some Nerf footballs with $100 dollar bills attached to illustrate his point. Another CJ executive later pointed out that following those folks with the footballs to the bar later in the day would truly be a case of being in the right place at the right time.
Pullen brought some key clients on stage – Circuit City and eBay to talk about the joys of working with CJ and leveraging a multitude of ValueClick properties to get the most out of online marketing and advertising. Pullen’s keynote was short and gracious, but not heavy on specifics of where CJ is headed in the future.
In contrast to Pullen, the next keynote by John Battelle was very much about the future. Battelle, best known as a co-founder of Wired Magazine and the Industry Standard, just wrote a book about search. He discussed a lot of exciting concepts about media, search, online marketing, Web 2.0 and blogging that had attendees buzzing. There was a lot to think about after Battelle’s speech.
Tom Vadnais, senior vice president at Commission Junction and MediaPlex, offered a quick overview of CJ’s growing business, but also without getting too specific. It wasn’t until the CJ roadmap session after lunch that I started to get some details about what CJ has planned going forward.
I’ll post another entry tomorrow morning with the details as well as the winners of the Horizon Awards.
Even though I’m having a great time on the journey to CJU, I’m also excited about the conference itself. There are lots of great sessions and speakers. I’m especially looking forward to the keynotes. Jeff Pullen, the CEO of ValueClick, CJ’s parent company is supposed to speak about timing and how some of the best opportunities for growing your business come from being in the right place at the right time.
Author, blogger and search expert, John Battelle, who is the Chairman and Publisher, Federated Media Publishing, will give a keynote on search, blogs and Web 2.0.
And there’s a session on Sunday afternoon that focuses on developing a solid foundation in affiliate marketing. It features feature speakers James Martell (http://www.jamesmartell.com), Founder and Director, Net Guides Publishing; Lara Lemmond, Network Performance Specialist, Commission Junction; and Ziggy Kopetti, Program Manager, Commission Junction. I really want to hear what they have to say, but I think I might still be sipping wine and acting out scenes from Sideways.
I’ll post more on Tuesday from the show. If you’re also attending CJU come up and say hello. I’d love to meet you. Also feel free to drop me a line at lisap@revenuetoday.com and let me know what struck at chord with you at the conference.
I just wanted to share with all of you how excited I am that the Winter issue of Revenue will feature a new columnist, Pedro Sostre. As the president and creative director of Sostre & Associates in Miami, Pedro is a Web design guru and one of Commission Junction’s top performing affiliates. I’m thrilled that he’ll be taking over Revenue’s long-standing By Design column.
I first met Pedro when I wrote a profile of him for our inaugural Affiliate Advantage feature story, which offers an in-depth look at how successful affiliates achieve their online marketing goals. After interviewing Pedro I realized he was a perfect fit with Revenue. He’s smart, motivated, passionate, successful and extremely generous about sharing his expert knowledge with others. The Affiliate Advantage article featuring Pedro appears in the Fall issue of our magazine, which should reach your mailbox in the next month or so. I think you’ll enjoy reading about him.
I also believe that you’ll be fascinated by what Pedro has to say and show you in his column. He wants to do more than just write about what makes for good Web page design, he want to show you exactly what works and doesn’t work. He’s a hands-on kind of guy.
That’s why in conjunction with Pedro we are launching Revenue’s By Design Makeover. In each issue of Revenue (remember, starting in 2006 we will be publishing the magazine six times a year) Pedro will give one online marketer the chance to receive a review and visual redesign of either their home page or landing page.
Part of Pedro’s business is doing Web design consulting and he normally charges clients upward of $5,000 to undertake this sort of project. But he’s offering this service to one lucky Revenue reader (you can be an affiliate or a merchant) per issue for free. Yes, I said free.
The goal of the makeover is to illustrate how making design modifications can boost your conversions. Once Pedro selects the site, he will assess it to determine and highlight its unique value proposition. He’ll streamline navigation; make it easy for users to figure out where to click; and perform a host of his other expert tricks and design magic. If you choose to implement these changes it should result in better performance for your site. Pedro has certainly been able to turn his own sites into top performers.
Ok, so here’s what you need to do to have a chance to get your page visually redesigned by Pedro:
1. Send an email to editor@revenuetoday.com
2. Please put “Revenue’s By Design Makeover” in the subject header
3. Include your name, company, contact information (phone, email, etc.)
4. Also include a brief description of your business and its goals.
5. You must also include the URL for your home page or landing page for Pedro to review.
In order to reap the benefits of this bountiful offer and to be considered for Revenue’s By Design Makeover for the Winter issue, we must receive your submission by the first day of autumn - Wednesday, September 22, 2005. I know its short notice, but did I mention that a very well respected design expert is doing this for FREE?
Also, if your submission is chosen, you must agree to let Pedro show the before and after designs in our magazine. Since he will be writing about and displaying his improvements, you’ll need to be a little thick-skinned that he will be highlighting your original page’s flaws and the troubled areas that could use some work. Just remember, he not picking apart your design; he’s just enhancing and improving. That’s a good thing.
I had a conversation with LinkShare Chairman and CEO Steve Messer on Wednesday, just two days after his company was purchased for $425 million by Rakuten, a large Japanese e-commerce player.
Since I gave the detractors of the deal their say in prior blog posts, now it’s Messer’s turn.
He called the whole experience over the last month, “crazy and exciting.” He was clearly excited about LinkShare’s transformation following the acquisition from “a fast growing privately-held company to part of the 7th largest Internet companies in the world overnight.”
Rakuten, established in 1996, has more than 4,000 employees and a market capitalization of nearly $10 billion dollars.
“They talk about Rakuten in Asia like we talk about Google here,” he says. “We are lucky to be part of it.”
What Messer was not as enthusiastic about was some of the negative comments on the affiliate forums and message boards as well as some blogs (this one included).
“It’s easier to be a follower and not shake the boat, but that’s not what we are about,” he says. “Things can get bumpy when you take a leadership role.”
He acknowledges that LinkShare has its fair share of critics.
“We are controversial. People love us or hate us, but I think there are more people that love us. For the most part, with the exception of some very vocal affiliates, I think we have done a great job keeping affiliates and merchants really very happy.
Most of the critics questioned why his company was able to command such a hefty price, given what some of his competitors sold for over the last couple of years.
Commission Junction was bought for $58 million in cash and stock by ValueClick in October 2003; ValueClick previously purchased affiliate network BeFree in March 2002 for $128 million in stock; Performics was acquired by DoubleClick in an all cash deal estimated of $58 million (plus an earn-out of up to $7 million) in May 2004; DoubleClick was later (July 2005) acquired by Click Holding Corp. in a deal valued at $1.1 billion.
He was quick to point out that “markets are effective and things are bought for what they are worth.”
As proof of that, he claims Rakuten was not the only bidder interested in LinkShare. He also noted that the other interested party, which he declined to name, was willing to pay a similar amount.
“People do go out and spent this kind of money haphazardly. And they were not the only bidder in that range. The markets truly value assets,” he says.
As for those that questioned the specific metrics of the deal based on LinkShare’s earnings and financials, Messer defends the deal saying professional and well-established investment houses conducted it. Morgan Stanley advised Rakuten and Goldman Sachs handled the LinkShare side in the transaction.
Messer wishes that some affiliates would view the deal as a positive affirmation and validation of their own industry.
“This is the first time the world has recognized affiliate marketing for its real value and contribution,” Messer says. “It shows that affiliates are worth it.”
Rakuten is using LinkShare, which will retain its brand identity, as its jumping off point to take on Yahoo! Both in Japan and the U.S.
Messer says the he plans to stick around as does Heidi Messer, the company’s president and COO. The company will remain headquartered in New York.
“They plan to use Heidi and I as the core of the strategy to enter the market. From our perspective this is not about us leaving or cashing out,” he says. Instead, he’s looking forward to helping to “take the company to the next level.” Where LinkShare will compete with MSN, Google and Yahoo!
Messer is also not worried that Rakuten is a large conglomerate with very diverse assets including a professional baseball team, Rakuten Golden Eagles.
“Their diversity is an asset. They have a depth of resources, a large global presence and the company is a big believer in affiliate markets,” he says, noting there is some real synergy with Rakuten Ichiba, which caters to small and mid-size merchants. “That is the perfect platform for us to take the market to a new place where we can grow and make it better.”
As for the future, Messer was a little vague on the specific details. He says that work on projects that are currently underway will continue uninterrupted.
“Every project was completely unaffected by this deal. Yesterday, we celebrated and today it was back to business as usual.”
Messer says he celebrated in a very low-key way – he went to sleep. “It’s been a long few months.”
Ok, so by now we’ve all had time to digest the fact that LinkShare is being acquired for a staggering $425 million in cash by Japanese e-commerce player Rakuten.
I’ve spent the better part of today talking with a variety of folks about what the deal means to all parties involved. The only point of agreement so far is that Steve and Heidi Messer are going to be rich or should I say even richer. Many other points about the deal are up for debate.
So, is it a good thing that a huge, international conglomerate with an extremely diversified portfolio/agenda is swallowing the last of the big independent networks?
Some say the financial backing from a $9.7 billion company can’t hurt LinkShare. Others are already requesting tickets for Rakuten Golden Eagles. Still others fear a conflict of interest with Rakuten’s huge online shopping mall of 13,500 retailers and service providers.
Overall, Haiko de Poel, Jr., president of online affiliate community AbestWeb.com says, “LinkShare has a lot faith and lost trust with affiliates. This whole deal is not a good thing.”
The amount that Rakuten was willing to pay for LinkShare has also raised some eyebrows and has left some scratching their heads. $425 million in cash is a lot of money – especially when you consider the selling price of LinkShare competitors.
Commission Junction was bought for $58 million in cash and stock by ValueClick in October 2003; ValueClick previously purchased affiliate network BeFree in March 2002 for $128 million in stock; Performics was acquired by DoubleClick in an all cash deal estimated of $58 million (plus an earn-out of up to $7 million) in May 2004; DoubleClick was later (July 2005) acquired by Click Holding Corp. in a deal valued at $1.1 billion.
One poster on ABestWeb.com’s LinkShare forum called the sale price “An insane amount of money!!” While another wrote, “I was actually surprised they got it for as little as $425 million. Especially considering MySpace was purchased for around $580 million and Shopzilla.com went for around $560 million. I guess the going price for big sites like these is between $400 million and $600 million I can’t believe ValueClick paid so little for CJ, they certainly got a deal there.”
“The price – especially compared to their competitors is startling,” Shawn Collins, an online marketing consultant, says. “But the economy is in better shape than a year ago. Affiliate marketing is more respected and on firmer ground. It’s a real testament that affiliate marketing is going well.”
de Poel admits that affiliate marketing is only slightly hotter than when CJ was purchased two years ago.
“Even though the climate is better and affiliate marketing is a little hotter, it’s not enough to justify $425 million. There is no way you can tell me that LinkShare is worth twice what was paid for CJ and BeFree combined. There’s just something wrong with that. In fact, there are just too many things wrong with this whole deal.”
There were lots of other opinions flying around that used language unsuitable for a professional publication. I’ll spare your delicate sensibilities. Although, those are typically the most fun to read, they are the ones that I dismiss first.
Meanwhile, most affiliates still have a lot of questions. When will they be paid? How will they be paid? Who will pay them? What changes are going to be made? What improvements are going to be made? How will current issues be resolved? Will Chairman and CEO Steve Messer and COO Heidi Messer actually stay on through the transition? And if they do, is that a good or bad thing?
Because upper management is not leaving, de Poel says, that everything will remain the same and his book that’s not a positive thing. “It’s the same s–t, just a different smell. This company has f—ed the affiliates by pushing back important technology and claiming it was for one reason, when really it was because they were being sold.”
So many questions. Stay tuned over the next several months to see how this all plays out.
While I’m waiting to see what happens with this drama, I’ll be engrossed in lighter fare - watching reruns of Gilligan’s Island. Rest in peace, Bob Denver.
Since it’s a final day of a three-day weekend I haven’t had time to process all the implications of this event or call anyone for rection or analysis. Actually, I’m still playing host to some out of town vistors.
Still, I wanted to make sure you had the news that Rakuten, a leading Japanese e-commerce portal it set to acquire LinkShare for $425 million.
This is the press release that arrived in my email at 7:26pm on Monday.
TOKYO and NEW YORK, September 6, 2005 - Rakuten, Inc. (JASDAQ: 4755) announced today that it has entered into a definitive agreement to acquire LinkShare Corporation, a privately held New York-based performance-based marketing firm, for a cash purchase price of approximately $425 million. The acquisition is expected to be completed within four to six weeks.
Founded in 1997, Rakuten is Japan’s most diversified Internet portal, with the number one sites in Japan for on-line shopping, travel, golf reservations, community and greeting cards. Rakuten’s on-line and Internet-related businesses also include shopping via Internet-enabled cell phones, auctions, financial services, broadband entertainment and business-to-business services. Rakuten, which has one of the most recognized Internet brands in Japan, is also the owner of Japanese professional baseball’s newest franchise, the Rakuten Eagles.
“LinkShare’s performance-based marketing expertise across affiliate, search, and e-mail capabilities provides Rakuten with an excellent first step to launch our U.S. operations and continue our international expansion.” said Hiroshi Mikitani, Chairman and CEO of Rakuten. “We can leverage LinkShare’s client relationships and technology advantages worldwide, so that LinkShare will be able to achieve significant growth in the future.”
Established in 1996, LinkShare Corporation is a leader in performance-based marketing solutions, having created the largest network of affiliates of any program provider, with over 10 million e-commerce relationships. LinkShare has over 500 clients including J.C. Penney, 1-800-Flowers.com, American Express, Avon Products and Dell. LinkShare has been named the New York area’s fastest growing technology company for two years in a row on the Deloitte & Touche Fast 50 list.
“By partnering with a successful portal with global aspirations, LinkShare has positioned itself to take advantage of the increasingly universal nature of the Internet and e-commerce,” said Stephen D. Messer, Chairman and CEO of LinkShare Corporation. “Our merchants and our affiliates will benefit because taking the network worldwide can only increase volume, which means growth for everyone.”
LinkShare’s senior management team, including Mr. Messer and LinkShare’s President and COO, Heidi Messer, will remain with the company. They will lead the continued growth of LinkShare’s core businesses and will closely support Rakuten’s U.S expansion and exploration of potential acquisitions.
Morgan Stanley represented Rakuten, Inc., and Goldman Sachs advised LinkShare in the transaction.
About Rakuten, Inc.
Rakuten, Inc., is a leading Internet portal in Japan, bringing a wide range of services to consumers through its main division companies in E-Commerce (EC), Portal and Media, Travel, Financial Services, and Professional Sports.
The EC company provides a general on-line market for consumers, on-line auctions, and a place for B2B trade in used goods. The Portal and Media company offers Internet search and marketing services, job search, and satellite TV channels. On-line hotel and international air reservations can be done through the Travel company, and the Financial Services company houses Rakuten Securities, one of Japan’s strongest on-line brokerage services, and also provides personal financial services. Lastly, Rakuten is the proud owner of a professional baseball team — the Rakuten Golden Eagles.
Rakuten is a public company listed on the JASDAQ with a market capitalization as of September 5, 2005 of $9.7 billion.
About LinkShare Corporation
LinkShare Corporation is a leading provider of technology solutions to track, manage, and analyze the performance of sales, marketing, and business development initiatives. Combining patented technology, the reach and distribution of a robust network, and expert account management services, LinkShare empowers clients with the ability to collaborate with partners online and develop cost-efficient pay-for-performance campaigns. In 2004, approximately 2% of U.S. retail e-commerce, or $1.4 billion, passed through the LinkShare network. LinkShare provides the platform, tools, and reporting to help clients acquire new customers, increase revenues, drive results, and measure success across affiliate, search, and e-mail initiatives. LinkShare clients are Fortune 500 and prominent companies doing business online, and include J.C. Penney, 1-800-Flowers.com, American Express, Avon Products and Dell. LinkShare was founded in 1996 and is headquartered in New York City, with offices in San Francisco, Denver, and Chicago.
LinkShare’s investors include Mitsui & Co., Ltd. (NASDAQ: MITSY), Mitsui & Co. (U.S.A), Inc., Internet Capital Group (NASDAQ: ICGE), and Comcast Interactive Capital, an affiliate of Comcast Corporation (NASDAQ: CMCSK; CMCSA). Please visit http://www.linkshare.com for more information.
Let me know how this deal might impact your business or online marketing. lisap@revenuetoday.com
on Batsford, Publisher Business Development Manager, Commission Junction
