Affiliate Marketing & Programs

iContact Sold for $169 Million


iContactWhen it comes to email marketing, there are not many services that offer a better product than iContact. Users have come to expect ease of use, affording pricing, a highly efficient system, and plenty of tools to make their life easier.

With so much to offer, it is easy to see why iContact has been acquired by Vocus for $169 million.

Since getting its start nine years ago, iContact has taken the world of email marketing by storm. Upon inception, the company was led by co-founders Ryan Allis and Aaron Houghton. However, the organization has grown to an all-time high of 250 employees.

With revenue of $39 million in 2010 and 2011 estimates at $50 million, it is safe to say that iContact is continuing to gain momentum in this crowded industry.

With the help of iContact software, small to mid-sized businesses are able to effectively create, send and track email messages. Along with this, the company recently added social networking tools that enable customers to post messages on Twitter and Facebook and subsequently measure their effectiveness.

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Vocus has many years of related experience, thanks to its marketing and public relations software that helps companies reach customers both online and through more traditional media outlets.

The terms of the deal include $79 million in preferred stock, $9 million in Vocus common stock, and $91 million in cash. Additionally, Vocus is holding onto $10 million in cash which explains the $169 million price.

For the sake of iContact’s thousands of customers, let’s hope Vocus keeps the company and its service offerings moving in the right direction so affiliates can continue using its great services.

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