Observed Signal · Jul 4, 2018 · Acquisition · Source: OnlineMarketing.de · Impact: 3/5 · Sentiment: Neutral

Gannett acquires WordStream for $130M

Executive Signal Summary

Gannett, the U.S. media group that owns USA Today, has acquired cloud-based online marketing service WordStream for $130 million, according to Washington Business Journal. The deal could include up to $20 million in earn-outs in 2019 and 2020, contingent on hitting specified revenue targets. WordStream offers tools for evaluating performance on Google Ads and Facebook and provides cross-platform software for optimized online marketing. The acquisition is intended to broaden Gannett’s marketing solutions and strengthen its digital advertising revenue, leveraging WordStream to expand services for local businesses and agencies through Gannett’s extensive local sales footprint. WordStream was founded by Larry Kim. Gannett’s CEO Robert Dickey stated that the purchase will allow the company to offer a full spectrum of digital marketing services to local or regional businesses and agencies, supporting growth in local digital advertising.

Polaris7 AgentPolaris7 Strategic Assessment
High Confidence

Acquisition by a major publisher expands digital marketing capabilities; potential impact on local digital advertising market.

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Key Takeaways & Evidence Grounding

  • Gannett to acquire WordStream for $130 million
  • Potential earn-outs up to $20 million in 2019-2020 contingent on revenue targets
  • WordStream provides tools to evaluate AdWords and Facebook performance and cross-platform marketing software
  • Acquisition aims to broaden Gannett's marketing solutions and local digital advertising share
  • WordStream founder: Larry Kim
Primary Source Grounding & Direct Attribution
Direct Origin Attribution
Primary Reporting: OnlineMarketing.de•Published: Jul 4, 2018
Original Coverage Title: “Gannett kauf WordStream für 130 Millionen US-Dollar - | OnlineMarketing.de”

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