Salesforce.com Acquires Buddy Media

Salesforce.com, the enterprise cloud computing company, has announced that it has entered into a definitive agreement to acquire Buddy Media, the social media marketing platform, for approximately $689 million payable in cash and salesforce.com equity. The transaction is expected to be completed during salesforce.com’s fiscal third quarter ending October 31, 2012, and is subject to customary closing conditions.

“Salesforce.com now has the number one players in social listening and marketing – Radian6 and Buddy Media,” said Marc Benioff, Chairman and CEO, salesforce.com. “With CMOs surpassing CIOs in spend on technology within the next five years, our Marketing Cloud leadership will allow us to capitalise on this massive opportunity.”

“Social media has caused the biggest transformation in marketing since the Mad Men era, causing CMOs to completely re-think their strategies,” said Marcel LeBrun, SVP of Salesforce Radian6. “By bringing together market leaders Radian6 and Buddy Media, we are doubling down on the Salesforce Marketing Cloud to provide CMOs with the ability to manage the entire social marketing lifecycle.”

More from Biztech

Future Group - Reliance Retail Deal approved by CCI RBI ban on cryptocurrencies takes effect; prohibition could force investors to tap the black market

“Buddy Media’s mission is to eliminate the current state of anarchy in social marketing,” said Michael Lazerow, co-founder and CEO, Buddy Media. “With the Salesforce Marketing Cloud, marketers will be able to unify their efforts to better organise their teams, optimise their social programs and deliver real business results.”

Founded in 2007, Buddy Media started as an idea to empower chief marketing officers (CMOs) and agencies to organise their teams and optimise their social media marketing programs. The Buddy Media platform allows customers to publish content, place and optimise social advertising and measure the effectiveness of social media marketing programs. As a result, customers can determine which content is driving the most engagement, test different strategies and understand which campaigns are delivering the greatest return on investment. Leveraging Buddy Media’s award-winning social media marketing platform, companies can connect and engage with more than a billion customers across Facebook, Google, LinkedIn, Twitter, YouTube and more.

By combining Buddy Media, the social media marketing platform, with Salesforce Radian6, the social media listening platform, salesforce.com will deliver the first comprehensive Marketing Cloud that will allow customers to listen, engage, gain insight, publish, advertise and measure social marketing programs. With the Salesforce Marketing Cloud, CMOs will be empowered to manage the entire social marketing lifecycle.

Salesforce.com will acquire Buddy Media for approximately $467 million in cash and $184 million in salesforce.com common stock, and $38 million in vested salesforce.com options and restricted stock units. All of Buddy Media’s vested and unvested options, restricted stock and restricted stock units held by continuing employees will be assumed and converted into options, restricted stock and restricted stock units of salesforce.com. The acquisition has been approved by Buddy Media’s board of directors and stockholders and is expected to close during the third quarter of salesforce.com’s fiscal 2013, ending October 31, 2012, subject to customary closing conditions, including the expiration or early termination of the waiting period under the Hart–Scott–Rodino Antitrust Improvements Act of 1976, as amended.