On Wednesday, Spredfast announced its acquisition of its fellow social media management company Shoutlet. Financial terms of the deal has not been disclosed.
Founded in 2008, Spredfast provides solutions to its clients with regard to managing its brand and get it more traction through the social world. The social media platform looks into million pieces of social content per minute for brands to participate in the individual conversations. Till date, the company has raised more than $88 million on outside capital. The acquired company Shoutlet was founded in 2010 and offers almost the same core offering. However, they different on few aspects.
Shoutlet focuses on building features related to social customer identity and connecting social to CRM with its Social Canvas and Social Profiles features. Whereas Spredfast, concentrates more on the content, planning and intelligence capabilities. The combined company has around 600 employees and more than 1400 customers in 30 countries. The acquisition has made Spredfast the largest company in the social media technology space, stated Rod Favaron, president and CEO of Spredfast.
“We both fit categorically in this area of social relationship management, but Shoutlet has focused on gathering customer data and insights and figuring out ways to integrate that back into the enterprise,” said Aaron Everson co-founder and president of Shoulet. He also added, “The combined company will provide customers with richer product options, lightning fast innovation and access to the smartest minds in the industry.”
Looking at the large number of social media management players in the market, Favaron said, “The space is thinning out. Buyers are tired of ‘snowflakes;’ there have been some unique social media management approaches, but most have melted quickly. Customers need dependability and a broader set of features.” This acquisition of Shoutlet would give their customer broader range of products to choose from and thereby improving the business.
The company plans to have Shoutlet brand intact.”Big guys buy little guys and then they slow the little guys down. We stubbornly believe that an independent with the right width and the right footprint can continue to win,” said Favaron.