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Marketing agencies license Buddy Media's platform to onboard onto Facebook
This is the second part of my interview series with Michael Lazarow, CEO and Founder of Buddy Media, which has raised nearly $40 million in venture financing from top firms and angels, such as WPP Digital, Greycroft, IVP, and Ron Conway, to name a few.
In this interview, Mike gives an update on Buddy Media, which licenses its software to advertising agencies that want to market on Facebook. While Mike would not give out specifics, he said the company serves 650 agencies paying thousands of dollars a month. He would not share the average licensing fee, but if the average is $3000 a month, that's nearly $2 million in sales a month, more than double what Buddy Media was generating back in February 2009, when it was nearing $1 million in sales a month. Mike also said that revenue was growing 15% month-over-month and renewal rates were 108% as companies were increasing the amount spent.
Consideirng Mike considers Buddy Media to be the defacto marketing platform for Facebook, I asked him what percent of all ads sold on Facebook were running through Buddy Media. While he wouldn't give an exact number, he did say Buddy Media accounted for "more than 10%."
Finally, since Buddy Media is trying to help advertisers market on Twitter and YouTube, it's clear that Buddy Media wants to be an onboarding marketing platform for other sites besides Facebook. Mike said that while he was originally "incredibly worried" about being dependent on Facebook, he's not anymore.
Watch the interview to learn why.
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