WordStream, Inc.

WordStream, Inc. specializes in providing digital advertising solutions that enhance marketing performance for businesses. Their tools focus on optimizing pay-per-click (PPC) and search engine optimization (SEO) strategies to help clients achieve effective online visibility. WordStream, Inc.

was founded in 2007 in Boston, US, and offers online advertising solutions to improve clients' digital marketing performance. Gannett Co. , Inc. acquired WordStream in May 2018 for USD 130 mn, with an additional USD 20 mn contingent on achieving revenue targets.

The company has completed a total of 9 deals to date, highlighting its growth and interest in the digital marketing space. WordStream primarily offers a suite of online advertising solutions designed to enhance digital marketing performance for businesses of varying sizes. Their core product offerings include the Google Ads Performance Grader, Facebook Ads Performance Grader, and a Free Keyword Tool, all aimed at optimizing advertising strategies for pay-per-click (PPC) and search engine optimization (SEO). These tools assess clients' current advertising efforts, providing actionable insights that address issues such as wasted ad spend, quality scores, and keyword effectiveness.

WordStream serves a diverse clientele, including small to medium-sized businesses, marketing agencies, and multi-location enterprises, helping them effectively reach and convert customers through technology-backed solutions. The company's products are marketed across various geographical regions, including North America, Europe, and parts of Asia, targeting industries that span from retail to services. WordStream generates revenue through a combination of subscription-based services and direct sales of their advertising optimization tools. The company's transaction structure typically involves annual or monthly subscriptions for access to their performance grading tools and marketing solutions, which are tailored for both businesses and marketing agencies.

Clients might subscribe to the Google Ads Performance Grader to receive ongoing insights and recommendations for improving their advertising campaigns. Additionally, WordStream provides customized solutions for multi-location businesses, which may involve tailored pricing plans based on the specific needs and scale of the client’s operations. The firm’s revenue model is designed to foster long-term partnerships with clients, by delivering measurable results that contribute to their overall marketing success. Following the acquisition by Gannett Co.

, Inc. , WordStream is expected to leverage its resources to further innovate and expand its product offerings and enhance its market presence. The recent funding will support the development of new advertising tools and features aimed at improving user experience and efficiency in digital marketing. The company's growth strategy includes targeting additional markets, particularly in Europe and Asia, to broaden its reach by the end of 2020.

The funds from the acquisition deal will be utilized to enhance product capabilities and expand into these promising regions.