In an initial post surrounding this (now confirmed) acquisition I had opined that a (any?) reader should take whatever they are able to from this announcement. - - and that I had previously noted BlinQ as being 'just another brick in the wall', here on my instablog.
I do feel that it's much more significant than being (as was put in an article today) simply a case of ....."Old media buys new media".
And according to this (the above linked) VentureBeat account, rumors peg the sale price between $40 million & $90 million, with a portion said to be trickling in over the next couple years. (Being, performance related)
In an older instapost (when mentioning Blinq) I make the point, that:
I strongly believe that "Blinq Media" (as with a number of other DSPs - are only licensing the Looksmart 'Advertiser solutions' API- that [as a result, this] is allowing them to gain access into the buying of the Facebook inventory.
Bearing in mind Facebook must (at all times), guard against or, protect it's own precious (900M member's), user data!
So this deal (I am assuming) will now bring Gannett into (and, with full global advertiser/publisher access/benefits) Looksmart's marketplace.
<Jolie O'Dell (in her article) writes -"What Blinq brings to the table is a new focus on social media marketing: running Facebook campaigns, gathering metrics, optimizing for better engagement.">
This AdWeek report advises that the deal.< brings to Gannett one of the top third-party Facebook ad-buying platforms, which the company can now bring to small- and medium-sized businesses at the local level.
From Gannett's point of view, the newspaper giant brings Blinq that local scale...."We think that our contacts and our customer relationships through ShopLocal, which basically deals with all of the top retailers in the United States, our contacts at Gannett Digital Marketing Services as well as our national sales forces at USA Today and Gannett can greatly extend Blinq's reach ....and Blinq's ability to sell against those ad agencies and those major customers," Gannett's Williams [John A. Williams, president of Gannett Digital Ventures], said.>
This is a huge deal (ultimately), for Gannett.
To consolidate my own 'ongoing' thought-line here on my instablog, the article advises of a critical point-and a likely testing through Looksmart to ensure or, can provide 'separation' & protect Facebook's user data:
"The reinforcement [via Facebook] couldn't have been more positive" Vikram Sharma, president and CEO of Gannett Digital Marketing Services said. Helping matters more, is that Blinq was identified as one of only a few partners Facebook involves in testing new ad products and capabilities.>
In a post back on the 14th of June I had made my abovementioned Blinq-Looksmart-Facebook POV and that a mention of Google's DoubleClick Bid Manager as being locked out of Facebook's Exchange does support my own belief that (initially) these 8 or, so DSPs will have the need to 'bed' both themselves & most importantly their advertisers into the Facebook scenario in the buying of eCPM type Facebook inventory, only. And at massive, available scale.
The ensuring (next) step to follow from there is to be given full access in/across the total (Looksmart's) OPEN marketplace. Is only, my opinion.
The sale of Looksmart own ad network
(Bearing in mind that Looksmart- with $20.2M in cash - Closed today with a market cap that represents an EV 'worth' of just $16.95M !)
In view of the 'ball-park' ($40M to $90M) cost of Blinq to Gannett, what can Looksmart shareholders expect (in return) for a sale of Looksmarts own ad network, that has almost been made redundant while all this is going on?
The question was posted here as being news of a highly-likely sale of LookSmart own ad Network-ensuring the Co's independence-that's yet to come. - One that will be giving a/the 'acquirer' a fully operational (working) network. And one that can be so easily 'merged' into an/any existing ad network a buyer may have-but most importantly, there's that automatic 'seat at the table' (in this pending global marketplace!)
....."With access to - all the majority of exchange inventory" - plus, as can be expected [and like Gannett, with Blinq],there's Facebook, for the purchaser's own advertisers/publishers to access/be accessed in a one marketplace!.
Never a dull moment waiting for that day to come along. Readers can be assured that there'll no doubt be a number of "Old Media Buyers" who will already be 'lining up' to buy into some "New Media" action.
LOOK: $0.99 0.01 (-1.00%) 3:58PM EDT
Always, just an opinion.
Disclosure: Long LOOK