Flycast Strikes $11M Deal for InterStep

Share this content:
Online ad network Flycast Communications began acting on its plans to build a new e-mail division last week by purchasing digital marketing firm InterStep, Cambridge, MA, in a stock deal worth more than $11 million.


InterStep, which was founded primarily as a technology play, charges high-end clients such as the Washington Post and Newsweek Interactive for e-mail delivery and management services. San Francisco-based Flycast plans to offer the services to smaller e-mail publishers who join its e-mail ad network, and in turn let marketers advertise on the publications much as it now lets e-tailers run ads on the Web.


"Our real purpose here is to build our e-mail network and use [InterStep's] capabilities to get people to join the network," said Larry Braitman, Flycast co-founder and executive vice president of the new division, dubbed eDispatch.


Flycast delivers banners across a network of about 1,000 Web sites, charging marketers a commission on any sales it generates. The company expects to take a higher commission for e-mail marketing.


"It helps us get to profitability faster because it's a higher-margin revenue stream for us," said Braitman, who added the company is still hammering out details on pricing for the service. Flycast lost $11.4 million on revenue of $11.1 million in the first six months of this year.


The company plans to debut three more initiatives in the first half of next year: Flycast Permission Marketing, E-mail Marketing Management Services and Customer Relationship Management Solutions.
close

Next Article in Digital Marketing

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above