Alloy Buys Old Glory for $9.6M

Share this content:
Alloy Inc.'s acquisition spree continued this week with the purchase of the Old Glory catalog.


The New York company paid $9.6 million in cash for Old Glory Boutique Distributing Inc., an acquisition that brings apparel, accessories and collectibles with music and entertainment themes.


"It's an extension of our youth market direct marketing franchise," said Sam Gradess, chief financial officer of Alloy. "It's a product category or merchandise that we presently have not tapped into."


Old Glory sells licensed rock 'n' roll merchandise through a store, catalog and OldGlory.com. It has a database of 300,000 names at mailing addresses that will be melded with Alloy's database of 12.5 million consumers, 3 million to 4 million of which also offer e-mail addresses. Its customers are 60 percent female, ages 25 to 55 with an average household income of $75,000.


Old Glory, Old Saybrook, CT, has six employees excluding fulfillment staff. Those not laid off will be offered a chance to move to Alloy's offices in New York. In the spring, fulfillment operations will move to Alloy's warehouse in Portland, TN.


Alloy will retain the Old Glory name. The catalog will be used to boost Alloy's sponsorship revenue, adding value to clients in the music and entertainment space.


Gradess would not disclose Old Glory's anticipated sales this year but expected Alloy's merchandise revenue for fiscal 2003 to grow by $8 million to $10 million because of the acquisition.


The acquisition is Alloy's second this year. The company in March paid $7 million for Girlfriends LA as it bolsters its hold on youth-focused direct marketing.


Loading links....
close

Next Article in Multichannel Marketing

Sign up to our newsletters

Company of the Week

We recently were named B2B Magazine's Direct Marketing Agency of the Year, and with good reason: We make real, measureable, positive change happen for our clients. A full-service agency founded in 1974, Bader Rutter expertly helps you get the right message to the right audience at the right time through the right channels. As we engage our clients' audiences along their journey, direct marketing (email, direct mail, phone, SMS) and behavioral marketing (SEM, retargeting, contextual) channels deliver information relevant to the needs of each stage. We are experts at implementing and leveraging marketing technologies such as CRM and marketing automation in order to synchronize sales and marketing communications. Our team of architects and activators plan, execute, measure and adjust in real time to ensure the strategy is working as needed and change things if it's not.

Find out more here »

DMN's 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