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Salesforce.com Acquisition of Buddy Media Demonstrates Continued Value in Cloud CRM

Cloud CRM Featured Article Archive

August 28, 2012

Salesforce.com Acquisition of Buddy Media Demonstrates Continued Value in Cloud CRM

By Susan J. Campbell, TMCnet Contributing Editor

Salesforce.com made a splash more than 10 years ago when founders with a vision for Software as a Service (SaaS (News - Alert)) brought that notion to fruition. In that time, Salesforce.com’s cloud CRM platform has experienced excellent growth, bringing in $732 million in the last quarter.


With that kind of capital to throw around, the cloud CRM company is able to grab hold of some of the best startups and established tech companies, which further increases Salesforce.com’s (News - Alert) ability to bring value to cloud CRM solutions.

Since its inception, the company has acquired 24 other tech companies and is now claiming that 10 percent of the ad spend on Facebook is handled through Salesforce.com’s acquisition called Buddy Media (News - Alert), according to this Information Age report.

With nearly $1 billion in ad revenue per quarter on Facebook (News - Alert), that 10 percent adds up to a lot of money. Salesforce.com paid nearly $700 million for Buddy Media because its administrators saw the value in its ability to work perfectly with social media king Facebook. Buddy Media allows organizations to take their marketing campaigns to social media and measure their campaigns’ performance.

The paper trail goes back to a company acquired by Buddy Media prior to its acquisition by the cloud CRM giant. That company, called Brighter Option, develops the technology focused on social advertising management. This technology set the groundwork for how advertising is placed in social media.

The success of the technology with Buddy Media has the cloud CRM giant Salesforce.com thinking of expanding into a marketing cloud provider. Marc Beniof, the CEO of Salesforce.com, believes the move could generate upwards of $1 billion per year.

Beniof said recently that marketing administrators in various industries would want to take the lead on their own social media marketing campaigns, which will give them more visibility into the advertising foray. The growth of social media has given a new outlet to advertisers, one that they have not seen since television advertising was realized more than half a century ago, said the cloud CRM CEO.

Buddy Media offers a comprehensive guide to ads and insights on Facebook. Organizations can track in real-time how consumers are engaging their ads. Anyone considering advertising with Facebook should know that keeping tabs on the data can bring more value because they’ll have visibility into how it’s working or not working, and to do that, one needs a product like that provided by Buddy Media.

Track the overall page performance, from the total number of fans who like the page, the number of people who have created stories about the campaign, and the number of people who saw the content over a week’s period. With that kind of knowledge, a company can’t help but drive successful interactions.

Want to learn more about cloud communications? Then be sure to attend Cloud Communications Expo, collocated with ITEXPO West 2012 taking place Oct 2-5, in Austin, TX.  Stay in touch with everything happening at Cloud Communications Expo. Follow us on Twitter.


Edited by Rachel Ramsey
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