Constant Contact Buys Small-Business Web Lister SinglePlatform for $70 Million
Online marketing service Constant Contact has picked up SinglePlatform, a two-year-old start-up that helps small businesses list their services online.
Constant Contact will pay $65 million for the New York-based company, plus another $5 million for employee-retention payouts; it may also shell out up to $30 million more in earnouts over the next two years.
SinglePlatform is a 75-person company that tells restaurants and other services that it can help them manage their online presence on multiple sites. It charges local businesses $495 a year for a service that lets them automatically update menu listings, etc., on a variety of sites, including Yellowpages.com, Foursquare and the New York Times’ restaurant listings; it provides the listings to publishers for free. Earlier this year it also signed a deal to update some information to Groupon.
The deal should be a nice win for SinglePlatform’s investors, including First Round Capital and RRE, who put $4.4 million into the company. SinglePlatform CEO Wiley Cerilli, a former EVP at Seamless, will become a vice president at Constant Contact; he says all of his employees will also stay on.