Shakeups

Following New Details of Buddy Media Acquisition, Salesforce Marketing Cloud Lays off Employees [Updated]

Salesforce CEO Marc Benioff (Photo: Wikipedia)

After rumors began swirling on Twitter about layoffs at Salesforce, the cloud-computing company confirmed to Business Insider that it has laid off a fair chunk of its Radian6 employees. Salesforce says that less than 100 employees were impacted, but considering that Radian6 boasts only 320 employees total (according to Crunchbase), that’s still almost a third of the staffers being shown the door.

Radian6, a social media monitoring platform, is an integral part of Salesforce’s big play for a piece of the social marketing space. It acquired Radian6 back in March 2011 in order to build out the Salesforce Marketing Cloud. Read More

Acquisitions

Salesforce Acquires Buddy Media for $689M in Cash and Equity

Mr. Lazerow (flickr.com/leweb3)

Salesforce has agreed to acquire New York-based social marketing company Buddy Media for $689 million in cash and equity. As we wrote last week, an acquisition made sense for Buddy following Facebook’s bungled IPO–though it’s worth acknowledging that deals like this take time, and machinations for the acquisition were probably in the works long before the IPO.

“I’m excited to announce that we’ve entered into an agreement to acquire Buddy Media,” Marc Benioff, Salesforce’s chairman and CEO, said on an investor call this morning. “It’s our largest acquisition to date at Salesforce.com. We’re expecting the deal to close in our third fiscal quarter.” Read More

Acquisitions

An Acquisition for Buddy Media Makes Sense—After FB’s Dive, It Can’t IPO

Michael Lazerow, CEO of Buddy Media (flickr.com/leweb3)

AllThingsD is reporting that social marketing company Buddy Media is in talks to be acquired by Salesforce for $800 million. We had been hearing similar rumors ourselves, and reached out to Buddy Media last week, but the company refused to confirm, saying only, “We’ve been hearing this kind of chatter since the day we started the company, and it has always turned out to be false.”

An acquisition for Buddy makes sense–Facebook’s bungled IPO (its stock dropped another 10 percent today) left little room for companies with offerings reliant upon Facebook to go public themselves. And judging from Buddy’s hiring of an “IPO-ready CFO” last August, an IPO was its preferred route. Read More

Facebook Faceoff

Facebook Would Rather Brands Pay for Advertising Than Use Brand Pages

Buddy Media's CEO, Michael Lazerow (flickr.com/leweb3)

In the social marketing space, if you want to be successful, you have to become one of Facebook’s Preferred Developers. Without this corporate badge of honor, your company won’t have access to various Facebook insider perks, like tips on new features and API changes, and direct access to Facebook employees and training.

The PDC program has always been viewed as an olive branch extended to big companies–it’s essentially Facebook’s way of saying they value brands on the platform, so much so that they provide a list of “preferred” companies that can help optimize your brand’s Facebook presence.

But with the advent of Facebook’s new layout, Timeline, the company’s devotion to brands has grown increasingly murkier and rendered some of the most traditional offerings of social marketing companies–like scheduling posts and developing custom landing tabs–far less necessary. Read More