Zeta Global has bought the email adtech and martech platform LiveIntent.
According to a press release that dropped after the market closed, the “addition of LiveIntent’s assets, publisher network, and channel capabilities will bolster the Zeta Marketing Platform and advance Zeta’s position in AI-powered marketing.” The Wall Street Journal broke the story.
The deal is for $250 million, with $77.5 million in cash and $172.5 million in stock, and is expected to close later this year.
Why This Matters:
Zeta’s acquisition of LiveIntent is interesting on a number of fronts.
First, it boosts Zeta’s Data Cloud, which is an opt-in identity graph of over 200 million adults in the US or almost 90% of the population, according to the company. That cloud includes data like email addresses (built through other deals like the company’s ArcaMax acquisition in 2022), cookies, MAIDs, and device IDs. Advertisers can use the cloud for identity resolution, to capture intent, and to support targeting and measurement.
LiveIntent, through its work with publishers, will now supercharge that cloud with its own dataset. According to the release, the “acquisition integrates LiveIntent’s extensive identity graph—over 235 million unique hashed email addresses per month—into Zeta’s Data Cloud, significantly complementing Zeta’s identity resolution solutions.”
Second, Zeta will enter the publisher monetization space with this deal, which makes sense given that LiveIntent’s dataset is powered by that publisher business. “Zeta is entering the publisher monetization business,” reads the release, with the company adding that the deal “paves the way for Zeta to launch a new product offering, the Publisher Cloud, creating a compelling closed-loop ecosystem that rivals the reach and targeting capabilities of walled gardens.”
Zeta also noted that LiveIntent will boost their retail media business. LiveIntent recently issued a report on retail media, and has helped customers extend retail media to email.
Experts React:
“As more brands view first party data as a corporate asset, seek to make AI actionable, and move towards a single platform that powers more efficient and effective marketing across the customer lifecycle, this acquisition accelerates Zeta’s flywheel and positions the combined company to continue to grow faster than the market,” said David Steinberg, Co-Founder, Chairman, and CEO of Zeta Global, in the company’s press release on the deal.
Matt Keiser, CEO of LiveIntent, says LiveIntent and Zeta “share a relentless focus on innovation and an aim to make AI-powered marketing actionable.”
Our Take:
Zeta, which is publicly traded, is an interesting company, positioning itself as a SaaS marketing platform centered on AI and data. This deal strengthens their dataset, which is the lifeblood of AI. Expanding their dataset and data cloud means they can better deliver on personalization and targeting, especially as identity deprecation continues.
