We Did Our Due Diligence On King Content: Isentia Boss

We Did Our Due Diligence On King Content: Isentia Boss
SHARE
THIS



Isentia has said its foray into content marketing via its disastrous acquisition of King Content was more a question of bad luck than poor due diligence.

Speaking at a media briefing yesterday discussing the company’s restructure, Isentia’s CEO and MD John Croll said the due diligence on the acquisition was good. Croll said he didn’t think there was an avenue for Isentia to take potential legal action against King Content’s former directors.

“I don’t think there’s an action against the former directors of King Content. We did our due diligence with good reputable companies. What we saw was a business going from about $2 million in revenue to $7 million in revenue to $15 million in revenue to $20 odd million in revenue for the first year that we had it. So there was a good strong growth profile there,” he said.

The real issue was a mismatch in the two types of businesses. Where Croll says the media intelligence business enjoys a 99 per cent retention rate, King Content’s revenue was based on short-term, campaign-based revenue.

“And, content marketing was going through a little bit of a transition period at that point in time where a number of large clients . . . like ANZ Bank . . . were starting to hire their own in-house journalists so they didn’t need us to build their content for them going forward.

“So there had been a lot of revenue in those clients that then moved away quite quickly. So that was the issue for us. It became very short-term revenue and quite campaign based instead of the strategy and building out the content platform.”

Former Bauer CEO Matt Stanton has been put in charge of building a business out of the wreckage of the acquisition. His focus, he says, is building longer terms contracts with clients and just focusing on the strategy of content marketing through than the content production. A market flooded by pretty much every agency in the land and suffered the consequential erosion of margins.

“There was a lot of short-term campaign content and there was a lot of content where the margins were thin. We don’t want to play in that space,” Stanton said.

“The revenue might not be so spectacular, but that revenue will be much more certain,” Croll added.

Isentia’s stock price remained flat yesterday on the news trading at 1.82 per share this morning down from a high of $4.93 in December 2015.

Here’s the release detailing the restructure:

Isentia re-structures organisation and launches new brand and new data insight led services

New products help clients derive real time actionable insights from data and deliver the most comprehensive media intelligence and insights services

 

Sydney, Australia – 14 August 2017 – Leading media intelligence company, Isentia (ASX: ISD), has restructured the company under a new single brand, and invests in machine learning technologies to give clients more relevant and actionable insights from media sources.

These investments include the launch of ‘Stories’, an additional capability within its MediaPortal platform, which was recently upgraded. Stories summarises news trends and provides timely analysis to clients.

Taking all the relevant content on a topic, presented in clusters, Stories give clients the insight into how themes are evolving through the day, and understand its reach and velocity.

Customers are given the option to probe into any story to uncover deeper insights, such as correlations between outlets, key influencers and any resulting amplification on social media. Rather than having to examine hundreds of media items, Stories provides customers with close to real-time intelligence that is invaluable in strategy planning and risk assessment.

John Croll, Chief Executive Officer and Managing Director, Isentia, said: “The complexity and speed of today’s media cycle, and the growth in social media, means our customers are finding it more and more difficult to trawl through the influx of data and make timely decisions. There’s information everywhere, but what’s rare and what’s valuable, is real insight.

“Our priority is providing customers with those insights by enhancing our product offering. Our MediaPortal redesign earlier this year is a good example. And today, Stories will show our customers how a piece of news is evolving in real-time so they can make decisions faster. We’re also improving our data intelligence platform, which will increase the speed, scalability and content sources for our clients in multiple languages.”

Isentia is also introducing new back-end technologies so crawler cycle frequency is significantly improved, with a projection of approximately a million items per day across nine languages processed – providing even more valuable data that can help inform business decisions for clients throughout the Asia Pacific region.

More than 50 channels identified as key across the Asia-Pacific region will be crawled each day, including approximately 65,000 news websites covering content in English, Chinese, Thai, Vietnamese, Tamil, Tagalog, Malay, Indonesian and Korean. Rich media items, such as online video and audio will also be captured, adding new content sources to the Isentia product offering.

New Brand and restructure Isentia has restructured the sales organisation in all markets and refreshed its brand as part of its growth strategy.

This includes the integration of the Brandtology and King Content brands into Isentia, so the core focus is on integrated media intelligence, research, insights and strategy content.

isentia.com

The new brand adopts the iconic mathematical three dots symbol for ‘therefore’. The dots are shorthand for the moment a problem moves to a solution, via an insight. This new graphic reflects the personality and nature of the Isentia business as a problem solver and highlights the positive outcomes the company creates for them.

Croll adds: “Our commitment to our customers continues to fuel our quest to deliver the best in functionality and user experience they’ve grown accustomed to. We’ve adopted the dots in our brand design because it embodies our brand proposition of real data intelligence, and how this manifests as real-world problem solving.

“The new brand, the new products and the re-organisation means we can focus our sales efforts on growth across the region and increase the penetration of both our Research & Insights as well as our Strategy & Content products.

“We will leverage our core business where we have a significant market share, and enhance and broaden our products as we deliver real data intelligence to our clients.”

Please login with linkedin to comment

Latest News

The Diamond Concierge Gives Away $50K Ring In Campaign By McCann Queensland
  • Advertising
  • Campaigns

The Diamond Concierge Gives Away $50K Ring In Campaign By McCann Queensland

McCann Queensland’s second instalment of ‘The 5th C’ campaign launched over the weekend for online diamond retailer The Diamond Concierge, which received over 47million views around the world in the first 48 hours of it being released. In this second phase of the campaign, The Diamond Concierge gave away an $85,000 diamond ring, with Gold […]

Group of young hipster friends playing with smartphone with mutual disinterest towards each other - Modern situation of technology interaction in alienated lifestyle - Internet wifi connection
  • Marketing

Study: Gen Zs Eschewing Sex, Booze & Their Driver’s Licence!

A new study has revealed something we all already know – the Gen Zs (those born after 2000) are addicted to social media. However, a more interesting finding of the study is they’re apparently delaying adult behaviours such as drugs, sex, alcohol and getting their driver’s licence. According to the study, by US psychologists Jean Twenge and Heejung Park, young […]

by B&T Magazine

B&T Magazine
Sparro Recruits Key Account Director Following Client Wins
  • Marketing

Sparro Recruits Key Account Director Following Client Wins

Digital marketing agency Sparro has announced the appointment of Hannah Jones (pictured above) as a key account director following a spate of client wins. Jones joins Sparro’s senior team alongside founders Cameron and Morris Bryant, overseeing a portfolio of accounts that includes Webjet, Domino’s Pizza, TAFE NSW, Temple & Webster, F45 Training and Bing Lee. […]

Women’s Health’s Jacqui Mooney On Driving A Women’s Brand In An Evolving Industry
  • Media

Women’s Health’s Jacqui Mooney On Driving A Women’s Brand In An Evolving Industry

In an industry facing change, Jacqui Mooney, editor of Women’s Health believes brands such as hers will continue to be a constant. Please note: this article was contributed by Magazine Networks. The magazine industry may be seeing substantial change but Jacqui Mooney has a goal that remains firm: to create happier, healthier lives for Australian women. […]

Talent Shortage? We’re Calling Bullsh*t!
  • Opinion

Talent Shortage? We’re Calling Bullsh*t!

In this guest post, Mike Hill, CEO and co-founder of Puffling, argues the reason women rarely rise to the top in the advertising industry isn’t from a shortage of suitable candidates… Two of the biggest issues plaguing the global advertising industry are a so-called talent shortage and abysmal gender diversity, particularly at the senior level. Just think… […]

Opinion

by B&T Magazine

B&T Magazine
Survey: Bibles, Condoms & Turn-downs Top List Of Hotel Guest Gripes
  • Marketing

Survey: Bibles, Condoms & Turn-downs Top List Of Hotel Guest Gripes

A new study by New Zealand hotel chain Rees Hotels has identified the biggest likes and gripes of its paying guests. When it comes to the things hotel guests like the most, free Wi-Fi topped the survey’s list. Next was complimentary breakfast, car parking, a room with a view and daily housekeeping. The items and amenities […]

by B&T Magazine

B&T Magazine
Why Consumer Brands Are Failing Aussie Mums
  • Marketing
  • Opinion
  • Partner Content

Why Consumer Brands Are Failing Aussie Mums

Is your game chainsaws or large marlin wall-hangings? Can't seem to attract the mums? This couldn't come soon enough.

Opinion

by B&T Magazine

B&T Magazine
Network Ten Creditors Approve CBS Deal
  • Media

Network Ten Creditors Approve CBS Deal

It seems the fight for Ten between CBS and media moguls Lachlan Murdoch and Bruce Gordon may finally be over.

by B&T Magazine

B&T Magazine
MKTG Signs Exclusive Commercial Partnership With PlayersVoice
  • Marketing
  • Media

MKTG Signs Exclusive Commercial Partnership With PlayersVoice

MKTG has announced it has signed an exclusive commercial partnership with newly-launched sports storytelling site PlayersVoice.com.au – an agreement that will see the agency move into a new territory of sports marketing. The partnership between MKTG and PlayersVoice will see the business managing brand partnership opportunities for the new platform; working with clients to deliver […]

Domo Introduces New Data Security Software Solution
  • Marketing
  • Technology

Domo Introduces New Data Security Software Solution

Domo has announced it has introduced new cloud security technology for its Bring Your Own Key (BYOK) software, which includes unique capabilities like rolling generation of data encryption keys and a built-in kill switch. Domo BYOK is the first BYOK enterprise software solution for cloud analytics and business intelligence, and builds on the company’s existing security, compliance and […]

Shopper Media Group Grows Sydney & Melbourne Sales Teams
  • Advertising
  • Marketing
  • Media

Shopper Media Group Grows Sydney & Melbourne Sales Teams

Shopper Media Group (SMG) has continued to grow its Sydney and Melbourne sales teams to keep up with the demand for Smartlite Panels for shopping centres. Ashley Munro joins SMG as group sales manager for Sydney, having previously worked in a similar role at NOVA Entertainment. Laura Mason has been appointed as SMG’s business manager […]

RIO DE JANEIRO, BRAZIL - AUGUST 14:  Usain Bolt of Jamaica competes in the Men's 100 meter semifinal on Day 9 of the Rio 2016 Olympic Games at the Olympic Stadium on August 14, 2016 in Rio de Janeiro, Brazil.  (Photo by Cameron Spencer/Getty Images)
  • Advertising
  • Media

Olympics, Census Prove Tough Hurdles For Media Agencies: SMI

Australia’s media agency market has experienced another tough month in August, according to the latest data by Standard Media Index (SMI). SMI noted the softer demand this time around was primarily due to the Rio Olympics and Census providing abnormal bookings last year, resulting in demand for August 2017 so far being back 12.1 per […]

The Monkeys Takes Over From M&C Saatchi On NRMA’s Creative Account
  • Advertising

The Monkeys Takes Over From M&C Saatchi On NRMA’s Creative Account

Accenture-owned agency The Monkeys has bolstered its client ranks, having been chosen to handle the creative for the NRMA. The Monkeys CEO Paul Green confirmed to B&T that the agency had been appointed to the NRMA account by parent company IAG, which also includes brands CGU and Swann Insurance. M&C Saatchi was the incumbent creative […]

by B&T Magazine

B&T Magazine
A waitress carries beer mugs in the Hofbraeuhaus tent after the opening of the famous Bavarian
  • Marketing

Study: Why No Or Low Alcohol Beers Are Fast Becoming Drinking’s “New Cool”

New research from global market intelligence agency Mintel reveals that over a quarter of consumers in France (28 per cent) and Germany (27 per cent ) agree that low (under 3.5 per cent) or no alcohol beer tastes just as good as full-strength beer. And while younger consumers may have been the most enthusiastic drinkers in previous generations, […]

Engine Group Encourages Queenslanders To ‘Go Local’ In New TVC For State Govt
  • Advertising
  • Campaigns

Engine Group Encourages Queenslanders To ‘Go Local’ In New TVC For State Govt

Brisbane creative agency Engine Group has launched an integrated campaign for the Queensland government promoting the benefits of buying locally and supporting local small businesses. The ‘Go Local, Grow Local’ social marketing campaign celebrates small businesses across Queensland and highlights that small businesses are the lifeblood to growth in local communities. Central to the new […]

Sam Weir, Editor - The Advertiser & AdelaideNow 
 Editorial 
 
 Picture: Turner Matt
  • Media

News Corp Appoints New Editor For The Courier-Mail

News Corp Australia has announced the appointment of Sam Weir (pictured above) as editor of Queensland’s The Courier-Mail. Weir is one of Australia’s most accomplished editors, having edited the Perth Sunday Times and for the last four-and-a-half years, The Advertiser in Adelaide. News Corp Australasia executive chairman Michael Miller said: “I am delighted Sam has […]

Is This The Creepiest Ice-Cream Ad Ever?
  • Campaigns

Is This The Creepiest Ice-Cream Ad Ever?

Look, a terrifying ice-cream ad! And by "terrifying" we really mean Tony Abbott in his sluggos kind of "terrifying".

by B&T Magazine

B&T Magazine
Creatives, Step Up To The CX Plate!
  • Marketing
  • Opinion

Creatives, Step Up To The CX Plate!

Aussie creatives urged to step up to the CX plate! That's the Adobe boss saying it; like B&T would never say try harder.

Opinion

by B&T Magazine

B&T Magazine
InMobi’s Anne Frisbie On Ad Fraud
  • Advertising

InMobi’s Anne Frisbie On Ad Fraud

B&T sat down for a chinwag with InMobi’s Anne Frisbie who thought only half of our questions were poor & unresearched.

by B&T Magazine

B&T Magazine
Facebook Provides More Clarity & Control For Brands
  • Advertising
  • Media

Facebook Provides More Clarity & Control For Brands

Facebook has announced it is taking action to provide more clarity and controls for advertisers. The updates include: Third-party verification Facebook is seeking accreditation from the Media Ratings Council and set a timeline of 18 months to audit, review and accredit Facebook measurement across three key areas: first-party served ad impression reporting; third-party viewability partner […]

Ogilvy Duo To lead Miami Ad School’s 2017 Social Media Boot Camp
  • Advertising

Ogilvy Duo To lead Miami Ad School’s 2017 Social Media Boot Camp

Miami Ad School has announced that Ogilvy’s Alex Watts (head of social) and Jennifer Ngai (lead social strategist), will lead its Social Media Boot Camp in the coming spring term. The 10-week boot camp is an intensive program where students work on live briefs to create fully-executed social media campaigns, and will run from Monday […]