IRVINE, Calif. and MINNEAPOLIS, June 05, 2017 (GLOBE NEWSWIRE) -- eComTech industry leaders, Branded Response and Push Interactive, have merged to form ConversionPoint Technologies (CPT), a leading eCommerce technology platform empowering direct-to-consumer performance marketing.
Branded Response, based in Irvine, California, is a fast-growing direct-to-consumer eCommerce marketing company focused on high-value/high-profit health and beauty products that are sold on a subscription basis.
Push Interactive, located in Minneapolis, Minnesota, offers a proprietary SaaS-based eCommerce technology platform that has been built and optimized over seven years of real-world use selling their own products online.
The combination of their respective proprietary methods and technologies creates highly-efficient sales funnels, with significantly higher customer conversion and retention rates. Each step in the online sales funnel is enhanced by internally developed technology, enabling the company’s sales campaigns to be more cost effective and efficient than its competitors.
“Our strategic merger is highly-complementary in terms of management, technology and product offerings,” said CEO of ConversionPoint Technologies, Robert Tallack. “Our combined forces will enable us to more rapidly and effectively achieve our goals of platform expansion and accelerated growth in 2017, as we continue to capture the hottest trends in eCommerce with the industry’s most advanced eCommerce technology.”
ConversionPoint management brings collectively more than 50 years of experience and achievement in the digital direct-to-consumer marketing. ConversionPoint proprietary e-commerce technology platform enables product sales across a number of consumer verticals.
The technology platform includes three distinct but fully integrated eCommerce technologies:
DriveBy: media optimization platform that employs machine learning to optimize ad purchases and lower customer acquisition costs.
Comiseo: robust payment processing and customer data management system.
BlueDrone: post-purchase customer management technology that improves product delivery and automates re-marketing, which in turns improves sales campaign ROI.
The company offers these solutions to other eCommerce companies on a SaaS-based subscription model which generates a recurring revenue stream in addition to product subscription revenue. However, as the largest user of this platform, ConversionPoint’s internal deployment, combined with the unparalleled skill and capability of its management, has generated strong and accelerating growth.
On a combined pro forma basis, ConversionPoint recorded more than $44 million over the trailing 12-month period ended May 31, 2017 and is currently generating positive EBITDA. First quarter 2017 revenues were up 18% sequentially to $11.1 million, with EBITDA of more than $350,000.
The platform is currently generating more than 5,500 e-Commerce transactions per day which is up from 2,500 at the end of 2016. The company’s current revenue per employee is at $1.3 million on annualized basis.
Given the new synergies of the combined companies, strong leverage in the company’s operating model, and current run rate and growth momentum, ConversionPoint management expects revenue of more than $60 million in 2017, with EBITDA margins exceeding 10%.
For more information about the company, visit www.conversionpoint.com.
ConversionPoint Management Bios
Robert Tallack, CEO of CPT, brings over 15 years of experience in the health industry, having sold his last consumer products company to a publicly traded pharma company. An industry veteran of the digital marketing business, Robert has developed direct-to-consumer sales and marketing campaigns that have generated millions per month in sales. His ability to build an efficient organization using technology to scale rapidly has contributed greatly to his success. Robert earned his B.A. in health sciences from Queens University, Ontario. Robert also brings a unique background in professional sports having previously been a 3-time World Martial Arts Champion and still holds a world record.
Peter Nguyen, chairman of CPT and co-founder of Branded Response, is also the co-founder, CEO and chairman of Ad Exchange Group, one of the largest CPA affiliate networks in the world with more than $500 million in annual revenue. He is the creator of Advertiser360, the most comprehensive course ever created to help people build their own product or service online. As an entrepreneur, he has started dozens of business startups over the past decade, with articles published by Inc Magazine, Forbes, TechCrunch, Fox News, and others. Named Top 30 Under 30 by Advertising Institute, he is also a motivational speaker, empowering next generation leaders. He serves on the board of five national and global non-profit organizations, including World AIDS Marathon, Southeast Asian Committee, and Universal Outreach Cooperative. Holds a B.S. in Business, Finance, Electrical Engineering from the University of Florida.
Jack A. Thomsen, CFO of CPT, is a seasoned financial professional and certified public accountant with more than 30 years of experience in finance and investments. He has previously served as CFO for multiple public and private companies, and co-managed three hedge funds. He is the founder of Bridgewater Capital, which specializes in providing strategic advisory and business development to private and public companies. Earned B.A. in Accounting from University of Northern Iowa.
Stephen Blazick, COO of CPT and co-founder of Branded Response, is a pioneer in the digital marketing space. He has successfully created and implemented direct-to-consumer marketing strategies for more than 15 years that has generated more than $1 billion in gross sales, and has lead several companies from start-up to generating revenues of over $30 million in less than 12 months. He has served as an advisor to Apple, Franklin Templeton, AIG and others on how to create effective online sales strategies and tactics that result in converting shoppers into buyers. As principle of 10 Figures Media, a consultancy for digital marketing primarily in the health and wellness industry, he managed more than $300 million in gross annual revenues from back end processes and wellness products. He was one of the first Americans to teach Chinese SEO and SEM leaders how to better monetize their sales funnels and improve their online buying strategies. Received B.S. in Business Administration and Management from The University of Texas.
Haig Newton, chief technology officer of CPT and co-founder of Push, brings skills and knowledge in a variety of areas, including design, finance, web development, accounting, technical development, and branding. With more than 15 years in the internet marketing space and five years of software development and eCommerce, he has a proven track record of start-ups and enterprise-level custom architecture, working with teams large and small. He has developed and launched 18 proprietary platforms, and developed technology that increased gross margin by 27% and generated more than 500 million ad impressions per year. Holds B.S. in Business and Advertising, with minor in Computer Science from University of Kansas.
Chris Jahnke, chief marketing officer of CPT and co-founder of Push, is an industry-leading expert on media buying strategies, and has developed and launched more than 750 successful digital marketing campaigns that have driven millions per month in product sales. Chris understands human nature and uses that knowledge in launching, managing and converting effective product campaigns. He is also the founder of Tamble, an interactive advertising production company. He received his undergraduate degree from the Saint John’s University.
About ConversionPoint Technologies
ConversionPoint Technologies Inc., with offices in California and Minnesota, is a high-growth, eCommerce technology platform that empowers direct-to-consumer performance marketing. The company’s proprietary eCommerce technology enables high-volume product sales across multiple consumer verticals. Its technology suite includes a media optimization solution that uses machine learning to optimize ad purchases and lower customer acquisition costs, and a CRM that provides a robust payment processing and customer data management platform. An integrated post-purchase customer management platform automates product delivery and customer re-marketing, and improves sales campaign ROI. The company also offers its technology platform to other eCommerce companies, generating SaaS-based recurring revenue in addition to product subscription revenue. For more information, visit www.conversionpoint.com.
Important Cautions Regarding Forward Looking Statements
Except for historical information contained herein, this press release contains forward-looking statements, which reflect the expectations of management of ConversionPoint Technologies, Inc. (“ConversionPoint“ or the “Company”) with respect to potential future events. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, but are not limited to comments regarding: the Company's relationships with its customers; management's expectations with respect to future services to be offered by the Company; management's current growth projections including the Company's annual revenue and gross profit run rates, expansion of operations including through acquisitions; the value and timing of future projects with existing or new customers or products; perceived benefits of becoming a public company and the timing for an initial public offering; and management's expectations regarding the Company's interim financing requirements and the proposed use of proceeds for such bridge financing; the Company’s plans to become a leading e-Commerce company; plan to establish relationships with customers, partners, and/or agents which will enhance scalability, and sales and work efforts; the Company’s strategic growth plan for coming years, including accelerating the growth of its business; the Company’s predictions of its growth potential of its services and workforce.
These forward-looking statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements as a result of such risks and uncertainties.