Autobytel Inc., a provider of automotive online consumer purchase requests and marketing resources, has acquired privately held Cyber Ventures Inc. and Autotropolis Inc.
The two Tampa, FL, entities generate and sell high-volume in-market consumer vehicle-purchase requests through proprietary content and search-marketing capabilities.
“This transaction extends our core growth and margin-enhancement strategies and solidifies Autobytel's position as the premier provider of automotive-related consumer purchase requests in our industry,” says Jeffrey H. Coats, Autobytel's President and CEO.
On a combined basis, Cyber Ventures and Autotropolis had 2009 annual revenues of approximately $10 million. Autobytel reported annual revenues of $53 million for 2009 and $23.9 million for the first half of 2010.
“The addition of Cyber Ventures and Autotropolis gives Autobytel a significant competitive advantage by providing us with an additional major source of high-quality, ready-to-buy consumer purchase requests coming directly from our network of branded consumer websites,” Coats says.
He expects higher-margin, internally-generated purchase requests to increase by upwards of 150%, and total purchase request volume to grow by more than 40%.
“The acquisition also gives us additional meaningful content for today's automotive consumer and further enhances our Internet footprint with more than 2 million additional page views per month,” Coats says.
Another expected benefit he foresees is “the superior search-engine optimization techniques and a growing suite of digital automotive products developed by the talented Cyber Ventures and Autotropolis team.”
Cyber Ventures and Autotropolis co-founders Ian Bentley and William Ferriolo and some members of their staff will join the Autobytel team.
“We are pleased to be on the ground floor of Autobytel's strategic expansion plans and excited to be associated with the pioneer firm in our industry,” Ferriolo says, referring to the Irvine, CA, firm's role as an early provider of Internet leads, starting in the 1990s.