InfoUSA acquires another e-mail marketing company

The ranks of independent e-mail marketing service providers continue to shrink.

This time the deal involves infoUSA, which is acquiring Digital Connexxions, an e-mail marketing company headquartered in Oakville, Ontario. The company plans to integrate Digital Connexxions’ operations with those of its existing e-mail subsidiary, Yesmail, based in San Carlos, CA, and Oregon.

"Digital Connexxions has developed a loyal blue chip customer base that will complement and expand our substantial e-mail technology operations,” infoUSA chairman and CEO Vin Gupta says. “The combination will extend infoUSA`s leadership in e-mail technology, as well as generate significant synergies."

Digital Connexxions offers standard e-mail marketing programs such as campaign management, list management and append services. But infoUSA is acquiring Digital Connexxions primarily for the company’s personalization technology. Digital Connexxions` patented technologies utilize artificial intelligence to build targeting models, track ROI and expand personalization, Gupta says.

Terms of the deal weren’t disclosed, but the acquisition is expected to be complete within 30 days, says Digital Connexxions vice president of marketing Helen Ching. Digital Connexxions` senior management, including founder and CEO Paul Westhorpe, will remain with infoUSA and Yesmail, Ching says. Among the web retail and direct marketing companies using Digital Connexxions` e-mail marketing services is BMG Direct Inc.

As an e-mail service provider, infoUSA has made other recent acquisitions in order to grow its business base. In January 2005 infoUSA also acquired @Once, a retention based e-mail technology company headquartered in Portland, Oregon. Nearly 3 million customers use infoUSA`s direct marketing, telemarketing, customer analysis, credit references and other services.