Direct e-commerce company XOOM.com (Nasdaq: XMCM), which will soon become part of NBC’s new Internet division, added to its wide variety of services on Wednesday with the acquisition of MightyMail Networks.
MightyMail Networks is the developer of MightyMail, an e-mail platform that gives companies an online one-to-one marketing strategy. XOOM.com acquired 100 percent of MightyMail in exchange for $25 million (US$) in stock.
MightyMail allows companies to created custom-branded e-mail services to help build online communities. Services can be set up to allow users to send out branded, content-rich e-mail to their friends. In addition to providing information such as news or entertainment, these e-mails serve as advertising for the company.
MightyMail can also be used by a company to allow employees to send branded e-mail messages and consumer e-mail that includes everything from photos and classified ads to maps and games.
“E-mail is already a killer app, but MightyMail takes it to a whole new level in terms of marketing,” said Chris Kitze, Chairman of XOOM.com. “Not only does MightyMail allow us to continue to organically grow through one-to-one marketing, but it allows us to extend this cost-effective strategy to our partners.”
How It Works
In addition to allowing companies to administer content and features for multiple e-mail accounts, MightyMail offers complete tracking of e-mail account activity and click-through rates for links featured in e-mails.
The service also offers simple creation of e-mail ready classified ads, surveys, letterhead, schedules and other business-related content. In addition, MightyMail provides customizable content libraries and supports traditional e-mail services like the ability to send mail with attachments.
“E-mail has been stagnating as a text-based form since its invention,” said Tyler Peppel, CEO and founder of MightyMail Networks. “Whether you’re a marketer, a business or a consumer, MightyMail will fundamentally improve the way people use e-mail.”
XOOM.com Growing Fast
XOOM.com, which has more than 8 million members, adds MightyMail to its diverse variety of services for its users. XOOM.com also offers free homepage building services, chat rooms, message boards, and Web page counters. XOOM.com generates revenue by targeting its members with products and services that are related to their needs and interests.
XOOM.com is the 12th-most visited site on the Web, according to Media Metrix. The company bills itself as the fastest-growing community-based site on the Web, and it stands to grow even more later this year when it becomes part of a new publicly traded Internet company known as NBC Internet. The company will also include several NBC Internet properties and portal site Snap.com.