Wednesday, November 16, 2005

TechTarget plans IPO

There seems to be a lot happening in the B2B media space these days, but the biggest news probably seems to be an IPO by TechTarget. It seems that the company has finally confirmed the rumors that it is seeking to list itself. Folio magazine reports that TechTarget is striving to raise close to $600 million, expected to happen early next year.

The manner in which TechTarget has grown in the few years that it has been in existence is indeed a case study for online publishers. Its revenues grew 51% in the third quarter this year, outpacing overall industry growth. Moreover, having already carved a niche for itself with its online media, the company's foray into print also seems to be doing pretty well, despite a sluggish market overall.

The fact that it had created a strong user base online, and thereby creating the potential for advertising & marketing services revenues from customers, at probably a lower cost of user acquisition (I'm guessing here-- cannot be sure), is undoubetedly helping it to generate more advertising & marketing service revenues from potential advertisers. A slightly different model from what traditional publishers have tried to do--- but one that seems to work.

One wonders to what extent some of the other big publishers adopt a similar model in their own niches?


Manoj
On Target Media

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