Google takeover of DoubleClick strengthens zanox’s market position.

Berlin, April 17, 2007 – Google’s planned takeover of DoubleClick is currently creating a lot of attention, however, zanox believes the online marketing trend is headed in another direction with the future belonging to CPA (cost per action). As a purely performance-based business model, CPA is the most efficient form of marketing. When the takeover is complete, Google will not have a significant share of this market sector. Due to its concentration on performance-based online marketing in the CPA model, its worldwide leading technology and its global presence with over a million sales partners in more than 180 countries, zanox has an outstanding marketing position.

zanox is the only company able to offer advertisers a global and fully integrated 'Software as a Service' solution (ASP model) for marketing in all relevant online channels. With CPA, zanox advertisers only invest in effective marketing results such as successfully brokered sales or registrations. Advertisers can thus achieve their specific objectives within a fixed budget or within defined margins. zanox, feels that its judgement of market development has been confirmed and the company's position has been strengthened.

Thomas Hessler, zanox CEO: “Even though the relevance and efficiency for advertisers in online marketing has greatly improved, Google still faces Henry Ford’s renowned market dilemma: What was 50% of the advertising budget wasted on?”. The customer often doesn’t know how much needs to be budgeted to reach his objectives. Only zanox offers comprehensive planning reliability and makes it possible to accurately reach objectives with respect to turnover and new customer acquisition within a previously defined budget. Only this approach lives up to the name ‘ performance-based marketing’.

Hessler is therefore quite easy-going when commenting on the acquisition: “Even after the takeover of DoubleClick, Google will not have a major emphasis on performance-based online marketing, because DoubleClick only has a small customer base as well as a low market share within this segment. The rationale behind the high investment could be that Google wants to expand its expertise in the area of text-based CPC (cost per click) advertisements using DoubleClick's experience in the area of CPM (cost per mille) display advertisements. We have a different business model because a decisive factor is missing: performance control.”

The takeover, in which Microsoft and AOL were also interested, first has to be investigated under antitrust laws. A similar, planned transaction involving AOL and Tradedoubler will not take place for the time being.


About zanox
zanox is the market leader for performance-based multichannel commerce. zanox XS provides a global solution for efficiently marketing products and services on the Internet. Besides affiliate marketing and search engine management, zanox’s online marketing services include e-mail marketing, online shopping and customer loyalty programs. More than 1,800 prestigious international companies such as Allianz, Amazon, Axa, Citibank, DaimlerChrysler, Expedia, Jamster, Lycos, Procter & Gamble, Sixt, Staples, Vodafone and many more rely on zanox's strategic distribution channel. zanox currently works with more than one million sales partners worldwide and offers local support in over 30 countries. zanox partners secure permanent, first-class revenues by advertising on websites, search engines, as well as in e-mails and software. zanox was founded in 2000 by CEOs Thomas Hessler, Heiko Rauch and Jens Hewald and currently employs more than 260 people. The company operates in an extremely dynamic future-facing market, realizing well above-average growth.