SOURCE: KBM Group

KBM Group

November 10, 2010 09:09 ET

KBM Group Acquires I-Behavior

Augments KBM Group's Core Capability for Multi-Channel Merchants and Online Behavior-Based Advertising; Also Will Be Implemented Across Wunderman and WPP Networks

RICHARDSON, TX--(Marketwire - November 10, 2010) -  KBM Group, the leader in providing a full spectrum of data-driven marketing solutions, has agreed to acquire I-Behavior, a market leader in consumer and business transaction data. I-Behavior helps multi-channel merchants market more effectively through a cooperative database including over 8 billion SKU-level transactions representing more than $320 billion in online and offline purchases. I-Behavior is a privately held company based in Louisville, Colorado. Financial terms are not being disclosed. The acquisition is subject to regulatory and shareholder approvals.

The innovator of the cooperative database concept for SKU-level data, I-Behavior provides not only database marketing services but also predictive analytics to anticipate future buying behaviors from detailed transactional purchasing history. The company pioneered the concept of an online data cooperative, which demonstrated that similar marketing principles and analytics could be used for more effective online advertising. The company's buying behavior assessment and projection capabilities optimize performance across all channels: postal, online, email and mobile. Predictive analytics and the ability to offer relevant marketing across both traditional and digital channels are at the heart of state-of-the-art retail marketing. 

I-Behavior's data, aggregated from more than 1,900 data-contributing merchants, and the customer insights gained from advanced data management and marketing techniques substantially expand KBM Group's retail expertise and enhances its client offerings for its parent, Wunderman, as well as for its WPP sister companies: Kantar, GroupM, and the Media Innovations Group (MIG).

"As with many essential business processes today, data is increasingly driving marketing strategy, especially in the real-time, interactive world of transactions," says Gary S. Laben, CEO of KBM Group, "making it an extremely valuable asset. In addition, thanks to Internet and mobile marketing, the individual consumer -- rather than a cohort of demographically defined consumers -- expects and deserves a highly customized selling proposition based on individual preferences and needs. The ability to reference buying behaviors and attitudes, model and predict future needs, and reach the consumer at the right time with the right opportunity through the right medium is critical to the retail community. The acquisition of I-Behavior is an excellent complement to our existing strengths and ability to bring robust marketing insight to merchants and increase our growth in this industry."

In addition, as the data management arm for the Wunderman network, KBM Group will combine its own expertise in knowledge-based engagement of customers across traditional and online marketing channels with I-Behavior's extensive data assets and analytics capabilities to deliver more extensive merchant-based data services to Wunderman's clients as well as those throughout the entire WPP group. For example, KBM Group and I-Behavior's combined expertise will be leveraged via the MIGs advertising technology platform for improved online behavioral targeting and media optimization, which extends to WPP clients served by companies such as GroupM.

"As an industry leader, Wunderman knows how to develop innovative and creative solutions for the critical challenges of our clients, such as 'what does the consumer want and when do they want to hear from us?'" says Daniel Morel, Chairman and CEO of Wunderman. "Our founder, Lester Wunderman, knew data-based insights are at the heart of impactful customer relationships and are key to knowing what customers want and when they want it -- traditionally and especially today in digital. With I-Behavior joining KBM Group, we can give our clients access to a more complete and timely portrait of each customer." 

"We are delighted with our new partners and eagerly anticipate working closely with KBM Group, the Wunderman network and the rest of WPP," says Chris Dice, CEO of I-Behavior. "As these leading companies have built their success on vision and high standards for what's next and what's possible, I-Behavior has also been committed to innovation that contributes to the success of multi-channel merchants. We look forward to continuing with like-minded partners to create the future of our industry and to deliver leading-edge solutions to our clients directly and through our network colleagues." 

About KBM Group
KBM Group is the global leader in knowledge-based marketing solutions. Expert in both digital and traditional direct marketing, KBM Group helps companies manage, analyze and optimize marketing data to engage more effectively with their customers and prospects. KBM Group's integrated, world-class solutions include strategic consulting, digital services, database services, analytics, marketing management, response services, data and marketing outsourcing. The company has 14 offices in nine countries serving global, enterprise and B2B2C-focused companies. KBM Group's parent company, Wunderman is part of Young & Rubicam Brands and a member of WPP (NASDAQ: WPPGY). www.kbmg.com.

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