JEGIpanel

JEGI CLARITY Conference Panel: B2B Media Poised for Growth—and Robust M&A

by Media

By Tony Silber

All in all, according to a presentation from Kathleen Thomas and Rich Kanefsky (pictured), managing directors at JEGI CLARITY, “the smart money will be backing the next-gen B2B leaders.”

There’s never been a more exciting time for B2B media. With the industry’s omnichannel approach to serving customers, its technology platforms creating game-changing new marketing techniques, and its data-oriented value proposition, B2B media companies are poised for continued growth.

That was the message from two industry experts at the JEGI CLARITY Media and Technology Conference, held this week in New York. The event attracted hundreds of attendees, mostly senior executives, across a variety of industries, including advertising, marketing, finance and M&A.

In the B2B media space, Thomas and Kanefsky gave a compelling vision of growth in the sector, frequently through acquisitions.

“We’re expecting a pickup in media M&A over the next 12 months, as potential sellers time going to market around optimistic 2024 performance, and buyers look to put capital to work to deepen vertical expertise and broaden omnichannel capabilities,” Kanefsky told SIIA Media Alert. “Private equity’s need to return capital to investors, along with a friendlier interest-rate environment, should also drive an uptick in deal activity.”

Author’s Note: I’d say the robust performance of B2B media is a surprise, but it’s not. It might have been 10 or 15 years ago, but not now. Now, B2B companies dominate their markets, and are—because of their product mix, market knowledge, and relationships—more resilient and resistant to disruption than most other media sectors.

B2B media companies have all phases of a marketer’s sales journey covered, Thomas and Kanefsky noted. First, there’s the marketer’s need to identify prospects. That’s done through B2B media’s brand-awareness services, which allow marketers to amplify their messages. These include advertising, conferences and trade shows, awards programs and the like. Next is a learning phase, enabled by research, white papers, conferences, webinars, sponsored emails and more. And finally, there’s the buying phase, driven by buyer events, data solutions, and networking.

All of these steps in the process, they added, are driven by technology, which serves as a platform for lead generation, audience targeting, and the development of behavioral and intent data. Put together, these interlocking components make for very valuable companies that have a moat of protection around them.

And that, in turn, makes them attractive acquisition targets. Companies like Informa, which in recent years has acquired Winsight, Industry Dive, TechTarget and others, represent the buy side of the M&A equation. A next tier of already-scaled companies, with EBITDA of $25 million to $40 million, is likely to also be on the lookout for acquisition targets. This tier includes Questex, Northstar Travel Group, ALM, and Future. Other acquisitive companies that Thomas and Kanefsky said are actively scaling up are WTWH Media, The Channel Company, EnsembleIQ, ARC, and eRepublic.

Copy of Media Library (41)

SIIA’s Comprehensive Response to Proposed COPPA Rule

by Policy

In response to the Federal Trade Commission’s notice of proposed rulemaking (NPRM) on Children’s Online Privacy Protection (COPPA) Rule, the Software & Information Industry Association (SIIA) expressed appreciation for the Commission’s attention to ongoing guidance. SIIA addressing the impact of the Rule on education technology (ed tech) vendors, collaboration between the Commission and the Department of Education (ED), the influence on innovation practices, accessibility of technology, and the promotion of child safety and parental control.

SIIA emphasized the importance of the Commission’s oversight role and welcomed the opportunity to contribute insights on the aforementioned themes.

Full Response Here
Copy of Media Library (67)

SIIA Joins Coalition to Oppose PERA’s Impact on U.S. Patent Landscape

by Policy
The Software & Information Industry Association (SIIA) has joined a coalition of organizations in expressing strong opposition to the Patent Eligibility Restoration Act (PERA), specifically S. 2140. In a collective statement, the signatories argue that PERA poses a significant threat to the established U.S. patent system by allowing patents for a wide range of activities, such as business methods, legal agreements, media content, and entertainment, as long as they involve technology use. The letter emphasizes concerns about potential extensive litigation against American businesses, challenging the longstanding principle of limiting patents to technological improvements. The coalition stresses that PERA deviates from established legal principles, potentially enabling the patenting of commonplace daily activities. Furthermore, the letter contends that PERA would overturn crucial legal principles that have protected inventors and upheld U.S. innovation policy for over 170 years. Examples of recent court decisions that PERA would override are cited, illustrating the potential adverse impact on various industries. In conclusion, the coalition urges the Judiciary Committee to refrain from advancing the bill, asserting that PERA would disrupt centuries of established law and have detrimental effects on the American innovation economy.
Full Letter Here
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SIIA Calls for President Biden to Present His American Innovation Strategy in Thursday’s State of the Union Speech

by Policy

Washington, D.C. (March 4, 2024) – In advance of President Biden’s State of the Union speech on Thursday, the Software & Information Industry Association (SIIA) today urged President Biden to deliver a vision that allows the American technology to continue to lead the world in innovation and creativity, and remain a powerful driver for the American economy.

The following can be attributed to Chris Mohr, President, SIIA.

“Policies that help foster competition, creativity and innovation will further allow the software and information industries to play an important role in tackling many important challenges facing our nation from consumer privacy to worrying national security threats – many of which we expect to hear President Biden address in Thursday’s speech.

“The United States’ information technology sector is the envy of the rest of the world.  For our country to maintain its digital leadership, it is essential that our elected officials seed the next generation of progress. President Biden should increase federal funding for STEM education and encourage passage of the bipartisan CREATE AI Act, which facilitates immediate progress in new technologies like artificial intelligence by increasing access to much-needed datasets for academics, nonprofits and startups.

“Technological progress depends on the development of sensible, risk-based and uniform rules of the road for the business of information. We urge the President to support a national privacy law: one that both protects consumers and our fundamental freedoms. Furthermore, as America continues to lead the way for advanced technologies like AI, it is essential that AI policy balances safeguarding against potential risks and fostering innovation and competition. By supporting transparency and accountability without hindering progress in the American tech sector, the United States can unlock the potential of AI to the benefit of American consumers, businesses, and industries.

“Collectively, as a nation, we are navigating the all-important challenge of ensuring our youngest Americans are safe online. President Biden should embrace a vision that helps keep kids both safe and connected. We urge President Biden to embrace a principled approach that prioritizes the privacy and safety of kids and empowers parents to be active participants in how their child operates online without fear of exploitation.

“By supporting an agenda that guards against potential risks without stifling technological development and progress, President Biden has an opportunity to provide a vision that encourages smart policies that will continue to unlock American innovation.”