Sprout Social, an industry-leading social media management software provider, recently announced the acquisition of Tagger Media, a leading influencer marketing and social intelligence platform. This acquisition will further establish Sprout as the social media software market leader with a comprehensive platform that empowers brands to execute a holistic social strategy at scale.
Tagger Media was launched in 2015 to make influencer marketing more effective and accessible for all brands. And Tagger’s unified SaaS solution enables the world’s largest brands and agencies to discover influencers, plan and manage campaigns, analyze competitor strategies, report on trends and measure ROI—delivering tangible business impact.
Sprout Social acquired Tagger Media for cash consideration of $140 million in a deal that closed on August 2, 2023. This acquisition was funded with a combination of cash from Sprout Social’s balance sheet and Sprout’s newly established revolving credit facility.
KEY QUOTES:
“As influencer marketing has changed the way brands build awareness and connection, our customers are increasingly demanding to break the workflow silos between core social media strategies. By bringing Tagger’s influencer marketing software into Sprout’s suite of solutions, we have the opportunity to deliver the next generation of social insights to our customers to fuel business strategy and measure the full ROI of holistic social investments. Tagger and Sprout have a shared mission for building powerful and intuitive software and we’re excited to bring our industry-leading products and teams together.”
— Justyn Howard, Sprout Social’s CEO and Co-Founder
“We started Tagger because we saw extraordinary potential in the creator economy and knew there was an opportunity to build disruptive and innovative software for brands. We’re delighted to execute together on a shared vision to define this rapidly emerging market.”
— Pete Kennedy, Tagger’s Founder and President
“We believe Sprout’s incredible brand recognition, well-refined go-to-market strategy and industry-leading software will enable us to further accelerate the opportunities for our employees and the value we deliver to our customers. We’re motivated to establish ourselves as the category winner in influencer marketing.”
— Dave Dickman, Tagger’s CEO
“We are excited to broaden our market footprint into influencer marketing with the addition of an exceptional product and an exceptional team. We expect Tagger will accelerate our ARR and ACV growth rates, and will deliver upside to our gross and operating margin expansion goals beginning in 2024. We see a strong opportunity to further accelerate Tagger’s growth and drive high adoption of influencer marketing software in our customer base. As we align our product roadmaps and platform strategy, Tagger represents a new and differentiated growth opportunity to complement the beginning of our next great growth chapter towards our target of $1 billion in subscription revenue.”
— Joe Del Preto, CFO
