Gannett Co., Inc. (NYSE: GCI), Knight Ridder, Inc. (NYSE: KRI) and Tribune Company (NYSE: TRB) today announced that they have jointly acquired CrossMedia Services, Inc., a leading provider of Web-based marketing solutions for national and local retailers. Terms of the agreement were not disclosed.
Through its award-winning SmartCircular and SmartCatalog services, CrossMedia Services transforms traditionally print-based retail promotions (such as sales circulars, catalogs, run-of-press ads, direct mail, etc.) into compelling search-based interactive formats. CrossMedia Services’ clients include many leading retailers.
“The Web has become a huge resource for consumers who search online and then buy offline in their favorite local stores,” said Brian Hand, CrossMedia Services chairman and chief executive officer. “Our online solutions complement the way consumers use the daily and Sunday newspapers to find ‘what’s on sale’ and other great values in their local markets.”
Today millions of consumers research products online and then make purchases offline. Known as cross-channel shoppers, this group often turns to online catalogs and flyers for product information, availability and cost. In 2003, cross-channel shoppers spent more than $130 billion offline on Internet-influenced purchases.* The average user of online catalogs and online flyers is 43 years old, and has an average household income of $61,878 – an ideal target for retailers.**
“Gannett, Knight Ridder and Tribune newspapers are the preeminent retail media in the country,” said Hand. “We are excited to be part of a new venture that will bring retailers innovative Web-based marketing solutions to extend the reach and life of their print promotions.”
Gannett, Knight Ridder and Tribune are partners in other joint ventures to provide consumers access to great online classified products such as CareerBuilder.com, Cars.com and Apartments.com.
* “American Interactive Consumer Study,” The Dieringer Research Group, September 2003
** “Do Online Flyers and Catalogs Work?” Forrester Research, Inc., February 2004