In part one of this Aventri Expert series, Mike discussed the maturity of the meeting and event technology market and what that means for event management software customers. But what are the specific benefits and risks of acquisitions in our industry? What are the implications of recent industry acquisitions?
In part two of our interview, you’ll learn about the role of acquisitions in the market, the affects and potential implications recent acquisitions for customers. Check it out.
What Customers Need to Know About the Industry Acquisitions: Q&A with Mike Burns
Q: What are the benefits and risks of acquiring a company in the industry?
Acquiring a company can do a lot of great, strategic things for a company in terms of increasing revenue and growing their customer base. But sometimes in the months or years after an acquisition announcement is made, the industry is left thinking, now what? Where are the big changes, the improved product suite or the innovation?
Q: What is Aventri’s guiding principle for making acquisitions. Why is it important?
For us, our guiding principle is and will always be “one platform.” Every acquisition we made and continue to make and every technology we build has to integrate into our overall offering for our customers. If not, it doesn’t make sense for us to acquire the company or build the technology.
Q: What else is important for Aventri when making an acquisition?
We also look at our acquisitions and product development to ensure we can compete head to head with any point solutions.
For instance, to improve our mobile app back in 2015 we acquired a company called Tap Crowd. At the time, Tap Crowd was a smaller event mobile app company, but they were the best at streamlining the publication of apps on all marketplaces and browsers, in addition to delivering mobile automation and event data analytics. These latter features made them stand apart from other companies in the industry, so we acquired them to offer these powerful features to our customers.
Q: What is the goal of an acquisition at Aventri?
With every acquisition at Aventri, the goal is not to just grow our customer base; we are looking for organizations that are complementary to our offerings and that will be useful to our customers and their events.
Last year we acquired ITN because we wanted to bring their unique onsite technology and tools to our current customers, and it was something they hadn’t seen from us before. We’re happy to say that not only are ITN’s products fully integrated into Aventri’s offerings, the entire ITN team including CEO Ivan Lazarav is as well. We see the value in adding the brilliant minds that created, marketed and managed the software to our existing team so that we can continue to innovate.
We're not looking to acquire a company and strip out costs. For us, it's really about bettering our product for our customers.
Q: What do you think of other acquisitions in the industry? How do you think these acquisitions will affect company growth and innovation?
What immediately comes to mind in terms of recent industry acquisitions, is the announcement that Cvent had acquired DoubleDutch. In my opinion, it’s an interesting move, especially when you think back to DoubleDutch CEO Lawrence Coburn’s commentary about the impact of Vista’s 2016 acquisition of Cvent. At the time, Lawrence discussed how the announcement would negatively affect event registration and overall innovation in the industry.
More specifically, I think that for the DoubleDutch customers who chose to stick with the company because they were a point solution, this acquisition is a concerning development. If we were to look at Cvent and how the company has handled its mobile app acquisitions, we see that there's not a lot of integration or innovation that's taking place in the years that follow. So, I think it’s fair to say we can expect them to do the same with DoubleDutch, and that’s definitely concerning for current DoubleDutch customers.