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Constant Contact Doubles Customer Base in One Year, Reaching 50,000 Customers Milestone

December 22, 2005 - Waltham, MA

Constant Contact (www.constantcontact.com), the leading email marketing service for small businesses, associations and nonprofits, today announced that it recently passed the 50,000 customer mark, a two-fold increase over last year's level of 25,000 customers. The Company, which will add over 10,000 new customers in the fourth quarter alone, has also seen an increase in projected annual revenue of more than 84 percent. To manage the growth of its business and customer base, Constant Contact added more than 50 new employees in 2005, more than doubled the size of its headquarters, and is actively recruiting to fill more than 20 new positions.

The surge in Constant Contact's business comes as small businesses are increasingly turning to email and away from Yellow Page ads, telephone communications and direct mail to build customer relationships and boost bottom line profits. Cost-effective, easy-to-use and measurable, email marketing costs pennies per contact, which is far less than traditional direct mail. Recent surveys and studies attest to this fact. According to a recent survey from Interland (September 2005), 60 percent of small and medium-sized companies use or are interested in using email marketing, while Forrester Research reports that 65 percent of marketers think email marketing will become more effective in the next three years (2005 Forrester Online Marketing Forecast).

"In this era of big-box stores and online shopping, small businesses see the tremendous value that comes from using email to build strong relationships with their customers," said Gail Goodman, CEO of Constant Contact. "We will continue to invest the right resources to improve our solution and ensure we remain the leading email marketing service for small businesses. The growth in our customer base proves that small businesses recognize Constant Contact's ability to help them reach out to customers regularly with minimal investment."

In addition to doubling its customer base in 2005, Constant Contact has achieved the following milestones:

Constant Contact won the 2005 Web Marketing Today Award of Merit for Excellence in E-Mail Marketing Software. The award, given by Dr. Ralph Wilson, founding editor of Web Marketing Today®, cites Constant Contact as one of the premier ASP (Application Service Provider) hosted e-mailing services.

The Company also won SmallBusinessComputing.com's "Excellence in Technology Award." SmallBusinessComputing.com readers voted Constant Contact the winner of the "E-Commerce/Marketing" category, citing ease of use, content customization, and visitor-sorting as top features of the Constant Contact email marketing service.

Constant Contact saw continued success with its Business Partner Program, adding its 1,500th partner in June with growth of over 60 percent in the past year alone.

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