GoDaddy buys Main Street Hub in $125m deal
GoDaddy, the world’s largest domain registrar, has purchased Main Street Hub, a company specialising in the provision of managed social media services, for $125 million cash plus $50 million in future earnings.
This acquisition follows a spate of other acquisitions throughout 2016 and 2017, including GoDaddy’s acquisitions of Sucuri (a security platform heavily integrated with WordPress), WP Curve (a membership site specialising in WordPress services) and Manage WP (provides a central dashboard to manage multiple WordPress installations).
GoDaddy also acquired Host Europe, one of the largest web hosts in Europe, in late 2016 for a sum of $1.82 billion.
Main Street Hub predominantly specialises in social media monitoring; they assist small business owners in managing their online brand and business reputation by scheduling social media activity, responding to negative reviews and engaging with potential and existing customers.
They have also integrated marketing automation – email marketing – into their service offering.
Main Street Hub reports it has over 10,000 customers and, according to a GoDaddy press release, the two companies complement each other strategically and culturally. The average Main Street Hub customer pays $350 per month and the company has, in the last few years, acquired $40 million in funding.
GoDaddy, like its rival Endurance International Group, is increasingly looking to focus beyond its traditional hosting and domain verticals and extend its reach into the provision of marketing and development services.
Endurance International Group – which owns a number of major web hosting companies including Bluehost, Hostgator, Just Host and iPage – has, in the last 5 years, made a number of similar acquisitions including Mojoness (a WordPress theme marketplace previously T/A Mojo Themes) and Constant Contact (an email marketing platform acquired for $1.1 billion).