May 24, 2011

Yodle Buys ProfitFuel, Doubles Client Base

Yodle announced the acquisition of Texas-based ProfitFuel this morning. The company has more than 11,000 SMB clients and specializes in SEO services. The company’s main product is called Outrank.

Beyond technology and personnel — ProfitFuel’s CEO David Rubin now fills the vacant position of head of sales for Yodle — the stated intention is to be able to service SMBs who spend less than Yodle’s traditional $1K per month.

The acquisition also boosts Yodle’s client base to more than 21,000. By comparison ReachLocal has 17,400 advertisers according to its most recent earnings release.

Yodle CEO Court Cunningham previously told me that one of the fastest growth areas of Yodle’s business was franchises and national-locals. This product services the true SMB, which can spend comparatively little on online marketing but is concerned about its online visibility. ProfitFuel’s average customer spend is $175 per month.

The acquisition also reflects the further diversification away from paid search as the center of the SMB marketing product suite.

Published In: Screenwerk