Zephr offers dynamic paywalls, identity management, entitlements management, intelligent trials, and a decision engine that helps to deliver experiences that are customised to each subscriber's need
Cloud-based subscription management platform provider Zuora has agreed to acquire personalised paywall and subscription management software solutions firm Zephr in an all-cash deal worth $44m.
Under the terms of the agreement, Zuora is to offer an additional earnout consideration of up to $6m which is subject to certain financial objectives.
The transaction is expected to enable companies across industries to nurture and monetise their subscriber relationships through a better understanding of customer behaviours, experimenting with the appropriate digital offerings, and optimising customer digital experiences.
According to Zuora, with its already existing customers including Bloomberg, DAZN, Guardian News & Media, and Penske Media Corporation (PMC), the deal will open up an expanded opportunity in media and beyond.
Zuora CEO and founder Tien Tzuo said: “The winners in the media industry are those continuously innovating around new services, bundles, and offers. And where the media industry goes, other industries will follow.
“This is what combining Zuora and Zephr is about. We’re thrilled to welcome our fellow ZEOs into the family.”
Zephr’s addition to Zuora’s product lineup is anticipated to give the companies the adaptability they need to meet the constantly shifting demands, ultimately resulting in subscriber conversion, retention, and growth.
Established in 2018 as a subscription experience platform, Zephr focuses on accelerating revenue growth for digital publishing and media companies. Its clients include News Corp, McClatchy, and Bauer.
Zephr, which claims to have nearly eight billion requests a month, offers dynamic paywalls, identity management, entitlements management, intelligent trials, and a decision engine that helps to deliver experiences that are customised to each subscriber’s need.
Following the closing of the transaction, Zephr will become a part of Zuora’s current product suite, which includes Zuora Billing, Zuora Revenue, and Zuora Collect.
Zephr CEO James Henderson said: “Our focus has been on giving our customers the agility they need to deliver the experiences that modern customers expect – it starts from the first digital interaction to conversion, to renewal.
“It was a clear decision to join Zuora to accelerate where our platform is headed, and empower all of our customers to nurture and monetize their subscriber relationships.”
The transaction, which is subject to customary approvals and closing conditions, is anticipated to close in early September.