July 08, 2010
Nextag Acquires Product Recommendation Site, WizeAcquisition Enables Nextag to Provide Review Content to Consumers and Increase Marketing Opportunities for Merchants
San Mateo, CA, July 08, 2010 - Nextag, (Nextag.com), a leading comparison shopping website for products and services, today announced the acquisition of Wize (Wize.com), an online product recommendation research engine. This agreement will enable Nextag to deliver greater levels of convenience and quality to the consumer online shopping experience.
Wize will continue to maintain its offices, employees and management team in Burlingame, CA. Wize President and CEO, Tom Patterson, will report directly to Scott Simmons, President of Nextag. Financial terms of the acquisition are undisclosed.
“The Wize acquisition is an important step towards fulfilling Nextag’s strategic mission to be an indispensible shopping resource for consumers at every stage of their shopping experience,” said Jeffrey G. Katz, Chief Executive Officer of Nextag. “The synergy between Nextag’s proprietary price comparison technologies and Wize’s sophisticated review content will allow us to expand the range of shopping services we offer consumers, while simultaneously offering an unmatched portfolio of marketing opportunities for our merchant partners. The Wize transaction is one of a series of strategic moves we will make over the next year, encompassing acquisitions, global expansion and aggressive recruitment of top talent, all of which will enable us to seize competitive advantage as this category evolves.”
Since launching in late 2006, Wize has aggregated more than six million product reviews on over one million products from thousands of sources across the Web. The patent-pending Wize Product Research Engine analyzes this massive amount of data using real everyday language based on what people have said is important, and provides users with an easy to use, personalized list of product recommendations. The site is designed to help consumers find the products that meet their specific needs and budgets.
“Since our inception, the goal of Wize has been to set the standard in innovative customer recommendation services, so Nextag’s customer-focused approach to online shopping is a natural fit,” said Tom Patterson, President and CEO of Wize. “Nextag’s global reach will allow us to increase the scale our efforts to develop breakthrough intellectual properties, which will keep us at the cutting edge of delivering great product recommendations and delighting customers.”
Trusted online product reviews and recommendations are a major influencer of consumer purchases across a wide range of products. According to Nielsen, recommendations from personal acquaintances or opinions posted by consumers online are the most trusted forms of advertising. The acquisition of Wize will expand Nextag’s ability to help consumers discern between good and bad opinions on the Web, allowing them to have confidence in the products they are purchasing.
The acquisition of Wize is one of a series of strategic initiatives being driven by Katz and the Nextag management team to expand and diversify the company’s offerings in the competitive online shopping segment. Katz joined Nextag as Chief Executive Officer in March from his post as Chairman, President and CEO of LeapFrog Enterprises, Inc. There he led the successful expansion of the company's online education product line and significant growth in the company's installed base. Prior to his tenure at LeapFrog, Katz held a series of high-profile positions within the travel industry as Chairman and Founding CEO of Orbitz, Inc., President and CEO of Swissair, and as President of the SABRE division of American Airlines.
Nextag® is the leading comparison shopping site for products, education, financial services, travel, and more. At the core of Nextag® are proprietary technologies and algorithms that enable shoppers to quickly compare prices and find great deals on millions of products and services. More than 30 million people per month use Nextag® to research, compare, and save on products and services online.
Nextag® has been named one of the "50 Best Websites 2008" by TIME magazine. The company operates comparison shopping sites in the US (Nextag.com), the UK (Nextag.co.uk), France (Nextag.fr), Germany (Nextag.de), Spain (Nextag.es), Italy (Nextag.it), Australia (Nextag.com.au) and Japan (Nextag.co.jp). Nextag® is headquartered in San Mateo, California with offices in London, Tokyo and Gurgaon, India.
Wize (Wize.com) simplifies product research by helping consumers find products based on their needs instead of technical product features. Users simply tell Wize what product they are looking for and how they want to use it. The patent-pending Wize Product Research Engine then reads data from thousands of sources across the Web, analyzes more than six million reviews for more than one million products, and provides a personalized list of the top products for users’ needs. Wize, headquartered in Burlingame, Calif., is privately held and was funded by Mayfield Fund and Bessemer Venture Partners. For more information, visit www.Wize.com.