Digital B2B Opps: Splunk to be acquired by Cisco (Score 18)

Sales lead: The company may shift around ad dollars & make agency changes now that it is under new ownership. 

• Splunk entered an agreement to be acquired by Cisco for $28b.
• This will reportedly create one of the largest software companies in the world. 
• The deal, which is still subject to regulatory approval, is expected to close in Q3 2024.
• Splunk's CEO, Gary Steele, will join the Cisco leadership team and report to chair and CEO Chuck Robbins. 

Target demographic: Businesses that need cybersecurity services

The company will likely:

• Return to higher ad spend 
• Try new ad channels
• Review the agency roster/hire additional assistance

Digital and social insights (digital ad spend, effectiveness, impressions, and performance)

• YTD spend: Splunk spent about $1.1m on digital display ads YTD, just 28% of the $3.9m spent in this channel during the same time period of 2022. 
• YTD data: 157.1m impressions via desktop display (43%), Facebook (40%), Instagram (9%), YouTube (4%), Twitter (2%), and mobile display (2%).
• 2021-2022 spend: Full-year spend fell 37% from $6.7m in 2021 to $4.2m in 2022. 
• Ad location: It placed 98% of these ads directly onto sites such as facebook.com, instagram.com, politico.com, youtube.com, and wtop.com. It placed 2% of these ads through multiple indirect channels onto sites such as youtube.com, politico.com, msn.com, engadget.com, and excellenttown.com. 

Additional channel insights  

• Top podcasts sponsored: Planet Money, CyberWire Daily, Pivot, Syntax - Tasty Web Development Treats, and Mad Money w/ Jim Cramer. 

Agency analysis:

• Opportunity: You may be able to pick up some of Splunk's business now that it is under new ownership.
• Current roster:
  • Godfrey Dadich: creative & digital