NameStarter.com :: domaining business blog // Domaining for Domainers

Archive for the ‘shopwiki.com’ Category

For Oversee.net, ShopWiki Is Another Ill-Timed Acquisition

July 6, 2011Domaining, Domainnamewire, Oversee.net, shopwiki.com, UncategorizedComments Off on For Oversee.net, ShopWiki Is Another Ill-Timed Acquisition

Latest big acquisition hit hard by Google algorithm updates.

ShopWikiOversee.net has made a few big acquisitions over the years, and something always seems to go wrong.

There was Moniker, which the company bought at the peak of the domain name auction market.

Then there was Snapnames, which lost its best source of domains names (Network Solutions) to a joint venture with eNom shortly thereafter. And who can forget about the Halvarez shill bidding scandal.

It appears that its latest big acquisition may also suffer from poor timing.

In late January the company announced the acquisition of shopping site ShopWiki.com.

Shortly thereafter Google released its Panda update aimed at content farms. By all accounts, this update had a negative impact on ShopWiki and its peers such as TheFind.com and BizRate in Google.

I don’t know for certain how much traffic ShopWiki lost due to Panda. (Oversee.net declined to comment for this story.) But three major ranking services — Compete.com, Quantcast.com, and Alexa, show significant declines in traffic post Panda.

Here’s Compete’s graph, with the red line showing when Oversee announced the acquisition:

This is a similar graph from Quantcast for U.S. people:

Alexa estimates that page views are down 25% over the last three months.

It’s possible that the acquisition included some earn-outs or other hurdles that limited Oversee’s downside on the acquisition. And it may have paid a good price. But usually when you acquire a company you have a plan to grow the traffic and revenue, not watch it precipitously drop.

That’s what appears to have happened here — Oversee.net bought ShopWiki at its peak.


© DomainNameWire.com 2011.

Get Certified Parking Stats at DNW Certified Stats.

Related posts:

  1. Oversee.net Acquires ShopWiki
  2. According to Analytics Sites, eHow Unphased by Google Changes
  3. Oversee.net continues acquisition spree