TechTarget Year-to-Date Revenue Increases 51%; IT Media Company Continues Pattern of Growth; Revenue, Profit Up Substantially Across All Lines of Business

Business Wire, Oct 28, 2005

NEEDHAM, Mass. -- Information-technology (IT) media company TechTarget announced results today for the first three quarters of 2005. The company reported a 51 percent increase in revenues relative to the same period in 2004, with record revenues in each line of business--online, events, and print. The company also reported a record profit.

TechTarget's revenue growth again outpaced industry averages. Online revenues grew 61 percent during the first three quarters of 2005, as the company expanded its online operations to meet increased demand for its ROI-focused advertising vehicles. According to data recently released by the Internet Advertising Bureau (IAB) and PricewaterhouseCoopers (PWC), Internet advertising revenues (U.S.) for the first six months of 2005 hit a new record, increasing 26 percent over the first half of 2004.

Revenues for TechTarget's conferences and events, including custom event and seminar series programs, grew 37 percent during the first three quarters of the year. Nationwide, b-to-b trade show revenues grew 3.6 percent in the first half of 2005(1), the most recent time period for which data is available.

The company also posted a 44 percent increase in revenue for its print operations during the first nine months of 2005, defying trends in IT print media, a sector in which advertising revenues continue to struggle.

TechTarget's revenue and profit growth were also driven by increases in the number of orders placed and the number of unique advertisers served, coupled with a significant rise in the average number of dollars booked for each advertising order.

"TechTarget's investments in delivering ROI-focused advertising vehicles and media continue to enable the company to set the standard for success in the industry," said TechTarget CEO Greg Strakosch. "The IT media industry consistently looks to TechTarget for new business models and innovative media, whether it's our targeted, online media; strategically focused print media, white-paper sponsorship programs, Webcasts, targeted events, or integrated advertising programs. Our continuous record of growth has demonstrated that these media, built on the foundation of targeted communities of IT buyers, have created sustainable value for the company and its advertisers. As we move into the last quarter of 2005, we continue to increase staffing and services and grow the business to meet unprecedented demand for our value-focused media."

Third-Quarter Highlights

--Launched "TargetROI: Brand," a managed online branding and measurement program designed to enable IT marketers to measure shifts in key attributes of brand consideration and awareness effected by targeted online display advertising. TargetROI: Brand is the latest in a series advertising programs developed by TechTarget to allow IT marketers to achieve the maximum ROI on their advertising with TechTarget.

--Announced results for a TargetROI: Brand pilot program: TechTarget enabled PolyServe, a vendor of server-consolidation software, to quantify dramatic shifts in awareness and consideration resulting from its TargetROI: Brand campaign for its Matrix Server solutions. With its TargetROI: Brand campaign on SearchStorage.com, PolyServe increased Aided Brand Awareness by 122 percent and Purchase Intent by 55 percent.

--Expanded global operations, partnering with Spain's no. 1 IT publisher, Kunzer International, to launch TechTarget Spain

--Inked partnership with Russia's no. 1 b-to-b media company, Groteck, to launch Data Storage

--Added former CRN Editor in Chief Kelley Damore to masthead of Information Security, promoting Jon Panker to editorial director

--Added New York Times Notable Author and former Wall Street Journal reporter Michael Ybarra and Computerworld editor Steven Ulfelder to staff of CIO Decisions, the first magazine dedicated to serving the needs of CIOs and senior-level IT managers in the U.S. midmarket.

Awards & Recognition

--Recognized by market research firm Outsell as among five "Rising Stars and Future Market Leaders" in the b-to-b news and trade publishing industry.

--Named one of four finalists from the greater Boston area for the Massachusetts Alliance for Economic Development's "Economic Impact" award.

--CIO Decisions and Storage took two out of three finalist slots for the Folio: Show "Eddie" awards in "Technology/Computing/Telecom" category.

--CIO Decisions named a finalist in the Folio: Show "Ozzie" awards for excellence in magazine design.

--Storage and Information Security magazines named winners of six "Tabbie" awards by Trade and Business Publications International.

About TechTarget

TechTarget publishes integrated media that enable information-technology (IT) marketers to reach targeted communities of IT professionals and executives in all phases of the technology decision-making and purchase process. Through its industry-leading media and events, and its ROI-focused lead-generation and lead-management services, TechTarget helps IT marketers generate qualified sales leads, shorten sales cycles and grow revenues. Founded in late 1999, TechTarget has won dozens of awards for its innovation, industry leadership, and editorial excellence. TechTarget's more than 2,500 advertisers include the leading IT companies in the world, among them, IBM, Microsoft, HP, Cisco, Oracle, Sun Microsystems, and Intel. More information about TechTarget is available at www.techtarget.com