| Type | Public (NASDAQ: ACXM) |
|---|---|
| Founded | Conway, Arkansas (1969) |
| Headquarters | Little Rock, Arkansas, USA |
| Key people | Scott Howe, CEO |
| Products | PersonicX AbiliTec InfoBase Customer Information Infrastructure (CII) |
| Revenue | $1.38 billion USD (2006) |
| Employees | 6,765 (2006) |
| Website | www.acxiom.com |
Acxiom is a global interactive marketing services company that uses consumer data, analytics, information technology, data aggregation, data integration, and consulting solutions to help companies conduct direct marketing programs. Acxiom’s interactive capabilities allow marketers to have direct interaction and response with consumers, and these services include direct-mail, e-mail, mobile advertising, display advertising, social media, and Web-site personalization.[1]
It has been described as "one of the biggest companies you've never heard of."[2] In addition to collecting detailed information about people, the company helps marketers anticipate the future needs of consumers, according to the documentary "The Persuaders." As the world's largest processor of consumer data,[3] Acxiom has identified 70 types of consumers with its segmentation product PersonicX.
Forrester Research, the technology research company, considers Acxiom “a technology powerhouse” with deep industry expertise across a multitude of industries. Acxiom has traditionally been known for helping many of the world's largest financial services companies conduct direct marketing campaigns, but now more than 75 percent of its revenue is derived from non-financial services clients. Today, Acxiom is a $1.38 billion-a-year company, representing more than 12 percent of the direct-marketing-services sector’s $11 billion in estimated annual sales.
The corporation has been listed several times by Computerworld[4] and Fortune[5] as one of the 100 best companies to work for in the United States.
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Founded as Demographics in 1969 by Charles D. Ward in Conway, Arkansas, Acxiom is headquartered in Little Rock, Arkansas.[6]
The company has additional U.S. offices in Chicago, Illinois; New York, New York; Foster City, California; and Nashville, Tennessee. International offices are located in the United Kingdom, France, Germany, Netherlands, Portugal, Poland, Australia, China and Brazil. Services are also available to companies in scores of other countries.[1]
In early 2004, Acxiom acquired part of Claritas, a major European data provider.[7]
In 2005, Acxiom acquired Digital Impact and integrated its digital and online services into its business.
In early 2006, EMC Corporation acquired Acxiom’s information grid software in a $30 million deal.[8]
On May 16, 2007, Acxiom agreed to be bought by leading investment firms Silver Lake Partners and ValueAct Capital in an all-cash deal valued at $3 billion, including the assumption of about $756 million of debt.[9] However on October 1, 2007, a press release announced that the takeover agreement was to be terminated and Charles Morgan would retire as Acxiom’s Company Leader upon the selection of a successor.
On January 17, 2008, Acxiom named John Meyer (from Alcatel-Lucent) as new CEO and President, effective February 4, 2008.[10]
On July 11, 2008, Acxiom acquired ChoicePoint's database marketing solutions division, adding seven clients from industries including banking, insurance, and media.[11]
On October 9, 2008, Acxiom announced it had entered into a long-term exclusive contract with XSellNet[1] to deliver and manage the distribution of real-time customer data and analytics to the retail auto dealer industry throughout the United States. The collaboration is co-branded as X12 powered by Acxiom.
In 2010, Acxiom acquired part of GoDigital, a Brazilian direct marketing and data quality company.
On March 30, 2011, Acxiom named Jerry Gramaglia as interim CEO.[12]
In 2003, the Electronic Privacy Information Center filed a complaint before the Federal Trade Commission against Acxiom and JetBlue Airways, alleging the companies provided consumer information to Torch Concepts, a company hired by the United States Army "to determine how information from public and private records might be analyzed to help defend military bases from attack by terrorists and other adversaries."[13]
According to the complaint, Acxiom's activities constituted unfair and deceptive trade practices, as "Acxiom has publicly represented its belief that individuals should have notice about how information about them is used and have choices about that dissemination, and has stated that it does not permit clients to make non-public information available to individuals," and Acxiom proceeded to sell information to Torch Concepts without obtaining consent, an ability to opt-out, or furnishing notice to the affected consumers.
The FTC took no action against Acxiom, which had responded that it had followed its privacy principles and was not deceptive in its business practices. "Torch Concepts was acting under contract to the Department of Defense in their efforts to research ways to improve military base security," a company spokesman said. "Our policy clearly states that we 'provide information products which include financial information, Social Security number and other related information where permitted by law,' and that this information is 'provided to government agencies for the purposes of verifying information, employment screening and assisting law enforcement.'"[14]
Acxiom also has a history of making it difficult for consumers to remove themselves from Acxiom's marketing lists[15].
In 2005 Acxiom was a nominee for the Big Brother Awards for Worst Corporate Invader for a tradition of data brokering.[16]
In 2003, over 1.6 billion customer records were stolen during the transmission of information to and from Acxiom's clients; the information included names, addresses, and email addresses. Acxiom's firewall was not breached, and no databases were accessed by the hackers.[17] Prosecutors described the 2006 case against the hacker accused of stealing the data as the "largest ever invasion and theft of personal data" ever tried.[18] The stolen data only came to light during an investigation of a separate data theft incident.[19]
Based on their investigation, prosecutors said there was no risk of identity theft or harm to individuals based on the breaches. They also praised Acxiom for being aggressive in pursuing the hackers and cooperating with authorities. "The positive outcome of this investigation is testament to the strong partnerships we have established with our counterparts at the headquarters and field offices of various organizations, from the FBI and Department of Justice to the Internal Revenue Service and U.S. Attorneys' Office in Little Rock," said K.C. Crowley, Special Agent in Charge of Secret Service's Little Rock Field Office. "Furthermore, I commend Acxiom Corporation for their cooperation and responsible approach to the situation. Acxiom's quick response in contacting federal investigators after determining there had been a network intrusion should serve as a model for others in similar circumstances."[20] The two primary hackers were sentenced to lengthy prison terms.