The social storytelling platform finds a new home at the enterprise company, and it just might save the news business.
If there's one thing Jordan Kretchmer believes in, it's storytelling.
That's why on Monday the Livefyre founder and CEO acquired Storify, a service that allows anyone to curate social media conversations across Facebook, Twitter, and other mediums.
"Internally, we were looking at the next iteration of the kind of products we wanted to offer our customers," Kretchmer said by phone Monday. "Storify was smack in the middle of what we wanted to be doing with such an active, growing community, so I invited them to our headquarters, which is just down the street and said, 'Hey, I think we want to buy you. Can we talk about it?'"
This is the first acquisition Lifefyre has made since the real-time conversation and social curation platform was founded four years ago, reports The Next Web's Ken Yeung. Storify, which raised a $2.02 million round of funding in 2011, had only just begun generating revenue from its premium services, "so this was just a way for us to do that more quickly," co-founder Burt Herman told Inc.
In many respects, the match is a good one. "We've never had more than a single-digit nuber of employees," said Herman, noting that Storify faced challenges with scaling sales and appealing to enterprise customers, two of Livefyre's strong suits.
However, now that both companies are working under the same roof, Livefyre can leverage Storify's contacts to help its media customers like Dow Jones and Conde Nast "tell relevant stories," said Kretchmer, and get local scoops before they go public. "This allows [news organizations] to tell a story before they have someone on the ground," and keep their edge on community journalists.
Storify will be rolled into Livefyre's StreamHub offering, which helps Livefyre's media customers manage real-time conversations with readers. Meanwhile, Storify's free product will continue separately.
Last time Livefyre was in the news the company announced it was serving 1 billion pageviews a month and experiencing a 468 percent increase in monthly traffic year-over-year. To date, Livefyre has raised a total of more than $20 million.