Forrester brings Jupiter into its Orbit


New York – Forrester Research Inc. announced on Thursday (July 31st) that it was acquiring JupiterResearch for $23 Million cash. JupiterResearch will augment Forrester’s Marketing & Strategy Client Group, which accounted for $46.4 million of Forrester’s total 2007 revenue ($212 million). JupiterResearch posted revenues of approximately $14 million in 2007.

Forrester Research was founded in 1983 by George F. Colony, now Chairman of the Board and Chief Executive Officer, in the basement of his home in Cambridge, Mass. The company made its initial public offering of 2,300,000 shares in November of 1996, they made a secondary public offering of 626,459 shares in February of 2000. Forrester Research, Inc. (Nasdaq: FORR) is an independent technology and market research company that provides advice to professionals in business and technology. Forrester provides proprietary research, consulting, events, and peer-to-peer executive programs that focuses on the business implications of technology change. Forrester clients include marketing executives, business strategists, and IT professionals. Forrester’s clients have access to select research reports, the Forrester web site, research alerts, RSS feeds, and newsletters featuring analyst insight. Some of the reports which Forrester creates are Vendor Product Catalogs, which compare a wide array of available products and include actual user ratings and comments. They also have reports which focus on decision making tools, as well as reports that give advice about hot issues, emerging technologies, and consumer trends. Forrester has offices in Massachusetts, California, Washington D.C., Connecticut, Amsterdam, Frankfurt, London, and Paris.

JupiterResearch delivers research, analysis and advice, backed by proprietary data, to aid companies in determining how they can best profit from the impact of the internet and emerging consumer technologies. JupiterResearch offers an array of products and services which support business decisions at all technology-dependent companies. Their subscription-based syndicated research service provides access to a library of written research and data in dozens of technology, functional and industry vertical coverage areas. Analyst access is another main feature of Jupiter’s value. Jupiet also offers custom research services, which enable clients to direct the resources of JupiterResearch toward specific topics of importance. Another product, Web site review, delivers an unbiased third-party expert assessment of a company Web site and provides specific suggestions for improving the effectiveness of the site. Speaking engagements are also offered.

A number of people may read about this acquisition and wonder what the broader implications are. For starters, Josh Bernoff an analyst at Forrester, wrote in his blog that the acquisition “will increase Forrester’s research staff in the Marketing and Strategy area… by 58%.” He goes on to elaborate that their biggest problem is keeping up with client demand and that adding the new analysts from Jupiter is a quick way to alleviate this problem.

Further, this is not the first time that Jupiter has seen an interest from another research provider. In 1997 Gartner made a minority investment of 32% in Jupiter communications which was an ancestor of JupiterResearch. Acquisitions are an easy way to gain experienced headcount and nothing new in the industry. At $23 million, Forrester seems to have made itself quite a deal, especially considering that JupiterResearch reported revenues of $14 million in 2007. Forrester can also now take Jupiter’s client base and try to earn revenue from them utilizing their larger sales force.

Jupiter has a long history, having been founded in 1986 by Josh Harris as Jupiter Communications, going public in 1999, merging with Media Metrix in 2000, selling its syndicated research business to INT Media Group in 2002, being acquired by MCG Capital in 2006 and now being acquired by Forrester in 2008. One interesting item to note in this history is the fact that MCG Capital acquired Jupiter in 2006 for $10.1 million and just two short years later has managed to flip the company for more than twice that amount at a revenue multiple of more than 1.6. That’s a nice profit for MCG Capital, and one which possible stems from a greater interest right now in Industry consulting firms.

The original press release can be found below:


Forrester Acquires JupiterResearch
Combined Companies To Provide Enhanced Offerings To Marketing & Strategy Professionals

Cambridge, Mass., July 31, 2008 . . . Forrester Research, Inc. (Nasdaq: FORR) today announced that it has acquired JupiterResearch, LLC, and its parent company, JUPR Holdings, Inc., from MCG Capital Corporation (Nasdaq: MCGC) for $23 million in cash plus assumed liabilities, subject to post-closing adjustments, in a strategic purchase that complements Forrester’s syndicated business model. JupiterResearch has 82 employees and 2007 revenues of approximately $14 million. Forrester, with 2007 revenues of $212 million, now has more than 1,000 employees. JupiterResearch joins Forrester’s Marketing & Strategy Client Group, which contributed $46.4 million to Forrester’s total revenue in 2007.

“Uniting JupiterResearch and Forrester brings together the two leading research brands used by Marketing & Strategy executives,” said George F. Colony, Forrester’s chairman of the board and chief executive officer. “JupiterResearch enhances our existing role-based strategy and offerings to bring unprecedented value to Forrester’s Marketing & Strategy clients. We welcome JupiterResearch employees and clients to Forrester.”

Forrester serves marketing and strategy, IT, and technology industry leaders across 19 professional roles. The addition of JupiterResearch will fortify Forrester’s existing data-driven insight, forward-looking research and analysis, objective advice, and best practices for Marketing & Strategy professionals globally. These professionals include CMOs, consumer market researchers, consumer product strategists, customer experience experts, direct marketers, interactive marketers, and eBusiness and channel specialists at major companies.

Like Forrester, JupiterResearch provides business professionals with syndicated research, analysis, and advice backed by proprietary data. JupiterResearch has a substantive and growing library of syndicated research and strong consumer data and excels at market forecasting.

“Acquiring JupiterResearch is a significant step in our growth strategy for the Marketing & Strategy segment of Forrester’s business,” said Dennis van Lingen, managing director of Forrester’s Marketing & Strategy Client Group. “JupiterResearch’s established offering, well-respected research team, and strong sales organization complement Forrester’s and solidify our long-standing leadership position as advisors to Marketing & Strategy professionals worldwide.”

“We are very excited to be joining the Forrester brand, culture, and community,” said David Schatsky, president, JupiterResearch. “For a quarter of a century, Forrester has been a trusted advisor to many of the top businesses and organizations in the world, and we are honored to bring the best of JupiterResearch to the Forrester name.”

Forrester will discuss the JupiterResearch acquisition today at 11 a.m. ET as part of the company’s second-quarter earnings call. Investors interested in listening to the Webcast can preregister at

During the JupiterResearch acquisition, Forrester was represented by The Jordan, Edmiston Group, Inc., a New York City-based investment bank that specializes in the media and information industries.

About Forrester Research

Forrester Research, Inc. (Nasdaq: FORR) is an independent research company that provides pragmatic and forward-thinking advice to global leaders in business and technology. Forrester works with professionals in 19 key roles at major companies providing proprietary research, consumer insight, consulting, events, and peer-to-peer executive programs. For more than 25 years, Forrester has been making IT, marketing, and technology industry leaders successful every day. For more information, visit

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, which include statements about the benefits of acquisitions, are based on Forrester’s current plans and expectations and involve risks and uncertainties that could cause actual future activities and results of operations to be materially different from those set forth in the forward-looking statements. Important factors that could cause actual future activities and results to differ include, among others, Forrester’s ability to anticipate business and economic conditions, technology spending, market trends, competition, industry consolidation, the ability to attract and retain professional staff, possible variations in Forrester’s quarterly operating results, risks associated with Forrester’s ability to offer new products and services, and Forrester’s dependence on renewals of its membership-based research services and on key personnel. Forrester undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. For further information, please refer to Forrester’s reports and filings with the Securities and Exchange Commission.


Karyl Levinson
Vice President, Corporate Communications
Forrester Research, Inc.
+ 1 617/613-6262

Michael A. Doyle
Chief Financial Officer
Forrester Research, Inc.
+ 1 617/613-6181


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