Lithium buys Scout Labs to add social media monitoring to CRM platform

Terms of the deal were not disclosed, but reports in the US technology press put the value of the cash-and-stock deal in the region of $20–$25m.

Lithium, which makes a social CRM platform used by the likes of AT&T, Best Buy and Sony PlayStation, plans to integrate Scout Labs automated monitoring and analytics tools with its own technology.

“They [Scout Labs] record social interactions anywhere on the web and develop a contextually rich analysis of customers’ behaviour over time,” said Lyle Fong, Lithium’s CEO. “When combined with our own deep customer engagement data, this will give our clients the most detailed picture available of their customers’ social behaviour.”

Lithium’s ‘Social CRM Suite’ encompasses forums and blogs, allowing customers to contribute and companies to interact and source new ideas, feedback and insights. In January this year the firm bagged $18m in financing, adding to an earlier $12m investment.

Scout Labs, meanwhile, began developing its product in 2006 before moving into private beta tests in 2008. It launched publicly in February 2009 and since then has amassed some 350 clients, including Disney, Coca-Cola and Motorola.

CEO Jennifer Zeszut (pictured) said: “Our customers need visibility, insight and a platform for action across their own communities and the wider social web. That’s why we’re so excited about joining with Lithium; together, we’re narrowing the gap between social insight and social action.”