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Gawker out of business12/28/2022 Gawker said in the pitch deck that comparable public companies were valued at four to six times revenue. Revenue from the affiliate program, combined with revenue from licensing Gawker’s intellectual property, totaled $10.9 million in 2014. In 2014, those affiliate links drove more than $96 million in sales at Amazon and other online retailers. Gawker's other major revenue stream was e-commerce affiliate advertising - in which Gawker places links to products on Amazon and other online merchants in its posts and then receives a cut of any resulting sales. Its total direct ad sales revenue of $32.9 million. Its average eCPM - the cost of 1,000 advertising impressions on its sites - was above $12. That year, Gawker sold 319 advertising campaigns with an average order size of $112,154 (up from about $70,000 in 2011). In 2014, much of the company’s revenue came from direct advertising sales. The pitch deck describes a very different Gawker - a thriving digital media company with a growing ad sales business with a risky but potentially lucrative plan to transform itself into a Medium-style publishing platform. If it cannot get the judgment reversed or reduced on appeal, it will likely be forced to sell itself or go bankrupt. The company faces a $140.1 million court judgement - which it is appealing - that it is unable to afford. Gawker out of business professional#The pitch deck was originally filed under seal as part of former professional wrestler Hulk Hogan’s invasion of privacy suit against Gawker. These numbers come from a pitch deck that Gawker prepared for potential investors in early 2015, which POLITICO obtained - and they offer a window into the company's thinking as it poured $10 million into defending itself against a legal threat from wrestling star Hulk Hogan that has since become a threat to the survival of the company as Denton and his crew now know it.įor some time now, Denton has enjoyed talking about the Hogan lawsuit with anyone who might be interested, mostly because of the platform that kind of buzz provided him to demonstrate his commitment to Gawker's distinct form of journalism ($10 million in legal fees is a big commitment!). By 2019, according to Gawker's projections, the company would have had operating income of $43 million on revenue of $137.5 million, which could have valued the company at about $800 million.
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