ThreatMetrix Achieves Record Revenue, Billings, Transactions, and Customer Growth in 2010
Posted January 17, 2011
ThreatMetrix Broadly Expanded Its Product Offering in 2010, Including Introduction of Cookieless Device Identification Enabling Businesses to Automate Fraud Decisioning Across Customer Acquisition Lifecycle
LOS ALTOS, CA. – January 18, 2011 – ThreatMetrix™, the fastest growing cloud-based provider of fraud prevention solutions that do not require personally identifiable information (PII), has outlined the factors that contributed to its significant growth in 2010. ThreatMetrix had the most productive year in its history with revenue and billings increasing by more than 400% over 2009 and transactions up an impressive 1,000% year-over-year.
“We’ve now demonstrated eight consecutive quarters of growth in revenues, customer billings and total transactions processed with an average growth rate of 33% quarter-over-quarter,” said Reed Taussig, president and CEO, ThreatMetrix. “Our industry-leading software-as-a-service approach to online fraud prevention has pushed our company forward despite a hard economic climate. The significant growth we’ve achieved in 2010 both validates and generally reflects an industry wide move toward cloud-based security and the demand for our online fraud prevention services. ThreatMetrix enjoys better than a 95% customer retention rate and continues to benefit from strong recurring revenues due to customer loyalty.”
ThreatMetrix made significant advances in several key areas in 2010 helping push the company to the industry forefront of fraud prevention solutions:
• Acquired New Customers: ThreatMetrix added more than 250 new customers in 2010, both direct and through its reseller channel.
• Secured Series C Financing: ThreatMetrix secured $12.1 million in financing in a Series C round led by Tenaya Capital, formerly Lehman Brothers Ventures. ThreatMetrix’s existing investors, which include U.S. Venture Partners, CM Capital and TVP, also fully participated in the round.
• Entered New Markets: ThreatMetrix entered several new markets in 2010, including the financial services sector, which contributed more than 20% of its total billings. The sector is expected to grow to 35% of total billings in 2011. Additional new markets served also include ticketing and travel which serves to complement existing markets in e-commerce, affiliate marketing, social networking/Web 2.0 and payments. In 2011, ThreatMetrix will also be targeting the government sector.
• Expanded International Presence: ThreatMetrix exited 2010 with more than 30% of its business originating offshore. To better serve its European customers, ThreatMetrix opened a European headquarters office in The Hague, The Netherlands.
• Hired Strategic Leaders and Advisors: ThreatMetrix hired Phil Steffora as vice president of global networks and chief security officer. Additionally, the company named Lieutenant General Steven Boutelle, U.S. Army (retired) to the ThreatMetrix board of directors. Boutelle, a former Army chief information officer, will provide strategic counsel on how to sell and market fraud prevention solutions to the government sector. Rick McPhee, vice president of engineering at Fortify, was also named to the ThreatMetrix advisory board.
• Grew Partner Ecosystem: In 2010 ThreatMetrix expanded reseller relationships with Athena Global Services (France), ExperCash (Germany), Moneris (Canada), PagosOnline (South America), ClearSale (Brazil), ActivIdentity (U.S.) and Neovia (Europe and Canada).
• Enhanced Corporate Infrastructure: In order to meet increasing European customer demand and the millions of daily transactions flowing through the global ThreatMetrix Fraud Network, the company opened a new data center in the United Kingdom. Additionally, ThreatMetrix was certified as compliant with the United States – European Union (EU) Safe Harbor Framework. The Safe Harbor Framework was developed by the European Union and the United States to bridge their different approaches to privacy. Top European e-commerce, travel, Web 2.0 and payments companies now make up 25% of the millions of daily transactions flowing through the global ThreatMetrix Fraud Network.
ThreatMetrix®, The Digital Identity Company®, is the market-leading cloud solution for authenticating digital personas and transactions on the Internet. Verifying more than 20 billion annual transactions supporting 30,000 websites and 4,000 customers globally through the ThreatMetrix Digital Identity Network®, ThreatMetrix secures businesses and end users against account takeover, payment fraud and fraudulent account registrations resulting from malware and data breaches. Key benefits include an improved customer experience, reduced friction, revenue gain and lower fraud and operational costs. The ThreatMetrix solution is deployed across a variety of industries, including financial services, e-commerce, payments and lending, media, government and insurance.
Tel: 650-625-1451, ext. 122