Constant Contact Annual Report
28 consecutive quarters of growth in revenue and customers
Added more than 88,000 net
new Email Marketing customers.
Ended with 253,421 customers.
Grew revenue by 73%.
“Best Customer Service Team”
The American Business AwardsSM
“Entrepreneur of the Year”
Gail Goodman, CEO
Ernst & Young Awards – New England
“Company of the Year”
Mass Technology Leadership Council
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
2005 2006 2007 2008
To our Stockholders,
I am pleased to write to you following Constant Contact’s first full year as a public company. We are very satisfied with our
strong 2008 performance, especially given the increasingly difficult economic environment. During 2008, Constant
Contact’s business model and solid momentum helped to deliver rapid and predictable revenue growth, expanding operating
margins and positive cash flow.
STRONG FINANCIAL AND OPERATIONAL PERFORMANCE
We generated revenue of $87.3 million in 2008, which was an increase of 73% compared to 2007. In addition, we achieved a
major milestone by exiting the year with an annualized revenue run rate of over $100 million. The primary driver of our
revenue growth is the continued expansion of our email marketing customer base. We added a record number of net new
email marketing customers during 2008, and finished the year with over 253,400 customers.
In addition to strong revenue growth, we are equally pleased that our key customer metrics – retention rates, average email
marketing invoice and the number of customers in the $15 and $30 per month pricing tiers – remained consistent with
historical ranges during 2008. This was particularly reassuring in light of the difficult economic environm