Tuesday, February 15, 2011

Urgent: PointRoll CEO Tafler is out, and Gatto is in

Confirming recent Gannett Blog speculation, Gannett just announced that CEO Jason Tafler has left digital advertising services subsidiary PointRoll, and is being replaced by Rob Gatto, who's been senior vice president over sales.

Gatto
Tafler has stepped down from the company to move closer to family in his native Canada, GCI says.

In a statement, Gatto says: "PointRoll is in a very strong position, coming off of its most successful year ever with an even stronger 2011 predicted. We're uniquely qualified to deliver the next generation of display ad technology, delivery and engagement. Jason has done an amazing job getting PointRoll to this position, and he will be missed."

Tafler
Tafler's departure confirms a report yesterday by reader My Boss that an announcement was due today, as well as a tip I received earlier. Although unconfirmed, My Boss says GCI Chief Operating Officer Gracia Martore had agreed to very large compensation packages to retain Gatto and other senior executives.

In the statement, Martore says: "Rob has the expertise, institutional knowledge and proven leadership necessary to help PointRoll define the future of display advertising, while enabling brands and their agencies to deliver relevant and more engaging ad experiences. He is a natural fit and will enable a smooth transition. We are fortunate to have Rob lead PointRoll and its vision to drive advertising effectiveness for brands, publishers and end users."

Tafler's exit had been expected as multimillion-dollar payments known as earn-outs were paid to him and to other executives as part of their employment contracts.

The statement continues: Gatto will be succeeded in his role as senior vice president of sales at PointRoll by Sarah Ripmaster. Ripmaster was most recently vice president of major accounts at PointRoll leading sales efforts for top advertisers and their agencies, including automotive sales and strategy working with leading OEMs and automotive agencies for both foreign and domestic brands.

"Gatto is supported by the rest of PointRoll's executive team, which remains consistent,'' the statement says. "Sandy Dondici as chief operating officer of PointRoll leading operations and technology teams, Catherine Spurway-Hepler as senior vice president of strategy and marketing, continuing to lead strategic business and marketing objectives, and Max Mead will continue to develop partnership strategies as vice president of business development."

Who cares?
PointRoll is a cornerstone of GCI's Digital Segment portfolio. Corporate doesn't break out its contribution to overall revenue and profits, but Gannett Bloggers have speculated that PointRoll contributes an outsized share of both. For that reason, any management change could have broad consequences for GCI's overall health.

PointRoll is based in the Philadelphia suburb of Conshohocken. GCI bought it in June 2005.

Earlier: the Digital Segment accounted for $166 million of GCI's overall $1.5 billion in fourth-quarter revenue

68 comments:

  1. PointRoll is worse than Egypt right now. I cannot believe we have someone who is not in HQ as the CEO. We have ShopLocal people taking over this place when in fact, Jason Tafler saved the ShopLocal people from all being fired!

    This is the wrong direction. Sorry to see Jason go, but it is his time to leave. Not happy about seeing a "no name" running the place along with a bunch of rookie sales reps.

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  2. Jason Tafler is crawling back home to Canada. He couldn't make it in the USA, so he is heading home.

    Good riddance for a sorry leader. Nice mess you left us here at PointRoll.

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  3. PointRoll for 6 years2/15/2011 12:46 PM

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  4. Actually, just a week ago Gracia Martore was looking for Sandy Dondici as the CEO. Seems like Rob Gatto kicked his way into that job and shoved aside Sandy. Ouch! Thought Sandy had bigger balls than that!

    Seems like Gracia Martore has no idea what Pointroll does.

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  5. Pointroll Concern2/15/2011 2:39 PM

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  8. Well, that's about it folks. Get the resumes ready. This place has officially fallen apart. Wasn't it rumored that a few weeks ago that Rob Gatto quit? Now he is running the place? Doesn't make sense. Doesn't Rob live in Chicago? How will that work? And the new head of sales Sarah lives in Chicago too. These guys claim they travel, but the reality is they only travel for president's awards and for other boondoggles.

    These people have no leadership skills. They just scream the loudest.

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  10. 3:18p - Rob Gatto travels all the time and not for "president's awards and other boondoggles". He lives in Chicago, but I can tell you from experience that he is hardly ever in town. Get your facts straight.

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  11. Flash talking spammer, go elf yourself, I'll stick it out here where there's a real business, thanks

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  16. I work in Gannett Digital and I will have to say that the Pointroll management team should be very careful. We had situations like this where Gannett promised A LOT to people to keep them on and then all of a sudden, the "paperwork" came and it was TOTALLY DIFFERENT from what was agreed to. Furthermore, if you were dealing with Dan Ehrman, Gannett will always look for "an out" so that they do not have to pay you.

    So my advice is, the deal is not done until the paperwork is presented because I think this management team was just played by Ms. Martore. I know they haven't received their paperwork yet.

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  17. I remove all comments about any individual's personal appearance.

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  18. Looks like Rob Gatto and Jason Tafler are now posting to the blog. Nice job. They might as well spend their time her instead of running a business.

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  20. How does Sandy Dondici feel about having the CEO title taken away from him so they can make room for Rob Gatto? Rob spent half his time saying how great Sandy is in today's company meeting. In between all the "booing" and "laughing".

    Clearly point rollers do not have much respect for Rob Gatto or Jason Tafler.

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  22. Has Sarah Ripmaster ever managed a large sales team before?

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  23. Did I hear correctly that Catherine Spurway Hepler is an "SVP of Strategy". Seems like there is NO STRATEGY here at Pointroll. So glad we promoted a marketing person to run Strategy.

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  24. Sarah Ripmaster has not managed anything before this job. She sold drugs as a sales rep before she joined pointroll and now she sells rich media ads to Ford. Way to work you way up to the top!

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  25. I'm just sick of seeing all of these BS comments from people who don't even work here, and don't reflect at all how real employees feel about the company. I wish it hadn't taken so long to figure out the new leadership considering how long everyone has known about Jason leaving, but now that it's settled I'm happy to get back to work. Heck I think I am even excited. There are a lot of great people at PointRoll and fortunately they're smart enough to not to believe the posts of 2 or 3 low-lifes who want to harm the company.

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  26. Akward moment for Max Mead on today's call. It seems like Rob did not have anything good to say about him or about Catherine Spurway. Those two should polish up their resumes real soon.

    I love the fact that Rob was kissing Sandy's ass as he basically took his job away from him.

    Jason's lame excuse that he decided to move back home was so insincere. I swear the guy is a robot. The most enjoyable part was when people were booing and laughing when Rob Gatto was speaking.

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  27. 7:13p, is that you Rob Gatto! You are going to have to try harder than that dude.

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  30. Jason,
    Please focus on the problems at Pointroll. You are trying to deflect. The attention should not be on some random competitor. You have problems at Pointroll. Maybe Flashtalking is causing competitive problems for you and Rob Gatto.

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  33. If it's so bad over there, why don't you just leave and stop your whining? Maybe you can't find another job?!

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  34. What an immature bunch of people at Pointroll. Look at the post from 7:40p. Are you kidding. Jim, that post should be taken down. Joe Sabol has nothing to do with this place. He left over two years ago.

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  35. Well said 7:44! I know Grwcia Martore and Robin Pence are monitoring this blog. I can only imagine what they are thinking now.

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  36. Pointroll will never win again until it leaves the sorry town of Conshohoken. Those people have never left their neighborhood, let alone the state of PA. What a joke. Go to a real city and join the real world.

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  37. Maybe they should all move to Chicago where the new CEO lives as well as the new SVP of Sales!

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  39. To 8:35: First, I do not know who Shappy is.

    Second, it's not OK to slander/libel anyone on this blog. Any reader who thinks that may have happened is strongly encouraged to point me to the date and timestamp of any such comment they think has crossed a line.

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  40. Bring back AJ!

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  41. In 2010, what were PointRoll's total operating revenues? How about its operating (EBITA) income?

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  42. Best of luck to Jason in his future endeavors, and best of luck to Rob Gatto, who is inheriting the smartest and hardest-working bunch of people there ever was.

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  43. Go fuck yourself Jim

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  44. well said 11:19!

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  45. It sounds based on the comments above that there are many ungrateful whiners out there at PointRoll. Rob would be smart to move the business to Chicago and focus on Product Development.

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  47. Rob Gatto and his junior management team is going to take PointRoll into the future...NOT! Good luck competing Rob. Seems like this is the Bad News Bears of rich media. I am outta here!

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  48. Jim,

    Get your facts straight. Learn what an earn out is first. The earn outs have been done for some time - like 2007. It's called a bonus otherwise.

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  49. Either way...Bonus or earn out, this management team is over paid and immature. Can't believe Gracia has a bunch of kids holding her hostage. What a a joke. I am sure when these "executives" get their paperwork from Gannett, it will be a different story.

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  50. Haters are Going to Hate...

    1- PointRoll/ShopLocal is and will REMAIN a machine that MAKES MONEY.

    2- Jayson has zero talent or personality.

    3- El "Gatto" at least understands the market place.

    4- There are some bitter people on this blog

    -- THE NEWMASTER

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  51. Here's an opinion from someone who isn't getting any kind of payout from leaving people. Here's the reality for us little people. Believe it or not, some of us actually loved our jobs, for the most part. And if we didn't love it, it paid the bills and we got to work for a truly fun, crazy, fast paced, amazing company. CEOs, CTOs, COOs, VPs, etc... they may have been our most respected mentors, our father figures, or maybe our worst enemies. Either way, we went to work, worked our behinds off, made some friends, had some fun, and learned more than we ever imagined. We found confidence we didn't know existed, intelligence we forgot we had, co-workers who always made us laugh and who we could inspire and mentor, that alone made it worth while to come to work. So, bash all you want, where does it get you? I know what my blood, sweat and tears got me... an excellent reputation, true confidence in my abilities, and people I will forever call my friends. I personally don't regret one single moment, and I couldn't be more appreciative of those who actually matter. And for those who don't, what difference does it make. To me, I'm over being angry, and I also know that Karma is 'a dish best served cold'. I look forward to new adventures, new challenges and meeting some new, intelligent, awesome people, and yeah having a little fun. After all, isn't that what it's all about?

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  54. sorry to hear you're so sour about the state a print jim.

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  55. What's a Poin Troll?

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  56. 10:52 is on target.

    Jason has great knowledge on the industry. While you may not like his personality (I don't), he has great expertise.

    Having known him for over five years, I can tell you he was a human at one point in time. Now, he is a machine.

    On earn out vs bonus, it is important. Jim will tell you non-stop that he was a business reporter for USAT. Meanwhile, he gets this detail wrong - consistently. And, at the same time, Jim belly aches that journalists are undervalued.

    To be sure, there are great journalists out there. There are even journalist who get the details right. As for Jim, perhaps his termination was for performance rather than being a victim of big and evil corporate.

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  57. I'm told that PointRoll's results last month were below those of two years ago, and that this month's trend is little changed.

    Given its roughly $50M contribution to Gannett's bottom line last year, the situation appears serious.

    Can anyone here explain the causes in terms that a broader audience of lay people can understand?

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  58. Pointroll has a few problems Jim. First, their competition is killing them at the low end of their pricing. Pointroll has always been a premium product, but since they have lacked any sort of innovation, they have had to (and continue to) drop their pricing to keep their clients.

    Most, if not all, of Pointroll's business is volume based. So, as their pricing drops 20-40%, they have to make up for it on increased volume. The problem is that Pointroll's clients are using less of it, not more. So, a drop in pricing and a drop in volume is a bad recipe for pointroll.

    Also, Pointroll really has only a few large clients that make up a fair amount of the revenue. Ford Motors is the biggest. Pointroll is starting to lose some of that business and now that Sarah Ripmaster (former Ford a rep) is running all sales, Ford will have more of a reason to look at other solutions.

    Finally, Pointroll has lost over 12 sales reps in the last month. We only have 40 sales reps to begin with. It also take six to nine months to ramp up a new rep. So, by the time we find a new rep and ramp them up, it is a twelve month process. The loss of top sales reps hurts even more.

    Pointroll still has some opportunities, but the worry among employees is that this leadership does not have the experience for a company with so many challenges that are product, pricing and people related.

    Finally, Pointroll sales reps get paid a 10% commission on gross revenue. The average sales rep makes 250 to 350,000 in commissions alone. So, when you lose a dozen sales reps, you potentially lose over $20 to 25 million in real annual revenue. This is the biggest problem.

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  59. Jim,
    You are correct. Pointroll's revenues this year or worse than the revenues from 2009 (in the thick of the worst recession)!!!! It is bad here.

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  60. 4:48p is dead on accurate. We have no new products and our competitors are really beating us up. We also lack any real brand name running pointroll. Since Saridakis left, we have had very little credibility in the marketplace. Tafler was a good fill in for Saridakis at times, but we are in desperate need of a visionary and an innovator. We are selling the same crap, just much lower in price.

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  61. 4:41 PM. you mean same crap much higher in price?

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  62. Bring back the Mitch!

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  63. I don't have an opinion on most of your claims but can tell you that your financial info us way off. PointRoll had a record year in 2010.

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  64. I am always bewildered by the the word "innovation" when it comes to pointroll. Sure, what Brian Sloyer, Jules Gardner and Keith Gelles did when they launched pointroll was innovative. Turned display advertising on it's head. But that is where it ends. Everything after that was response to business requirements and client needs.

    In fact, the initial core recognized this from the start, and knew the only way to maintain viability in the face of intense competition was to build a great service around rich media ad serving. All the credit goes to those three, when it comes to innovation.

    Saradikis, highly influential in profit gain at Doubleclick, was a recognizable name that would lend legitimacy in efforts to sell the enterprise, eventually to Gannett.

    I don't know of any innovation Saridakis provided while at pointroll. I mean no disrespect. Saridakis sold pointroll. He sold it very well. You can't argue with his success. He is really good at what he does.

    There were a couple moves that were made pre-sale that really made them legit. 1. Pointroll brought in Andy Ellenthal, who would settle for nothing less than world domination when it came to market positioning. Plus he was straight up with everyone. 2. They brought in Max Sobal to develop the service side.

    If pointroll didn't do either of these two things, this would be totally different conversation.

    In summery:

    1. pointroll is not a technology company. They are vendor serving a specific niche that requires them to be on the bleeding edge of innovation because their clients require that they expertly are. These are two different things.

    2. pointroll was innovative once. (Which is a lot).

    3. Stop with the "innovation" talk. Sell what you do. pointroll still kicks the shit out of competitors on service.

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  65. 11:17 Please re-read my post at 12:38; my financial info concerned last month (January) and this month -- not 2010.

    Still, it's worth noting what Gracia Martore told analysts during the recent fourth-quarter earnings conference call: PointRoll was having a tough time maintaining momentum. Here's what she said:

    "With regard to PointRoll in the fourth quarter, as you may recall in December of 2009, there was a fairly significant uptick in national advertising spending and in campaigns and PointRoll was a huge beneficiary of that. . . . And so we had a very, very difficult comparison at the PointRoll level in December, particularly. So I think that is part of the reason why I think we saw a little bit more subdued results."

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  66. All I know is Saradakis is worth about $300 million and I am not. I wish I knew him sooner. Innovation or not, this guy has made a lot of people money and has built some great businesses and careers for people. Pointroll today wouldn't be were it is if it weren't for Saradakis throwing out the founder (sloyer) and brining in ellenthal, harvey, tafler and ripmaster and a bunch of other people.

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  67. Amen 12:04p. Saridakis is THE man! All these managers are a bunch of bloodsuckers and wouldn't be here if Saridakis didn't put them in their jobs! In fact, Saridakis is the one who put Rob Gatto in the role of SVP of Sales instead of Joe Sabol. Clearly this guy Gatto owes Saridakis quite a lot.

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  68. Jim, there are several comments posted that are even handed, objective, and not filled with emotion, anger or jealousy (2/16/2011 10:52 PM, for example). Please remove these immediately so I can focus my limited time on the bashing and back biting. Thank you.

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Jim says: "Proceed with caution; this is a free-for-all comment zone. I try to correct or clarify incorrect information. But I can't catch everything. Please keep your posts focused on Gannett and media-related subjects. Note that I occasionally review comments in advance, to reject inappropriate ones. And I ignore hostile posters, and recommend you do, too."

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