IZEA Reports New Business Sales Surge in Q4 2020

Rhea-AI Summary

IZEA Worldwide has reported a strong quarter for Q4 2020, with Managed Services bookings more than doubling from Q3 and exceeding figures from Q4 2019. The total SaaS customer base has reached a record high, driven by new self-service offerings. CEO Ted Murphy highlighted the company’s efforts to replace customers lost during the COVID-19 pandemic, achieving significant growth in new customers across various sectors. The company anticipates a 50% increase in monthly active customers compared to the start of the year, signaling a positive outlook for 2021.

Positive

• Managed Services bookings increased significantly, exceeding Q4 2019 results.
• Total SaaS customers reached record numbers in Q4 2020.
• New customer acquisition informed by improved self-service offerings.
• Expecting a 50% increase in monthly active customers by year-end.

Negative

• None.

Managed Services Bookings Grow Quarter Over Quarter and Already Exceed Q4 2019

Orlando, Florida, Dec. 14, 2020 (GLOBE NEWSWIRE) -- IZEA Worldwide, Inc. (NASDAQ: IZEA), the premier provider of influencer marketing technology, data, and services for the world’s leading brands, announced today that it has seen a surge of new customers in Q4 2020. The company has delivered quarter over quarter growth in new customer counts for both Managed Services and SaaS. The number of new customers for Managed Services more than doubled from Q3 to Q4, and the total number of active SaaS customers hit a record in the fourth quarter as well.

“Our managed services team continues to see positive momentum despite the various challenges associated with COVID-19,” said Ted Murphy, IZEA’s Chairman and CEO. “Not only have we delivered managed services bookings growth as compared to Q3 of this year, we have already bested our Q4 2019 managed services bookings number and we still have a few weeks remaining in the quarter.”

“Since the onset of the pandemic, Team IZEA has been working tirelessly to replace the customers that were hit hardest by COVID restrictions and overall changes in consumer behavior,” continued Murphy. “Our team has done a tremendous job identifying new opportunities and added a variety of new customers ranging from media companies to alcohol manufacturers. Halfway through December, our pipeline remains robust and we are hopeful to continue our growth inside this quarter.”

IZEA’s total SaaS customer base has already increased to reach record numbers in Q4 2020, largely driven by self-service offerings. The acquisition of new IZEAx Unity Suite customers also saw a dramatic rebound from Q3 lows, with the count of new customers added so far in Q4 2020 exceeding that of Q4 2019. We believe that the expansion of new Unity Suite customers has been positively impacted by more affordable and flexible licensing options that were first introduced toward the end of Q3.

“One of our primary goals heading into 2020 was to expand our customer base and diversify our revenue streams,” said Ted Murphy, IZEA’s Chairman and CEO. “We have been executing against a variety of initiatives on that front, from the launch of BrandGraph and Shake, to the revised pricing and go-to-market strategy for IZEAx Unity Suite. We are still in very early days of this effort, but I am pleased with the progress we have made this year in the face of extreme challenges and uncertainty. We expect to end the year with a 50% increase in monthly active customers across all lines of our business as compared to the start of the year, largely due to our self-service software offerings. I am optimistic about 2021 and our ability to continue our growth and positive momentum.”

About IZEA Worldwide, Inc.
IZEA Worldwide, Inc. (“IZEA”) operates IZEAx, the premier online marketplace that connects marketers with content creators. IZEAx automates influencer marketing and custom content development, allowing brands and agencies to scale their marketing programs. IZEA creators include celebrities and accredited journalists. Creators are compensated for producing unique content such as long and short form text, videos, photos, status updates, and illustrations for marketers or distributing such content on behalf of marketers through their personal websites, blogs, and social media channels. Marketers receive influential content and engaging, shareable stories that drive awareness. For more information about IZEA, visit https://izea.com/.

Safe Harbor Statement

All statements in this release that are not based on historical fact are “forward-looking statements” intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as “may,” “will,” “would,” “could,” “should,” “expect,” “anticipate,” “hope,” “estimate,” “believe,” “intend,” "likely," "projects," “plans,” "pursue," "strategy" or "future," or the negative of these words or other words or expressions of similar meaning.  Examples of forward-looking statements include, among others, statements we make regarding expectations concerning IZEA’s ability to increase revenue and bookings, growth or maintenance of customer relationships, and expectations concerning IZEA’s business strategy. Forward-looking statements involve inherent risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements, as a result of various factors including, among others, the following: competitive conditions in the content and social sponsorship segment in which IZEA operates; failure to popularize one or more of the marketplace platforms of IZEA; our ability to establish effective disclosure controls and procedures and internal control over financial reporting; our ability to satisfy the requirements for continued listing of our common stock on the Nasdaq Capital Market; changing economic conditions that are less favorable than expected; and other risks and uncertainties described in IZEA’s periodic reports filed with the Securities and Exchange Commission. The forward-looking statements made in this release speak only as of the date of this release, and IZEA assumes no obligation to update any such forward-looking statements to reflect actual results or changes in expectations, except as otherwise required by law.

FAQ

What were IZEA's Q4 2020 Managed Services bookings results?

Managed Services bookings in Q4 2020 more than doubled from Q3 and exceeded Q4 2019 figures.

How did IZEA's SaaS customer base perform in Q4 2020?

IZEA's total SaaS customer base reached record numbers in Q4 2020, driven by new self-service offerings.

What growth does IZEA expect in monthly active customers?

IZEA expects a 50% increase in monthly active customers by the end of the year compared to the start.

How has COVID-19 affected IZEA's customer acquisition?

IZEA reported significant new customer growth despite challenges posed by COVID-19, especially in diverse sectors.

What is the outlook for IZEA in 2021?

IZEA is optimistic about continued growth and positive momentum heading into 2021.