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AllAdvantage scales down European operation

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AllAdvantage.com is making sweeping changes to its business that will lead to job losses and a major shift in the company's direction.

The California-based outfit, which pays people to view adds online, is winding down its b2c operation in favour of exploiting its technology instead.

Although no decision has been made yet about its future, it's possible that the whole b2c operation - which AllAdvantage claims is used by some five million people - could be shut down for good.

In Europe, AllAdvantage is to close it German and French offices within the next six weeks with the loss of all 12 jobs. In London, five people face redundancy as part of an exercise to scale down its European operation.

Most of the job losses involve advertising sales staff. In total, 17 jobs will disappear in Europe, leaving behind just five managers and office staff to run what's left of the business.

According to insiders, the decision was taken by head office in California. The outfit is planning to become a b2b operation and exploiting desktop toolbar technology for CRM (Customer Relationship Management).

Richard Mergler, AllAdvantage's director of Sales in the UK, confirmed the job losses and change of strategy.

"[The b2c operation] is being scaled right back with a view to close it," he told The Register.

"We're looking at a b2b technology future," he said.

He added that there would be job cuts in the US although he was unable to give further details. No one from AllAdvantage in the US was available to discuss the issue despite repeated attempts to contact the company.

AllAdvantage.com is a privately held company and was founded in February 1999. Based in the San Francisco Bay area, it recently completed a $100 million round of equity financing led by Softbank Capital Partners. ®

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