XLMedia recruits former Google and Microsoft exec to inspire tech turnaround
Jersey-based affiliate eager to save more than $5m in 2020 costs by streamlining headcount
XLMedia has hired former News International CTO Xen Lategan as an interim technology consultant to manage its portfolio of de-ranked sites.
Lategan – a former Microsoft and Google employee – has been drafted in to oversee the re-organisation of the group’s technology after 107 of its websites were demoted by Google in January.
At the time, XLMedia’s share price plummeted 30% after management suggested 23 of the demoted tier-one and tier-two sites would lead to revenue losses of between $1m and $2m per month.
XLMedia ignited an action plan in April to return the business to growth. Priorities include expanding its US sports and personal finance footprint through investment in infrastructure alongside select acquisitions, as well as growing existing business verticals into new markets.
Chief executive Stuart Simms conducted a full review of the business and revealed the new strategy would be focused on quality and not quantity.
As a result, excess functions and roles within the group will be streamlined as headcount is reduced, with XLMedia striving to achieve 2020 cost savings of more than $5m.
The strategy has also seen chief transformation officer Sarah Clark switch roles to chief operational officer (COO). Clark – a former PayPal general manager – joined the affiliate in February 2020.
“I joined XLMedia with the clear intention to orientate the company towards a balanced portfolio of premium branded sites, in verticals and markets that deliver sustainable revenue growth,” said Simms.
“To support this transformation, we have been working diligently to augment our leadership team and operating structure, as well as to right-size the resources required for our business to operate most efficiently.
“Our transformation plan continues to gather momentum and I am pleased to share our progress with all our major stakeholders, alongside welcoming new talent to the business,” he added.
XLMedia finished fourth in the EGR Power Affiliates 2020 rankings.