Dotdigital Group plc (LON:DOTD), a leading provider of an AI-powered customer experience and data platform for intelligent, personalised marketing at scale, has announced the accretive acquisition of Alia Software Inc., an AI‑powered pop-up and email/SMS list-growth tool built exclusively for Shopify merchants.
Acquisition Summary
| · | Alia is a US-based SaaS platform that expands first- and zero-party data and customer reach by converting anonymous website visitors into known email and SMS contacts through intelligent, brand‑aligned pop‑ups and interactive experiences. |
| · | Strong commercial momentum, with Alia serving 2,700+ customers with a 4.7/5 rating on the Shopify App Store, and forward-looking ARR in excess of $8m as at 31 December 2025 (from c.$1m at 31 December 2024). |
| · | Alia adds complementary on-site conversion capability that accelerates Dotdigital’s product roadmap, drives differentiation and supports earlier‑stage customer engagement. This creates additional opportunities for retention, cross‑sell and upsell across the Group’s customer base, supporting Average Revenue Per Customer expansion. |
| · | The initial consideration for the Acquisition is $30m, with a total maximum consideration of up to $60m dependent upon future performance. All consideration is payable in cash, funded from existing cash reserves, and the Acquisition is expected to be earnings-enhancing for the first 12 months of consolidation. Should performance targets be achieved, the maximum consideration payable would equate to two times forward-looking ARR. |
Alia and the lead capture market
Founded in 2022, Alia (www.aliapopups.com) helps brands, including TOMS, Hexclad Cookware, Aviator Nation, ILIA Beauty and Comfrt, expand their customer audiences by converting anonymous website visitors into known email and SMS contacts through intelligent, brand‑aligned pop‑ups and interactive experiences.
Using AI‑driven testing and data‑based targeting, Alia’s differentiated proposition enables it to continuously optimise when and how visitors are engaged, enabling brands to capture high‑quality first‑ and zero‑party data that can be activated across marketing channels. Its deep, native Shopify integration ensures fast performance and ease of deployment, while advanced analytics provide clear visibility into how on‑site engagement drives subscriber growth and conversion outcomes beyond basic opt‑in metrics.
On‑site conversion and list‑growth are increasingly central to capturing high‑quality first‑ and zero‑party data that underpins modern personalisation strategies. The lead capture software market has grown strongly in recent years, from $2.69 billion in 2024 to $2.87 billion in 2025, and is projected to grow to $4.45 billion by 20291, driven by demand for AI‑powered personalisation, automation and improved customer engagement.
The founders of Alia will continue in leadership roles within the business from Alia’s New York headquarters.
For the financial year ended 31 December 2025 (“FY25”), Alia reported recognised revenue of $4m, with forward-looking ARR at 31 December 2025 in excess of $8m (31 December 2024: $1m). In FY25 the company reported cash EBITDA2 in excess of $1m. The company had net assets of $1.2m at 31 December 2025 and is being acquired debt-free. All figures are unaudited.
Acquisition Rationale
The Acquisition is expected to be earnings-enhancing for the first 12 months of consolidation and accelerates the Group’s product roadmap with a high-growth and market‑leading on‑site conversion and list‑growth solution that is more advanced than the Group’s own pop-up capability. The combined offering strengthens Dotdigital’s ability to engage customers at the earliest stages of the customer journey by improving visitor‑to‑subscriber conversion, enriching customer data and increasing the effectiveness of downstream marketing automation. This is expected to support high‑margin, recurring revenue growth through cross‑sell, improve retention and ARPC, and further strengthen Dotdigital’s position within the Shopify ecosystem, an important growth channel for the Group.
Alia will be integrated into the CXDP through a phased approach and Dotdigital’s core and ancillary capability, including messaging, will be embedded into and bundled with Alia’s offering, allowing the Group to deliver incremental product benefits while maintaining service continuity for existing customers.
The acquisition supports the Group’s transformation into a multi‑product business with a strengthened partner network, building on the acquisitions of Fresh Relevance and Social Snowball. This combined impact is reflected in the Group’s partner‑connected ARR, international revenue mix and overall scale relative to its pre-pandemic position. Since FY23, partner‑connected ARR has increased from approximately 50% to well over 60% and US‑originated forward‑looking ARR has grown from approximately 15% to more than 30%, while the full proportion of ARR generated outside the UK now stands at approximately 40% of Group ARR. The Group entered FY23 with £48.9m of forward‑looking ARR and, following the completion of the acquisition of Alia, ARR now exceeds £81m, with the Group consistently delivering adjusted PBT margins in excess of 20% per annum.
Consideration
The total consideration for the acquisition is up to $60m, comprising an initial cash payment of $30m and up to $30m in contingent cash consideration over two years, payable if Alia maintains its historical growth rate at sufficiently accretive margins for the Group. Should performance targets be achieved, resulting in the maximum total consideration being paid, the revenue multiple will equate to a maximum of two times forward-looking ARR. The initial cash payment and contingent consideration will be funded through the Group’s existing cash reserves. In addition, the Group plans to put in place a modest overdraft facility to provide support for mid-month working capital needs, should it be required.
Milan Patel, Chief Executive Officer of Dotdigital, commented: “The acquisition of Alia further advances our CXDP vision by strengthening our on‑site conversion and first and zero‑party data capture capabilities. These are increasingly important areas for marketers as customer acquisition costs rise and privacy standards evolve. We’re delighted to welcome Shaan and the team to the Group. Importantly, Alia represents our continued pace of acquisition execution which has collectively transformed the Group’s capability, scale and market position across all three of our strategic pillars, while consistently maintaining strong profitability. This positions us well to capitalise on the opportunities ahead as the markets we serve continue to navigate and evolve.”
Shaan Arora, Co-Founder and CEO of Alia, commented: “Dotdigital shares our belief that the earliest moments of the customer journey are critical to long‑term value creation. By combining Alia’s AI‑powered on‑site conversion technology with Dotdigital’s CXDP, we can help merchants capture richer customer data, improve conversion rates, and drive more meaningful customer relationships.”
1 Sourced from: Lead Capture Software Market Report 2025 from The Business Research Company
2 Cash EBITDA is earnings before interest, taxation, depreciation and amortisation; excluding share-based payment charge, exceptional costs and amortisation of acquired intangibles; and less the cash cost of capitalised R&D spend
