Some martech vendors are “zombies” — drifting through the market on legacy code, outdated R&D, or dwindling venture cash. Hosts Jarrod Gingras and Tony Byrne of the Real Story Group teach us how to spot the undead in your stack, from legacy vendors coasting on maintenance fees to AI startups masking decline behind funding rounds.
In this episode:What’s a “zombie vendor” in MarTech?A zombie vendor is a technology provider that’s not fully dead — but definitely not alive either. These companies often coast on old technology, legacy maintenance fees, or venture cash rather than true innovation. They may appear stable, but their products stagnate, R&D fades, and support dwindles.
Why should marketers and digital leaders care about zombie vendors?Zombie vendors drain time, resources, and morale. Teams stuck maintaining outdated platforms lose focus and enthusiasm. Bugs go unresolved, integrations break, and innovation stalls — slowing down the rest of your stack. The longer you ignore a zombie, the more it infects your ecosystem.
Where did the term “zombie vendor” come from?The phrase traces back to the dot-com crash. Forbes’ article The Undead (2002) profiled enterprise vendors that had raised IPO cash before the crash — enough to stagger forward for years despite failing business models. The Real Story Group now sees a new wave of undead vendors emerging across the modern MarTech landscape.
How do you know if your vendor is a zombie?Look for these warning signs:
- Declining new licenses or market traction
- Canceled user conferences or reduced customer engagement
- Staff cuts, especially in product development
- Higher-than-average churn among customers
- Poor integrations with modern systems
- Analyst firms still rating them highly despite client frustration (“zombie pumping”)
What are the main types of zombie vendors?- Legacy Zombies – Older vendors living off maintenance revenue, minimal innovation, and captive customers (common in email marketing, DAM, CMS).
- SaaS Zombies – Newer, VC-backed vendors cutting expenses and shrinking quietly while appearing alive thanks to cloud infrastructure and funding rounds.
What happens to zombie platforms?Many end up in roll-up “senior homes” like OpenText, Upland, or Verint. These firms acquire aging tools, offer light maintenance and bundled “solution suites,” and sunset products over time. Customers get limited updates but little innovation.
How can MarTech leaders respond to a zombie vendor?You don’t have to flee immediately — but you do need a replacement plan.
- Edge tools: Maintain support short-term while you innovate elsewhere.
- Core platforms: Actively plan migration. Never license a zombie platform anew.
- Do due diligence: Assess vendor health before renewing or buying.
What’s the bigger lesson for digital leaders?A “zombie” in your stack can quietly kill innovation. Use stack health assessments to identify weak links. Real Story Group recommends auditing your platforms regularly, verifying product roadmaps, and talking to peers — not just analysts — about real customer experiences.
How can Real Story Group help?The Real Story Group offers stack health assessments that pinpoint vendors at risk and guide you toward modern, future-proof solutions. Reach out for a checkup call to see where zombies may be lurking in your stack.
Visit https://www.realstorygroup.com for more resources.
