Marketo (MKTO) 10-Q 15 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	13-May-14
Document and Entity Information	'	'
Entity Registrant Name	'Marketo, Inc.	'
Entity Central Index Key	'0001490660	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Non-accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	40,490,495
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$119,572	$128,299
Accounts receivable, net of allowances	25,240	26,946
Prepaid expenses and other current assets	6,874	3,218
Total current assets	151,686	158,463
Property and equipment, net	15,567	13,856
Goodwill	26,045	25,941
Intangible assets, net	6,768	7,095
Other assets	945	484
Total assets	201,011	205,839
Current liabilities:	'	'
Accounts payable	3,964	3,527
Accrued expenses and other current liabilities	13,488	23,055
Deferred revenue	45,606	41,356
Current portion of credit facility	2,564	2,187
Total current liabilities	65,622	70,125
Credit facility, net of current portion	4,702	5,372
Other liabilities	1,812	1,900
Total liabilities	72,136	77,397
Commitments and contingencies (Note 7)	'	'
Redeemable non-controlling interests	1,572	'
Stockholder's equity:	'	'
Common stock	4	4
Additional paid-in capital	269,219	257,801
Accumulated other comprehensive income	150	198
Accumulated deficit	-142,070	-129,561
Total stockholders' equity	127,303	128,442
Total liabilities, redeemable non-controlling interests and stockholders' equity	$201,011	$205,839

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Revenue:	'	'
Subscription and support	$28,611	$17,555
Professional services and other	3,681	2,181
Total revenue	32,292	19,736
Cost of revenue:	'	'
Subscription and support	6,235	5,820
Professional services and other	4,841	2,618
Total cost of revenue	11,076	8,438
Gross profit:	'	'
Subscription and support	22,376	11,735
Professional services and other	-1,160	-437
Total gross profit	21,216	11,298
Operating expenses:	'	'
Research and development	7,131	4,996
Sales and marketing	20,368	12,318
General and administrative	6,192	3,427
Total operating expenses	33,691	20,741
Loss from operations	-12,475	-9,443
Other income (expense), net	-59	-61
Loss before provision for income taxes	-12,534	-9,504
Provision (benefit) for income taxes	-14	20
Net loss	-12,520	-9,524
Net loss attributable to redeemable non-controlling interests	11	'
Net loss attributable to Marketo	($12,509)	($9,524)
Net loss per share of common stock, basic and diluted (in dollars per share)	($0.32)	($2.99)
Shares used in computing net loss per share of common stock, basic and diluted (in shares)	39,379	3,181

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Loss (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Condensed Consolidated Statements of Comprehensive Loss	'	'
Net loss	($12,520)	($9,524)
Other comprehensive income (loss):	'	'
Foreign currency translation adjustments	-50	38
Total comprehensive loss	-12,570	-9,486
Net loss attributable to redeemable non-controlling interests	11	'
Other comprehensive loss attributable to redeemable non-controlling interests	2	'
Comprehensive loss attributable to Marketo	($12,557)	($9,486)

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Cash Flows (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities:	'	'
Net loss	($12,520)	($9,524)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	2,131	806
Stock-based compensation expense	5,007	1,001
Deferred income taxes	-74	'
Changes in operating assets and liabilities:	'	'
Accounts receivable, net	1,709	-109
Prepaid expenses and other current assets	-3,724	-1,848
Other assets	-393	164
Accounts payable	44	1,924
Accrued expenses and other current liabilities	-9,628	-1,296
Deferred revenue	4,251	3,906
Other liabilities	-14	71
Net cash used in operating activities	-13,211	-4,905
Cash flows from investing activities:	'	'
Purchase of property and equipment	-2,579	-2,877
Capitalized software development	-179	'
Net cash used in investing activities	-2,758	-2,877
Cash flows from financing activities:	'	'
Proceeds from issuance of common stock upon exercise of stock options	2,518	490
Proceeds from the issuance of common stock issued under the employee stock purchase plan	3,384	'
Investment from redeemable non-controlling interests	1,953	'
Repurchase of unvested common stock from terminated employees	-23	-2
Withholding taxes remitted for the net share settlement of an equity award	-15	'
Repayment of debt	-293	'
Payment of deferred initial public offering and follow-on offering costs	-104	-794
Payment incurred for common stock registration related to acquisition	-155	'
Net cash provided by (used in) financing activities	7,265	-306
Effect of foreign exchange rate changes on cash and cash equivalents	-23	17
Net decrease in cash and cash equivalents	-8,727	-8,071
Cash and cash equivalents - beginning of period	128,299	44,247
Cash and cash equivalents -end of period	119,572	36,176
Supplemental disclosures of cash flow information:	'	'
Cash paid for interest	75	32
Cash paid for income taxes	29	13
Supplemental disclosure of noncash investing and financing activities:	'	'
Vesting of early exercise options	115	256
Property and equipment acquired through tenant improvement allowance	'	$929

The_Company_and_Summary_of_Sig

The Company and Summary of Significant Accounting Policies and Estimates	3 Months Ended
	Mar. 31, 2014
The Company and Summary of Significant Accounting Policies and Estimates	'
The Company and Summary of Significant Accounting Policies and Estimates	'
	1. The Company and Summary of Significant Accounting Policies and Estimates
	Business
	Marketo, Inc. (Marketo or the Company) was incorporated in the state of California on January 20, 2006. The Company was reincorporated in the state of Delaware on December 17, 2009. The Company operates from its headquarters in San Mateo, California and has operating subsidiaries in Ireland, Australia, Israel and Japan.
	Marketo is a provider of a cloud-based marketing software platform that enables organizations to engage in modern relationship marketing. The Company’s software platform is designed to enable the effective management, optimization and analytical measurement of marketing activities, enabling organizations to acquire new customers more efficiently, build stronger relationships with existing customers, improve sales effectiveness and drive faster revenue growth. On this platform, the Company delivers an easy to use, integrated suite of advanced applications. The Company generally offers its services on an annual subscription basis with quarterly or annual payment terms.
	Basis of Presentation
	The unaudited condensed consolidated financial statements and accompanying notes of the Company reflect all adjustments (all of which are normal and recurring in nature) that, in the opinion of management, are necessary for a fair presentation of the interim periods presented. The unaudited condensed consolidated financial statements include the accounts of Marketo and its wholly-owned and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
	The results of operations for the interim periods presented are not necessarily indicative of the results to be expected for any subsequent quarter or for the entire year ending December 31, 2014. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles in the United States of America (U.S. GAAP) have been condensed or omitted under the rules and regulations of the Securities and Exchange Commission (SEC). These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements and related notes presented in the Company’s Annual Report on Form 10-K filed with the SEC on March 3, 2014 pursuant to Rule 424(b) of the Securities Act of 1933. There have been no changes in the Company’s significant accounting policies from those that were disclosed in the Company’s audited consolidated financial statements for the fiscal year ended December 31, 2013.
	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Such management estimates and assumptions include the estimated selling price for the various elements in our customer contracts, the allowance for doubtful accounts, amounts collectible for sales tax, stock-based compensation expense, useful lives of intangible assets, redemption value of redeemable non-controlling interests and the valuation of deferred tax assets. Actual results could differ materially from those estimates, and such differences could be material to the financial statements and affect the results of operations reported in future periods.
	Recent Accounting Pronouncements
	In July 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-11, Income Taxes (Topic 740) - Presentation of an unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. This amendment clarifies the guidance on the presentation of an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. The adoption of this update in the first quarter of 2014 did not have a material impact to the consolidated financial position, results of operations, or cash flows.

Joint_Venture

Joint Venture	3 Months Ended
	Mar. 31, 2014
Joint Venture	'
Joint Venture	'
	2. Joint Venture
	On February 19, 2014, the Company entered into an agreement with SunBridge Corporation and Dentsu eMarketing One K.K. (collectively, the Investors) to engage in the investment, organization, management and operation of a Japanese subsidiary (Marketo KK) of the Company that is focused on the sale of the Company’s products and services in Japan. The Investors contributed approximately $2.0 million (200,000,000 Japanese Yen) in cash in exchange for 35.4% of the outstanding equity interests of Marketo KK. As of March 31, 2014, the Company owned approximately 64.6% of the outstanding equity interests of Marketo KK. Furthermore, the Company and the Investors have agreed to subscribe to additional shares by contributing additional funding of approximately $2.3 million (237,480,955 Japanese Yen) and approximately $2.0 million (200,000,000 Japanese Yen), respectively, on or before April 1, 2015, at which point the Company and the Investors would own approximately 60.1% and 39.9% of the outstanding equity interests in Marketo KK, respectively.
	Twenty percent of the common stock held by the Investors may be callable by the Company or puttable by the Investors beginning on the seventh anniversary of the initial capital contribution by the Investors. This percentage increases to forty percent and one hundred percent on the eighth and tenth anniversary, respectively.  Should the call or put option be exercised, the redemption value would be determined based on a prescribed formula derived from the relative revenues of Marketo KK and the Company and may be settled at the Company’s discretion with Company stock (with no limit on the shares that may be issued) or cash.  Additionally, the common stock held by the Investors may be callable or puttable following a change of control of the Company.  The redeemable non-controlling interests in Marketo KK is classified outside of permanent equity in the Company’s condensed consolidated balance sheet as of March 31, 2014, primarily due to the put right available to the redeemable non-controlling interest holders in the future which may be settled in cash or common stock of the Company. The balance of the redeemable non-controlling interests is reported at the greater of the initial carrying amount adjusted for the redeemable non-controlling interest’s share of earnings, or its estimated redemption value. The resulting changes in the estimated redemption amount (increases or decreases) are recorded with corresponding adjustments against retained earnings or, in the absence of retained earnings, additional paid-in-capital. The estimated redemption value of the call/put option embedded in the redeemable non-controlling interests was $0 at March 31, 2014.

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments	3 Months Ended
	Mar. 31, 2014
Fair Value of Financial Instruments	'
Fair Value of Financial Instruments	'
	3. Fair Value of Financial Instruments
	The Company measures certain financial assets at fair value on a recurring basis based on a fair value hierarchy that requires the Company to maximize the use of observable inputs and minimize the use of unobservable inputs. Inputs used in the valuation techniques to derive fair values are classified based on a three-level hierarchy, as follows:
	·                  Level 1 — Quoted prices in active markets for identical assets or liabilities.
	·                  Level 2 — Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which all significant inputs are observable or can be derived principally from or corroborated by observable market data for substantially the full term of the assets or liabilities.
	·                  Level 3 — Unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities.
	As of March 31, 2014 and December 31, 2013, financial assets measured at fair value on a recurring basis were comprised of money market funds and certificates of deposit included within cash and cash equivalents.
	The fair value of these financial assets was determined using the following inputs for the periods presented:
		March 31, 2014						December 31, 2013
		Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
		(in thousands)
	Money market funds	$	106,972	$	—	$	—	$	121,466	$	—	$	—
	Certificate of deposit	—		374				—		3,219
	Total	$	106,972	$	374	$	—	$	121,466	$	3,219	$	—

Balance_Sheet_Components

Balance Sheet Components	3 Months Ended
	Mar. 31, 2014
Balance Sheet Components	'
Balance Sheet Components	'
	4. Balance Sheet Components
	Cash and Cash Equivalents
	Cash and cash equivalents consist of the following:
		March 31,			December 31,
		2014			2013
		(in thousands)
	Cash	$	12,226		$	3,614
	Cash equivalents:
	Money market funds	106,972			121,466
	Certificate of deposit	374			3,219
		107,346			124,685
	Cash and cash equivalents	$	119,572		$	128,299
	Accounts Receivable
	Accounts receivable consist of the following:
		March 31,			December 31,
		2014			2013
		(in thousands)
	Accounts receivable	$	25,614		$	27,275
	Allowance for doubtful accounts	(374		)	(329		)
	Accounts receivable, net	$	25,240		$	26,946
	Property and Equipment, Net
	Property and equipment, net consists of the following:
		March 31,			December 31,
		2014			2013
		(in thousands)
	Computer equipment	$	15,080		$	12,919
	Software	2,357			2,314
	Office furniture	1,337			1,318
	Leasehold improvements	2,927			2,993
	Construction in progress	1,218			51
	Total property and equipment	22,919			19,595
	Less accumulated depreciation	(7,352		)	(5,739		)
	Property and equipment, net	$	15,567		$	13,856
	Accrued Expenses and Other Current Liabilities
	Accrued expenses and other current liabilities are as follows:
		March 31,			December 31,
		2014			2013
		(in thousands)
	Accrued bonuses, commissions and wages	$	5,327		$	12,321
	Accrued ESPP	840			3,278
	Accrued vacation	2,552			2,202
	Accrued marketing expenses	1,420			1,062
	Accrued legal, consulting and audit fees	608			672
	Accrued employee expense reimbursement	391			643
	Accrued sales taxes and other taxes	416			638
	Liability payable for unvested stock options exercises	445			552
	Accrued sales awards	337			320
	Accrued other	1,152			1,367
	Total	$	13,488		$	23,055
	Changes in Accumulated Other Comprehensive Income
	Changes in accumulated other comprehensive income are as follows:
		Foreign Currency			Total
		Items
		(in thousands)
	Balance at December 31, 2013	$	198		$	198
	Other comprehensive income before reclassifications	(50		)	(50		)
	Amounts reclassified from accumulated other comprehensive income	—			—
	Other comprehensive loss attributable to redeemable non-controlling interests	2			2
	Balance at March 31, 2014	$	150		$	150

Goodwill_and_Intangible_Assets

Goodwill and Intangible Assets	3 Months Ended
	Mar. 31, 2014
Goodwill and Intangible Assets	'
Goodwill and Intangible Assets	'
	5. Goodwill and Intangible Assets
	Goodwill and intangible assets consisted of the following as of March 31, 2014 and December 31, 2013:
		March 31,			Weighted		December 31,			Weighted
		2014			Average		2013			Average
		(in thousands)			Remaining		(in thousands)			Remaining
					Useful Life					Useful Life
					(in years)					(in years)
	Developed technology	$	4,950		3.7		$	4,950		3.9
	Domain names	950			4.3		950			4.5
	Customer relationships	1,600			2.4		1,600			4.9
	Non-compete agreements	130			0		130			0.3
	Capitalized software development costs	1,545			1.4		1,355			1.3
		9,175					8,985
	Less accumulated amortization	(2,407		)			(1,890		)
	Intangible assets, net	6,768					7,095
	Goodwill	26,045					25,941
	Goodwill and intangible assets, net	$	32,813				$	33,036
	The Company also recorded $0.1 million of measurement period adjustments increasing goodwill related to the acquisition of Insightera, Ltd. (Insightera) during the three months ended March 31, 2014.
	Amortization expense for the periods indicated below was as follows:
		Three Months
		Ended March 31,
		2014			2013
		(in thousands)
	Amortization expense	$	517		$	158
	Based on the carrying amount of intangible assets as of March 31, 2014, the estimated future amortization is as follows (in thousands):
		Nine Months			Years Ending December 31,
		Ending			2015			2016			2017		2018		2019		Total
		December 31, 2014													and beyond
	Developed Technology	$	856		$	1,141		$	1,141		$	1,056	$	—	$	—	4,194
	Domain Names	138			183			180			100		100		29		730
	Customer Relationships	410			547			315			—		—		—		1,272
	Non-compete Agreements	3			—			—			—		—		—		3
	Capitalized Software Development Costs	229			314			26			—		—		—		569
	Total	$	1,636		$	2,185		$	1,662		$	1,156	$	100	$	29	$	6,768

Stockholders_Equity_and_Redeem

Stockholders Equity and Redeemable Noncontrolling Interests	3 Months Ended
	Mar. 31, 2014
Stockholders' Equity and Redeemable Non-controlling Interests	'
Stockholders' Equity and Redeemable Non-controlling Interests	'
	6. Stockholders’ Equity and Redeemable Non-controlling Interests
	The following table summarizes the activity in stockholders’ equity and redeemable non-controlling interests for the period indicated below (in thousands):
		Total			Redeemable
		Stockholders’			Non-controlling
		Equity			Interests
	Balance as of December 31, 2013	$	128,442		$	—
	Issuance of common stock upon exercise and early exercise of stock options	2,487			—
	Issuance of common stock under employee stock purchase plan	3,384			—
	Investment by redeemable non-controlling interests	369			1,585
	Withholding taxes for the net share settlement of an equity award	(16		)	—
	Vesting of early exercised options	115			—
	Costs incurred with follow-on offering	62			—
	Stock-based compensation expense	5,017			—
	Net loss	(12,509		)	(11		)
	Foreign currency translation adjustments	(48		)	(2		)
	Balance as of March 31, 2014	$	127,303		$	1,572

Credit_Facility

Credit Facility	3 Months Ended
	Mar. 31, 2014
Credit Facility	'
Credit Facility	'
	7. Credit Facility
	On May 21, 2012, the Company entered into a loan and security agreement with a bank related to an equipment facility providing the Company with an equipment line of up to $4.0 million. On June 6, 2013, the Company entered into a first amendment to the loan and security agreement, which provided an additional line of credit for advances of up to $4.5 million. The interest rate associated with both lines of credit is the greater of 4% or three-quarters percentage points above the prime rate, as determined on the applicable funding date. For each equipment advance, the Company will pay interest only for approximately nine months. Subsequently, the Company will make thirty-six equal monthly payments of principal and interest. The loan is secured by a security interest on substantially all of the Company’s assets, including the equipment purchased with the advances, and excludes the Company’s intellectual property. The loan and security agreement contains customary affirmative and negative covenants, including, among other things, maintaining certain business performance levels and limitations on disposal of assets, certain fundamental business changes, incurrences of debt, incurrences of liens, payments of dividends, repurchases of stock and engaging in affiliate transactions, in each case subject to certain exceptions. The loan and security agreement also contains customary events of default and provides that during the existence of an event of default, interest on the obligations could be increased by 5%. As of March 31, 2014, the Company was in compliance with certain covenants and subsequently received consent for the remaining covenant as part of an amendment to the loan and security agreement.  As of March 31, 2014 and December 31, 2013, the outstanding loan balance was $7.3 million and $7.6 million, respectively.
	There were no material changes in the Company’s commitments under the outstanding loan balance, as disclosed in the Company’s audited consolidated financial statements for the year ended December 31, 2013.

Commitments_and_Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2014
Commitments and Contingencies.	'
Commitments and Contingencies	'
	8. Commitments and Contingencies
	There were no material changes in our commitments under contractual obligations, as disclosed in the Company’s audited consolidated financial statements for the year ended December 31, 2013.

Stockholders_Equity_and_Stock_

Stockholder's Equity and Stock Based Compensation	3 Months Ended
	Mar. 31, 2014
Stockholder's Equity and Stock Based Compensation	'
Stockholder's Equity and Stock Based Compensation	'
	9. Stockholder’s Equity and Stock Based Compensation
	Common Stock Authorized and Outstanding
	As of March 31, 2014, the Company was authorized to issue 1,000,000,000 common shares with a par value of $0.0001 per share and 20,000,000 convertible preferred shares with a par value of $0.0001 per share. As of March 31, 2014, the Company had approximately 40.3 million shares of common stock issued and outstanding.
	Summary of Stock Option Activity
	A summary of the Company’s stock option activity under all stock option plans and related information for three months ended March 31, 2014 is as follows:
		OPTIONS OUTSTANDING
		Shares Available		Number of Stock		Weighted-			Weighted-	Aggregate
		for Grant		Options		Average			Average	Intrinsic
		(in thousands)		Outstanding		Exercise			Remaining	Value
				(in thousands)		Price			Contractual	(in thousands)
									Life
									(Years)
	Balance as of December 31, 2013	3,486		6,343		$	5.33		7.98	$	201,305
	Additional shares authorized	1,962		—
	Granted	(780	)	780		40.68
	Exercised	—		(783	)	3.21
	Repurchased	6		—		6.08
	RSUs granted, net of cancellations/forfeitures	(894	)	—
	Cancelled/forfeited	174		(174	)	9.42
	Balance as of March 31, 2014	3,954		6,166		9.96			8.16	146,149
	Exercisable as of March 31, 2014			5,203		5.05			7.91	143,675
	Vested and expected to vest as of March 31, 2014			6,017		$	10.1		8.16	$	141,913
	The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the Company’s closing price of $32.67 as of March 31, 2014 for options that were in-the-money as of that date.
	Option awards generally vest over a four year period, with 25% vesting after one year from date of grant and monthly thereafter. Stock options granted under our 2006 Plan provided employee option holders with an early exercise provision, where in the event of termination any unvested shares purchased are subject to repurchase by the Company at the original purchase price. This right of repurchase lapses as the option vests. Options exercisable as of March 31, 2014 include options that are exercisable prior to vesting.
	The weighted average grant date fair value of options granted and the total intrinsic value of options exercised were as follows (in thousands, except weighted average grant date fair value):
		Three Months
		Ended March 31,
		2014			2013
	Weighted average grant date fair value	$	21.78		$	4
	Total intrinsic value of options exercised	$	28,623		$	1,182
	The total estimated grant date fair value of options vested during the three months ended March 31, 2014 was approximately $1.2 million.
	Determining Fair Value of Stock Options
	The fair value of each option grant is estimated on the date of grant using the Black-Scholes option valuation model. The following assumptions were used to estimate the fair value of options granted to employees:
		Three Months
		Ended March 31,
		2014		2013
	Expected term (in years)	6		6
	Risk-free interest rate	1.84	%	1.09%-1.18	%
	Expected volatility	56	%	57	%
	Expected dividend rate	0	%	0	%
	Restricted Stock Units
	A summary of the Company’s Restricted Stock Units (RSUs) activity and related information for the three months ended March 31, 2014 are as follows:
		Number of		Weighted Average			Aggregate
		RSUs		Grant Date			Intrinsic
		(in thousands)		Fair Value			Value
							(in thousands)
	Balance as of December 31, 2013	582		$	22.57		$	21,579
	RSUs Granted	926		41.57
	RSUs Vested	(5	)	7.79
	RSUs Cancelled/Forfeited	(32	)	38.89
	Balance as of March 31, 2014	1,471		$	34.22		$	48,065
	RSUs granted during the three months ended March 31, 2014 are subject to a time-based vesting condition that ranges from 3 to 4 years.
	The aggregate intrinsic value of RSUs outstanding at March 31, 2014 was determined using the Company’s closing stock price of $32.67 per share as of March 31, 2014.
	The weighted average grant date fair value of RSUs granted and the total intrinsic value of RSUs that vested during the periods presented were as follows (in thousands, except weighted average grant date fair value):
		Three Months
		Ended March 31,
		2014			2013
	Weighted average grant date fair value	$	41.57		$	7.42
	Total intrinsic value of vested RSUs	$	195		$	—
	Employee Stock Purchase Plan
	The assumptions used to value employee stock purchase rights under the Black-Scholes model during the three months ended March 31, 2014 were as follows:
	Expected term (in months)	9-Jun
	Risk-free interest rate	0.08% - 0.11	%
Expected volatility	41% - 42	%
Expected dividend rate	0	%
For the three months ended March 31, 2014, the Company recorded stock-based compensation expense relating to the ESPP of approximately $0.6 million.
In February 2014 the Company issued approximately 0.3 million shares of common stock under the employee stock purchase plan with an average purchase price of $11.05 per share.
Stock Compensation Expense
The stock-based compensation expense included in operating results was allocated as follows:
	Three Months
	Ended March 31,
	2014			2013
	(in thousands)
Cost of subscription and support revenue	$	384		$	63
Cost of professional services and other revenue	447			93
Research and development	1,079			210
Sales and marketing	1,779			230
General and administrative	1,318			405
Total stock-based compensation expense	$	5,007		$	1,001
As of March 31, 2014, total unrecognized compensation cost related to unvested awards not yet recognized under all equity compensation plans, adjusted for estimate forfeitures, was as follows:
	March 31, 2014
	Unrecognized			Average Expected
	Expense			Recognition Period
	(in thousands)			(in years)
Stock options	$	22,819		2.58
Restricted stock units	8,914			3.29
Employee stock purchase plan	818			0.38
Total unrecognized stock-based compensation expense	$	32,551		2.72

Net_Loss_per_Share

Net Loss per Share	3 Months Ended
	Mar. 31, 2014
Net Loss per Share	'
Net Loss per Share	'
	10. Net Loss per Share
	Basic net loss per share is computed by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period, less the weighted-average unvested common stock subject to repurchase or forfeiture as they are not deemed to be issued for accounting purposes. Diluted net loss per share is computed by giving effect to all potential shares of common stock, including preferred stock, stock options, RSUs and employee stock purchase plan, to the extent they are dilutive.
	The following table sets forth the computation of the Company’s basic and diluted net loss per share of common stock under the two-class method attributable to common stockholders (in thousands, except per share amount):
		Three Months
		Ended March 31,
		2014			2013
	Numerator:
	Net loss	$	(12,520	)	$	(9,524	)
	Less: Net loss attributable to non-controlling interest	11			—
	Net loss attributable to Marketo	(12,509		)	(9,524		)
	Denominator:
	Weighted-average common shares outstanding	39,628			3,335
	Less: Weighted-average unvested common shares subject to repurchase or forfeiture and shares held in escrow	(249		)	(154		)
	Weighted-average shares used in computing net loss per share of common stock, basic and diluted	39,379			3,181
	Net loss per share of common stock, basic and diluted	$	(0.32	)	$	(2.99	)
	The Company applied the two-class method to calculate its basic and diluted net loss per share of common stock, as its convertible preferred stock, common stock subject to repurchase and common stock held in escrow are participating securities. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that otherwise would have been available to common shareholders.
	However, the two-class method does not impact the net loss per share of common stock as the Company was in a loss position for each of the periods presented and preferred shareholders,  holders of common stock subject to repurchase and common stock held in escrow do not have to participate in losses.
	Additionally, since the Company was in a loss position for each of the periods presented, diluted net loss per share is the same as basic net loss per share for each period, as the inclusion of all potential common shares outstanding would have been anti-dilutive. Potentially dilutive securities that were excluded from the diluted per share calculation because they would have been antidilutive were as follows:
		As of March 31,
		2014		2013
		(in thousands)
	Convertible preferred stock	—		25,876
	Stock options to purchase common stock	6,166		7,983
	Employee stock purchase plan	124		—
	Common stock held in escrow	137		12
	Common stock subject to repurchase	104		143
	Restricted stock units	1,471		346
		8,002		34,360

Income_Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2014
Income Taxes	'
Income Taxes	'
	11. Income Taxes
	The benefit for income taxes for the three months ended March 31, 2014 was approximately $14,000. The provision for income taxes for the three months ended March 31, 2013 was approximately $20,000. The benefit for income taxes for the three months ended March 31, 2014 consisted primarily of foreign and state income taxes offset by a deferred tax benefit resulting primarily from the reduction in the foreign deferred tax liability as a result of the amortization of the acquired intangibles relating to the acquisition of Insightera, which occurred in December 2013.  The provision for income taxes for the three months ended March 31, 2013 consisted primarily of foreign income taxes.
	For the three months ended March 31, 2014 and 2013, the provision for income taxes differed from the statutory amount primarily due to state and foreign taxes currently payable.  The Company realized no benefit for current year losses due to maintaining a full valuation allowance against the U.S. and foreign net deferred tax assets.
	The realization of tax benefits of deferred tax assets is dependent upon future levels of taxable income, of an appropriate character, in the periods the items are expected to be deductible or taxable. Based on the available objective evidence, the Company does not believe it is more likely than not that the U.S. Federal and state net deferred tax assets will be realizable. Accordingly, the Company has provided a full valuation allowance against the domestic net deferred tax assets and certain foreign jurisdictions with net deferred tax assets as of March 31, 2014 and December 31, 2013. The Company intends to maintain the remaining valuation allowance until sufficient positive evidence exists to support a reversal of, or decrease in, the valuation allowance. During the three months ended March 31, 2014, there have been no material changes to the total amount of unrecognized tax benefits.

Segment_Information_and_Inform

Segment Information and Information about Geographic Areas	3 Months Ended
	Mar. 31, 2014
Segment Information and Information about Geographic Areas	'
Segment Information and Information about Geographic Areas	'
	12. Segment Information and Information about Geographic Areas
	The accounting principles guiding disclosures about segments of an enterprise and related information establishes standards for the reporting by business enterprises of information about operating segments, products and services, geographic areas, and major customers. The method of determining which information is reported is based on the way that management organizes the operating segments within the Company for making operational decisions and assessments of financial performance. The Company’s chief operating decision maker (the CODM) is considered to be the Company’s chief executive officer (CEO). The CODM reviews financial information presented on a consolidated basis for purposes of making operating decisions and assessing financial performance. As such, the Company is determined to be operating in one business segment.
	All of the Company’s principal operations and decision-making functions are located in the United States.
	Revenue
	Revenue by geography is based on the shipping address of the customer. The following table presents our revenue by geographic region for the periods presented:
		Three Months
		Ended March 31,
		2014		2013
		(in thousands)
	United States	$	27,350	$	16,992
	EMEA	2,656		1,407
	Other	2,286		1,337
	Total	$	32,292	$	19,736
	No single customer accounted for more than 10% of our total revenue during the three months ended March 31, 2014 and 2013. No single customer accounted for more than 10% of accounts receivable as of March 31, 2014 and December 31, 2013.
	Long-lived Assets
	The following table sets forth the Company’s long-lived assets by geographic areas as of the periods presented:
		March 31,		December 31,
		2014		2013
		(in thousands)
	United States	$	15,287	$	13,573
	EMEA	222		280
	Other	58		3
	Total	$	15,567	$	13,856

The_Company_and_Summary_of_Sig1

The Company and Summary of Significant Accounting Policies and Estimates (Policies)	3 Months Ended
	Mar. 31, 2014
The Company and Summary of Significant Accounting Policies and Estimates	'
Basis of Presentation	'
	Basis of Presentation
	The unaudited condensed consolidated financial statements and accompanying notes of the Company reflect all adjustments (all of which are normal and recurring in nature) that, in the opinion of management, are necessary for a fair presentation of the interim periods presented. The unaudited condensed consolidated financial statements include the accounts of Marketo and its wholly-owned and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
	The results of operations for the interim periods presented are not necessarily indicative of the results to be expected for any subsequent quarter or for the entire year ending December 31, 2014. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles in the United States of America (U.S. GAAP) have been condensed or omitted under the rules and regulations of the Securities and Exchange Commission (SEC). These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements and related notes presented in the Company’s Annual Report on Form 10-K filed with the SEC on March 3, 2014 pursuant to Rule 424(b) of the Securities Act of 1933. There have been no changes in the Company’s significant accounting policies from those that were disclosed in the Company’s audited consolidated financial statements for the fiscal year ended December 31, 2013.
Use of Estimates	'
	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Such management estimates and assumptions include the estimated selling price for the various elements in our customer contracts, the allowance for doubtful accounts, amounts collectible for sales tax, stock-based compensation expense, useful lives of intangible assets, redemption value of redeemable non-controlling interests and the valuation of deferred tax assets. Actual results could differ materially from those estimates, and such differences could be material to the financial statements and affect the results of operations reported in future periods.
Recent Accounting Pronouncements	'
	Recent Accounting Pronouncements
	In July 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-11, Income Taxes (Topic 740) - Presentation of an unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. This amendment clarifies the guidance on the presentation of an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. The adoption of this update in the first quarter of 2014 did not have a material impact to the consolidated financial position, results of operations, or cash flows.

Fair_Value_of_Financial_Instru1

Fair Value of Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2014
Fair Value of Financial Instruments	'
Schedule of financial assets measured stated at fair value on a recurring basis	'
		March 31, 2014						December 31, 2013
		Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
		(in thousands)
	Money market funds	$	106,972	$	—	$	—	$	121,466	$	—	$	—
	Certificate of deposit	—		374				—		3,219
	Total	$	106,972	$	374	$	—	$	121,466	$	3,219	$	—

Balance_Sheet_Components_Table

Balance Sheet Components (Tables)	3 Months Ended
	Mar. 31, 2014
Balance Sheet Components	'
Schedule of cash and cash equivalents	'
		March 31,			December 31,
		2014			2013
		(in thousands)
	Cash	$	12,226		$	3,614
	Cash equivalents:
	Money market funds	106,972			121,466
	Certificate of deposit	374			3,219
		107,346			124,685
	Cash and cash equivalents	$	119,572		$	128,299
Schedule of accounts receivable	'
		March 31,			December 31,
		2014			2013
		(in thousands)
	Accounts receivable	$	25,614		$	27,275
	Allowance for doubtful accounts	(374		)	(329		)
	Accounts receivable, net	$	25,240		$	26,946
Schedule of property and equipment, net	'
		March 31,			December 31,
		2014			2013
		(in thousands)
	Computer equipment	$	15,080		$	12,919
	Software	2,357			2,314
	Office furniture	1,337			1,318
	Leasehold improvements	2,927			2,993
	Construction in progress	1,218			51
	Total property and equipment	22,919			19,595
	Less accumulated depreciation	(7,352		)	(5,739		)
	Property and equipment, net	$	15,567		$	13,856
Schedule of accrued expenses and other current liabilities	'
		March 31,			December 31,
		2014			2013
		(in thousands)
	Accrued bonuses, commissions and wages	$	5,327		$	12,321
	Accrued ESPP	840			3,278
	Accrued vacation	2,552			2,202
	Accrued marketing expenses	1,420			1,062
	Accrued legal, consulting and audit fees	608			672
	Accrued employee expense reimbursement	391			643
	Accrued sales taxes and other taxes	416			638
	Liability payable for unvested stock options exercises	445			552
	Accrued sales awards	337			320
	Accrued other	1,152			1,367
	Total	$	13,488		$	23,055
Schedule of changes in accumulated other comprehensive income	'
		Foreign Currency			Total
		Items
		(in thousands)
	Balance at December 31, 2013	$	198		$	198
	Other comprehensive income before reclassifications	(50		)	(50		)
	Amounts reclassified from accumulated other comprehensive income	—			—
	Other comprehensive loss attributable to redeemable non-controlling interests	2			2
	Balance at March 31, 2014	$	150		$	150

Goodwill_and_Intangible_Assets1

Goodwill and Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2014
Goodwill and Intangible Assets	'
Schedule of goodwill and intangible assets	'
	Goodwill and intangible assets consisted of the following as of March 31, 2014 and December 31, 2013:
		March 31,			Weighted		December 31,			Weighted
		2014			Average		2013			Average
		(in thousands)			Remaining		(in thousands)			Remaining
					Useful Life					Useful Life
					(in years)					(in years)
	Developed technology	$	4,950		3.7		$	4,950		3.9
	Domain names	950			4.3		950			4.5
	Customer relationships	1,600			2.4		1,600			4.9
	Non-compete agreements	130			0		130			0.3
	Capitalized software development costs	1,545			1.4		1,355			1.3
		9,175					8,985
	Less accumulated amortization	(2,407		)			(1,890		)
	Intangible assets, net	6,768					7,095
	Goodwill	26,045					25,941
	Goodwill and intangible assets, net	$	32,813				$	33,036
Schedule of amortization expense	'
		Three Months
		Ended March 31,
		2014			2013
		(in thousands)
	Amortization expense	$	517		$	158
Schedule of estimated future amortization based on the carrying amount of intangible assets	'
	Based on the carrying amount of intangible assets as of March 31, 2014, the estimated future amortization is as follows (in thousands):
		Nine Months			Years Ending December 31,
		Ending			2015			2016			2017		2018		2019		Total
		December 31, 2014													and beyond
	Developed Technology	$	856		$	1,141		$	1,141		$	1,056	$	—	$	—	4,194
	Domain Names	138			183			180			100		100		29		730
	Customer Relationships	410			547			315			—		—		—		1,272
	Non-compete Agreements	3			—			—			—		—		—		3
	Capitalized Software Development Costs	229			314			26			—		—		—		569
	Total	$	1,636		$	2,185		$	1,662		$	1,156	$	100	$	29	$	6,768

Stockholders_Equity_and_Redeem1

Stockholders Equity and Redeemable Noncontrolling Interests (Tables)	3 Months Ended
	Mar. 31, 2014
Stockholders' Equity and Redeemable Non-controlling Interests	'
Summary of activity in stockholders' equity and redeemable non-controlling interests	'
	The following table summarizes the activity in stockholders’ equity and redeemable non-controlling interests for the period indicated below (in thousands):
		Total			Redeemable
		Stockholders’			Non-controlling
		Equity			Interests
	Balance as of December 31, 2013	$	128,442		$	—
	Issuance of common stock upon exercise and early exercise of stock options	2,487			—
	Issuance of common stock under employee stock purchase plan	3,384			—
	Investment by redeemable non-controlling interests	369			1,585
	Withholding taxes for the net share settlement of an equity award	(16		)	—
	Vesting of early exercised options	115			—
	Costs incurred with follow-on offering	62			—
	Stock-based compensation expense	5,017			—
	Net loss	(12,509		)	(11		)
	Foreign currency translation adjustments	(48		)	(2		)
	Balance as of March 31, 2014	$	127,303		$	1,572

Stockholders_Equity_and_Stock_1

Stockholder's Equity and Stock Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2014
Stockholder's Equity and Stock Based Compensation	'
Summary of stock option activity	'
	A summary of the Company’s stock option activity under all stock option plans and related information for three months ended March 31, 2014 is as follows:
		OPTIONS OUTSTANDING
		Shares Available		Number of Stock		Weighted-			Weighted-	Aggregate
		for Grant		Options		Average			Average	Intrinsic
		(in thousands)		Outstanding		Exercise			Remaining	Value
				(in thousands)		Price			Contractual	(in thousands)
									Life
									(Years)
	Balance as of December 31, 2013	3,486		6,343		$	5.33		7.98	$	201,305
	Additional shares authorized	1,962		—
	Granted	(780	)	780		40.68
	Exercised	—		(783	)	3.21
	Repurchased	6		—		6.08
	RSUs granted, net of cancellations/forfeitures	(894	)	—
	Cancelled/forfeited	174		(174	)	9.42
	Balance as of March 31, 2014	3,954		6,166		9.96			8.16	146,149
	Exercisable as of March 31, 2014			5,203		5.05			7.91	143,675
	Vested and expected to vest as of March 31, 2014			6,017		$	10.1		8.16	$	141,913
Schedule of weighted average grant date fair value of options granted and the total intrinsic value of options exercised	'
	The weighted average grant date fair value of options granted and the total intrinsic value of options exercised were as follows (in thousands, except weighted average grant date fair value):
		Three Months
		Ended March 31,
		2014			2013
	Weighted average grant date fair value	$	21.78		$	4
	Total intrinsic value of options exercised	$	28,623		$	1,182
Schedule of assumptions used for estimation of fair value of options granted to employees	'
		Three Months
		Ended March 31,
		2014		2013
	Expected term (in years)	6		6
	Risk-free interest rate	1.84	%	1.09%-1.18	%
	Expected volatility	56	%	57	%
	Expected dividend rate	0	%	0	%
Summary of Restricted Stock Units RSUs activity	'
	A summary of the Company’s Restricted Stock Units (RSUs) activity and related information for the three months ended March 31, 2014 are as follows:
		Number of		Weighted Average			Aggregate
		RSUs		Grant Date			Intrinsic
		(in thousands)		Fair Value			Value
							(in thousands)
	Balance as of December 31, 2013	582		$	22.57		$	21,579
	RSUs Granted	926		41.57
	RSUs Vested	(5	)	7.79
	RSUs Cancelled/Forfeited	(32	)	38.89
	Balance as of March 31, 2014	1,471		$	34.22		$	48,065
Schedule of weighted average grant date fair value of RSU granted and the total fair value	'
	The weighted average grant date fair value of RSUs granted and the total intrinsic value of RSUs that vested during the periods presented were as follows (in thousands, except weighted average grant date fair value):
		Three Months
		Ended March 31,
		2014			2013
	Weighted average grant date fair value	$	41.57		$	7.42
	Total intrinsic value of vested RSUs	$	195		$	—
Schedule of assumptions used to value employee stock purchase rights under the Black-Scholes model	'
	The assumptions used to value employee stock purchase rights under the Black-Scholes model during the three months ended March 31, 2014 were as follows:
	Expected term (in months)	9-Jun
	Risk-free interest rate	0.08% - 0.11	%
	Expected volatility	41% - 42	%
	Expected dividend rate	0	%
Schedule of stock-based compensation expense included in operating results	'
		Three Months
		Ended March 31,
		2014			2013
		(in thousands)
	Cost of subscription and support revenue	$	384		$	63
	Cost of professional services and other revenue	447			93
	Research and development	1,079			210
	Sales and marketing	1,779			230
	General and administrative	1,318			405
	Total stock-based compensation expense	$	5,007		$	1,001
Schedule of total unrecognized compensation cost related to unvested awards not yet recognized under all equity compensation plans, adjusted for estimate forfeitures	'
		March 31, 2014
		Unrecognized			Average Expected
		Expense			Recognition Period
		(in thousands)			(in years)
	Stock options	$	22,819		2.58
	Restricted stock units	8,914			3.29
	Employee stock purchase plan	818			0.38
	Total unrecognized stock-based compensation expense	$	32,551		2.72

Net_Loss_per_Share_Tables

Net Loss per Share (Tables)	3 Months Ended
	Mar. 31, 2014
Net Loss per Share	'
Schedule of computation of basic and diluted net loss per share of common stock	'
	The following table sets forth the computation of the Company’s basic and diluted net loss per share of common stock under the two-class method attributable to common stockholders (in thousands, except per share amount):
		Three Months
		Ended March 31,
		2014			2013
	Numerator:
	Net loss	$	(12,520	)	$	(9,524	)
	Less: Net loss attributable to non-controlling interest	11			—
	Net loss attributable to Marketo	(12,509		)	(9,524		)
	Denominator:
	Weighted-average common shares outstanding	39,628			3,335
	Less: Weighted-average unvested common shares subject to repurchase or forfeiture and shares held in escrow	(249		)	(154		)
	Weighted-average shares used in computing net loss per share of common stock, basic and diluted	39,379			3,181
	Net loss per share of common stock, basic and diluted	$	(0.32	)	$	(2.99	)
Schedule of potentially dilutive securities excluded from the diluted per share calculation	'
		As of March 31,
		2014		2013
		(in thousands)
	Convertible preferred stock	—		25,876
	Stock options to purchase common stock	6,166		7,983
	Employee stock purchase plan	124		—
	Common stock held in escrow	137		12
	Common stock subject to repurchase	104		143
	Restricted stock units	1,471		346
		8,002		34,360

Segment_Information_and_Inform1

Segment Information and Information about Geographic Areas (Tables)	3 Months Ended
	Mar. 31, 2014
Segment Information and Information about Geographic Areas	'
Schedule of revenue by geographic region	'
		Three Months
		Ended March 31,
		2014		2013
		(in thousands)
	United States	$	27,350	$	16,992
	EMEA	2,656		1,407
	Other	2,286		1,337
	Total	$	32,292	$	19,736
Schedule of long-lived assets by geographic areas	'
		March 31,		December 31,
		2014		2013
		(in thousands)
	United States	$	15,287	$	13,573
	EMEA	222		280
	Other	58		3
	Total	$	15,567	$	13,856

Joint_Venture_Details

Joint Venture (Details)	3 Months Ended		0 Months Ended				3 Months Ended	0 Months Ended
	Mar. 31, 2014	Mar. 31, 2014	Apr. 01, 2015	Apr. 01, 2015	Feb. 19, 2014	Feb. 19, 2014	Mar. 31, 2014	Apr. 01, 2015	Apr. 01, 2015
	USD ($)	Marketo KK	Marketo KK	Marketo KK	Investors	Investors	Investors	Investors	Investors
		USD ($)	Forecast	Forecast	USD ($)	JPY (¥)		Forecast	Forecast
			USD ($)	JPY (¥)				USD ($)	JPY (¥)
Joint Venture	'	'	'	'	'	'	'	'	'
Amount contributed by investors to acquire equity interests	$1,953,000	'	'	'	$2,000,000	¥ 200,000,000	'	$2,000,000	¥ 200,000,000
Equity interests held by company (as a percent)	'	64.60%	60.10%	60.10%	'	'	'	'	'
Contributions to subscribe to additional shares	'	'	2,300,000	237,480,955	'	'	'	'	'
Percentage of equity interest held by investors	'	'	'	'	35.40%	35.40%	'	39.90%	39.90%
Percentage of the common stock callable or puttable beginning on the seventh anniversary	'	'	'	'	'	'	20.00%	'	'
Percentage of the common stock callable or puttable beginning on the eighth anniversary	'	'	'	'	'	'	40.00%	'	'
Percentage of the common stock callable or puttable beginning on the tenth anniversary	'	'	'	'	'	'	100.00%	'	'
Redeemable non-controlling interests	'	'	'	'	'	'	'	'	'
Estimated redemption value of call/put option embedded in redeemable non-controlling interests	'	0	'	'	'	'	'	'	'
Increase due to investment by redeemable non-controlling interests	1,585,000	'	'	'	'	'	'	'	'
Impact of foreign currency exchange	($2,000)	'	'	'	'	'	'	'	'

Fair_Value_of_Financial_Instru2

Fair Value of Financial Instruments (Details) (Recurring basis, USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Level 1	'	'
Fair Value of Financial Instruments	'	'
Total fair value of financial assets	$106,972	$121,466
Level 1 | Money market funds	'	'
Fair Value of Financial Instruments	'	'
Total fair value of financial assets	106,972	121,466
Level 2	'	'
Fair Value of Financial Instruments	'	'
Total fair value of financial assets	374	3,219
Level 2 | Certificates of deposit	'	'
Fair Value of Financial Instruments	'	'
Total fair value of financial assets	$374	$3,219

Balance_Sheet_Components_Detai

Balance Sheet Components (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Cash and cash equivalents	'	'	'	'
Cash	$12,226	$3,614	'	'
Cash equivalents:	'	'	'	'
Money market funds	106,972	121,466	'	'
Certificates of deposit	374	3,219	'	'
Total cash equivalents	107,346	124,685	'	'
Cash and cash equivalents	119,572	128,299	36,176	44,247
Accounts Receivable	'	'	'	'
Accounts receivable	25,614	27,275	'	'
Allowance for doubtful accounts	-374	-329	'	'
Accounts receivable, net	25,240	26,946	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	22,919	19,595	'	'
Less accumulated depreciation	-7,352	-5,739	'	'
Property and equipment, net	15,567	13,856	'	'
Computer equipment	'	'	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	15,080	12,919	'	'
Software	'	'	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	2,357	2,314	'	'
Office furniture	'	'	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	1,337	1,318	'	'
Leasehold improvements	'	'	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	2,927	2,993	'	'
Construction in progress	'	'	'	'
Property and equipment, net	'	'	'	'
Total property and equipment	$1,218	$51	'	'

Balance_Sheet_Components_Detai1

Balance Sheet Components (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Accrued expenses and other current liabilities	'	'
Accrued bonuses, commissions and wages	$5,327	$12,321
Accrued ESPP	840	3,278
Accrued vacation	2,552	2,202
Accrued marketing expenses	1,420	1,062
Accrued legal, consulting and audit fees	608	672
Accrued employee expense reimbursement	391	643
Accrued sales and other taxes	416	638
Liability payable for unvested stock options exercises	445	552
Accrued sales awards	337	320
Accrued other	1,152	1,367
Total	13,488	23,055
Changes in accumulated other comprehensive income	'	'
Beginning balance	198	'
Other comprehensive income before reclassifications	-50	'
Other comprehensive loss attributable to redeemable non-controlling interests	2	'
Ending balance	150	'
Foreign Currency Items	'	'
Changes in accumulated other comprehensive income	'	'
Beginning balance	198	'
Other comprehensive income before reclassifications	-50	'
Other comprehensive loss attributable to redeemable non-controlling interests	2	'
Ending balance	$150	'

Goodwill_and_Intangible_Assets2

Goodwill and Intangible Assets (Details) (USD $)

3 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

Mar. 31, 2014

Mar. 31, 2013

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Developed technology

Developed technology

Domain names

Domain names

Customer Relationships

Customer Relationships

Non-compete agreements

Non-compete agreements

Capitalized software development costs

Capitalized software development costs

Insightera, Ltd.

Goodwill and Intangible Assets

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Intangible assets, gross

$9,175,000

'

$8,985,000

$4,950,000

$4,950,000

$950,000

$950,000

$1,600,000

$1,600,000

$130,000

$130,000

$1,545,000

$1,355,000

'

Less accumulated amortization

-2,407,000

'

-1,890,000

'

'

'

'

'

'

'

'

'

'

'

Net Carrying Amount

6,768,000

'

7,095,000

4,194,000

'

730,000

'

1,272,000

'

3,000

'

569,000

'

'

Goodwill

26,045,000

'

25,941,000

'

'

'

'

'

'

'

'

'

'

'

Goodwill and intangible assets, net

32,813,000

'

33,036,000

'

'

'

'

'

'

'

'

'

'

'

Weighted Average Remaining Useful Life

'

'

'

'3 years 8 months 12 days

'3 years 10 months 24 days

'4 years 3 months 18 days

'4 years 6 months

'2 years 4 months 24 days

'4 years 10 months 24 days

'0 years

'3 months 18 days

'1 year 4 months 24 days

'1 year 3 months 18 days

'

Measurement period adjustments

'

'

'

'

'

'

'

'

'

'

'

'

'

100,000

Amortization expense

517,000

158,000

'

'

'

'

'

'

'

'

'

'

'

'

Estimated future amortization

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Nine Months Ending December 31, 2014

1,636,000

'

'

856,000

'

138,000

'

410,000

'

3,000

'

229,000

'

'

2015

2,185,000

'

'

1,141,000

'

183,000

'

547,000

'

'

'

314,000

'

'

2016

1,662,000

'

'

1,141,000

'

180,000

'

315,000

'

'

'

26,000

'

'

2017

1,156,000

'

'

1,056,000

'

100,000

'

'

'

'

'

'

'

'

2018

100,000

'

'

'

'

100,000

'

'

'

'

'

'

'

'

2019 and beyond

29,000

'

'

'

'

29,000

'

'

'

'

'

'

'

'

Net Carrying Amount

$6,768,000

'

$7,095,000

$4,194,000

'

$730,000

'

$1,272,000

'

$3,000

'

$569,000

'

'

Stockholders_Equity_and_Redeem2

Stockholders Equity and Redeemable Noncontrolling Interests (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Total Stockholders' Equity	'	'
Balance	$128,442	'
Issuance of common stock upon exercise and early exercise of stock options	2,487	'
Issuance of common stock under employee stock purchase plan	3,384	'
Investment by redeemable non-controlling interests	369	'
Withholding taxes for the net share settlement of an equity award	-16	'
Vesting of early exercised options	115	256
Costs incurred with follow-on offering	62	'
Stock-based compensation expense	5,017	'
Net loss	-12,509	-9,524
Foreign currency translation adjustments	-48	'
Balance	127,303	'
Redeemable Non-controlling Interests	'	'
Investment by redeemable non-controlling interests	1,585	'
Net loss	-11	'
Foreign currency translation adjustments	-2	'
Balance	$1,572	'

Credit_Facility_Details

Credit Facility (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	21-May-12	Mar. 31, 2014	Jun. 06, 2013
In Millions, unless otherwise specified	Equipment facility	Equipment facility	Original Line of Credit	Original Line of Credit	New line of credit
				item
Credit facility	'	'	'	'	'
Maximum borrowing capacity	'	'	$4	'	$4.50
Minimum interest rate (as a percent)	'	'	4.00%	'	'
Percentage points above prime rate considered for determining interest rate	'	'	0.75%	'	'
Interest payment period	'	'	'	'9 months	'
Number of equal monthly principal and interest payments	'	'	'	36	'
Percentage of increase in interest rate basis of existence of an event as per loan and security agreement	'	'	'	5.00%	'
Outstanding loan	$7.30	$7.60	'	'	'

Stockholders_Equity_and_Stock_2

Stockholder's Equity and Stock Based Compensation (Details) (USD $)	3 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Stockholder's Equity and Stock Based Compensation	'	'	'
Common stock, shares authorized	1,000,000,000	'	'
Common stock, par value (in dollars per share)	$0.00	'	'
Preferred stock, shares authorized	20,000,000	'	'
Preferred stock, par value (in dollars per share)	$0.00	'	'
Common stock, shares issued	40,300,000	'	'
Common stock, shares outstanding	40,300,000	'	'
Options	'	'	'
Shares Available for Grant	'	'	'
Balance at the beginning of the period (in shares)	3,486,000	'	'
Additional shares authorized	1,962,000	'	'
Granted (in shares)	-780,000	'	'
Repurchased (in shares)	6,000	'	'
RSUs granted, net of cancellations/forfeitures (in shares)	-894,000	'	'
Cancelled/Forfeited (in shares)	174,000	'	'
Balance at the end of the period (in shares)	3,954,000	'	3,486,000
Number of Stock Options Outstanding	'	'	'
Balance at the beginning of the period (in shares)	6,343,000	'	'
Granted (in shares)	780,000	'	'
Exercised (in shares)	-783,000	'	'
Cancelled/Forfeited (in shares)	-174,000	'	'
Balance at the end of the period (in shares)	6,166,000	'	6,343,000
Exercisable at the end of the period (in shares)	5,203,000	'	'
Vested and expected to vest at the end of the period (in shares)	6,017,000	'	'
Weighted-Average Exercise Price	'	'	'
Balance at the beginning of the period (in dollars per share)	$5.33	'	'
Granted (in dollars per share)	$40.68	'	'
Exercised (in dollars per share)	$3.21	'	'
Repurchased (in dollars per share)	$6.08	'	'
Cancelled/Forfeited (in dollars per share)	$9.42	'	'
Balance at end of the period (in dollars per share)	$9.96	'	$5.33
Exercisable at the end of the period (in dollars per share)	$5.05	'	'
Vested and expected to vest at the end of the period (in dollars per share)	$10.10	'	'
Weighted-Average Remaining Contractual Life	'	'	'
Outstanding at the beginning of the period	'8 years 1 month 28 days	'	'7 years 11 months 23 days
Outstanding at the end of the period	'8 years 1 month 28 days	'	'7 years 11 months 23 days
Exercisable at the end of the period	'7 years 10 months 28 days	'	'
Vested and expected to vest at the end of the period	'8 years 1 month 28 days	'	'
Aggregate Intrinsic Value	'	'	'
Outstanding at the beginning of the period	$201,305,000	'	'
Outstanding at the end of the period	146,149,000	'	201,305,000
Exercisable at the end of the period	143,675,000	'	'
Vested and expected to vest at the end of the period	141,913,000	'	'
Closing stock price (in dollars per share)	$32.67	'	'
Additional information	'	'	'
Weighted average grant date fair value (in dollars per share)	$21.78	$4	'
Total intrinsic value of options exercised	28,623,000	1,182,000	'
Total estimated grant date fair value of options vested	$1,200,000	'	'
Options | 2006 Plan	'	'	'
Additional information	'	'	'
Vesting period	'4 years	'	'
Percentage of awards which will vest after one year	25.00%	'	'

Stockholders_Equity_and_Stock_3

Stockholder's Equity and Stock Based Compensation (Details 2) (USD $)

1 Months Ended

3 Months Ended

In Thousands, except Share data, unless otherwise specified

Feb. 28, 2014

Mar. 31, 2014

Mar. 31, 2014

Mar. 31, 2014

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2013

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2014

Employee Stock Purchase Plan

Employee Stock Purchase Plan

Employee Stock Purchase Plan

Employee Stock Purchase Plan

Options

Options

Options

Options

RSUs

RSUs

RSUs

RSUs

Minimum

Maximum

Minimum

Maximum

Minimum

Maximum

Assumptions used for estimation of fair value

'

'

'

'

'

'

'

'

'

'

'

'

Expected term

'

'

'6 months

'9 months

'6 years

'6 years

'

'

'

'

'

'

Risk-free interest rate (as a percent)

'

'

0.08%

0.11%

1.84%

'

1.09%

1.18%

'

'

'

'

Expected volatility (as a percent)

'

'

41.00%

42.00%

56.00%

57.00%

'

'

'

'

'

'

Expected dividend rate (as a percent)

'

0.00%

'

'

0.00%

0.00%

'

'

'

'

'

'

Number of RSUs

'

'

'

'

'

'

'

'

'

'

'

'

Balance at the beginning of the period (in shares)

'

'

'

'

'

'

'

'

582,000

'

'

'

RSUs Granted (in shares)

'

'

'

'

'

'

'

'

926,000

'

'

'

RSUs Vested (in shares)

'

'

'

'

'

'

'

'

-5,000

'

'

'

RSUs Cancelled/Forfeited (in shares)

'

'

'

'

'

'

'

'

-32,000

'

'

'

Balance at the end of the period (in shares)

'

'

'

'

'

'

'

'

1,471,000

'

'

'

Weighted Average Grant Date Fair Value

'

'

'

'

'

'

'

'

'

'

'

'

Balance at the beginning of the period (in dollars per share)

'

'

'

'

'

'

'

'

$22.57

'

'

'

RSUs Granted (in dollars per share)

'

'

'

'

'

'

'

'

$41.57

$7.42

'

'

RSUs Vested (in dollars per share)

'

'

'

'

'

'

'

'

$7.79

'

'

'

RSUs Cancelled/Forfeited (in dollars per share)

'

'

'

'

'

'

'

'

$38.89

'

'

'

Balance at the end of the period (in dollars per share)

'

'

'

'

'

'

'

'

$34.22

'

'

'

Aggregate Intrinsic Value

'

'

'

'

'

'

'

'

'

'

'

'

Balance at the beginning of the period (in dollars)

'

'

'

'

'

'

'

'

$21,579

'

'

'

Balance at the end of the period (in dollars)

'

'

'

'

'

'

'

'

48,065

'

'

'

Vesting period

'

'

'

'

'

'

'

'

'

'

'3 years

'4 years

Additional information

'

'

'

'

'

'

'

'

'

'

'

'

Closing stock price (in dollars per share)

'

'

'

'

$32.67

'

'

'

'

'

'

'

RSUs Granted (in dollars per share)

'

'

'

'

'

'

'

'

$41.57

$7.42

'

'

Total intrinsic value of vested RSUs

'

'

'

'

'

'

'

'

$195

'

'

'

Issuance of common stock under employee stock purchase plan

300,000

'

'

'

'

'

'

'

'

'

'

'

Average purchase price (in dollars per share)

$11.05

'

'

'

$32.67

'

'

'

$32.67

'

'

'

Stockholders_Equity_and_Stock_4

Stockholder's Equity and Stock Based Compensation (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Stock Compensation Expense	'	'
Total stock-based compensation expense	$5,007	$1,001
Total unrecognized compensation cost related to unvested awards not yet recognized	'	'
Unrecognized Expense	32,551	'
Expected Recognition Period	'2 years 8 months 19 days	'
Employee Stock Purchase Plan	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	600	'
Total unrecognized compensation cost related to unvested awards not yet recognized	'	'
Unrecognized Expense	818	'
Expected Recognition Period	'4 months 17 days	'
Stock options	'	'
Total unrecognized compensation cost related to unvested awards not yet recognized	'	'
Unrecognized Expense	22,819	'
Expected Recognition Period	'2 years 6 months 29 days	'
RSUs	'	'
Total unrecognized compensation cost related to unvested awards not yet recognized	'	'
Unrecognized Expense	8,914	'
Expected Recognition Period	'3 years 3 months 14 days	'
Cost of subscription and support revenue	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	384	63
Cost of professional services and other revenue	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	447	93
Research and development	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	1,079	210
Sales and marketing	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	1,779	230
General and administrative	'	'
Stock Compensation Expense	'	'
Total stock-based compensation expense	$1,318	$405

Net_Loss_per_Share_Details

Net Loss per Share (Details) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Numerator:	'	'
Net loss	($12,520)	($9,524)
Less net loss attributable to redeemable non-controlling interests	-11	'
Net loss attributable to Marketo	($12,509)	($9,524)
Denominator:	'	'
Weighted-average common shares outstanding	39,628	3,335
Less: Weighted-average unvested common shares subject to repurchase or forfeiture and shares held in escrow	-249	-154
Weighted-average shares used in computing net loss per share of common stock, basic and diluted	39,379	3,181
Net loss per share of common stock, basic and diluted (in dollars per share)	($0.32)	($2.99)
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	8,002	34,360
Convertible preferred stock	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	'	25,876
Stock options to purchase common stock	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	6,166	7,983
Employee stock purchase plan	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	124	'
Common stock held in escrow	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	137	12
Common stock subject to repurchase	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	104	143
Restricted stock units	'	'
Potentially dilutive securities that were excluded from the diluted per share	'	'
Potentially dilutive securities excluded from the diluted per share calculation	1,471	346

Income_Taxes_Details

Income Taxes (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Provision for income taxes	'	'
(Benefit) provision for income taxes	($14,000)	$20,000
Income tax benefit for current year losses due to maintaining a full valuation allowance	$0	$0

Segment_Information_and_Inform2

Segment Information and Information about Geographic Areas (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	item
Segment Information and Information about Geographic Areas	'	'	'
Number of business segment	1	'	'
Revenue and long-lived assets by geographic area	'	'	'
Revenue	$32,292	$19,736	'
Long-lived assets	15,567	'	13,856
United States	'	'	'
Revenue and long-lived assets by geographic area	'	'	'
Revenue	27,350	16,992	'
Long-lived assets	15,287	'	13,573
EMEA	'	'	'
Revenue and long-lived assets by geographic area	'	'	'
Revenue	2,656	1,407	'
Long-lived assets	222	'	280
Other	'	'	'
Revenue and long-lived assets by geographic area	'	'	'
Revenue	2,286	1,337	'
Long-lived assets	$58	'	$3