August 1, 2016
Today, Magento, one of the largest ecommerce platforms, is announcing they will be acquiring Philadelphia, PA-based RJMetrics for an undisclosed amount of money. RJMetrics creates software for data infrastructure and analytics. It is considered an offering that is complementary to Google Analytics, a platform typically used by ecommerce brands.
“In addition to the valuable analytics extensions already built for Magento, the Magento core platform will now include a powerful native solution enabling merchants to better understand and optimize their commerce business based on actionable data and insights into customers, merchandising, channels, and more,” said Magento in a statement regarding the acquisition.
RJMetrics will be renamed Magento Analytics, and going forward will reportedly only support ecommerce brands. The company does plan to continue to support its existing integrations, which includes competitors Shopify, Netsuite, and Salesforce.
“At RJMetrics, we’re on a mission to help commerce businesses make smarter decisions using their data. When combined with Magento’s commitment to facilitating commerce innovation through flexibility and openness, the opportunity to fulfill that mission is larger than ever,” said Robert Moore, CEO, RJMetrics. “The blending of our platforms will open up a world of possibilities for our customers to define the future of commerce analytics, and I’m proud to be combining forces to usher in the new era.”
Ultimately the goal for Magento Analytics is to fill a much needed gap for those running and managing ecommerce sites, one that does not require IT support or in depth technical knowledge. According to Forrester, most brands only use a third of their available data and less than 30 percent are proficient and efficiently translating the information into actionable strategies.
“Big data and analytics are now table stakes for merchants who want to find new customers, increase order value, and enhance loyalty,” said Mark Lavelle, CEO of Magento Commerce. “The combination of RJMetrics and our global ecosystem of Solution Partners will provide our joint customers, such as Signature Hardware, Draper James and Bucketfeet, and the diverse portfolio of Magento merchants with cutting-edge analytics that keep them ahead of the competition.”
Prior to the acquisition RJMetrics raised $22.75 million across 2 rounds.
Notable Acquisitions in the Ecommerce Industry
- June 2011: eBay announces it would acquire Magento (previously owned 49% of stock)
- August 2014: Nordstrom acquires Chicago based Trunk Club for $350M
- September 2014: Japan based Rakuten acquires Ebates for $1B
- November 2015: Magento spins out from eBay to become its own independent, profitable company
- April 2016: Spanish fashion site Privalia is acquired by French Vente-Privee for $560M
- June 2016: Magento competitor Demandware is acquired by Salesforce for $2.8B
- July 2016: Dollar Shave Club is acquired by Unilever for $1B
- July 2016: Oracle purchases Netsuite for $9.3B
Image via Glassdoor
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