The eCommerce world is buzzing following the big news that Adobe intends to acquire Magento Commerce for $1.68 billion. According to an announcement released by Magento this deal marks, “the next step in our journey to drive innovation across every facet of commerce.”
The acquisition of Magento means that Adobe is rounding out their platform, having lacked a commerce portion and thus previously unable to compete with other platform companies like Salesforce (Demandware) and Oracle (Hybris).
So what does this acquisition mean for retailers, brands, and merchants?
We asked our Executive team of Commerce Experts to weigh-in on this deal and here’s what they had to say:
Afshin Mousavian, President, Demac
“Overall this validates that commerce is a fast moving sector and there is always opportunity in change.”
This acquisition could mean that Magento is continuing to move upstream in pursuit larger enterprises.
This is in an effort to build a Single Cloud Platform that allows one to design, develop, manage content, plan marketing, and analyze performance all in one place for both B2C and B2B. Of course this sounds nice and easy on paper but will be much more challenging as all the Magento service providers will now have to take on Adobe and get familiarized with the full Adobe suite.
This also positions Adobe in a more competitive stance with Salesforce who acquired Demandware 3 years ago.
The real question on my mind is how well does Adobe integrate Magento into their Experience Cloud?
Taking two platforms and making them work seamlessly together is much easier to put into sales and marketing materials than it is to pull of technically in a way that really benefits merchants.
What I find exciting is that Magento finally having the financial backing to compete with Salesforce and Shopify in a pure spend on marketing kind of way. Being able to invest in developing their product AND their sales and marketing capacity is a pretty amazing prospect for the entire ecosystem.
Jeff Atley, Vice President of Business Development, Demac
The alignment of the two companies suggests that Adobe will eventually bring forward complete solutions from Content design to Commerce in an cohesive offering. What this means for retailers is that you’ll have a more fluid offering, and the ability to keep all your technology in one stack. This is a great value offer for customers, partners, and developers in the ecosystem!
What the #RealMagento Community is saying:
— Dries Buytaert (@Dries) May 22, 2018
— Karen Baker (@wsakaren) May 21, 2018
The community has spoken, See the views of @magento thought leaders on @Adobe acquisition @_Talesh @jhuskisson @allanmacgregor @chatwithKC @nmohanswe @ecommerceaholic @VinaiKopp @kir_morozov https://t.co/4DLoHjeh0a More review to be added soon @mjasay #Magento pic.twitter.com/5e7GTLnz5p
— Vikrant Shukla (@vikrantshukla) May 23, 2018
— Allan MacGregor (@allanmacgregor) May 22, 2018