Salesforce to add digital commerce capabilities with US$2.8bn Demandware acquisition

The purchase will allow Salesforce to offer Commerce Cloud and get into e-commerce

Salesforce.com is moving beyond CRM and into e-commerce with the acquisition of cloud service provider Demandware.

It will use the purchase to kick-start a new field of business, the Salesforce Commerce Cloud, it said Wednesday.

The company already has its Sales Cloud, Service Cloud, Marketing Cloud, Analytics Cloud.

By rebranding Demandware Commerce Cloud as its own, Salesforce will be able to combine e-commerce, order management, point-of-sale, store operations and predictive intelligence into its own platform.

Commerce Cloud will allow Salesforce customers to connect with their own clients in new ways, the company said, while Demandware customers will gain access to sales, marketing and analytics functions from Salesforce. Demandware customers include L’Oreal and U.K. retail chain Marks & Spencer.

"There are so many ways it accelerates our mission to transform retail," Demandware CEO Tom Ebling said in a conference call to discuss the deal.

Being part of Salesforce will add to Demandware's credibility when approaching large accounts, he said.

It will also help the company expand to new countries. "We've just got started in places like Japan and Italy but there are many other untapped geographies for us," he said.

A third area where it will benefit is omnichannel marketing, helping retailers engage customers everywhere. "The combination of CRM capabilities, knowledge of the customer, with the commerce engine will be a way to accelerate that capability," he said.

Salesforce's Chief Product Officer Alex Dayon said the deal will increase its customers' insight into their business.

"Our customers' information systems are going to be powered by data. You need a complete view of your customers. Having commerce as part of the CRM platform is important," he said during the same conference call.

He hammered home the need for more data in response to a question about Salesforce's ad targeting capabilities.

"For us it's all about the data, whether you use your own data, your own targeting, or whether you connect to companies like Google or Facebook," he said.

The companies expect to close the deal, worth around US$2.8 billion net of cash acquired, before August, subject to customary closing conditions.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

5 cornerstones of a strong digital culture

Creating a strong company culture may sound like a daunting task, but it’s actually pretty straightforward. In fact, company culture is created in exactly the same fashion as a religion or democracy. Behaviours created from the organisation’s inception are reinforced over time by leadership, attracting like-minded people and eventually reaching critical mass to become an accepted ‘truth’.

Anthony Stevens

Founder and CEO, Digital Asset Ventures

Should you rebuild your company’s tech stack in blockchain?

The question I get asked most regularly these days is: ‘Do I need to rebuild my company’s systems on Blockchain?’ And the answer, every time, is ‘No, you’re asking the wrong question’.

Michelle O'Keeffe

CEO, Engaging.io

Customer value proposition: Getting the brand promise to your customers right

Throughout my career, I have witnessed a litany of brand names that profess to have a unique customer value proposition (CVP). In reality, however, they’ve had little more than a ‘value proposition’: A simple list of benefits applied to a general audience.

Ric Navarro

Global director of marketing and communications, Norman, Disney & Young

RE: Sales and marketing SLAs, often the choke point isn't the teams but them getting the data into the tools they want to use with the da...

Ed Fry

Why sales and marketing alignment is more important than ever

Read more

Thank you for the good and very helpful information. It is very interesting. I love all the things you share and see your beautiful creat...

รัตนาวดี ภูมิวรรณ

Former eHarmony marketing chief joins telco startup

Read more

Colin Kaepernick, not Mike Kapernick.

thisisw

Zenith's innovation leader: Mid-digital age not benefitting media, brands or consumers

Read more

AGA KHAN HOSPITAL is in need of kidney donors for the sum of 2 crore, Contact us today if you want to sell your kidney for money, and thi...

Sebastian Friedrich

Mindshare gets behind blockchain advertising alliance

Read more

WelcomeThe world 's coolest Mercedes companyI am a personal addict on this carBut poverty does not allow me to watch on YouTube for us po...

amer hassan

ASX-listed GrowthOps appoints inaugural CMO

Read more

Latest Podcast

More podcasts

Sign in