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

Why are we dubious about deep learning?

The prospect of deep learning gives those of us in the industry something to get really excited about, and something to be nervous about, at the same time.

Katja Forbes

Founder and chief, sfyte

Why you can’t afford to fail at CX in 2019

In 1976 Apple launched. The business would go on to change the game, setting the bar for customer experience (CX). Seamless customer experience and intuitive designs gave customers exactly what they wanted, making other service experiences pale in comparison.

Damian Kernahan

Founder and CEO, Proto Partners

Natural born leaders

Many business and marketing managers progressing to leadership positions face evolving their focus from operational matters to strategic decision making and planning.

Jean-Luc Ambrosi

Author, marketer

Do you need a loan to pay off your credit or debit? Do you need financial help to set up your own business? Do you need a loan to carry o...

NORA

Facebook: Friction is costing Australian businesses $29 billion a year

Read more

Thanks for writing about chatbots. Definitely bots have the exciting future when it comes to customer engagement, transactional and conve...

Sanket Nair

7 businesses successfully implementing chatbots

Read more

Interesting article but what about the employees? There needs to be access to quick cash for everyone involved lest we have yet another '...

Joel Pencer

Suncorp outlines customer investments, digitisation as key to business improvement

Read more

Just printed out this Brad Howarth screed to read tomorrow. I need a good laugh once in a while. Or maybe shed some manly-man tears at th...

Larry A Singleton

What a diversity agenda has done for Kellogg's staff and innovation engagement

Read more

Morons. PC Nazis infiltrating and subverting every level in our lives.These scum have destroyed our education system.Read FrontPage Magaz...

Larry A Singleton

What a diversity agenda has done for Kellogg's staff and innovation engagement

Read more

Latest Podcast

More podcasts

Sign in