BigCommerce acquires Feedonomics, an e-commerce data optimization platform, in its first acquisition since going public

Less than a year after going public, BigCommerce announced the acquisition of Feedonomics, following last week’s announcement of a partnership with Latin American e-commerce company Mercado Libre.

It is reported that BigCommerce acquired Feedonomics for approximately US$145 million. It has paid approximately US$80 million and will pay the remaining part within the next two years.

Start with data optimization to increase omni-channel sales

According to the editor, Feedonomics provides data optimization service support for medium-sized business merchants. The platform captures, processes, enhances data and feeds data back to existing systems.

BigCommerce's move is aimed at leveraging the advantages of Feedonomics to expand global markets and advertising channels for merchants and help them increase cross-channel product sales.

BigCommerce CEO Brent Bellm said that Feedonomics' purpose is very simple, which is to optimize advertising and increase sales for businesses through channels such as the Internet, marketplaces, search engines and social media sites.

“It can be said that these channels are both one of the largest expenditure items for e-commerce sellers and their largest source of indirect sales revenue.”

Ad spending on e-commerce channels in the U.S. will exceed $41 billion by the end of 2024. That’s a lot of money, accounting for nearly 15% of all digital ad spending.

BigCommerce's acquisition and integration of Feedonomics will optimize market operations and advertising marketing, improve ROAS (return on advertising spend), maximize its omnichannel sales, and ultimately achieve higher GMV.

Complementary advantages, software and hardware complement each other

Feedonomics CEO Shawn Lipman said the two companies have a high degree of consistency in corporate vision, corporate culture and market strategy.

"With BigCommerce providing platform building support for e-commerce practitioners and Feedonomics providing data optimization services, all merchants can thrive through our platform under the trend of digital development."

It is reported that BigCommerce was founded in Australia in 2009 and maintains close ties with its Australian customer base - this year the company also cooperated with the Commonwealth Bank of Australia (CBA) to promote the bank's e-commerce products.

Like Shopify, BigCommerce, as a platform for building independent websites based on the SaaS e-commerce system, has developed greatly in the past few years. It is reported that BigCommerce will announce its second quarter 2021 financial report in early August. Compared with Shopify, what kind of results will BigCommerce achieve? Let's wait and see!

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