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Adobe’s Acquisition of Magento Leads to Exciting Developments

December 20, 2018 by Brent W Peterson

Adobe’s Acquisition of Magento Leads to Exciting Developments

This entry was posted on December 20, 2018 by Brent W Peterson

IMAGE Adobe’s Acquisition of Magento Leads to Exciting Developments

In May, Adobe made a rather unexpected announcement; the company had struck a deal to purchase leading eCommerce platform, Magento, for $1.68 billion. Magento’s chief executive officer Mark Lavelle has said that the two companies share the same vision for the future of eCommerce and have been partners long before the acquisition. Once the deal is officially closed in Q3 of Adobe’s fiscal year, the two companies will begin sharing their industry expertise and shaping the future of eCommerce together.

About Adobe

Adobe is one of the largest software companies in the world, and it offers a range of products suitable for individual users and businesses of all sizes. Adobe Experience Cloud covers several areas important to online retailers including marketing, analytics, and advertising. It has changed the way over two-thirds of Fortune 500 companies create and deliver digital content. Experience Cloud manages an average of 233 trillion transactions per year. Adobe is committed to staying up-to-date on the latest technologies, the company is making strides with improving AI and machine learning with Adobe Sensei.

Despite Adobe’s global success, the research director at Gartner Inc., Jason Daigler, said that Adobe was missing a native platform suite. This created a significant gap in Adobe’s digital commerce, but Magento can easily fill this need.

Facts About Magento

A leading eCommerce platform, Magento helps owners of small businesses and enterprises alike create beautiful, customized, and efficient websites. Magento is open-source, has unlimited scalability, and even won three awards in 2017 for its leadership and strong performance. The Magento Commerce Cloud, which specializes in digital commerce and order management, could help fill the void in Adobe’s digital commerce. Mark Lavelle says, “(Adobe) can deliver all the way up until checkout. Now, Magento can take over at checkout, and we offer help with shipping and fulfillment as well.”

Although it offers multiple benefits for users, Magento has a few weak spots when it comes to advertising, marketing, and content management. With the creative solutions offered by Adobe, Magento users should expect dramatic benefits in these areas.

Benefits for Consumers and Companies

Adobe and Magento both have significant experience in the world of ecommerce, and their shared knowledge and technologies will create multiple benefits for Adobe and Magento users alike. As the companies fix the weaker areas of their digital experience, Adobe, Magento, and their customers are likely to see these improvements:

  • Customer personalization across all online sales channels and in physical stores.
  • A quick and easy checkout process that can be completed anytime, on any device.
  • Sales and marketing teams will have new access to innovative technologies to keep up with the ever-changing needs, behaviors, and trends of consumers.
  • Incredible business agility can provide businesses with consumer data such as personalization, insights, and analytics in real time.
  • Common architecture, which allows customers to create individual digital experiences.

The Future of Ecommerce

Adobe’s acquisition of Magento will most likely strike up a fierce competition with other online platforms. In fact, just the announcement of the acquisition created a 5% drop in Shopify’s stock prices. Other market leaders including IBM, Salesforce, and Oracle are sure to fight back by creating innovative solutions and finding new ways to cater to customer demands.

While these companies compete for superiority, customers will have a much more pleasant experience. Online shoppers will enjoy more competitive pricing, better service, and improved experiences during the race to deliver the latest ecommerce technologies.

For more information about Magento, and for help with your eCommerce endeavors, visit us at today.