IBM Acquires Analytics Company, Coremetrics
IBM announced on Tuesday that it plans to buy Coremetrics, a leading company in marketing optimization and online analytics. IBM is acquiring Coremetrics, a San Mateo based company, to expand their business analytics capabilities.
Coremetrics will help IBM allow businesses to gain knowledge and insight about consumers through a cloud-based delivery model. This will help businesses create better and more effective marketing campaigns.
Over 2,000 online businesses use Coremetrics’ Software-as-a-Service for online marketing. Some of their clients include Virgin Atlantic Airways, Office Depot, PETCO, SkyMall, and Bank of America. Coremetrics’ 230 employees will be integrated into IBM, along with Coremetrics’ software.
IBM has been developing a strategy to deliver more powerful business analytics solutions. Acquiring Coremetrics is part of that plan. Coremetrics is not the first company that IBM has purchased. They have bought more than 55 companies since 2003. IBM has been buying more companies focused on data management recently, including their purchase of cloud-based data integration provider Cast Iron and the business-to-business software company, Sterling Commerce.
In a recent survey conducted by IBM, it was found that 88 percent of CEOs want to focus on getting closer to their customers in the next five years and 82 percent of CEOs want to better understand customer needs. IBM has recognized this growing need and plans to address it with their detailed plan to help marketing professionals truly understand their target demographic.
“With this acquisition, we are extending our capabilities to give clients greater insight about customer behavior and sentiment about products and services, and give true foresight into their future buying patterns,” said Craig Hayman, the general manager of IBM WebSphere. “Marketing departments can benefit from these capabilities very quickly because we are delivering this in a Software-as-a-Service model. The combination of IBM and Coremetrics will maximize marketing expenditures and also make the buying experience more convenient, personal and interactive for consumers.”
IBM plans on continuing to support and strengthen Coremetrics’ technologies. The deal will close in the third quarter of 2010.
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