Why did Adobe buy Magento?

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Written by Digital Surgeons,
• 2 min read

Digital Surgeons CEO Pete Sena:

“So Adobe decides to come in and scoop up Magento for $1.68 billion. First, they hit content. Then, they hit analytics. Now what's the one thing that they're missing? Commerce. And the reason why I think it's such an important time right now is when you think about the 'cloud wars' that we see happening: SAP has Hybris with some of the biggest sites in the world; Salesforce acquired Demandware, which is now the Salesforce Commerce Cloud; Oracle's got NetSuite and their Oracle Commerce Cloud.

We're seeing these 'cloud wars' right now, so one thing I think our customers need to be mindful of is: if you're on that tech stack – if you're on that marketing tech stack – what does that mean for your business? The amount of times that I see people spend way too much money on tech without using a fraction of the things that are coming out of the box with these technologies is crazy. 

The acquisition of Magento is a game-changing play for Adobe because it lets them get access to the next layer of data that they really need – purchase behavior data.

And right now, all brands are in this fight, which is: is Amazon going to be your best friend or your worst enemy? 

That's the thing that you, as a brand, have to ask yourself. What is my direct-to-consumer strategy? How am I going to sell direct? Not just to make a higher margin through DTC, but ultimately, how do I control the entire experience? How do I go further than the brown box that shows up on the doorstep?”

Agree with Pete? Disagree? Share your thoughts on Twitter @petesena.