On Tuesday, Bigcommerce, e-commerce platform, marked its first acquisition by purchasing Zing, point-of-sale and inventory management software startup for an undisclosed amount. There are talks that suggests the acquisition had cost Bigcommerce in seven-figure cash and equity deal.
A US-based mobile retail tech startup, Zing consists of five employees who would be joining Bigcommerce. The startup has designed point-of-sale software that consists of customer tracking, inventory management and reporting tools. The startup’s intellectual property, APIs and other resources will join Bigcommerce to work on point-of-sale improvement and mobile assets. After it moved to Austin three years ago, the company raised less than $1 million to build its point of sale technology for retailer to manage their inventory online and in store. Nate Steward who is the co-founder and CEO of Zing is very excited about the acquisition and says Bigcommerce’s vision is very similar to Zing’s.
Co-founder and CEO of Bigcommerce said, “The industry has reached an inflection point where retailers of all sizes want and expect to deliver next-gen expereinces, such as in-store pickup and ship-from-store, without the complexity of switching between multiple back office tools.” He also added, “The Zing team have done a remarkable job extending the Bigcommerce platform in a way that enables our merchants to do this and more, and I have full confidence their expertise and IP will further advance and expand our omnichannel strategy.”
Founded in 2009, Bigcommerce plans use Zing’s payment technology along with its software and make it available for customers. The tools and APIs allow retailers to merge online and in-store inventory and permit for in-store pickup. It also permits the shopkeepers or retailers to monitor and track the customer data and his purchased made online and in-store. The company has more than 85,000 customers until date and 30% of them have physical stores. The acquisition of Zing will allows the company to handle O2O services that includes in-store pickup and shipping more simple.
Until now, Bigcommerce has raised $125 million from investors that includes General Catalyst, Softbank, Telstra Ventures, Revolution Growth and American Express and is facing fast growth in the USA and Asia. However, the company faces tough competition from other e-commerce platforms like Shopify and Magento and also e-shopping websites like eBay and Amazon. Bigcommerce plans to growth further and estimates to attract 7 to 10 million retailers in the world who do not have an e-commerce site by simplifies the process of launching an online store and integrate with their existing on-site operations. It has partnered with others like Poynt, Square and Lightspeed POS to offer different tools for the retailers to do so.