Retail Vendor Consolidation

The vendor ecosystem for the retail industry has been very active in the last 10 years, growing with new entrants and shrinking with acquisitions.  This certainly benefits retailers through both access to innovation and lower costs.  The graphic below summarizes some of those acquisitions by the major players in the industry.

One thing enabled by this consolidation is the ability for a retailer to use a single vendor for a complete transformation.  That's what retailers like JCPenney, Belk, and Neiman Marcus have done with Oracle Retail.  Oracle brings the separate products together to ease integration efforts, and provide more comprehensive views of the enterprise.

Nowadays best-of-breed is a tougher sell as most retailers understand the importance of Commerce Anywhere and want comprehensive, coordinated systems that serve the needs of their customers.  Building solutions one block at a time is time-consuming and inefficient, so leaning on vendors to deliver the core is usually preferred.

This cycle of new companies building great solutions then being acquired is healthy for the industry, and I expect it to continue.

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David Dorf, Sr Director Technology Strategy for Oracle Retail, shares news and ideas about the retail industry with a focus on innovation and emerging technologies.


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