Demandware

Demandware was a United States cloud-software company focused on hosted commerce technology for retailers and other businesses selling through digital channels. Founded in 2004 by Stephan Schambach, the company developed a software-as-a-service model that allowed customers to build, operate, and manage e-commerce websites without maintaining the underlying commerce infrastructure entirely themselves. Its platform was designed for organizations seeking centralized capabilities for digital storefronts, merchandising, catalog management, promotions, orders, and related commerce operations. The company emerged from the experience of Schambach, who had previously founded Intershop, an early e-commerce software business. Demandware received early backing from General Catalyst Partners and North Bridge Venture Partners. Its hosted approach reflected a broader shift in enterprise software away from customer-managed installations and toward subscription-based, remotely operated platforms. Rather than selling only licensed software for deployment on a retailer's own servers, Demandware provided a managed commerce environment intended to support ongoing website operations and platform updates. Demandware launched its service in the first quarter of 2005 and subsequently expanded its commercial presence among larger retailers and brands. Its principal offering became known as Demandware Commerce Cloud. The platform supported multi-channel and digital retail use cases, helping businesses manage online stores and connect commerce processes with customer-facing digital experiences. The company's positioning was primarily enterprise-oriented: it served organizations that needed scalable hosted commerce capabilities and operational support rather than a simple do-it-yourself storefront tool. Demandware became a public company on the New York Stock Exchange on March 15, 2012. Its initial public offering raised $88 million at $16 per share. The company later announced another underwritten registered public offering in November 2013. The IPO gave Demandware access to public capital and increased its visibility in the growing cloud-commerce software market. On June 1, 2016, Salesforce announced a definitive agreement to acquire Demandware for approximately $2.8 billion. The transaction closed on July 11, 2016. After the acquisition, Demandware's technology and business were integrated into Salesforce's portfolio and the product was rebranded as Salesforce Commerce Cloud. The Demandware corporate brand therefore ceased operating as an independent company, although its platform and capabilities continued under Salesforce's commerce product organization. Its main historical significance lies in helping establish cloud-hosted enterprise commerce as an alternative to traditional on-premises e-commerce software and in providing the foundation for Salesforce's commerce offering.

Demandware was established in February 2004 by Stephan Schambach, an entrepreneur who had previously founded Intershop in 1992. The new company was created to provide hosted technology for organizations developing and operating e-commerce websites. Its business model anticipated the later expansion of software as a service in enterprise commerce: customers used a remotely managed platform rather than relying solely on software installed and maintained on their own infrastructure. General Catalyst Partners and North Bridge Venture Partners provided seed financing. Demandware launched its service during the first quarter of 2005. The platform was aimed at retailers and brands that required managed digital-commerce capabilities, including tools for operating online stores and supporting associated commerce processes. Its hosted architecture was intended to reduce the operational burden of running commerce systems while allowing customers to maintain branded digital storefronts. Over time, Demandware developed a reputation as an enterprise-focused cloud-commerce provider, with Demandware Commerce Cloud serving as its principal product identity. The company reached the public markets on March 15, 2012, when its shares began trading on the New York Stock Exchange. The IPO raised $88 million at $16 per share. In November 2013, Demandware announced an underwritten registered public offering, marking another capital-markets event during its period as an independent public company. Demandware's independent existence ended after Salesforce pursued it as a way to strengthen its position in digital commerce. On June 1, 2016, Salesforce and Demandware announced a definitive acquisition agreement valued at approximately $2.8 billion. The transaction was completed on July 11, 2016. Salesforce subsequently incorporated Demandware's technology into its product portfolio and changed the product branding to Salesforce Commerce Cloud. Demandware is therefore best understood historically as the predecessor company and platform behind Salesforce's commerce business rather than as an active standalone brand.

• 2016

  Salesforce announces acquisition

  [1]Demandwareen.wikipedia.org

  Salesforce signed an agreement to acquire Demandware for approximately $2.8 billion.

• 2016

  Acquisition completed

  [1]Demandwareen.wikipedia.org

  The transaction closed on July 11, and Demandware was subsequently rebranded as Salesforce Commerce Cloud.

• 2013

  Registered public offering announced

  [1]Demandwareen.wikipedia.org

  Demandware announced an underwritten registered public offering.

• 2012

  Initial public offering

  [1]Demandwareen.wikipedia.org

  Demandware began trading on the New York Stock Exchange and raised $88 million through its IPO at $16 per share.

• 2005

  Hosted commerce service launches

  [1]Demandwareen.wikipedia.org

  Demandware launched its hosted e-commerce service in the first quarter of the year.

• 2004

  Demandware is founded

  [1]Demandwareen.wikipedia.org

  Stephan Schambach founded Demandware in February to develop hosted commerce technology for businesses operating e-commerce websites.

Enterprise-oriented cloud commerce platform for retailers and brands seeking hosted infrastructure to operate digital storefronts and manage e-commerce activities.

• Cloud commerce platform

  Demandware Commerce Cloud

  Demandware Commerce Cloud was the company's principal hosted software platform for retailers and brands. It enabled customers to develop and manage online storefronts using a remotely operated commerce environment. The offering represented Demandware's enterprise SaaS approach, combining digital-storefront operation with broader commerce-management capabilities and reducing the need for customers to run the complete platform stack themselves. Following Salesforce's acquisition, the technology and product direction continued under the Salesforce Commerce Cloud name.

• 2016

  Salesforce acquisition of DemandwareM&A

  Background

  Salesforce sought to expand its cloud software portfolio into digital commerce, while Demandware had established a hosted commerce platform for retailers and brands.

  Action taken

  Salesforce agreed to purchase Demandware for approximately $2.8 billion. The acquisition closed on July 11, 2016.

  Aftermath

  Demandware ceased operating as an independent company and its platform was rebranded as Salesforce Commerce Cloud.

  Acquisition value. $2.8 billion announced transaction value (2016)

  Source

• 2016

  Transition from Demandware Commerce Cloud to Salesforce Commerce CloudOther

  Background

  Following the completed Salesforce acquisition, the Demandware product and technology became part of Salesforce's commerce portfolio.

  Action taken

  Salesforce integrated the business and changed the product branding to Salesforce Commerce Cloud.

  Aftermath

  Demandware remained relevant as the predecessor platform, but the standalone Demandware brand was retired.

  Source

1. 1Demandwareen.wikipedia.org