In an increasingly competitive and homogeneous marketplace, digital acquisitions provide a way in which businesses can close the gap and drive growth via new commercially attractive ventures. With a market ripe with startups, that next Facebook, Amazon or Google might just be around the corner – the question is what should businesses be looking for?
Is it a matter of looking within your marketplace, identifying potential disruptions to your business and then looking to find a solution that will avert that pending collision? Or rather broadening the search beyond traditional areas of operation, in order to leverage opportunities in new growth areas yet to boom? Whether an acquisition occurs, no doubt businesses that keep aware of these opportunities will be better poised to respond if and when their industry is disrupted.
The following infographic by Kwasi Studios provides some interesting insights about digital acquisitions between some of the most prominent businesses in the world and why they think these alliances will work.
Of particular interest is Amazon’s purchase of Kiva Systems. For those unaware, Kiva Systems has developed robot technology warehouse management system – potentially the future of supply chain and operations particularly for large multichannel retailers. In effect this alliance allows Amazon to move into a market of not only being a retailer, but supplying other retailers with this technology – stepping out its traditional role. However this is nothing new for the retailer, that has over the years monetised a variety of the technology and services it has developed.
A different example of a business perhaps looking to avert disruption, while building and innovating within its own market is Salesforce. Traditionally offering a CRM solution for sales management, the company has expanded its offering in the social media sphere with its purchase of Buddy Media. Perhaps anticipating the growth of social media within the B2B communications space, as mentioned in the article by Kwasi Studios, Salesforce is rounding out its offering to stay relevant and contemporary within its market.
What will be your approach in order to close and grow your business beyond the gap?
[Source: PwC Australia – Digital Pulse.]