IBM buys Web analytics software company

IBM continues buying spree with purchase of Coremetrics, a marketing analytics provider

IBM will purchase Coremetrics, a provider of Web analytics software, the company announced Tuesday. Terms of the deal were not disclosed.

IBM will add Coremetrics into its portfolio of business analytics software and services.

A privately held firm, the San Mateo, California-based Coremetrics offers a set of cloud analytics services that helps companies better market their brands. The service can help companies get e-mail pitches and personalized recommendations to the appropriate customers, and use customer analysis to place ads on the most-suitable networks and better manage the purchasing of search terms.

Coremetrics customers include Bank of America, Holiday Inn, Office Depot, Petco, Victoria's Secret and Virgin Atlantic Airways.

Big Blue has been busy acquiring companies of late, particularly those that focus on data management. In May, it announced that it would be purchasing cloud-based data integration provider Cast Iron, as well as middleware provider Sterling Commerce.

As part of the Coremetrics announcement, IBM revealed some results of a survey it took of CEOs, including that 82 percent of CEOs who were surveyed want to better understand customer needs.

Coremetrics employs about 230 people, who will be integrated into IBM. The software will be folded into IBM's line of application and integration middleware. The deal is expected to close later this year.

"Coremetrics expands IBM's business analytics capabilities," said Craig Hayman, general manager of IBM's application integration middleware business. Using "a cloud-based delivery model," Coremetrics helps its customers "get real-time insight into their interactions with their consumers and prospects," through e-mail and social media outlets, he said.

Overall, IBM sees analytics as a growth area for the company.

In the past five years, IBM has invested $11 billion to beef up its analysis capabilities through 18 acquisitions, and now has 5,000 employees devoted to providing analytics services. Coremetrics is the 90th acquisition for the company since 2003, Hayman said.

Forrester analyst Joe Stanhope said the purchase was a smart one on IBM's part. Coremetics is one of a small number of large Web analytics firms, one that has focused on serving retail customers. "The company has a great reputation and good product," he said.

In the announcement, IBM noted that the Coremetrics analytics capability will be integrated with the company's WebSphere application server. Stanhope said he would like to see the company also apply some of its business intelligence capabilities, such as the company's Cognos software, into refining some of marketing data collected by the Coremetrics software.

"That would be interesting," he said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags IBMweb analyticsmergers & acquisitionsCoremetrics

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Joab Jackson

IDG News Service
Show Comments


James Cook University - Master of Data Science Online Course

Learn more >


Sansai 6-Outlet Power Board + 4-Port USB Charging Station

Learn more >



Back To Business Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?