SPS Commerce, Inc. Strengths, Domain Expertise, and Key Differentiators
With a sustained history of growth, SPS Commerce has played a pivotal role in streamlining the supply chain operations for numerous retail and consumer packaged goods (CPG) companies. This accomplishment is attributed to the establishment of a vast ecosystem comprising tens of thousands of suppliers, trading partners, and sellers.
SPS has extended its influence in the eCommerce realm by capitalizing on its Electronic Data Interchange (EDI) expertise and harnessing the latest advancements in Cloud computing to drive widespread adoption. The scale of this network facilitates the generation of substantial data volumes, enabling sophisticated analytics. As a result, SPS Commerce has achieved uninterrupted revenue growth, marked by consecutive quarterly sales increases spanning over 14 years.
In response to evolving needs, SPS Commerce introduced SPS Commerce Fulfillment, a solution designed to overcome the constraints of legacy systems and EDI. This innovative fulfillment solution empowers the retail industry to optimize its omnichannel strategies, placing a strong emphasis on profitability and sustained growth.
SPS Commerce, Inc. Recent Developments
SPS Commerce unveiled the newest iteration of SPS Commerce Fulfillment tailored for Intuit QuickBooks. This comprehensive EDI solution is designed to completely automate the sales order fulfillment process, providing robust support for omnichannel retail businesses. SPS Fulfillment enables suppliers to streamline order processing, ensuring timely fulfillment for drop-ship and replenishment orders.
SPS Commerce, Inc. Mergers and Acquisitions (M&A) Activities
In September 2023, SPS Commerce completed the acquisition of TIE Kinetix, a European provider specializing in supply chain digitalization, encompassing services such as EDI and e-invoicing.
In September 2023, SPS Commerce acquired The Order Exchange, an expert in EDI systems, and automation, and a long-term SPS Commerce strategic partner.
In July 2022, SPS Commerce successfully acquired GCommerce, an EDI provider specializing in the automotive aftermarket industry. Now integrated into the SPS Commerce community, GCommerce customers gain entry to the most extensive trading network in the industry, connecting them with over 115,000 trading partners across more than 80 countries.
In November 2021, SPS Commerce successfully acquired Genius Central, a software solution provider renowned for its proficiency in the natural and organic foods industry. According to the agreement and plan of merger, SPS Commerce secured Genius Central for an approximate sum of $17 million in cash.
In December 2020, SPS Commerce finalized the acquisition of Data Masons, a provider of EDI solutions catering to numerous consumer goods, industrial, distribution businesses, and resellers. The collaboration between SPS Commerce and Data Masons provides unparalleled trading partner and system expertise, particularly for customers utilizing Microsoft solutions.
SPS Commerce, Inc. Customers in ARTW Customer Database
Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying SPS Commerce, Inc. applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of SPS Commerce, Inc. and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified SPS Commerce Fulfillment customers.
SPS Commerce, Inc. Overview
333 South Seventh Street Suite 1000
Minneapolis, MN, 55402, United States
1 612-435-9400
https://www.spscommerce.com/
Ownership: - NASDAQ : SPSC
Number of Employees: 2489
Functional Markets: Analytics and BI, Procurement, SCM,
Key Verticals: Distribution, Retail, Transportation,
SPS Commerce, Inc. Key Enterprise and Cloud Applications
SPS Commerce Fulfillment
SPS Commerce, Inc. Revenues, $M:
| Type/Year | 2022 | 2023 | YoY Growth, % |
|---|---|---|---|
| Total Revenues, $M | Subscribe | Subscribe | Subscribe |
| Enterprise Applications Revenues, $M | Subscribe | Subscribe | Subscribe |
| Cloud Applications Revenues, $M | Subscribe | Subscribe | Subscribe |
* Enterprise Applications Revenues = License + Support & Maintenance + SaaS
** All revenue figures are estimates based on public records, Cloud and Non-Cloud business models in Apps Run The World's vendor database, and annual survey results including vendor feedback.
SPS Commerce, Inc. Revenue Breakdown By Type, $M:
SPS Commerce, Inc. Enterprise Applications Revenues By Functional Markets, $M:
SPS Commerce, Inc. Enterprise Applications Revenues By Verticals, $M:
SPS Commerce, Inc. Revenues By Region, $M
| Region | % of Total Revenues | 2023 Total Revenues, $M | 2023 Enterprise Applications Revenues, $M | 2023 Cloud Applications Revenues, $M |
|---|---|---|---|---|
| Americas | Subscribe | Subscribe | Subscribe | Subscribe |
| EMEA | Subscribe | Subscribe | Subscribe | Subscribe |
| APAC | Subscribe | Subscribe | Subscribe | Subscribe |
| Total | Subscribe | Subscribe | Subscribe | Subscribe |
SPS Commerce, Inc. Direct vs Indirect sales
| Region | Direct Sales | Indirect Sales | Total |
|---|---|---|---|
| Type % | Subscribe | Subscribe | Subscribe |
| Revenues, $M | Subscribe | Subscribe | Subscribe |
SPS Commerce, Inc. Customers - Breakdown by Geo, Size, Vertical and Product
List of Verified SPS Commerce, Inc. Customers
No. of SPS Commerce, Inc. Customers: 115000
No. of SPS Commerce, Inc. Enterprise Applications Customers: 42300
No. of SPS Commerce, Inc. Cloud Customers: 42300
No. of SPS Commerce, Inc. Cloud Subscribers: x
As of 2024, SPS Commerce boasts a global customer base of 115,000.
Its predominant revenue stream is derived from small- to mid-sized suppliers within the consumer packaged goods industry. Additionally, SPS Commerce generates revenue from various participants in the supply chain ecosystem, including retailers, grocers, distributors, third-party logistics providers, and other trading partners.
Noteworthy among SPS Commerce's diverse clientele are renowned names such as Best Buy, Brooks Sports, Callaway, Costco, Crocs, Logistics Edge, Oakley, Pet Supplies Plus, Rollerblade, Scheels, Skullcandy, Winn-Dixie, Woolworths, Zumba, shop.com, Green Goo by Sierra Sage, 2XU, Regis Corporation, Royce Leather, J.R. Watkins Co., Logistic Edge, Deva Concepts, River of Goods, Corcs, Inc., Redcat Racing, Thos Baker, Rugs Direct, WMH Tool Group, Vexilar, Under Armour, TAGG Logistics, Symbion, Super Shoes, and many more.
SPS Commerce, Inc. Market Opportunities, M&A and Geo Expansions
In October 2023, SPS Commerce disclosed the selection of Chad Collins as its Chief Executive Officer. Chad Collins takes over from the current CEO, Archie Black, who retired from his position on October 1, 2023. In alignment with the pre-established succession plan, Archie Black transitioned to the newly established role of Executive Chair of the Board.
In March 2022, SPS Commerce revealed that its SPS Commerce Fulfillment solution is now accessible through the Oracle Cloud Marketplace. This platform features solutions from verified and registered OPN members that complement Oracle Fusion Cloud Applications. SPS Commerce Fulfillment seamlessly integrates with Oracle Fusion Cloud Supply Chain & Manufacturing (SCM), offering a comprehensive EDI solution tailored to the dynamic needs of omnichannel retail businesses. This solution facilitates connectivity with any trading partner, EDI document, or sales channel order.
SPS Commerce, Inc. Risks and Challenges
In a swiftly consolidating market, SPS faces formidable competition, especially with GXS integrating into OpenText and IBM acquiring additional commerce software companies, including Sterling Commerce. The competitors, now supported by major platform vendors, possess the capability to cross-sell and upsell supplementary products within their established customer base, potentially posing a threat to SPS.
A more immediate challenge lies in assessing whether SPS should venture into expanding its presence in other countries by acquiring eMarketplaces. This strategic move could serve as a countermeasure against any potential downturn in its North American operations, which have consistently contributed to 98% of its revenues over the past three years.
SPS Commerce, Inc. Ecosystem, Partners, Resellers and SI
Within its ecosystem network, SPS Commerce collaborates with over 400 partners. Some of its key business partners include 3PL Central LLC, Acumatica, ADSI, Aplicor, BCG Systems, Inc., Bristlecone, CEBA Solutions, CEligo, Inc., Deacom, Inc., eBridge Connections, eMerge Technologies, G3G, Insite Software, HubSoft, Jitterbit, MavenWire, Netsuite, Oasis Solutions Group, Opern Systems, Inc., QSSI, Solid Commerce, Systech, ZedSuite, and numerous others.
SPS Commerce, Inc. Cloud Infrastructure Insights
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- SPS Commerce, Inc. Public Cloud and Infrastructure (IaaS)
- SPS Commerce, Inc. Platform (PaaS)
- SPS Commerce, Inc. Application Delivery
- SPS Commerce, Inc. Private Cloud and Data Centers
Research Methodology
Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.
Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).
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