SAP agrees deal to buy customer identity management firm Gigya, reportedly worth $350mn
Enterprise software leader SAP SE has agreed a deal to purchase customer identity and access management firm Gigya.
Major independent analyst firms, most recently Forrester Research, have positioned Gigya as a top vendor in this field.
Techcrunch.com said it had been told that the deal is worth around $350mn.
Gigya’s customer identity management platform helps companies build digital relationships with their customers. Its platform allows companies to manage customers’ profile, preference, opt-in and consent settings, with customers maintaining control of their data at all times.
Customers opt-in and register via Gigya’s Registration-as-a-Service, which addresses changing geographical privacy issues and manages compliance requirements such as the upcoming General Data Protection Regulation (GDPR).
Gigya currently manages 1.3bn customer identities in order to build identity-driven relationships for its enterprise clients.
“Gigya brings a wealth of skills and expertise that will significantly enhance the SAP Hybris Profile solution and allow us to take leadership of the emerging customer identity and access management market,” said Carsten Thoma, president and co-founder of SAP Hybris.
“Consumer trust is the main currency to succeed for customer-driven organisations. This is what Gigya is known and recognised for.”
By way of the acquisition, SAP Hybris intends to become the first organisation to offer a cloud-based data platform enabling companies to profile and convert new customers, gather accurate conclusions from disparate consumer engagement sources and collect data for enhanced consumer choices that are in line with regulations.
“Combining the data matching and enrichment capabilities of SAP Hybris Profile with Gigya’s consent-based identity data and access management platform will allow us to identify consumers across channels and offer a robust single consumer profile,” said Patrick Salyer, CEO of Gigya.
“This is a vital step for digitalising businesses because companies need to be able to draw accurate conclusions seamlessly across all channels, including web, mobile, in-store or connected devices, and the Internet of Things, as well as collect data about consumer preferences.
“Together, we are uniquely positioned to drive more effective marketing, sales and service through data, while the customer stays in control of how much data is shared.”
Gigya has more than 300 employees and is headquartered in Mountain View, California. The company’s operations will become part of the SAP Hybris business unit for customer engagement and commerce.
The transaction is expected to close in the final quarter of 2017, subject to regulatory approval.