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September 25, 2017

SAP buys 1.3 billion customer identities in data boosting acquisition

Better understanding customers across different channels is what SAP wants to do.

By James Nunns

SAP wants more data, specifically consumer data so that it can improve omnichannel experiences, so it is acquiring a customer identity and access management company.

The California-based Gigya, which is said to currently manage 1.3 billion customer identities, is being acquired by the enterprise application software company and will be added to the SAP Hybris business unit.

Gigya made its name with its identity and access management platform (IAM) that


works by helping companies to build digital relationships with customers by managing customer profiles, preferences, and so on.

Customers opt in to Gigya’s system and it allows them to manage and control their data at all times.

“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 cofounder of SAP Hybris. “Consumer trust is the main currency to succeed for customer-driven organisations. This is what Gigya is known and recognised for.”

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In addition to having a whole heap of customer identities added to the data portfolio, SAP Hybrid is said to be planning 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,” the company said.

Gigya’s more than 300 employees will become part of the SAP Hybris business unit for customer engagement and commerce, with the transaction expected to close in the final quarter of 2017.

“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 well positioned to drive more effective marketing, sales and service through data, while the customer stays in control of how much data is shared.”

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