VTEX is the Fastest Growing E-commerce Platform in the World, according to IDC
The IDC Worldwide Digital Commerce 2019 Market Share report, published in June 2020, indicates that VTEX is the fastest-growing e-commerce platform globally and continues to outperform the overall e-commerce platform market. This strong performance is evidence of the ongoing shift to modern commerce solutions that deliver rapid time to revenue and lower overall total cost of ownership.
In 2019, the digital commerce applications market saw the acceleration of trends that began in prior years, such as the shift to cloud and SaaS, an increased focus on headless API-first solutions, and the adoption of modular or microservice-based architectures as legacy platforms like SAP, Oracle and HCL (formerly IBM WebSphere) struggle to modernize and give businesses the speed and flexibility today’s market demands.
As noted by Jordan Jewell, research manager, Digital Commerce and Enterprise Applications, IDC, “… practically every business in every industry needs a strategy for digital commerce. B2C and B2B organizations use these software applications to digitally transform how they merchandise, sell, deliver, and support customers. In 2019 we saw vendors lay the foundation for this future of commerce by offering API-first digital commerce platforms that support sales across an array of channels and can integrate with a larger set of applications.”
Now, with COVID-19, the commerce platform trends of 2019 have accelerated and are even more critical for merchants to keep pace with rapidly evolving markets, customer behavior that can change day-to-day, and a competitive landscape that is increasingly dominated by e-commerce marketplaces.
The IDC report provides a general ranking of the largest 30-plus commerce platform vendors in the market in terms of sales and growth. Topping the list for year-to-year growth is VTEX. Unsurprisingly, the key success factors pointed out by IDC as being critical for success in the e-commerce platform market have been a consistent part of VTEX’s core strategy over the years and help explain our success globally.
IDC indicated that VTEX grew over three times faster than the overall market. Here are the key reasons why:
Headless API-First Commerce Offering – VTEX Commerce Cloud is built on an API-First Microservice Architecture and is composed of over 100 independent microservices that connect via API. VTEX has been at the forefront of the market by offering an extendable open-API platform for many years.
Frictionless transactions – VTEX’s Smartcheckout, a patented checkout system allowing returning customers to close transactions securely with just their email, is proven to generate significant increases in conversion for our customers. Frictionless commerce is part of the DNA of our solution, from page loading, CDN redundancy, smart navigation and a simple checkout only made possible due to a PCI Certification.
Rapid product evolution – All of our customers run on a single shared software solution based on a microservice architecture. With dedicated teams working on every microservice, VTEX delivers over 10,000 software updates annually, which are continuously deployed without requiring any involvement from our customers. This allows us to develop faster than our competitors and enables our customers to always run on the latest version of the software without ever having to apply an upgrade.
Hyperpersonalization – VTEX offers a great number of out-of-the-box capabilities that enable our customers to create and deliver highly personalized experiences. With built-in artificial intelligence (AI), VTEX allows for the personalization of search results, product recommendations and banners, reflecting each buyer’s individual preference.
Rapid service delivery – Fast time-to-revenue has always been a dominant quality of VTEX. Our belief and guiding principle is that technology should enable businesses to get to market quickly, which is why our customers can implement simple installations in just a few days and more complex installations in only weeks.
Subscriptions business models – VTEX recognizes that subscriptions are increasingly important in digital and product as a service business models, permitting clients to continually monetize customers and create recurring revenue streams without having to spend ad money to draw traffic to the store. For this reason, VTEX offers a comprehensive subscription solution that can be applied to any product or service in the catalog.
VTEX’s top ranking for growth in IDC’s report is clear testimony to the company’s strategy, which has been years in the making, and the success of our customers. The alignment of our strategy with major market trends and the needs of business around the world is a clear indicator that VTEX will continue to grow and gain share in the years to come.
For more information about VTEX and our collaborative approach to commerce, download our Collaborative Commerce Imperative brief.