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CommerceHub – Profile

April 27, 2005

HQ: Albany, NY
Founded: 1997
Management: Frank Poore is President, CEO and founder and has been a CommerceHub lifer.
Investors: In January 2001, CommerceHub received a $4.65M investment from Interactive Technology Holdings, a joint venture of Comcast Corporation and QVC – QVC was an early user.
Business Model: CommerceHub’s software manages supply chain management for drop-ship commerce. That means that when a buyer at purchases a lawnmower online, CommerceHub will take the order from the site and route it to John Deere lawnmowers which will ship the product directly to the consumer without having to touch Target warehouses. CommerceHub’s platform functions as a universal translator that allows its users to integrate with the disparate systems of outside suppliers without having to change its legacy systems. The companies that CommerceHub can name as users are impressive, including: QVC, CircuitCity, Target, Sears, KB Toys, Costco, Walgreens, and Staples. The company makes money by charging suppliers to work with CommerceHub.
Competitors: No strong direct competitors. CommerceHub competes with products like IBM Websphere which require more work.
Dirt: CommerceHub has done well to grow on its revenues. In the long run, the company will face troubles as suppliers get more sophisticated technology and a universal translator becomes less necessary. Given its client list, CommerceHub would make a nice acquisition for larger eCommerce software companies.

4 Comments leave one →
  1. Merideth Carleton permalink
    June 6, 2006 1:29 pm

    Have you seen this before? It’s a number guessing game: I guessed 57285, and it got it right! Pretty neat.

  2. June 7, 2006 12:58 am complimentwhosewondered

  3. June 7, 2006 12:58 am complimentwhosewondered

  4. June 22, 2006 2:59 am

    Edmonton dominated the Carolina Hurricanes on Saturday night and the 4-0 margin in Game 6 makes it hard to imagine the Oilers not hoisting hockey’s Holy Grail above their heads in less than 48 hours. And it would not come as any shock to see defenseman Chris Pronger, who had another 31-minute night, take the honors for the Conn Smythe Trophy as the playoff MVP.

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