In an interesting move, one of the leading market automation platforms, Mailchimp before parting ways with the Ottawa-based e-commerce platform, Shopify made a quiet acquisition of LemonStand, one of the e-commerce platform’s relatively smaller competitors, in an attempt to integrate more e-commerce features into its platform, as reported by TechCrunch.
The news of the breakup broke out last week when it was reported that the two companies were at odds with each other over how the customer data was shared between the two.
As soon as the news of the rift erupted, speculations grew rife that Mailchimp was all set to acquire Vancouver-based LemonStand which announced on March 5 that it was shutting its operations on June 5 without giving much of an explanation.
The team at TechCrunch tried to contact Ross Paul, LemonStand’s VP of growth who suggested them to contact Mailchimp. Paul now mentions Mailchimp as his employer in his LinkedIn profile.
Speaking about the acquisition of LemonStand, the company said:
“Mailchimp helps small businesses grow, and our e-commerce customers have been asking us to add more functionality to our platform to help them market more effectively.”
Dispelling any rumour that the acquisition of LemonStand was a result of parting ways with Shopify, the company said:
“Our decision to discontinue our partnership with Shopify last week is unrelated to LemonStand. Shopify knew we were working on e-commerce features long before we hired the LemonStand team. In fact, we launched Shoppable Landing Pages last fall in partnership with Square, and Shopify chose not to partner with us on the launch.”
But whatever may be the reason behind the acquisition of LemonStand, one thing is clear that Mailchimp is trying its best to increase its role in the e-commerce space.
The report further goes on to add that email marketing company has slowly been building a revenue stream in the e-commerce space by integrating a number of features into its platform that will help its customers, for example, sell items as part of the marketing process.