In this eBook download, we explore eCommerce capabilities during M&A. Global M&A activity is picking up thus far in 2024, and several factors are prompting this increased activity. We’re seeing stabilizing interest rates, efforts to fortify supply chain resilience, industry consolidations, and rising demand for digitization and technological innovation being among the key drivers of the increased activity as compared to 2023. 

Enter eCommerce – consumers are increasingly prioritizing convenience and an easy shopping experience, and the eCommerce market is growing significantly as a result. As companies continue to invest in brands that are delivering on consumer trends that they believe will sustain over the long term, it’s no surprise that they’re increasingly evaluating eCommerce businesses and businesses with well-functioning eCommerce capabilities as potential additions to their portfolio.  

Areas of focus for eCommerce are not strikingly different from diligence that would be conducted for a brick-and-mortar store; however, diligence is conducted through a different lens and distinguished metrics for an eCommerce target.

eCommerce Capabilities During M&A eBook

From our experience, the buyer should keep the below eight considerations top of mind throughout the M&A lifecycle while also keeping in mind the impact on both the evaluation and the investment decision overall.

• Through the Customer’s Eyes
  • (1) Product
  • (2) Unit Economics
• The “Day-to-Day”
  • (3) Customer Support
  • (4) Inventory and Supplier Management
• How the Money Moves
  • (5) Revenue
  • (6) Cost
• Diving into Technology Stack and Reach
  • (7) IT Infrastructure
  • (8) Traffic Patterns + Search

Our eCommerce retail consultants and  M&A consulting team continue to have a pulse on the latest trends, insights, and capabilities required by due diligence teams and executives alike when progressing through the deal process. To better understand how these factors impact your business, please contact us today.