"We provide an app platform that enables ecommerce developers to write once, then distribute everywhere, reaching merchants on all storefronts in this highly fragmented market." -- Amit Kumar, Lexity CEO
Mountain View, CA (PRWEB) September 25, 2012
The ecommerce software solution market is highly fragmented, according to a summary report released today of a study conducted in August by Lexity, the developer of the web-based App platform for ecommerce, and infoAnalytica, a market research and technology consulting company. The results from the Lexity and infoAnalytica study confirmed a very highly fragmented ecommerce solutions market, with the vast majority of companies holding less than three percent market share and only two companies (Magento and Yahoo! Small Business) capturing even a 10 percent share of the market.
The study looked at the top one million sites by traffic on the Internet and the findings showed:
- Newcomer Magento has overtaken veteran Yahoo! Small Business as the leader; however, these are the only two companies with over 10 percent market share
- Blog plugin WP e-Commerce is the fastest growing software solution on the market
- The expansion of content sites into ecommerce has propelled Virtuemart, Ubercart, and WP e-Commerce into the top ten market leaders
"We were surprised to see how fragmented the ecommerce market is with few large players dominating the space," said Amit Kumar, CEO of Lexity. "These findings help support why what we do at Lexity is so important to small businesses. We provide an app platform that enables ecommerce developers to write once, then distribute everywhere, reaching merchants on all storefronts in this highly fragmented market."
Added Amit Gupta, CEO of infoAnalytica, "At infoAnalytica, we specialize in acquiring critical information and insights like these about a market to help inform businesses on how to stay ahead of the competition."
At 10 percent market share, Yahoo! Small Business strives to maintain its market position in the face of newcomer Magento, who is leading with 12 percent market share. Only four years after its launch in 2008, Magento’s ecommerce software platform has climbed to the top where it overtook traditional players like Yahoo! Stores. Meanwhile, veteran shopping cart Yahoo! Small Business is running second to Magento in market share, but has more of the top stores as its customers.
WP e-Commerce claims the title for fastest growing online store platform, with 63 percent growth in the last six months. High-traffic WordPress bloggers take their websites to the next level by adding the plugin, making this the fastest growing transactional platform on the web. As a result, WP e-Commerce is the quickest growing software solution among the big (and small) players in ecommerce hosting, as users can easily add shopping carts and more to their blogs with this plugin.
The expansion of content sites into ecommerce has propelled three companies into the top ten: Virtuemart, Ubercart, and WP e-Commerce. In particular, a new focus on enabling transactions on content-focused sites has opened opportunities for shopping carts like Virtuemart, a free and open source ecommerce solution for Joomla users, and Übercart, an ecommerce platform focusing on the Drupal community.
Lexity is the developer of the App Platform for Ecommerce and helps online merchants drive sales through its innovative marketing apps. Founded in 2009, Lexity is backed by Spark Capital, True Ventures and 500 Startups. Lexity is headquartered in Mountain View, and has a presence in Bangalore, India. For more information, visit lexity.com, Twitter (@lxty), and Facebook (facebook.com/goLexity).
infoAnalytica helps customers acquire critical market intelligence, valuable business insights, compelling content and cutting edge internet marketing to stay ahead of competitors. infoAnalytica has extensive expertise in knowledge processes spanning Business & Market Research and Analysis, Financial Research and Analysis, Marketing and Technology Consulting, and Demand Generation. Headquartered in India, with offices in New Jersey, infoAnalytica has served over 250 global clients, including market leaders such as PayPal, Dun & Bradstreet, CapGemini, TripWire, Intuit, DemandMEDIA, McGrawHill, Thompson Gale, ZiffDavis, GXS and many more. For more information, visit http://www.infoanalytica.com
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