So on the 17th of January 2008 Omniture officially acquired Visual Sciences. Nothing about this deal in my humble opinion is a bad thing for the analytics industry.
Firstly my hat goes off to Jim MacIntrye who has now had his company bought twice. The first time around after selling Visual Sciences to WebSidestory he and his team proved to WebSideStory that they needed to re-think their strategy. WSS changed their name to Visual Sciences and the VS team took over the development of the product portfolio. Then the former WSS CEO Jeff Lundsford left to persue other interests leaving Jim in a perfect position to steer the newly merged company. That was in November 2006. Jim has just over a year later signed the dotted line for the second time this time with Omniture and will eventually leave the company, probably (and deservedly) a considerably better off individual!
Visual Sciences¢¬¢ chief executive officer Jim MacIntyre will continue to work with Omniture through a transition period assisting with integration and product roadmap and will then pursue other interests
Congratulations to him and the stock holders whom he has served very well.
Omniture have stated that they will integrate Visual Site platform 5 as part of the Discover offering they have now. This might work though I think part of Visual Site’s strength is that it doesn’t rely on pre-configured reporting, you start with a black screen and build the reporting you require based on your business questions. I hope Jim and his team can get this point across before he leaves.
Things look rosy for Omniture at the moment. The addition of Visual Site to Omniture’s product portfolio makes them easily the strongest Web Analytics Vendor in the market today – right now they are second to none in terms of technology and I’m happy to state it publicly. They eclipse the number 2 WebTrends in market share. Google Analytics and Microsoft Gatineau whom are potentially competition for the Enterprise market have lower end tools and while they have the capital to quickly overtake the product development cycles they don’t have the people yet to make it happen quickly have not yet demonstrated a real desire to compete with Omniture for their customer base.
There are other vendors in Europe notably IndexTools whom already have strong offerings technology wise and I have heard that they will react positively and step up the game to compete in Northern Europe especially. I’d also predict that WebTrends will react positively sometime in the first or second quarter when they have steadied their ship having been rocked by the Omniture announcement last year.
So all in all another interesting week in the web analytics industry.