Tyco Spends $175 Million on Retail Analytics Firm ShopperTrak
Tyco is betting $175 million on the retail market, acquiring retail analytics firm ShopperTrak.
In this note, we look at the valuation and impact of the acquisition.
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*********** *** ******* ** ***** *** [link ** ****** *********], ** ****, making ** **** ****** *** ****** ****** analytics *******. *** ******* ********* ***** ******* ******** (i.e., ********* *******) ** ********* *********************** ********, ********* *** ********** ************, benchmarking, ***.
***** *** **** ******* ********* ******** retail ******** *********, ********* **** ***** surveillance ******* **** ***-** ****** ******** software. *******, ** ** * ******* space. *******, ***********, ** ~$** ******* revenue, ** ******* ***, ** *** the ******* ** *** *****.
** **** *** ****** *********** *** the **** ******** ** **** ***** of **** ** **** ***** ********** is ***** / ******* *** *********, even ** **** ** ********** **** relative ** ***** ********, *********** **** have * ****** ******* ******* **** (they ****** **** *****).
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**** ********* ***********'* ****** ******* ** be ~$** *******. ***** *** *********** price ** $*** *******, **** ** 2.3x *****, ***** ** * ***** valuation *** ******** ****** **** ******** **** *** ***** ** ****(***** *** ** $** ******* *******, $150 ******* ***** ****). ***** *** likely ******* ************* ****** ** *** time ** ***** *********** **** **** *********** is *** *** *********** *** * much ******* ******* ******** *********.
*********** ******* ** **** *** ******* of ~**%, ** **** "******* *** *********** ** **$*.*********** ** ******** *** ***** ****** special *****".
Retail Analytics ********
***********'* ******** ** *********** ******* **** have ******* *** ***** ******** / marketing ***** **** **** ** **** as ****** ** ***** ************ ******* for *********. ** ******* **** ** those ******* *** ********* ************. *** the ******, ****** ** *** ****** / ******** ****** ********* *********** ********* caused ********. *** *** ******, ****** to ***** ******* *** ****** ** conventional ***** ******* ********* ******** ******.
Retail *** ****
****** *** **** * *********** *** Tyco *** **** *****, *.*., **************** ********, ** **** ***** **** ******* offering ** **** ** ***** ****** customer ****.
*** *** ******* *** ****** ******, as*********** ****** **********, ** **** ******* ** ***** down *** ***** ****** *** ****** to ******. ***** ***** ******* ****** using ********** ** ******* *********** *** operational ********** ** *** **** ** the ********** ******* ******** ** ***** and ****** ******.
***** **** ** ********* * ****** mature ******* ******** ******** ** * reasonable ********, ** ******* **** ***** be * ***** **** *** **** but ** *** ****** ** ** have * ***** ****** ** *** purchase ** ********* ** ******** ******** ********, ******, this ***** ****, **** **** ****** try.