CommerceIQ, a Silicon Valley e-commerce company that helps retailers boost online sales on Amazon and Walmart, is set to acquire assets from Seattle startup Ideoclick, according to court documents reviewed by GeekWire.
Ideoclick, a 13-year-old company that also provides e-commerce services, went into receivership last week.
Receivership is often used by companies that are struggling financially. When a company is placed in receivership, a trustee is legally appointed to oversee its assets and business operations.
That trustee, Turning Point, submitted a new document Monday in King County Superior Court outlining a plan for CommerceIQ to pay $475,000 to acquire customer lists from Ideoclick, among other assets.
A hearing is scheduled for Nov. 10 to approve the deal, which would allow CommerceIQ to retain Ideoclick’s 59 employees and provide services to customers through Nov. 30.
“CommerceIQ has entered into an agreement to purchase certain Ideoclick assets that will help provide continuity of services to Ideoclick customers and maintain the employment of a portion of Ideoclick staff,” a CommerceIQ spokesperson said in a statement to GeekWire. “CommerceIQ is committed to providing Ideoclick customers with the level of service they expect, and to mitigating any disruption as they enter this important season. Customers will now also benefit from the advanced capabilities of CommerceIQ’s retail ecommerce management platform.”
The latest court filing details a dramatic past weekend for Ideoclick.
Industry watchers we spoke with described Ideoclick as stuck in a difficult position in the competitive market for e-commerce agencies — too small to compete with the big players but too big to be acquired easily.
There are also supply chain issues and inventory problems facing Amazon vendors, the companies that supply Amazon with products. That’s on top of moderating consumer demand that Amazon highlighted last week in its earnings report, driven in part by inflation.
“It’s been a very rough year for Amazon vendors and the agencies, like Ideoclick, who support them,” said Jason Boyce, CEO of Avenue7Media, an agency that works with third-party retailers on Amazon.
Read the entire article here:
