Magento Releases Quarterly Momentum Report, Highlighting Growth and Milestones as Company Expands

Friday, December 17, 2010

LOS ANGELES--(BUSINESS WIRE) December 17, 2010-- Magento, developer of the world’s fastest-growing eCommerce platform, today launched its inaugural Magento Momentum Report. The report highlights company growth and new customer wins for the third quarter of 2010, as well as showcases some of the most successful applications created by Magento’s global ecosystem of developers.

With year-on-year growth of almost 250 percent, Magento’s eCommerce platform has been available since its open source Community Edition launch in early 2008, and a year later introduced its Enterprise Edition. Since then the platform been downloaded more than 2.5 million times and powers in excess of $25 billion in annual sales from more than 80,000 merchants worldwide. The rapid growth is further strengthened by Magento’s community of more than 300,000 members. Additionally, in 2010, Magento doubled the number of members in its Worldwide Solution Partners program to more than 200 organizations worldwide.

Velocity of Adoption:

  • Revenue for Q3 2010 was up more than 350 percent from a year ago, driven by rapid worldwide adoption of Magento’s powerful Enterprise Edition.
  • Magento Enterprise Edition is being selected by the full continuum of eCommerce companies, from start-ups and venture-backed innovators, to mainstream brands and now some of the world’s largest retailers. Customers include Oneida, Nafnaf, HoMedics, Giro, 3M, Lenovo, Flor, Toms Shoes, GoNabit, and Levi Strauss. More brand examples can be found here.
  • According to Google Trends, the term “Magento” is now Googled more than the word “eCommerce.”
  • Magento is adding more than 100 new enterprise-class customers each month.
  • Talent at Magento has grown from 90 to more than 200 people over the course of 2010 with a focus on technology, support and channel. In Q3 2010, Magento also hired two new senior executives – Jary Carter, vice president, sales of North America and Michel Goossens, vice president and general manager of EMEA to help spearhead international expansion.
  • As a testimony to its worldwide strength and adoption, Magento received hosting company Rackspace (NYSE:RAX - News) top partner awards for the second year in a row.

Driving Innovation and Ecosystem Growth:

  • In Q3 2010, the Magento Mobile mCommerce platform for the iPhone was released, allowing retailers and developers to quickly and easily create highly customized, native-branded iPhone app storefronts, bringing the functionality of Magento’s eCommerce platform to mobile devices.
  • The Magento Connect marketplace, powered by Magento’s innovative community, now boasts more than 3,000 extensions and applications built by third-party developers as add-ons to the Magento eCommerce platform. New extensions create greater flexibility and innovation for merchants and are being developed at a rate of 100 to 150 per month. These include applications for payment, social shopping, shipping, deal of the day, theme and more.
  • Magento released the Professional Edition of its platform in Q3 2010 to facilitate the aspirational needs of smaller merchants.
  • Magento’s worldwide solutions partners are showing similar growth rates and success driven by the tremendous demand of merchants seeking Magento customization and integration for their eCommerce platform.
  • Magento recently announced The Imagine Ecommerce Conference, its first worldwide conference set for Feb 7th-9th, 2011 in Los Angeles, Calif.

“Magento’s mission is to enable the worldwide eCommerce ecosystem. We measure everything we do against creating success for the world of eCommerce,” stated Roy Rubin, CEO of Magento. “We are committed to our rapid growth and to keep pace with demand and innovation. In the last year alone, Magento has tripled our revenues, increased employee headcount from 90 to over 200 and continues to outpace our rivals more than 10-to-1 in sales. We are expanding, hiring new talent and further developing platforms and apps for our developers, retailers, entrepreneurs, and merchants to grow their online businesses.”

“As a multi-brand, international holding company, with brands including The Sharper Image and Black and Decker, HoMedics has unique requirements for our online presence,” said Phil Jacokes, manager, interactive eCommerce team at HoMedics. “We chose Magento Enterprise so that we can manage all of our sites from one installation and take advantage of the great marketing and merchandising capabilities. The flexibility and power of Magento Enterprise is exactly what’s necessary to support our eCommerce growth.”

Magento solution partners have also seen similar growth and success. “For any serious eCommerce project, Magento is the smart choice; for many of our clients Magento is the only choice,” said Greg Segall, president of One Pica, a Magento solution partner. “We often need to implement a great deal of customization to satisfy a divergent set of requirements. No other platform delivers such a high level of inherent functionality along with a great deal of flexibility.”

About Magento

Magento is the fastest growing eCommerce platform in the world with over 200 solution providers and 80,000 merchants, including leading brands, innovators and large retailers enabling over $25 billion in transactions each year. Magento is a feature-rich, platform solution that offers merchants complete flexibility and control over the presentation, content, and functionality of their online channel. Based in Los Angeles, Magento is a fast-paced, entrepreneurial organization dedicated to the mission of enabling the worldwide eCommerce ecosystem. For more information about Magento, visit http://www.MagentoCommerce.com, follow @magento on Twitter, and read the Magento Blog.