BigCommerce Holdings, Inc. operates a software-as-a-service platform in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company's platform simplifies the creation of engaging online stores. It powers its customers' branded ecommerce stores and their cross-channel connections to various online marketplaces, social networks, and offline point-of-sale systems.
BigCommerce Holdings is like the little brother to Shopify. Shopify provides a cloud-based multi-channel commerce platform for small and medium-sized businesses. Shopify’s platform provides merchants with a single view of business and customers in various sales channels, including Web and mobile storefronts, physical retail locations, social media storefronts, and marketplaces.
In recent months, Shopify has partnered with Facebook Shops and most recently, is serving as the backbone of Walmart+, Walmart's answer to Amazon Prime. But BigCommerce isn't no slouch. BigCommerce serves 60,000 online stores in 120 countries. Customers include Avery Dennison, Ben & Jerry’s, SkullCandy, Sony and Woolrich. And they too announced a partnership of their own last month with Facebook's Instragram.
Leveraging BigCommerce’s native integration with Facebook Commerce Manager, merchants can easily connect their ecommerce storefront’s catalog to Instagram and give customers the ability to buy from their favorite brands directly on Instagram—rather than navigating to a brand’s website to make a purchase—and pay using PayPal, Visa, Mastercard, American Express or Discover.
After placing an order, customers can also use the Instagram app to view their order status, estimated delivery date and tracking number, as well as cancel orders, initiate returns or request additional support.
But the stock valuation got ahead of itself. The company went public on Aug. 5 at $24 and went as high at $160 before landing back on earth. Earlier this month, the company announced their second quarter earnings. Total revenue growth of 33% year-over-year and total annual revenue run-rate (ARR) was $151.8 million, up 32% compared to the second quarter of 2019. The company is still losing money, but the trend of buying online continues to increase, especially in this "new nomal." Which is why BigCommerce is giving investors another opportunity to hop onboard for those who believe in their story.
This post is my personal opinion. I’m not a financial advisor, this isn't financial advise. Do your own research before making investment decisions.
