Varicent, which has raised $35 million in funding, analyzes sales data from businesses to help organizations to streamline compensation processes for employees, improve sales performance, and more. Varicent’s software automates and analyzes sales data across a number of sectors of an organization including the finance, sales, human resources and IT departments and can uncover trends that could lead to better sales and revenue for a company.
The company’s software is used by over 200 banks, insurance companies, retailers, information technology and telecommunications providers. Clients include SugarCRM, Reliance Standard Life Insurance, Silverpop, Tribune, and AAA Northern California. Varicent offers a software catered to larger enterprises as well as a product that focuses on smaller teams. In February, Varicent reported that 2011 revenue grew by 42%, marking the company’s best year ever in terms of sales and client acquisition.
This acquisition ties into IBM’s focus on providing in-depth analytics offerings to businesses.
IBM says that business analytics revenue for the company will reach $16 billion by 2015. The company has made a number of acquisitions in the business analytics area, including Algorithmics, Clarity Systems, Open Pages, Cognos and SPSS. And HP has made similar bets on analytics acquisitions.
From the release: The acquisition advances IBM’s efforts to drive analytics capabilities into the hands of front line employees, particularly in the area of sales where many organizations still rely on silos of data and antiquated spreadsheets to manage this vital area of their business.
Interestingly, Janet Perna a former Senior Executive from IBM, sits on Varicent’s board.
Other recent IBM purchases include Worklight, Green Hat, and Emptoris.