Microsoft is a company that makes strategic purchases of companies and competitors, and when it does, it generally makes waves around the tech world. It did just so on Tuesday, as Microsoft purchased Parature, which is a CRM focused enterprise company for an undisclosed sum.
The purchase of Parature will was made official today, while those who are talking about it will not share any financial terms of the sale. The company which is a cloud-based CRM enterprise company, will surely add to the CRM offerings of Microsoft and bolster its enterprise position.
Who Is Parature?
Parature is one of those companies, and Microsoft partners that many don’t know a whole lot about. The company largely focuses on enterprise level CRM management tools, and has over 70 million users worldwide, and more than 500 well-known brands using its software. The roster includes IBM, the US EPA, and others.
The company is all about the cloud and giving enterprises the abilities to manage their CRM relationships, and it does it very well. Parature allows companies to use social tools like Facebook, Twitter, and other outlets to interact with customers as well. The integration with Microsoft’s CRM management tools will surely be a hit soon.
Why Purchase Parature?
Many wonder why Microsoft would purchase a CRM company like Parature, and what would be the gain from it? It is clear that Microsoft wants to position itself as a major enterprise level player, and Parature’s cloud-based CRM tools are a perfect fit. Microsoft can integrate it with its Azure cloud offerings, and give enterprise customers a solid hosting and product solution program.
By getting a leader in the CRM space in its stable, Microsoft is also getting its name into the other clients that Parature already services. With the enterprise space a muti-billion dollar business within Microsoft already, the cloud-based services that Microsoft can offer enterprises will be very competitive, and Microsoft needs every advantage it can get. More of the purchase is planned to be discussed at Parafest in February and during Convergence 2014 in Atlanta, and investors will be following it closely.
This is a smart move by Microsoft and CRM is the future. Leveraging the cloud and CRM is huge in the enterprise, and this purchase secures Microsoft’s role with enterprise customers in the future.