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A Look at Why Salesforce Acquired Sequence

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Targeting user experience space

So far in this series, we’ve discussed what to expect from Salesforce’s (CRM) upcoming fiscal 4Q17 earnings announcement. Let’s discuss the company’s recent buyout of Sequence.

In late January 2017, Salesforce announced the acquisition of Sequence. The acquisition was closed in early February 2017. Financial terms of the deal were not disclosed.

Founded in 2005, Sequence is a UX (user experience) design company. It focuses on connecting brands and people by establishing interactive experiences, providing consultancy services for brand identification, and reassessing brands’ websites and mobile apps.

Sequence boasts Apple (AAPL), Best Buy, The Walt Disney Company (DIS), and Chipotle Mexican Grill as its customers. In its 12 years’ existence as an independent company, Sequence has raised $870,000.
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Sequence would boost Salesforce’s UX design services

Salesforce’s existing Experience Design group’s service, along with its marketing cloud and strategic advisory businesses, are sold as part of its add-on consultancy offerings. Sequence will boost the Experience Design group, which provides development services to brands that intend to spin off tailored applications on its cloud. These services are especially useful for organizations that lack in-house technical talent or familiarity with the platform and don’t want to spend time on learning the basics.

In January 2017, Quip, which Salesforce acquired in 2016, acquired Unity&Variety. Founded in 2005, Unity&Variety is a design startup founded by two ex-Facebook (FB) designers. It focuses on mobile games and productivity tools. In 2016, it released Pinchworm, a mobile game.

Quip, a cloud-based word processing application, supports Apple (AAPL), Microsoft (MSFT), and Google (GOOG) Android devices. It’s not clear if Unity&Variety was acquired to boost Salesforce’s design capabilities, but it will surely enhance Quip by developing more productivity apps.

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