Sector: Retail Tech
Countries of operation: US, China, UK, Australia, and others
Key product categories: Image and video editing applications, analytics, and marketing tools
Annual Metrics
[caption id="attachment_116024" align="aligncenter" width="700"]
Fiscal year ends on November 30
*Trailing 12 months ended May 29.[/caption]
Summary
Adobe Inc. is a diversified software company headquartered in San Jose, California. The company offers a line of products and services used by creatives and professionals to create and manage content across computers, devices and media channels. Adobe’s Digital Media segment includes Creative Cloud, a subscription-based offering that provides individuals, teams and enterprises with desktop tools, mobile apps and cloud-based services to design, create and publish content. The company’s Digital Experience segment includes Adobe Experience Cloud and offers marketers applications for advertising, analytics, marketing and commerce. The Publishing segment contains mature products and solutions, as well as addressing the authoring and publishing requirements of technical and business publishing. It also includes web conferencing and document and forms platforms.
Company Analysis
Coresight Research insight: Adobe is leveraging its loyal base among creative content developers to unlock further use creativity, enhance document productivity and empower digital businesses. The company is also targeting key consumer trends such as consumer experience management, shifting from B2C to what it calls “B2E” by using data and insights, in addition to focusing on personalization and customer-journey management.
| Tailwinds |
Headwinds |
- Acceleration of digital transformation by businesses and government organizations.
- Shift to remote work drives demand for digital documents.
- Proprietary data from commerce platform.
|
- Decline in global advertising spending during economic downturn.
- Reductions in IT spending during downturn.
- Intense competition from large and emerging internet and commerce software companies.
|
Strategy
Adobe’s growth strategy centers on expanding its leadership in the creative content, digital documents and customer experience management categories. The company aims to:
- Expand and upgrade product offerings, including new technologies such as immersive 3D and augmented reality. This also includes releasing new applications that increase productivity and collaboration, as well as acquiring existing competitors or strategic partners.
- Expand customer base and deepen relationships with existing users, including offering free apps and trials to attract new customers, utilizing channel partners, using a direct sales force, forming strategic partnerships and growing customer retention through events.
In retail, Adobe plans to leverage its leadership in digital marketing to offer an integrated suite for managing the customer journey across B2B, B2C, the enterprise and midmarket, in addition to offering a new product and Experience platform. Moreover, the company aims to continue to drive subscription revenue growth.
Revenue Breakdown (FY19)
Company Developments
| Date |
Development |
| June 14, 2020 |
Adobe launches free AI-powered Photoshop Camera app on iOS and Android. |
| June 11, 2020 |
Adobe reports fiscal second quarter sales growth of 14% year over year. |
| June 2, 2020 |
Adobe launches new consumer healthcare platform with Change Healthcare and Microsoft. |
| May 20, 2020 |
Adobe adds a new predictive audiences solution as part of its Audience Manager platform. |
| May 14, 2020 |
Adobe unveils Intelligent Services, which enables organizations to use AI. |
Management Team
- Shantanu Narayen—Chairman, President and CEO
- John Murphy—CFO and EVP
- Abhay Parasnis—CTO and EVP
- Ann Lewnes—Chief Marketing Officer and EVP
- Scott Belsky—Chief Product Officer and EVP, Creative Cloud
- Anil Chakravarthy—General Manager, Digital Experience and EVP
Source: Company reports/S&P Capital IQ
