Walmart's (NYSE:WMT) latest acquisition adds new product search technology to the company's technology bench with the purchase of Adchemy, as the retailer continues to build out e-commerce capabilities.
The company's Walmart Labs division has bought Adchemy, a product search and e-commerce company that helps better target item searches. Details of the transaction were not disclosed.
Adchemy is Walmart Labs' twelfth acquisition since its creation in 2011, and one of its largest in terms of human capital. Adchemy adds 60 more employees to the department including former employees of WebEx and Yahoo.
The Adchemy buy follows Walmart's earlier acquisition of Yumprint, a network of published recipes for food blogs that will be incorporated into Walmart's website to help shoppers better understand recipe semantics, match ingredients to advertisements, calculate nutritional information and prepare shopping lists for recipes.
Walmart's internal search engine was built by the team from another acquired company, Kosmix. That platform took just nine months to ship and led to a 20 percent increase in search conversion, according to Walmart Labs. Technology from recently acquired Inkiru was integrated within four months of that team joining Walmart Labs and today their predictive analytics platform is applied to 100 percent of online transactions. Other key technology acquisitions for Walmart Labs include OneOps, a cloud computing company; Tasty Labs, a social software incubator; and Social Calendar, a reminders firm. Additionally Small Society, Set Direction, Grabble and OneRiot helped build out the mobile app strategy for the retailer.
Walmart Labs operates independently of the retailer in Silicon Valley and is credited with fueling Walmart's strong growth in Web sales. The retailer recently beat out Amazon (NASDAQ:AMZN) for the first time in 10 years, according to FierceRetail, an important milestone in its quest to beat Amazon at its own game.
-See this Walmart Labs blog post
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