RealTime IT News

CMG to Acquire E-Commerce Firm

CMG Information Services, Inc. announced it will acquire On-Demand Solutions, Inc., (ODS) a provider of electronic commerce fulfillment solutions and turnkey supply-based management services.

On-Demand Solutions will become a wholly-owned subsidiary of CMG and will be integrated into SalesLink, an already existing subsidiary.

While terms of the agreement were not disclosed, the deal is valued at approximately $7 million, according to a statement released by CMG.

ODS provides clients with "web-to-warehouse-to-customer" e-commerce fulfillment solution designed to integrate with a company's existing back-end systems and data resources.

"Today's e-commerce opportunity is tremendous, and providing end-to-end, turnkey solutions is essential to success in this exciting arena," said David Wetherell, President and CEO of CMG, in a statement. "On-Demand Solutions provides this important capability that our CMG and @Ventures companies can now offer to their clients. With this acquisition, we expect our fulfillment segment to meet or exceed $100 million in revenue in the next fiscal year."

ODS services include e-commerce Web site design, hosting and maintenance; site marketing support, online customer profiling and site statistics reporting; secure online shopping, payment functionality and credit card order processing. It also provides traditional fulfillment services such as order processing and product fulfillment, and marketing collateral manufacturing and fulfillment.