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IBM DemandTec
Industry Retail
Founded California 1999
Headquarters Armonk, NY / Foster City, CA
Products Omni-channel Merchandising Solutions
Website [1] IBM DemandTec

IBM DemandTec is a suite of cloud-based merchandising applications for retailers. Offerings are available for both physical (store) and digital channels, and include lifecycle price management and optimization, promotion management and optimization, promotion execution, deal management, assortment optimization, and shopper insights. IBM DemandTec software and analytical services utilize a science-based platform to model and understand consumer behavior.

IBM DemandTec has its development headquartered in Foster City, California, with regional development offices in Shanghai and Moscow. Customers and sales are supported by the IBM global teams.

In August 2007, the company priced its initial public offering at $11 per share.


In December 2011 it was announced that IBM had intent to purchase DemandTec; the deal closed in February 2012.

As a standalone company, the following acquisitions were made by DemandTec:

  • TradePoint Solutions (November, 2006)
  • Connect3 Systems, Inc. (February, 2009)
  • Acquired substantially all of the assets of Applied Intelligence Solutions, LLC (January, 2011)
  • M-Factor, Inc. (March, 2011)


DemandTec connects more than 400 retailers and consumer products companies.

Retailers using DemandTec include Advance Auto Parts, Almacenes Exito SA, Best Buy, Casino Supermarche, Circle K, Geant, GIANT, Giant Eagle, Grupo Pão de Açucar, H-E-B Grocery, Monoprix, Office Depot, Penn Traffic, P.C. Richard & Son, Radio Shack, Safeway, Target and Wal-Mart.[1]

Consumer products companies using DemandTec include Cargill, Coca Cola Enterprises, Clorox, ConAgra Foods, Dannon, Del Monte Foods, Heinz, Johnson & Johnson, Land O Lakes, Ocean Spray, Pepperidge Farm, Revlon, RJ Reynolds, SC Johnson, Snyders, Utz and Wrigley.[2]

Corporate Citizenship[edit]

In striving to give back to the customer, partner, and local communities in a meaningful and sustained way, the company focuses on two key initiatives, the DemandTec Retail Challenge and a new partnership with the Labovitz School of Business & Economics (LSBE) at the University of Minnesota Duluth (UMD).

As the flagship corporate citizenship program, DemandTec launched and continues to expand the DemandTec Retail Challenge, a math and science scholarship competition for high school seniors. The competition has grown leaps and bounds, expanding the competition location footprint by more than 60 percent in last year and awarding more than $250,000 in college scholarship money since its inception in 2005.

DemandTec’s new partnership with LSBE at UMD is to support the university’s new Retail Marketing Analytics Program (ReMAP). As the first program of its kind, ReMAP will be offered as an undergraduate major and minor area of study through LSBE at UMD. ReMAP will provide undergraduate UMD students with an educational curriculum that can be directly applied to rewarding careers in the retail and consumer products industries.[citation needed]


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