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Adobe Inc. is an American multinational computer software company. It competes with Microsoft Corporation, Alphabet Inc. and other large computer software companies. Initially, the company was more focused towards the creation of multimedia and creativity software products but recently it has become increasingly focused towards digital marketing software as well. With a diverse portfolio of products and offerings, the company’s revenue stream comes from three market segments: Digital Media, Digital Experience and Publishing. As of Q2 FY20, the revenues from the different reportable segments came in at. And let’s look into Adobe Revenue by segment data here.
Revenue by segment
(in million USD)
In this segment, Adobe Inc. has two major market offerings: Creative Cloud and Document Cloud.
The company is the market leader with Creative Cloud which is a subscription-based offering providing desktop tools, mobile apps and cloud-based services for designing, creating and publishing rich and effective content. It is offered for individuals, teams, students and enterprises and is expected to have a sustained long-term revenue growth through a continued expansion of customer base. This is achievable through the acquisition of new customers given the low cost of entry and provision of additional features on the company’s platform like storage and syncing facilities. The company’s strategy around Creative Cloud is designed to enhance revenue, acquire new customers and retain the existing users.
The company is also a market leader with Adobe Document Cloud offerings built around a variety of products which includes Adobe Acrobat Reader DC and a set of integrated cloud-based document services like Adobe Sign. The highlighting attributes are reliability in the creation and exchange of electronic documents, regardless of platform or application source type.
The company reported strong financial results with nearly 22% growth in the reported revenue from this segment as compared to Q2, FY19. The consistency in performance is attributable to strategic execution of plans for this segment including awareness acceleration, increased consideration and purchase of subscriptions to the market offerings.
Adobe Inc. is a market leader in the fast-growing category addressed by its Digital Experience segment providing comprehensive solutions including analytics, targeting, social marketing, digital experience management, marketing automation, media optimization and others. The objective is to enable marketers to measure, personalize and optimize marketing campaigns and digital experience of the users across channels for optimal marketing performance.
The company witnessed a considerable growth close to 34% in this segment as compared to Q2, FY19 with major contributors of revenue being Marketo’s Engagement Platform offerings and Mangneto’s Commerce Cloud offerings. It is expected that the continued demand across this portfolio will drive revenue growth in the future.
In this segment, the company reported 12% growth in terms of total revenue figures as compared to Q2, FY19 associated with customer base expansion.
Adobe Inc. is one of the largest and most diverse software company globally offering a comprehensive portfolio of products and services used by creative professionals, marketers, application developers, enterprises and individuals for the purpose of creating, delivering, managing, measuring, optimizing and engaging with prospective audience.
The company was originally incorporated in California in 1983 and was reincorporated in Delaware in 1997. The products provided by the company are licensed through app stores or company websites and are highly compatible in terms of usage on personal and server-based computers, as well as smartphones, tablets and other devices.
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