Company Profile
Founded
Wix.com (ticker: WIX) is an Israeli software company founded in Tel Aviv in 2006 by Israeli programmers Avishai Abrahami, Nadav Abrahami and Giora Kaplan. It provides a free and easy-to-use website building platform.
Services provided
Wix.com is an online website building service that uses an online drag-and-drop editing visual approach to build websites, allowing everyone to quickly and easily build HTML5 websites by dragging and dropping tools in its online website editor.
Initial Public Offering
On November 5, 2013, Wix launched its initial public offering on the Nasdaq, raising approximately $127 million for the company and certain shareholders.
Company Operations
Success Factors
Users can add additional features to their website editors, such as social networking buttons, e-commerce features, contact forms, newsletters and community forums; they can even create hotels, accommodations, restaurants, vacation rentals, Booking system website.
Wix provides a complete one-stop website building service, including website registration, website design, website management and modification. Users only need to operate the GUI interface and provide tools for online drag-and-drop editing to build HTML5 websites and mobile websites.
You can create a website without having to understand DNS mapping, web programming languages, server creation/rental, etc. Everything is handled automatically by Wix, allowing users to focus on the visual and content presentation of the website, and can also adjust the design of the mobile version. And layout.
Business Model
Wix makes its money through a freemium business model. Users must purchase a paid upgrade and must purchase a premium plan to enjoy the additional benefits of connecting their website to their own domain, removing Wix ads, adding e-commerce features, accessing the form builder, increasing storage capacity, purchasing additional bandwidth, website traffic and other advanced features.
Online app stores and profit sharing
The Wix App Marketplace offers both free and subscription-based apps, with developers receiving 80% of the revenue share and Wix receiving 20%.
Customers can integrate third-party applications into their own websites, such as photo sources, blogs, music playlists, online communities, email marketing and document management. You can also use VeloAPI to insert custom JavaScript code into your Wix pages.
Biz metrics
- According to data from W3Techs, a technology survey website, as of September 2023, 2.5% of websites worldwide use Wix.
- As of the latest report in June 2024, Wix has over 260 million users worldwide.
Business Operation Status
Acquisitions
- In April 2014, Wix announced the acquisition of Appixia, an Israeli startup dedicated to creating native mobile commerce (mCommerce) applications.
- In October 2014, Wix announced the acquisition of OpenRest, a developer of online ordering systems for restaurants.
- In April 2015, Wix acquired Moment.me, a mobile site builder for events and a marketing tool for social lead generation.
- On February 23, 2017, Wix acquired the online art community DeviantArt for $36 million.
- In January 2017, the company acquired Flok, a provider of customer loyalty program tools.
- In February 2020, Wix acquired Inkfrog for eBay Sellers, a web design company that provides customized business management software for eBay sellers.
- On March 2, 2021, Wix acquired SpeedETab, a Miami-based online technology provider for restaurants.
- In May 2021, Wix acquired Rise.ai to provide gift cards and customer re-engagement packages to online brands.
- In June 2021, Wix acquired Modalyst, a marketplace and dropshipping platform.
Competitors
Some of the more well-known vendors on the market that provide services similar to Wix include:
- Squarespace (SQSP)
- Shopify (tickere: SHOP), please refer to my 3 posts on this company: “Why Shopify is so killing?“, “Shopify, the only rival admitted by the founder of Amazon, how does it make money?“, and “Why is it difficult for investors to discover Shopify potential early?“
- Weebly (ticker: XYZ), on April 26, 2018, Weebly was acquired by Square, the predecessor of Block; please refer to my other related article on this company “You should know the company Square (rebraned to Block)“.
- WordPress
2024 third quarter financial report
Wix reported revenue of $444.7 million, up 12.9% year over year. The figure was in line with analysts’ expectations. It was a satisfying quarter as its EBITDA also far exceeded analysts’ expectations. Wix’s full-year guidance upgrade was the largest among its peers. Since the report, the stock has risen 15.8% and is currently trading at $212.92.
Related articles
- “Wix, the leading brand of online website building“
- “You should know the company Square (rebraned to Block)“
- “Why Shopify is so killing?“
- “Shopify, the only rival admitted by the founder of Amazon, how does it make money?“
- “Why is it difficult for investors to discover Shopify potential early?“
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