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Oracle is developing an appetite to increase its share of the B2B e-commerce market

Oracle Corp. and renowned founder and company chairman Larry Allison love to take on bigger challenges. And the latest epic that Allison implies is that Oracle is gaining a larger chunk of sales in the B2B e-commerce technology and services market.

“Automating B2B trading is another huge opportunity for Oracle,” Allison told analysts during a recent call about the company’s earnings at the end of the year.

Oracle already has a significant operational base in e-commerce and supply chain B2B and enterprise resource management (ERP) systems. In 2016, Oracle spent $ 9.3 billion to acquire NetSuite. NetSuite is a developer and service provider. It provides companies with cloud applications for financial business, ERP, customer relationship management, human resources, professional services, e-commerce systems and more.

Relying on a healthcare presence

Oracle’s future B2B e-commerce strategy is to leverage its presence in healthcare and NetSuite’s customer base. In healthcare, Oracle expects to complete the acquisition of Cerner Corp for $ 28.3 billion. Cerner is one of the largest suppliers of electronic medical records.

“We already have more than 30,000 cloud ERP customers, including many of the world’s most important banks and leading logistics companies,” Allison told analysts. “We have very strong positions in healthcare with suppliers. … In the 4th quarter, we closed UnitedHealthcare, defeating SAP ”.

These providers include:

  • Kaiser
  • Mayo Clinic
  • Cleveland Clinic
  • Mount Sinai
  • Northwell House
  • Tenant
  • Atrium of health
  • Markel
  • Humana
  • Sign

Oracle also sees opportunities to develop e-commerce B2B in other vertical markets such as financial services and retail, he said.

“We have very, very strong positions in financial services,” Allison told analysts. “This is one of the key groups of partners we are working on to automate B2B commerce together with logistics companies.”

In retail, Oracle already has:

Alison said Oracle added Lowe, AlbertsanySherwood Williams and Abercrombie & Fitch in the 4th quarter.

Providing e-commerce technology to ERP customers

He said the use of new and existing ERP software customers will provide the foundation for the growth of digital B2B commerce.

“We are very excited about our momentum in ERP and how we can extend ERP from what it was – if it was a local system to what it could be in terms of automating B2B commerce, now that it’s a cloud system , ”Alison told analysts.

Oracle doesn’t knock out e-commerce sales.

For the 2022 fiscal year ended May 31, Oracle reports:

  • Total sales rose 5% to $ 42.44 billion from $ 40.48 billion in fiscal 2021.
  • The company’s revenue from cloud services and licensing support in fiscal 2022 was $ 5.21 billion. That’s 20% more than $ 4.35 billion in the previous fiscal year.
  • Net income of $ 6.71 billion compared to $ 13.75 billion in fiscal 2021.

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https://www.digitalcommerce360.com/2022/06/17/oracle-develops-an-appetite-for-a-bigger-share-of-the-b2b-ecommerce-market/ Oracle is developing an appetite to increase its share of the B2B e-commerce market

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