Upload
others
View
10
Download
0
Embed Size (px)
Citation preview
1
2
January 2006, Oracle. All rights reserved. This document and presentation (this "presentation") is provided for information purposes only, and the contents hereof are subject to change without notice, and may not be incorporated into a contract. This presentation is not warranted to be error-free, nor is it subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this presentation. References to third party content, including analysis, opinions, predictions and statements, do not necessarily constitute or imply Oracle’s endorsement of or concurrence with such content.
3
Oracle and 360CommerceAcquisition AnnouncementJanuary 18, 2006
4
Agenda
What We Are Announcing
Strategic Rationale
Anticipated Benefits to Retailers
Background on 360Commerce
Combined Solution and Post-transactionIntegration Plan
5
What We Are AnnouncingOracle has acquired 360Commerce
• Terms undisclosed
About 360Commerce• Most proven and widely deployed open store
solutions• Over 14 years experience and 22 customers
worldwide:North America, Europe, Asia and Latin America
• Approximately 220 employees• Highly complementary solutions
6
Strategic RationaleStore solutions represent the highest spend in retail as retailers seek to differentiate on the in-store experience to better compete
Fits the Oracle Retail “Best of the Best” M&A Strategy • Best people: Recognized thought leadership, domain expertise,
and vision • Best products: #1 provider of Java-based Point-of-Sale
solutions with marquee retail customer references
Solves time to market in stores & improves competitive advantage• 2-3 year speed to market over current Point-of-Sale and Back
Office build-out plans
Combination of Oracle and 360Commerce will bring together the store solutions, merchandising, supply chain and optimization solutions across the enterprise, from the back office to the store, enabling Customer-Centric Retailing
Will provide retailers with a single retail technology stack and point of integration
7
Business Benefits to Retailers
Competitive advantage in the marketplace by delivering a superior customer shopping experience
Increased revenue and lower operating and service costs
Increased brand recognition and differentiated stores
8
Large pent-up demand“In the next 12 months, 57% of retailers plan to replace or upgrade their POS
systems.”Retail Horizons: Forecasts for 2005
“44% of retailers are planning to purchase WFM in the next 12-18 months.”Year of the Store?, IHL Consulting, January 2005
Retailers plan to address the need“58% of retailers said store systems is the #1 focus of their strategic
investments over the next 12 months.”Retail Industry Leaders Assoc.
“Over the next two years, eight out of 10 retail IT initiatives will be focused on store systems.”
NRF 2005
“52% of retailers plan to increase IT spending in 2006.”15th Annual Retail Technology Study
Store Solutions Continue to be the Focus of Retailers
9
Store Systems$ 2.4B
360CommerceCurrent SAM
Retail Market Framework* Retail Market Opportunity
Source: AMR Research and 360Commerce analysis.* Segments highlighted represent areas covered by current 360Commerce product offerings.
$31.0B
$13.0B
$7.0B
$7.5B
$3.5BWFM$ 1.1B
Product Segment Int’l TAM
Expansion Opportunities
SAM = Served Addressable MarketTAM = Total Addressable Market
Discount/Trad. Dept.# Retailers: 34SAM: $0.4B
Automotive# Retailers: 26SAM: $0.2B
Jewelry# Retailers: 15
SAM: 0
Apparel & Shoes# Retailers: 95SAM: $0.9B
Miscellaneous# Retailers: 46SAM: $0.3B
Quick Serve# Retailers: 122
SAM: $0.1B
Electronics# Retailers: 40SAM: $0.5B
Drug & HBC# Retailers: 30SAM: $0.1B
Books/Music Video# Retailers: 18
SAM: 0
Convenience# Retailers: 56
SAM: 0
Supermarket# Retailers: 77
SAM: 0
Home Furnishings# Retailers: 30SAM: $0.1B
General Mdse.# Retailers: 20SAM: $0.2B
Sporting Goods# Retailers: 15SAM: $0.1B
Housewares/Gifts# Retailers: 14SAM: $0.1B
Home Center/HW# Retailers: 42SAM: $0.5B
Total# Retailers: 680
SAM: $3.5B
Retail Software Market Opportunity
10
22 customers worldwide: North America, Europe, Japan, andLatin America.Joint Oracle/360Commerce customers include Best Buy, Circuit City,Gap Inc., The Home Depot, and Stein Mart, among others.
360Commerce Customers
11
Proven Next-Generation Store Solutions
360Commerce Installed Clients
2002 2003 2004 2005
75,900
82,200
36,600
11,900
360Commerce Total Stores
2002 2003 2004 2005
12,42012,625
7,188
3,609
12
360Commerce Solutions
13
ArchitectureEnterprise-class solution
provides retailers with benefits of best-of-breed and integration.
Reusable components reduce the cost of customization and creation of new applications.
Service-oriented, standards-based application framework reduces risks and total cost of ownership.
J2EE-based architecture enables hardware, OS and database agnostic solution.
360Platform
Commerce Services
New Retail Applications
360Commerce
Point-of-SaleBack Office
Inventory ManagementCentral Office
Returns ManagementWorkforce Management
Data Enterprise Other
Web Interface
Kiosk
Mobile
Cash Register
360Commerce Technology Architecture
14
Store Solutions
Merchandise and Supply Chain
Retail Profit Optimization
Enterprise applications, middleware and database technologies
Oracle Retail Enterprise-wide Solution
Combination creates a stronger retail
enterprise solution
Powerhouse of talent focused on retailGlobal reach and resourcesValue – Vitality – Vision
15
Customer Centric RetailingInsight Driven RetailingWe believe that the majority of critical retail decisions made today can be dramatically improved by the infusion of demand-insight and optimization.
Store & Multi-Channel RetailingWe believe there is a great opportunity to lower the cost of service and to dramatically improve the customer experience with next generation store & multi-channel solutions.
2
1
16
Retail ValueChain
TailoredShoppingExperiences
BuyingData
CustomerInsight
Information
OptimizedProcesses
Insight and Customer-Driven Retailing
17
*360Commerce
Point of Sale Systems*
Store Solutions*
Wireless Service*
ReturnsManagement *
Multi-ChannelService*
StoreOperations *
WorkforceManagement*
Oracle Retail Solution Footprint
Assortment &Space
Management
MerchandiseManagement
CampaignManagement
CustomerProfile
Management
CRM&
Marketing
DataWarehouse
ETL
Retail Infrastructure
IndirectProcurement
FinanceManagement
Corporate Operations
Corporate Administration
StoreConstruction
Projects
LeaseManagement
EnterpriseAsset
Management
Real EstateManagement
Payroll
HumanResources
Supply ChainManagement
PriceManagement
Database, Tools, Application Server, Collaboration SuiteTechnology
Benefits
Recruiting
TrainingCorporate
PerformanceManagement
Supply ChainPlanning
DirectProcurement
InventoryManagement
Distribution& Fulfillment
Manufacturing
Item Definition
MerchandisePlanning
PromotionManagement
CustomerIntelligence
EnterpriseApplicationIntegration
Portal
Workflow,Triggers,
Messaging
Oracle Retail
Note 1: Time & Labor requirements at Store Level, Associate Budget and Planning.Note 2: POS – E.g Multi-channel servicing, Customer loyalty. Coverage includes POS for apparel.Note 2: G-log acquisition fills Transportation & Logistics
Transportation& Logistics Store Ops
Time & Labor
The above is for informational purposes only and may not be incorporated into a contract.
18
Post-transaction Integration PlanIntegrate 360Commerce store solutions with Oracle Retail Store Inventory Management (SIM) systems for complete supply chain and demand management.
Integrate 360Commerce store solutions clock in/out functionality into Oracle Retail Workforce Management solution.
Integrate 360Commerce Back Office employee maintenance functionality with PeopleSoft solution.
Integrate 360Commerce Central Office solution with Oracle Retail’s data warehouse and business intelligence solutions.
19