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Wednesday, November 10, 2010

Oracle’s ATG Acquisition Right For Retail Sector Customers

Retail sector customers and partners catering to them believe that Oracle’s $1-billion bid to acquire ATG—a provider of ecommerce software and related on-demand commerce optimization applications—will be complementary to the software-giant’s business and help bolster its offerings.

“Most of our customers in the retail segment are investing in data warehousing and mining solutions.
Acquisition of ATG would be good for such customers as it adds to Oracle’s existing set of database, CRM and BI software offerings,” endorsed Rajeev Krishnaswamy, Director of Mumbai-based solution provider Infobahn Technical Solutions.

ATG's eCommerce software platform complements Oracle's CRM, ERP, retail, and supply chain applications, as well as its portfolio of middleware and business intelligence technologies. ATG also offers on-demand commerce optimization applications that provide companies with an online presence, the ability to improve customer satisfaction through immediate service response and automated recommendations.
In India, where the organized retail sector is increasingly looking at hosting options for their technology needs, ATG cloud offerings if priced right could be winning proposition. “Our entire e-commerce platform is hosted by a third party service provider. They provide the technology and manage it, and we focus on customer experience. As an organization we did not want to get into buying technology and developing stacks,” said Arun Gupta, CIO, K Raheja Group—which owns the Shoppers Stop chain of retail stores.

Gupta believes that the ATG acquisition could work well for Oracle. “ATG is very successful in the retail sector globally. However to succeed in India it will have to offer adaptable solutions,” he opined.
All the same Oracle will have to re-group its hosting offerings and strategies in order to make the hosted services more attractive for customers.

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