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Summary

On August 20, 2015 Oracle announced its intention to acquire Maxymiser, a private software company that specializes in customer experience optimization for web, mobile web, and mobile app channels.Maxymiser fills an important gap in the Oracle Marketing Cloud platform and enhances Oracle’s market position, especially vis-a-vis its arch rival, Adobe.

Maxymiser offers synergies with the Oracle Marketing Cloud

Maxymiser is a smaller-scale addition to the Oracle Marketing Cloud than Eloqua or Responsys; it is a similar size acquisition to BlueKai. Maxymiser has 400 employees in offices in New York, London, and Dusseldorf. Its origins lie in the UK, where it has a strong user base that includes EasyJet, Virgin Media, Carphone Warehouse, Clarks Shoes, and Hiscox.

Although Maxymiser began life in the UK in 2006, the founders moved to New York to drive the company’s international expansion ambitions; it now has a healthy US customer base. This ambition was funded by VCs such as Investor Growth Capital and Pentech Ventures, which will benefit from their investments, although the financial terms of Oracle’s acquisition have not been disclosed.

Maxymiser specializes in “customer experience optimization” – testing and optimizing content for websites, the mobile web, and mobile apps. It also has a social plug-in, MaxSocial. Maxymiser’s SaaS platform tests various elements of a web page to evaluate their effectiveness. For example, Maxymiser might test whether a red button gets more click-throughs than a green button, or whether a picture of girl generates more clicks than a picture of a boy. This is important for the landing pages (to initiate engagement) and e-commerce pages (to avoid “abandoned carts”) of the websites of retailers and other B2C companies. Hence Maxymiser has retail, travel, finance, media, and gaming as its primary customer segments and offers industry variants of its software for these sectors.

Adobe has for some years been a “top end” competitor for Maxymiser through its acquisition of Omniture. Adobe Target is now a $700m per annum business and a likely motivator for Maxymiser’s acquisition: Oracle will wish to take on Adobe in this lucrative applications area. Undoubtedly Oracle will now be rationalizing Maxymiser’s partnering strategy – Maxymiser currently partners with direct competitors to the Oracle Marketing Cloud, including Adobe, Marketo, and IBM.

Oracle has positioned Maxymiser as a complement to the Oracle Social and Oracle Content Marketing platforms under the title “Create Engagement.” This makes good sense as a precursor to direct engagement using the Oracle Marketing Automation platforms (especially Responsys in B2C markets). In Ovum’s opinion it is unlikely there will more major acquisitions for the Oracle Marketing Cloud in the future; the most important pieces are now in place. However, enhancement “tuck-in” acquisitions such as Maxymiser’s are still highly likely.

Appendix

Author

Gerry Brown, Senior Analyst, Customer Engagement

gerry.brown@ovum.com

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