Automotive Sales, Distribution, and Aftermarket Solution

As the automotive demand chain shifts from a product focus to a customer centric model, sell-side economics place an increasingly heavy financial burden on OEMs. For example, nearly 25 percent or more of a vehicle manufacturer's suggested retail price (MSRP) is spent on sales and distirubtion costs for advertising, marketing, incentives, and inventory. In North America alone, OEMs and national sales companies (NSCs) typically pay about 70 percent of these costs. In Europe, Asia and Latin America, the NSCs pay up to 90 percent. Thus, as vehicle sales growth outside the country of manufacture continues to increase, so, too, will the costs of sales and distribution.

Driving this sell-side paradigm shift is the inherent complexity and the multidimensional relationships among key stakeholders. For example, car buyers interact with dealers for vehicle and accessory configurations and orders; while dealers and national sales companies (NSCs) or distributors independently interact with car buyers for marketing, sales, and service. Similarly, dealers, parts suppliers, and NSCs (or OEMs sales and distribution divisions) interact with one other for demand planning and forecasting, vehicle order allocation, and transportation activities, while captive finance firms interact with dealers and customers on marketing, origination, and term-financing programs. In addition to all this inherent complexity, the incidence of inconsistent business processes, poor communications, and disconnected information sources is pervasive.

Only Oracle offers an integrated, standards-based, enterprise solution for automotive sales, distribution, and aftermarket organzations that helps them become more innovative, differentiated, and profitable by enabling them to:

• Leverage customer insights to deliver personalized interactions that attract and retain customers
• Facilitate tighter integration across dealer and distribution networks to align vehicle and service parts demand with order-to-delivery processes
• Adopt standardized business processes to improve agility, quality, and profits

Oracle Industry Solutions Address Complex Business Processes
Oracle industry solutions leverage our best-in-class portfolio of applications and technology to address complex business processes relevant to your industry. Whether you start with one component or make a complete business transformation, Oracle enables you to build on your existing environment with an open-integration framework using standards-based middleware. Oracle industry solutions enable you to speed time to market, reduce costs, and gain a competitive edge.