SAP Watch

Mar 13 2006   2:41PM GMT

SAP lashes out at research firm on ad claim study

ITKE ITKE Profile: ITKE

SAP is lashing out at Wellesley Mass.-based Nucleus Research Inc., calling a report that is said to debunk a high profile SAP advertising campaign, “shoddy research.”

Nucleus Research released a research note last week that found that, contrary to SAP’s advertising claim that its customers are 32% more profitable than their peers, SAP customers were in fact 20% less profitable than their peers. SAP customers had an average return on equity (ROE) of 12.6% versus an industry average of 15.7%, according to Nucleus’ note.

Ian Campbell, Nucleus’ president and CEO, said the four page research note was the result of an analysis of 81 public companies that use SAP software and were listed on SAP’s Web site. In an interview with SearchSAP.com, Campbell called the research the “most exhaustive look at SAP public companies to date.”

“Ours is the best and most public report,” Campbell said. “We don’t’ draw any correlation between SAP and profitability and doing so is a foolish thing. SAP made that correlation in their advertising.”

The complete story will be posted shortly at SearchSAP.com.

-Rob Westervelt
News Editor

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