SAN FRANCISCO (PR Worldwire) - Oracle has parted ways with Applied Communications, its long-term agency of record, as part of a plan to bring more of its PR work in-house.
Applied first started working with Oracle eight years ago. The company said that it is not seeking a new agency of record, but made the decision primarily because of departmental restructuring.
"This is part of a bigger change that has been taking place for a while now," said Paul Burrin, Oracle's SVP of corporate marketing. "We are trying to integrate our communications much more effectively."
Oracle has formed a corporate marketing function, bringing together the PR functions from various teams, including PR, analyst relations, direct marketing, and others.
The company said it will also be adding to its PR staff in the near future.
Oracle still retains PR21 for projects on the applications side.
Applied dealt with the issue proactively, and issued a press release announcing it had lost the client. While the loss is certainly a financial blow, Alan Kelly, the agency's president and CEO, said that the impact is less severe than it might have been in the past.
"I think this is a day that I have prepared for," Kelly said. "The account is fairly healthy, but not nearly as large as it used to be." In 1997, the agency briefly resigned the Oracle account. "During our brief divorce, it was well over half our business," he said. It was our wake-up call that we would have to be more diversified."