Tuesday, August 17, 2010

Clarus –Sprinting or Going the Distance?

Event Summary

Clarus Corporation (NASDAQ: CLRS) announced the addition of strategic sourcing capabilities to its ClarusAuctions product. ClarusAuctions is a hosted (i.e., ASP) B2B trading service that supports twelve different kinds of auction. The enhanced capabilities in version 2.1 include:

* Support for wireless access via phone and PDA

* The addition of weights to the evaluation of RFQs. With this feature sellers can apply weights to the individual items on an RFQ when determining which response best meets their needs.

* The ability to create a private branded auction within the public ClarusAuctions site; access can be limited through secure encrypted access keys

* The capability for bidders to remain anonymous

Clarus also announced a number of new customers for its Clarus eMarket digital marketplace. Clarus eMarket enables direct buyer-to-seller connectivity, without the central hub associated with other marketplace solutions, such as those from Ariba and Commerce One. It is the first Windows 2000-based digital marketplace framework, and is built upon Microsoft's latest technologies. The new marketplace customers include:

* AvidXchange.com, a commercial real-estate site that will also use ClarusAuctions

* HispanB2B, which is designed to provide Hispanic-owned businesses access to the Fortune 500

* LabBook, which provides access to genomic data

* Wachovia, a financial services provider that is building a procurement service that it will use internally and make available to its corporate customers

* VerticalCity, a builder of online communities targeted to vertical content

Market Impact

Just over one year ago Clarus divested itself of its entire ERP business and dedicated itself to becoming an e-commerce company. The effect on revenues of giving up the ERP business makes Clarus look almost like a startup. Figure 1 shows the company's actual quarterly revenues, compared to the pro forma revenues taking only the e-commerce business into account. The Figure also shows comparable numbers for Ariba (NASDAQ: ARBA) and Commerce One (NASDAQ:CMRC).

Figure 1. Quarterly Revenues





source
http://www.technologyevaluation.com/research/articles/clarus-sprinting-or-going-the-distance-16176/

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