Who Optimizes SG&A Costs Better? Oracle Corporation or Salesforce, Inc.

Optimizing SG&A: Oracle vs. Salesforce

In the ever-evolving tech industry, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Oracle Corporation and Salesforce, Inc. have demonstrated contrasting strategies in optimizing these costs.

From 2014 to 2024, Oracle's SG&A expenses have shown a relatively stable trend, with a modest increase of about 14% over the period. In contrast, Salesforce's SG&A expenses have surged by approximately 457%, reflecting its aggressive growth strategy. Notably, in 2023, Salesforce's SG&A expenses were about 54% higher than Oracle's, highlighting its expansive market approach.

While Oracle maintains a steady course, Salesforce's rapid increase in SG&A expenses suggests a focus on scaling and market penetration. This divergence in strategies offers a fascinating insight into how these tech giants prioritize cost management in their quest for market dominance.