Priority Health Launches New Medicare Initiative with Siebel CRM On Demand

Top-Ten Rated Health Insurance Provider Deploys Siebel CRM On Demand to Expedite Launch of New B2C Unit

SAN MATEO, Calif.-October 6, 2005 - Oracle Corporation (NASDAQ: SEBL), a leading provider of customer-facing solutions, today announced that Priority Health, an award-winning health insurance provider serving western Michigan, has selected Siebel CRM On Demand to support the launch of a new business unit designed to provide customers with innovative Medicare coverage.

Based in Grand Rapids, Priority Health serves more than 450,000 members in western Michigan and scored in the top ten of all national managed care plans by the National Committee for Quality Assurance (NCQA) for the year 2004. In order to build on its leadership position, Priority Health organized a new business-to-consumer (B2C) unit earlier this year to market and sell a new line of Medicare coverage called Medicare Advantage. Because the company had traditionally only sold to businesses, this new sales model of selling directly to consumers presented a number of challenges, including the lack of a customer relationship management (CRM) system to help senior executives understand which sales practices and marketing campaigns would be most effective.

In its evaluation of CRM systems, Priority Health management established a number of critical criteria for its selection process. First, the system had to be up and running in only six weeks, leading the company to exclusively look at hosted CRM solutions. Second, it had to provide rich reporting and analysis capabilities so the business could course-correct in real time. Priority Health also wanted the flexibility to migrate its hosted solution to an on premise system as the company's long-term CRM needs evolved. Only Siebel CRM On Demand-and Oracle's market leadership in providing business value through its CRM solutions-met these key selection requirements.

Siebel CRM On Demand was implemented in less than 75 days and now gives Priority Health the ability to track the effectiveness and return on investment of its advertising and direct marketing efforts. "We chose to partner with Oracle to help launch our new Medicare Advantage product because of its experience and high-quality service," said Mark Zickel, Vice President of Sales and Client Service for Priority Health. "This partnership has helped us quickly focus our efforts and implement business tools that are effective in making our product a success."

Priority Health's sales and marketing processes are highly integrated with the functionality of Siebel CRM On Demand. For example, the company's in-house sales team takes inbound calls, qualifies them using Medicare-specific eligibility data configured into Siebel, and converts the lead to an opportunity with Siebel CRM On Demand's Campaign Management system. The sales team then sets up customer meetings-either individually or in group sessions-with outside sales professionals via the group calendaring functionality in Siebel. This allows Priority Health to track close rates on a number of factors, including meeting attendance, meeting type, and lead source. Additionally, capturing all customer interactions enables Priority Health sales management to see pipeline and opportunity status in real time to assess sales cycle effectiveness.

"Siebel CRM On Demand was very easy to implement and is a very flexible system," said Nancy Denhof, Senior Manager, Medicare and Small Business Sales at Priority Health. "It has greatly contributed to the success we have had in launching our Medicare Advantage product. It has also been a phenomenal tool in analyzing our marketing activities to determine which are most effective. We at Priority Health are very happy with Siebel CRM On Demand."

About Siebel CRM On Demand

Siebel CRM On Demand is a hosted CRM offering delivered over the Web and accessible from an Internet browser at a fixed price per user per month. Customers can deploy Siebel CRM On Demand quickly, easily, and affordably without any up-front IT investments. Hosted by IBM, Siebel CRM On Demand delivers complete sales, marketing, and service functionality; built-in customer analytics; virtual call center technology; embedded best practices; and world-class hosting services and support. Siebel CRM On Demand is now available for purchase. For more information, visit www.crmondemand.com.

Media Contact:
Shabana Khan
Oracle Corporation
Tel: (650) 477-1180
Email: shabana.khan@siebel.com

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