Nine of the 12 players used by the home side, who were without their talented guard Ja Morant due to injury, reached double figures in scoring including Jaren Jackson who nabbed the most with 27.
The Grizzlies led 72-36 at half-time and continued to pile on the points after the break to finish 152-79 victors, marking a much greater margin of victory than the previous record of 68 points set by the Cleveland Cavaliers in their 148-80 destruction of the Miami Heat in December 1991.
The Thunder will next face the Detroit Pistons, who lost 114-103 against the Western Conference-leading Phoenix Suns.
Bench players Cam Johnson and Cameron Payne each had 19 points as the Suns set a franchise record of 18 straight wins, despite the absence of Phoenix’s leading scorer Devin Booker for the first time this season.
The Chicago Bulls closed out a tight 119-115 victory over the New York Knicks, the Toronto Raptors made the most of Giannis Antetokounmpo being off the court with an injury to beat the Milwaukee Bucks 97-93 and the San Antonio Spurs easily accounted for the Portland Trail Blazers 114-83.