DemandTec Is Selected by AlwaysOn As "Top 100 Private Company" Award Winner

DemandTec Takes Award for Third Consecutive Year

SAN CARLOS, Calif. – June 30, 2005 – DemandTec, Inc., the leading provider of Consumer Demand Management (CDM) software for retailers and consumer products companies, announced today that it has been named for the third consecutive year to AlwaysOn's list of Top 100 Private Companies.

DemandTec was handpicked by the AlwaysOn editorial team based on a set of five criteria: innovation, market potential, customer adoption, media buzz, and investor value creation.

The AO 100 was selected from over 1,000 companies, peer-nominated by industry analysts, investment bankers, and leading venture capitalists. The AO 100 consists of private companies at all stages of development.

DemandTec provides its customers with a powerful suite of consumer demand–driven merchandising applications built on the industry's only universal Consumer Demand Management platform. DemandTec CDM software combines a comprehensive demand, consumer, and market intelligence platform integrated with powerful software applications that enable retailers and consumer products manufacturers to develop and execute more effective marketing and merchandising programs that drive profitability, differentiation, growth, and customer loyalty.

"The AO 100 companies are shaping today's web–driven, connected environment," said Tony Perkins, founder and editor of AlwaysOn. "We were inundated with nominations from leading companies, many of which I hope will appear on our list next year. My congratulations to each AO 100 winner–these are the companies which we predict will have the greatest market traction, strongest innovation, and most game–changing approaches this year."

"We're extremely pleased that AlwaysOn has recognized our groundbreaking technology and industry leadership by granting us the Top 100 Private Company award for the third consecutive year," said Dan Fishback, President and CEO of DemandTec, Inc. "In today's competitive business climate, retailers and consumer products manufacturers have the opportunity to gain a tremendous competitive edge via a scientific, consumer–centric approach to marketing and merchandising. Our customers have experienced outstanding results, and we're delighted to be recognized once again for helping them achieve success."

The AO 100 will be honored at the AO2005: Innovation Summit at a VIP reception at 5:00pm on July 19, 2005 at the Frances C. Arrillaga Alumni Center on the Stanford University campus in Palo Alto, California.

About DemandTec
DemandTec's Consumer Demand Management software helps retailers and consumer products manufacturers strategically plan, optimize, and execute demand–driven merchandising and marketing programs based on a quantified understanding of consumer demand. Retailers have ranked DemandTec #1 in Strategic Value, Customer Satisfaction, and Quality of Service among the top 50 retail software vendors in the 2004 RIS Leaderboard survey. DemandTec customers include B&Q, Best Buy, Brookshire Grocery Company, Duane Reade, H–E–B Grocery Co., Longs Drugs, Monoprix, RadioShack, and Safeway. DemandTec software is provided via the IBM On Demand program. For more information, please visit www.demandtec.com

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