FreshDirect Selects DemandTec for Shopper-Centric Analytic Insights

Katie Evans

Fast-growing online retailer to benefit from DemandTec’s nextGEN pricing analytics

SAN CARLOS, Calif. – September 29, 2009 – DemandTec, Inc. (NASDAQ: DMAN), a leading provider of on-demand optimization solutions for retailers and consumer products manufacturers, today announced that FreshDirect, an online grocery retailer, has chosen DemandTec to provide shopper-centric analytic insights to support everyday pricing strategies and decisions.

FreshDirect will utilize DemandTec’s nextGEN solutions to better understand and serve its customer base in and around New York City. DemandTec will help Fresh Direct define merchandising and marketing strategies that protect and enhance its customer price perception and at the same time deliver positive business results.

“At Fresh Direct we never stop improving the service we provide to our customers. We chose DemandTec because they have a proven track record of helping retailers of all types enhance their understanding of shopper behavior and make more effective merchandising and marketing decisions as a result. DemandTec brings a remarkable combination of expertise and innovative technology and we look forward to working with them in this regard,” said Jason Ackerman, CFO of FreshDirect.

DemandTec’s nextGEN solutions analyze historical transaction log data to help retailers and consumer products manufacturers understand and forecast how shoppers may respond to planned merchandising and marketing strategies. DemandTec’s nextGEN solutions are made available to brick-and-mortar and online channels for a wide range of goods including hard goods, softlines, and perishables.

“FreshDirect is an outstanding example of an online retailer seeking to deploy the most sophisticated shopper insights and optimization solutions available in the market. We are committed to helping FreshDirect continue to enhance its ability to understand and serve its customers,” said Dan Fishback, President and Chief Executive Officer of DemandTec.

About Fresh Direct

FreshDirect, one of the nation’s leading online grocers, delivers custom-ordered groceries and meals to residences and offices in the New York City metropolitan area. Introduced to the New York market in 2002, FreshDirect grew popular for its convenience, fresh food, including organics and locally grown items, and lower prices than many Manhattan supermarkets. FreshDirect also delivers numerous kosher foods and is recognized by the Marine Stewardship Council as a certified sustainable seafood vendor. FreshDirect is based in Long Island City and is one of the largest employers in the area. The company has more than 1,500 employees and more than 250,000 customers. Additional information can be found at: www.freshdirect.com.

About DemandTec

DemandTec (NASDAQ: DMAN) enables retailers and consumer products companies to optimize merchandising and marketing decisions, individually or collaboratively, to achieve their sales volume, revenue and profitability objectives. DemandTec software services utilize DemandTec’s science-based software platform to model and understand consumer behavior. DemandTec customers include more than 195 leading retailers and consumer products manufacturers such as Ahold USA, Best Buy, ConAgra Foods, Delhaize America, General Mills, H-E-B Grocery Co., Hormel Foods, Monoprix, PETCO, Safeway, Sara Lee, The Home Depot, Walmart and WH Smith. Connected via the DemandTec TradePoint Network™, DemandTec customers have collaborated online with over 2.5 million trade deals. For more information, please visit www.demandtec.com.

DemandTec Safe Harbor

This press release contains forward-looking statements regarding DemandTec`s expectations, hopes, plans, intentions or strategies, including statements about the benefits of DemandTec’s solutions. These forward-looking statements involve risks and uncertainties, as well as assumptions that, if they do not fully materialize or prove incorrect, could cause our results to differ materially from those expressed or implied by such forward-looking statements. The risks and uncertainties include those described in DemandTec’s documents filed with or furnished to the Securities and Exchange Commission. All forward-looking statements in this press release are based on information available to DemandTec as of the date hereof, and DemandTec assumes no obligation to update these forward-looking statements.

Media Contact:

Mitch Kristofferson, DemandTec, Inc.

(650) 226-4630

DemandTec Investor Contact:

Tim Shanahan, DemandTec, Inc.
(650) 226-4603

DemandTec and the DemandTec logo are registered trademarks of DemandTec, Inc. All other trademarks are the property of their respective owners.


DemandTec, FreshDirect, Marketing strategy, Merchandising, Retailing