To: kendall harmon who wrote (61975 ) 9/20/1999 8:30:00 AM From: Doug Robinson Respond to of 120523
NETP-RESULTS IN -- REAL-TIME PERSONALIZATION WORKS GUS HOME SHOPPING LTD., ONE OF THE WORLD'S LARGEST CATALOGUE RETAILERS, ANNOUNCES POSITIVE Results of Personalizing Interactions With its Gold Choice Customers PR NEWSWIRE - September 20, 1999 08:02 MINNEAPOLIS, and MANCHESTER, England, Sep 20, 1999 /PRNewswire via COMTEX/ -- GUS Home Shopping, Britain's largest catalogue retailer announced significant improvements in "upsell" results attributed to the deployment of real-time personalization solutions from Net Perceptions(R) Inc. (Nasdaq: NETP). GUS Home Shopping, whose business lines include the Great Universal, Choice and Kays catalogues, showed in a pilot study that Net Perceptions' cutting edge real-time personalization technology increased the upsell acceptance rate -- additional items recommended to a customer who has already phoned in to purchase a specific merchandise item -- by 50%, and boosted the average value of each upsell item by 60%. Moreover, the study showed that orders that included a personalized recommendation were 23% larger than those without such recommendations. "The results are a clear hat-trick," said David Main, Commercial Director of GUS' Home Shopping Division. "We increased our upsell acceptance rate, boosted the average value of each upsell item and showed that personalization technology, when properly applied, is significantly more efficient and effective than a more manually intensive approach. In addition, we also found that our sales advisors were enthusiastic about discussing personalized recommendations with their customers." Added Steven Snyder, President and Chief Executive Officer of Net Perceptions, "GUS Home Shopping set a very high standard to begin with, and these results far surpassed both our expectations. It is particularly gratifying to see a large traditional direct marketing organization such as GUS Home Shopping adopt the type of real-time personalization technology already widely used by cutting-edge Internet players. GUS, which employed excellent techniques to tailor recommendations to customers, was able to demonstrate superb results using this technology." The results of the study were also praised by software industry analysts. "Many vendors in the personalization space have been making unsubstantiated claims regarding the merits of their personalization technologies," said Donovan Gow, Senior Analyst, Aberdeen Group. "But these results clearly demonstrate that Net Perceptions can back its claims with tangible and significant upsell improvements."