Web analytics and precision marketing solutions provider secures new round of funding after record growth in 2005

Coremetrics today announced it obtained $31 million in series D financing. Investors include FTVentures and previous Coremetrics investors Accel Partners and Highland Capital Partners. Coremetrics will leverage the additional capital to accelerate the build-out of its precision marketing suite and expand its offerings into new areas of digital marketing. The funding will also be used to roll out Coremetrics’ expansion strategy both in the UK and internationally.

Additionally, Eric S. Byunn of FTVentures will join Coremetrics’ board of directors. Byunn has been a principal at FTVentures since 2002 and also serves on the boards of Cloudmark, Global Market Insite (GMI), and ProfitLine. Prior to joining FTVentures, Eric held management roles at myCFO, America Online, Netscape, Microsoft, and McKinsey & Company.

“FTVentures invests in growth companies that create software or provide business services solutions benefiting the financial services industry,” said Eric Byunn. “We have kept a close eye on the web analytics and digital marketing industry and see tremendous opportunity with Coremetrics’ approach to the market and understanding of the online needs of financial institutions. We believe that the Coremetrics offering will be extremely attractive to our Global Partner Network which includes 38 of the world’s leading financial institutions.”

“This new funding will enable us to build upon our industry-leading web analytics and client services offerings and expand our expertise into new areas of precision marketing,” said Joe Davis, President and CEO of Coremetrics. “The digital marketing sector will continue to experience rapid growth in 2006 and with this additional funding, we are well-positioned to benefit greatly from this significant industry growth.”

Coremetrics achieved record growth in 2005. The company added more than 100 new clients across the retail, financial services, and travel industries. Coremetrics nearly doubled its client base with companies such as Alliance & Leicester, Buy Domains, CDW, Circuit City, Comet Group plc, Cool Savings, Fila Online, Inc., Fuji Film, James Villa Holiday, Lamps Plus, Last Minute Travel, Northern Tool UK, Office Max, and Tracfone Wireless, Inc. Coremetrics continues to maintain outstanding client retention rates, exceeding 95 per cent in 2005.

Additional 2005 Coremetrics highlights include:
• Coremetrics extended precision marketing application suite with the launch of Coremetrics Search Marketing Services and Coremetrics Search. Coremetrics Search Services is a full-service strategic management program for the creation, placement and optimisation of pay per click marketing campaigns. The industry's first closed-loop solution, Coremetrics Search helps marketers create, manage and optimise pay per click marketing campaigns across multiple search engines
• Coremetrics also launched its LIVEmark Index, the industry's most comprehensive benchmark for eBusiness performance, providing critical comparison data for site-wide key performance indicators across more than 175 leading retail brands. LIVEmark participants gain a clear understanding of business performance relative to peers and competitors so they can effectively allocate marketing spend, anticipate industry threats and trends, and make strategic decisions about site, marketing and merchandising efforts
• Expansion of its global partner network: Coremetrics added 14 new strategic partners, including Doubleclick, e-Dialog, EmailLabs, ExactTarget, Instant Service, Linkshare, and Yahoo! Search. In addition, Coremetrics has extended partnerships with European counterparts including Commission Junction, Responsys and Scene7, as well as signed new partners such as Aboavista, Intelligent Commerce Enterprises, Logan Tod and XXI Servicios Estrategicos
• For the third year in a row, Coremetrics was named a market leader in the Forrester Wave™ Report that ranked web analytics vendors based on their ability to serve both B2C and customer service web sites
• Coremetrics was identified as a leader among the top 14 web analytics vendors based on the company's solid technology, emerging suite strategy and superb customer service
• Coremetrics announced the appointment of key executives including Hamid Bahadori as Vice President of Engineering, Heather Brunner as Vice President of Client Services and Steve Cox as Vice President of Operations

About Coremetrics
Coremetrics is the leading provider of on-demand web analytics and precision marketing solutions, offering the industry’s only web analytics platform that captures and stores all customer and visitor clickstream activity to build LIVE (Lifetime Individual Visitor Experience) Profiles. Representing the single most accurate and comprehensive source of online customer data, LIVE Profiles serve as the foundation for all successful eBusiness initiatives. Leading online brands rely on Coremetrics LIVE Profiles to monitor and optimise the performance of multiple marketing campaigns, improve cross-sell and multichannel initiatives, and precisely target customers through intelligent marketing campaigns. Coremetrics services more than 600 brands and has delivered over $300 million in documented ROI in the past two years. The company is privately held with funding from Accel Partners and Highland Capital Partners and is headquartered in San Mateo, California with offices in Austin, Texas and London, England.

For more information visit www.coremetrics.com or contact

Joanna Boundy or Ryan Haynes at OCTANE

on 020 7802 2662 or joannab@octanepr.com / ryanh@octanepr.com

Coremetrics has strongly supported online privacy since its inception. To learn more, visit www.coremetrics.com/privacy.

About FTVentures

FTVentures provides capital to growth companies to finance organic expansion, recapitalisations, build-ups and buyouts. The firm invests in software and business services companies that derive value from its unmatched Global Partner Network, which includes 38 of the world’s leading financial institutions. FTVentures’ Global Partner Network provides the firm with a unique vantage point into the business driven IT and operating challenges of the global enterprise. Founded in 1998, FTVentures currently has $623 million under management with offices in San Francisco and New York. For more information, please visit www.ftventures.com.

Published on: 12:00AM on 10th March 2006