Dealer Product Services Becomes Distributor for DealerAdvance-TM-; DPS Signs First Dealership with Graff Chevrolet in Dallas, TX

BASKING RIDGE, N.J.--Jan. 2, 20054, 2005--Stronghold Technologies, Inc. (OTC Bulletin Board: SGHT), the developer of DealerAdvance(TM), an enterprise software system using wireless and Internet technologies for the automotive retail industry, today announced that it had entered into a distribution agreement with Dealer Product Services, Inc., a Chicago based company specializing in leveraging the lifetime value of customers for auto dealerships. DealerAdvance(TM) becomes an integral part of DPS's overall marketing strategy of optimizing all sources of prospects and customers to improve revenue in sales and service.

According to Tim O'Neill, President and CEO of Dealer Product Services, "DealerAdvance(TM) becomes the front end system for our Customer Lifecycle Management offering, enabling us to offer an approach that now includes the sales and service departments in an auto dealership. We researched all of the leading front end CRM systems out there, and found that Stronghold's commitment to providing results to the dealer and their innovative wireless and Internet based approach makes them our best choice. We are introducing this new approach to over 500 of our active customers."

The first dealership signed under this agreement is Graff Chevrolet, located in Dallas, Texas. The dealership has already started to realize a return though improvements in prospect capture rates and sales compliance to follow-up tasks. "It's amazing how DealerAdvance(TM) has helped improve our capture of prospect traffic," said Jarrell Wood, the General Sales Manager of Graff. "We are also impressed with how quickly our sales force has adopted the technology, and how many follow-up calls we are now tracking. We expect that this system is going to help us drive future revenue growth. This is directly tied to the service reminder, customer satisfaction and marketing programs from DPS."

"This is our second distribution relationship, and we are excited about teaming with Tim and his group," commented Chris Carey, the CEO of Stronghold. "With DPS's large installed base, and our ability to work together to improve profitability for an auto dealer, we expect that we will add many more customers under this agreement."

Stronghold Technologies, Inc. (www.strongholdtech.com) is an innovator in applying wireless technology and process improvement methods to increase business efficiency and sales. The Company has developed an integrated wireless technology called DealerAdvance(TM) which, among many features, allows automobile dealers to capture a customer's purchasing requirements, search inventory, locate an appropriate vehicle in stock and print out the necessary forms. Through an integrated CRM (Customer Relationship Management) application, the system sends detailed tasks for prospect and customer follow-up and produces management reports to measure compliance. DealerAdvance(TM) allows sales professionals to increase sales, improve customer follow-up, and reduce administrative costs.

Dealer Product Services, Inc. (www.dpscrm.com) provides specific, targeted and measurable marketing campaign management services and messaging for all three automotive consumer marketing segments, including: current customers, previous customers, and prospective sales and service customers throughout a customer's lifecycle. Their cost justified solutions combine technology, process and database marketing expertise to ensure substantial and measurable financial benefits for clients.

The statements contained in this press release that are not historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 ("the Securities Act"), as amended and the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as "believes," "expects," "may," "will," "should," or "anticipates" or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. In particular, the our statements regarding the anticipated growth in the markets for the our technologies, the continued development of our products, the approval of the our Patent Applications, the successful implementation of the our sales and marketing strategies, the anticipated longer term growth of our business, and the timing of the projects and trends in future operating performance are examples of such forward-looking statements. The forward-looking statements include risks and uncertainties, including, but not limited to, the timing of revenues due to the uncertainty of market acceptance and the timing and completion of pilot project analysis, and other factors, including general economic conditions, not within our control. The factors discussed herein and expressed from time to time in our filings with the Securities and Exchange Commission could cause actual results to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this filing and we undertake no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.