Newgen and ADP Collaborate to Provide Auto Retailers e-CRM Services; New E-business Strategy Will Help Dealerships Increase Profits
12 November 1999
Newgen and ADP Collaborate to Provide Auto Retailers e-CRM Services; New E-business Strategy Will Help Dealerships Increase Profits
SAN DIEGO--Nov. 10, 1999--Newgen Results Corporation , a customer relationship management (CRM) and technology leader for the automotive industry, today announced that it has signed a letter of intent to collaborate with the Dealer Services Group of Automatic Data Processing Inc. (ADP)(R) to deliver a variety of e-CRM services to the automotive industry.In October 1999, Newgen announced an agreement to acquire ADP's Computer Care owner loyalty business. The new e-business collaboration is subject to negotiation and execution of a definitive agreement.
"We are very pleased to be working with ADP in the e-services arena," stated Jerry Benowitz, president and chief executive officer of Newgen Results. "We continue to move aggressively in combining our off-line and on-line services to solidify our position in the automotive e-services market. We expect that ADP's leadership position in the industry will allow both companies to provide innovative, value-added services to the automotive community."
"We believe this important alliance will be part of ADP's overall strategy to deliver retailers and manufacturers with integrated e-business solutions that help our clients attract and retain consumers, build profits, and capture market share," said Mike Martone, president of ADP Dealer Services.
The customer retention programs from ADP and Newgen, including those branded by automotive manufacturers, have generated a substantial return on investment, making their systems among the most profitable for retailers.
About Newgen Results Corp.
Newgen is a database management and technology leader for the service arena of the automotive industry. The company provides profit-driven, customer retention and management solutions to leading auto manufacturers and more than 2,500 dealerships nationwide, currently soliciting over five million vehicle owners.
Newgen's expertise in database marketing and customer retention services combined with customer service and in-depth knowledge of service department operations provides a platform to deliver highly targeted and customized solutions to the automotive community.
By attracting more vehicle owners, more often, to automotive dealerships, Newgen's products and services promote customer loyalty and increase customer satisfaction while driving increased revenue for the dealer. For more information, call 800/7NEWGEN or visit Newgen's Web site at www.ngresults.com.
About ADP Dealer Services Group
ADP Dealer Services Group is the leading provider of integrated computing solutions to more than 18,000 auto and truck manufacturers and dealers throughout the United States, Canada, Europe, Asia and Latin America. The Dealer Services Group is the third largest business unit of Automatic Data Processing Inc. ADP, with more than $5 billion in annual revenue and more than 450,000 clients, is one of the largest independent computing services firms in the world.
This news release contains certain forward-looking statements that involve risks and uncertainties, including statements about a potential collaboration between Newgen and ADP and the benefits of this planned collaboration. Such statements are only predictions and the company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may cause such differences include, but are not limited to, the ability of Newgen and ADP to negotiate and execute a definitive agreement, risks related to market acceptance of Newgen's new products, rapidly changing product requirements, and the introduction of new products by competitors of Newgen and ADP. There can be no assurance that Newgen and ADP will enter into a definitive agreement or that the terms of any such definitive agreement will be consistent with the terms of the letter of intent. These factors and others are more fully discussed under the heading "Risk Factors" and elsewhere in Newgen's Registration Statement on Form S-1 (No. 333-62703) and in the company's most recently filed quarterly report on Form 10-Q, each as filed with the Securities and Exchange Commission.