Newgen Teams With Saab to Boost Service Revenues and Brand Loyalty
22 February 2000
Newgen Results Corporation Teams With Saab to Boost Service Revenues and Brand Loyalty; Saab to Recommend Use of Newgen CRM System in More Than 200 Dealerships Nationwide
SAN DIEGO, Calif.--Feb. 22, 2000--Newgen Results Corp. , a leading provider of Customer Relationship Management (CRM) technology for the service sector of the U.S. retail automotive industry, today announced that Saab Cars USA, Inc., wholly owned subsidiary of Saab Automobile AB, will exclusively endorse the use of Newgen's CRM services in more than 200 dealerships nationwide to maximize repeat dealership sales and service revenues and help build Saab brand and owner loyalty with consumers."We feel it is essential that we work closely with our dealers to help them develop stronger, long-term relationships with our customers," said Abe Buchbinder, director of Parts and Service for Saab Cars USA, Inc. "Newgen provides one of the most comprehensive CRM services for connecting with consumers and building brand loyalty."
A veteran in providing CRM services for the automotive industry, more than 5,500 dealerships and 11 of the top automotive manufacturers use Newgen's online and offline CRM techniques to generate loyal customer relationships, increase brand loyalty and encourage repeat visits to a local dealership for service and maintenance.
Newgen uses a specialized database purification technique and unique system of service reminders that includes direct mail, email and telephone contact. Newgen-solicited customers visit a local dealership three times as often over the course of a year as unsolicited customers, and dealers yield $8 of gross profit for every $1 spent on Newgen CRM services.
"This endorsement demonstrates Saab's confidence in the benefits of the RESULTS system," said Jerry Benowitz, Newgen chairman, president and CEO. "Working hand-in-hand with Saab, Newgen will further support the efforts of Saab dealerships to enhance the total ownership experience for customers."
About Newgen Results Corp.
Newgen Results Corp. is a customer-relationship management (CRM) and technology leader for the service segment of the automotive industry. The company provides profit-driven customer-retention and management solutions to leading auto manufacturers and regularly communicates with more than 7 million vehicle owners.
Newgen has more than 600 employees and a customer base of approximately 5,500 dealerships and relationships with 11 of the industry's top automobile manufacturers. Of the approximately 22,000 dealerships in the United States, more than 25 percent use Newgen customer-loyalty and retention products.
The automotive manufacturers and dealer groups who endorse and/or recommend Newgen as a preferred CRM service provider to their leading dealerships include: Ford, Mitsubishi, Saab, Volvo, Audi, Acura, BMW, Volkswagen, Jaguar, Kia, Infiniti plus AutoNation and CarMax Auto Superstores. For more information on Newgen Results Corp., please visit http://www.ngresults.com/.
About Saab Cars USA
Saab Cars USA, Inc. is the importer of Saab 9-5 and 9-3 automobiles and is headquartered in Norcross, Ga., near Atlanta. In 1999, Saab enjoyed its sixth consecutive year of sales growth in the U.S. with a 28.6 percent increase over 1998.
This news release contains certain forward-looking statements that involve risks and uncertainties, including statements about, new relationships with automobile manufacturers, the benefits of new relationships with automobile manufacturers, the benefits of new and existing products, and the timing for commercial launch of new products being offered by Newgen. 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 risks related to market acceptance of the Results program by Saab dealers, the ability of the Company to satisfy Saab, the risk of increased customer concentration as a result of manufacturer contracts, rapidly changing product requirements, and the introduction of new products by competitors of the company. These factors and others are more fully discussed under the heading "Risk Factors" and elsewhere in Newgen 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.