NEW YORK, NY, Jan. 17, 2005 -- DemandTec, the leading provider of Consumer Demand Management (CDM) software for retailers and consumer products manufacturers, announced that strong results in revenue and profit while maintaining price image at Brookshire Grocery Company has led the retailer to renew its license for DemandTec Price and Promotion applications.

Brookshire's has been selling top-quality products at the best possible prices since opening its first store in Tyler, Texas, in 1928. Intent on continuing this tradition, Brookshire's earlier this year implemented DemandTec software in all 154 of its southern United States stores, including Brookshire's Stores, Super One Stores and Ole Stores. Brookshire's commitment to customer service through DemandTec Consumer Demand Management software has resulted in greater revenue, profit and shareholder value.

"We are very pleased with the results and benefits from using the DemandTec software," said Gary Butler, CIO of Brookshire Grocery Company. The software and services provided by the DemandTec team continues to help us enforce our pricing rules, improve pricing decisions and achieve the goals we've set."

"DemandTec is proud of the business results that Brookshire's has achieved with our software," said Dan Fishback, president and CEO of DemandTec. "Brookshire's is committed to providing its customers with excellent value and DemandTec is extremely pleased to contribute to this mission. Consumer Demand Management software is becoming more and more pervasive across retail segments -- those retailers that use the technology most effectively to support their business strategy have a powerful competitive advantage in the marketplace."

About DemandTec

DemandTec's Consumer Demand Management software helps retailers and consumer products manufacturers strategically plan, optimize and execute demand-driven merchandising and marketing programs based on a quantified understanding of consumer demand. Retailers have ranked DemandTec #1 in Strategic Value, Customer Satisfaction, and Quality of Service among the top 50 retail software vendors in the 2004 RIS LeaderBoard survey. DemandTec customers include B&Q, Best Buy, Brookshire Grocery Company, Duane Reade, Foodland, H-E-B Grocery Co., Longs Drugs, and RadioShack. DemandTec software is provided via the IBM OnDemand program. For more information, please visit http://www.demandtec.com .

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Web Site: http://www.demandtec.com

Cassandra Moren 
DemandTec, Inc. 
(650) 226-4690 
cassandra.moren@demandtec.com