MINNEAPOLIS, Jun 2, 2003 (BUSINESS WIRE) -- Net Perceptions(R) (Nasdaq:NETP) today announced enhancements to its core NetP(TM) 7 analytics-driven software solution.

Scheduled for release at this week's Annual Catalog Conference, a leading conference dedicated to the catalog industry, NetP 7.2 contains NetP 7's core technology and all modules from the two previous NetP 7 releases, the first of which launched in June 2002.

NetP 7.2 enhancements include:

• Advanced alternates management. NetP 7.2 includes powerful analytics for recommending product alternates (e.g., automatically providing the top alternative product recommendations for out-of-stock merchandise). The solution's Intelligence Manager(TM) engine also allows marketers and merchandisers to utilize business rules to customize the product-alternate recommendations that the analytics engine computes.
• Enhanced product-returns information. When generating targeted product recommendations for customers, NetP 7.2 incorporates product-return data from previous customer transactions. Additionally, reporting has been enhanced providing marketers and merchandisers with more information about their customers' product returns.

"Especially in a tough economic environment, companies need to ensure that they are making the most out of every customer interaction, across every channel," said Don Peterson, Net Perceptions' president and chief executive officer. "NetP 7.2 significantly improves marketers' abilities to maximize on alternate-product suggestions for out-of-stock items and manage product returns. These enhancements, along with several other advances in NetP 7.2, make our NetP 7 offering an even more powerful solution for our existing and potential customers. "

Core technologies within NetP 7 continue to include:

• Intelligence Manager, the data analytics engine that aggregates and analyzes information about customers, products and transactions to generate actionable intelligence. Additionally, Intelligence Manager enables marketers and merchandisers to apply business rules and filters that work in conjunction with the intelligence generated by the analytics.
• Channel Injectors(TM), which automatically deliver the output of Intelligence Manager, such as targeted product recommendations, customer lists and other forms of sales intelligence, directly into the sales process. Channel Injectors are available for telesales, e-commerce, field sales and catalog/direct marketing.

Other advances with the NetP 7.2 release include:

• Improvements to the Sales Playbook(TM) that provide more accurate product recommendations for field sales and allow a deeper hierarchy of sales management to track the progress of their sales representatives.
• Increased frequency of data updates that allow uninterrupted service to call centers and/or e-commerce applications.
• Enhanced platform support that allows NetP 7 to run on the Java 1.3.1 and Java 1.4.1 operating environments, as well as IBM AIX 5.1 and Linux 2.4.

About Net Perceptions

Net Perceptions (Nasdaq:NETP), headquarted in Minneapolis, Minn., is an industry- leading provider of predictive analytic solutions for the multi-channel retail, manufacturing and distribution industries. Founded in 1996, Net Perceptions is headquartered in Minneapolis, Minnesota. Customers include market leaders such as 3M, Brylane, Great Universal Stores, J.C. Penney, J&L Industrial Supply and Half.com. For more information visit http://www.netperceptions.com or call 800-466-0711.

Net Perceptions, the Net Perceptions logo, NETP, Intelligence Manager, Sales Playbook and Channel Injectors are trademarks or registered trademarks of Net Perceptions, Inc All other trademarks are the property of their respective owners. This press release contains "forward-looking statements" within the meaning of the federal securities laws, including statements concerning business strategies and their intended results, and similar statements concerning anticipated future events and expectations that are not historical facts. The forward-looking statements in this press release reflect management's best judgment at the time they are made, but all such statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those expressed in or implied by the statements herein. Additional information concerning potential factors that could affect future financial results are detailed from time to time in the company's filings with the U.S. Securities and Exchange Commission.

SOURCE: Net Perceptions, Inc.

Haberman & Associates, Minneapolis Eric Davis, 612/338-3900 eric@habermaninc.com
or
Net Perceptions, Inc., Minneapolis Terri Reden, 952/842-5000 treden@netperceptions.com