Exchange Applications' VALEX Wins Crossroads A-List Award; Field-Proven VALEX Is the Only Pure Marketing Automation Software to Make the List.

BOSTON--(BUSINESS WIRE)--Jan. 4, 1999--Exchange Applications, Inc. (NASDAQ:EXAP), a leading provider of customer optimization software and services, announced today that it has won a coveted Crossroads 99 A-List Award(tm) for its VALEX(tm) software. Sponsored by Open Systems Advisors, Inc., the Crossroads A-List is a short list of the best new enterprise solutions proven to satisfy today's business challenges. Vendors win a place on the Crossroads A-List based on in-depth interviews with users. Exchange Applications is the only pure marketing automation or campaign management vendor to make the list.

"Customers are delighted with VALEX," wrote Open Systems Advisors President Nina Lytton in her report on Exchange Applications. "The ROI is real. The software works as advertised and plays well with other systems. (Exchange Applications') consultants know what they're doing and can help you bring out the best in your marketing people. VALEX can help eliminate the IT bottleneck in campaign planning and execution, and help you move from product marketing to segment marketing."

"Exchange Applications pioneered open architecture campaign management software, and we believe we have more paying customers than any other vendor in this space," said Andy Frawley, Exchange Applications' president and CEO. "Winning the Crossroads A-List Award validates Exchange Applications' technology leadership, and demonstrates the high satisfaction among our VALEX client base. This is a terrific way for us to begin 1999."

As a Crossroads A-List Award winner, Exchange Applications will be recognized at the Sixth Annual Crossroads Conference to be held March 14-17, 1999 at the Westin Mission Hills Resort in Rancho Mirage, Calif. Additional information on the conference can be found at http://www.crossroads-osa.com.

VALEX has consistently delivered high ROI for users around the world

Exchange Applications' VALEX software enables businesses to identify customer segments with the greatest profit potential, and then make marketing investments based on their anticipated ROI. VALEX 2.1, introduced in December 1998, is the first campaign management application to integrate data mining capabilities through integration with SAS Institute's Enterprise Miner.

VALEX is the technology basis for Exchange Applications' Continuous Customer Management (CCM) practice, which improves customer acquisition, cross-selling and up-selling, and customer satisfaction by helping companies continuously manage customer communication streams across disparate channels and customer touch points.

VALEX has consistently delivered high ROI for users around the world, including Federal Express, Fleet Financial Group and US West. VALEX users report double- and triple-digit gains in customer retention and marketing campaign profitability, and substantial reductions in campaign cycle times.

Open Systems Advisors, Inc.

Founded in 1989, Open Systems Advisors, Inc. (OSA) provides a real-world perspective on using new technology in business. OSA's research is based on an ongoing and in-depth dialogue with hundreds of seasoned IT executives and business leaders who are using emerging technologies to achieve business results. OSA reports the Crossroads Decisions(tm), awards the Crossroads A-List and produces the Crossroads Conference.

For additional information, contact the company: Open Systems Advisors, Inc., 268 Newbury Street, Boston, Mass. 02116, 617-859-0859; http://www.crossroads-osa.com.

Exchange Applications, Inc.

Exchange Applications, Inc. (NASDAQ:EXAP) helps businesses optimize the value of customer relationships across channels and product lines. Its award-winning VALEX software and consulting services help businesses identify customer segments offering high profit potential, and then maximize the value of those segments through highly targeted and coordinated direct marketing campaigns. Exchange Applications provides marketers with the technology to plan, build, execute, analyze and refine marketing campaigns that produce measurable return on investment. Through VALEX, a company automates and accelerates its marketing process to improve customer acquisition, expansion and retention. Exchange Applications is based in Boston, with offices in Denver, London and Sydney. Visit Exchange Applications on the Web at http://www.exapps.com.

VALEX is a trademark of Exchange Applications, Inc. Crossroads is a registered trademark and Crossroads A-List and Crossroads Decisions are trademarks of Open Systems Advisors, Inc. All other trademarks contained herein are the property of their respective owners.