RETAILERS INCREASE SALES BY UP TO 50 PERCENT WITH EMAIL MARKETING, CONSTANT CONTACT SURVEY REVEALS

Repeat sales opportunities, low cost, and stronger relationships with customers drive trend for projected increase in email marketing usage

Waltham, MA. - June 21, 2005

Constant Contact (www.constantcontact.com), the leading permission Do-It-Yourself Email Marketing® service for small and medium businesses and associations, today announced the results of a survey of retailers indicating that eighty percent of respondents had seen sales increases attributed to email marketing. Of that number, twenty percent reported that email marketing improved sales by up to fifty percent, while sixty percent of retailers surveyed reported sales increases of up to twenty-five percent.

The study also revealed that sixty-eight percent of retailers surveyed plan to increase email marketing usage in the next twelve months. Additionally, respondents listed email marketing as the most effective marketing method. They identified the main benefits of email marketing, in order of importance, as (1) lower cost than other methods, (2) enabling more frequent communication with customers, and (3) generating repeat sales.

Other benefits noted by respondents included a higher order value per customer, the ability to generate more web site visitors, and the ability to implement marketing campaigns more quickly than with other marketing vehicles. Roughly sixty percent of respondents personalize email and use it as a tool to communicate with customers at least once a month.

Constant Contact's cost-effective service enables SMB retail businesses to inform customers about new services, products, sales, and online auctions with easy-to-use, customizable email newsletters and promotional emails.

"Retailers know that building a relationship with customers is the key to achieving repeat sales," said Janet Muto, vice president of market development, Constant Contact, who oversaw the research efforts for this study. "We've built a very effective, inexpensive tool that any small business can take advantage of to increase customer loyalty and generate more revenue. Email has become the marketing tool of choice for keeping in touch with customers."

Conducted by Constant Contact, the survey was sent to more than 2,000 retailers and merchants currently using Constant Contact's email marketing service. The survey data was collected from the more than 250 retailers that replied. For more information about the survey, please contact Tom Francoeur at 781-388-7900 ext. 205.

About Constant Contact
With over 35,000 customers and a recent winner of SmallBusinessComputing.com's "Excellence in Technology Award," Constant Contact® is the leading permission Do-It-Yourself Email Marketing® service for small and medium businesses (SMBs) and associations. Constant Contact is a Web-based email marketing solution that enables small organizations to easily create and send professional HTML email newsletters, promotions, announcements and more with no technical expertise required. Designed and priced for SMBs, Constant Contact is affordable, easy-to-use and includes a free 60-day trial at: www.constantcontact.com. The service is marketed through over 800 Resellers and more than 100 marquee channel partners including American Express OPEN, Corel, Website Pros, Register.com, FTD, AOL, Interland, IBM, Intuit, Network Solutions and Overture. Constant Contact is a founding member of the Email Service Provider Coalition (ESPC), a group formed to fight spam while protecting the delivery of legitimate email. Constant Contact is funded by Morgan Stanley Venture Partners, Commonwealth Capital Ventures, Longworth Venture Partners and Hudson Ventures. For more information, please call 781-472-8100.

Please direct all press inquiries to:

Rosalind Morville Constant Contact 339-222-5772 rmorville@constantcontact.com