- Demandware (www.demandware.com) announced today that Sanrio, Inc. will launch a new online shopping site with enhanced merchandising features using Demandware's e-commerce platform. The site is part of a strategic company-wide effort to enrich the brand experience of international icon Hello Kitty and a cast of other popular Sanrio characters. It is scheduled to launch this coming 2006 holiday season and will target customers in North America.

Sanrio, Inc. is the North American subsidiary of the $1B worldwide group of Sanrio companies that develop, distribute and license over 50,000 gift, stationery, accessory and fashion items for girls and women of all ages. Its products are sold in more than 120 Sanrio boutiques and Momoberry stores as well as leading specialty, department and national chain stores, including Target, Macy's, Neiman Marcus and others.

Sanrio will use Demandware's on-demand e-commerce technology to create an online venue for its merchandise and to introduce new items and specialty products such as Fender Hello Kitty guitars.

"In order to accommodate the growing demand of Hello Kitty and other Sanrio characters, we wanted to ensure that our customers had better accessibility to our products through a more robust on-line program," said Mas Imai, President and COO of Sanrio, Inc. "Our goal is to continue the delivery of the 'Sanrio experience' for our customers to enjoy anytime and anywhere they shop."

Demandware's unique e-commerce solution was designed with merchants in mind. Delivered as a true on-demand service, Demandware technology provides e-commerce retailers like Sanrio an array of core merchandising tools such as guided search, promotions management and simplified A/B testing that help drive customer transactions and higher order values. In addition, Demandware's on-demand service allows customers to receive software upgrades automatically without additional cost, eliminating the need to worry about being stranded on an outdated software version.

"More and more retailers are realizing the power of true on-demand e-commerce as a means to cost-effectively build and maintain a strong brand," said Stephan Schambach, president and CEO of Demandware. "Hello Kitty has enjoyed tremendous worldwide success, and we look forward to assisting Sanrio expand its online presence and continue this momentum."

SANRIO develops, distributes and licenses a collection of gift, stationery and fashion accessory items for women of all ages. SANRIO was founded in 1960 based on the concept that a small gift can bring a big smile to a child of any age. Today, over 50,000 Sanrio-branded items are sold in over 60 countries around the world. In the Western Hemisphere SANRIO character-branded products are sold in upwards of 12,000 locations including department, specialty, national chain stores and over 200 SANRIO boutiques. For more information, please visit www.sanrio.com.

About Demandware, Inc.
Demandware provides an enterprise-class ecommerce platform, delivered as a service, which offers online retailers the merchandising control, flexibility, functionality and interoperability of a full ecommerce application suite with a pricing model aligned with results. With Demandware, merchants can deliver custom ecommerce solutions without buying software or operating expensive datacenters. Demandware was founded by a team with proven expertise from leading ecommerce software and infrastructure companies including ATG, Macromedia, Intershop and NaviSite. The company has strong backing from North Bridge Venture Partners and General Catalyst Partners. For more information about Demandware, visit www.demandware.com.