November 19, 1999
NEXTAG ANNOUNCES SECOND ROUND FINANCING
Morgenthaler Ventures backs NexTag.com as the popular online negotiation service moves into consumer electronics, books, music and movies
SAN MATEO, Calif. - November 19, 1999 NexTag.com, Inc., the popular online buying service where sellers compete to give great deals to buyers, announced today that it has closed its second round of financing in the amount of $7 million from technology investment firm, Morgenthaler Ventures. These funds will be used to support continued marketing efforts as NexTag.com builds on its success in enabling online negotiations for computer hardware and software by introducing four new categories, consumer electronics, books, music and movies.
In a related announcement, NexTag.com also announced today the completion of its marketing and sales management team including former Coca-Cola executive, Jim Taschetta, now vice president of marketing and former Multiple Zones International executive, Mark Bradley appointed vice president of sales.
Online negotiation for goods and services is quickly growing as an accepted method of buying products ranging from groceries to books and computers to cars. Using its patent-pending negotiation model, NexTag.com acts as an intermediary, minimizing the time consuming task of finding, sorting and tracking products and multiple sellers when trying to find the best deal on the Web. NexTag.com is driving a new business model that will enable all products and services to become negotiable.
"NexTag.com's instant negotiation allows quick and hassle free deal making to ensure great prices for even the smallest of purchases," commented Gary Little, general partner of Morgenthaler Ventures. "NexTag.com is well positioned to become the shopping destination of choice for consumers who want great deals but don't have the time to shop at multiple sites and cross compare to get the best deal."
"Morgenthaler Ventures and Gary Little continue to provide the level of support in terms of capital and strategic direction we were looking for," commented Purnendu Ojha, CEO of NexTag.com. "We're pleased to continue this partnership to make NexTag.com the premier destination for obtaining a great deal on the web."
NexTag.com gives buyers unprecedented selection, convenience and price to quickly obtain a great deal from name-brand sellers. To sellers, NexTag.com reduces transaction costs by enabling them to dynamically accept, decline or respond to buyer offers with bundles, complementary products or different prices. The core foundation of this model is a unique negotiation engine for which NexTag.com has filed several patents. Launched in August 1999, NexTag.com now features over 1.8 million products from over 35 name-brand sellers covering computer hardware and software products, books, music and movies.
Based in San Mateo, California, NexTag.com, Inc. is a privately held company with a mission to quickly and conveniently enable great deals between buyers and sellers. NexTag.com's patent-pending technology enables name brand sellers to compete for buyers. NexTag.com will initially focus on computer products, but will move quickly into new product markets by January 2000. Founded in June 1998, NexTag.com is funded by Morgenthaler Ventures. To use the NexTag.com buying service and find additional information about the company, visit www.NexTag.com.