Siebel Systems, Inc.

Siebel Systems, Inc.

March 02, 2005 11:00 ET

Luxe Worldwide Hotels Chooses Siebel CRM OnDemand to Enhance Service Quality to Customers and Member Hotels


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: SIEBEL SYSTEMS, INC.

NASDAQ SYMBOL: SEBL

MARCH 2, 2005 - 11:00 ET

Luxe Worldwide Hotels Chooses Siebel CRM OnDemand to
Enhance Service Quality to Customers and Member Hotels

SAN MATEO, Calif.--(CCNMatthews - Mar 2, 2005) -

Upscale Hotel Representation Company Supports International Sales with
Robust CRM, World-Class IBM-Hosted Services, and Unmatched Analytics
Capabilities

Siebel Systems, Inc. (Nasdaq:SEBL), a leading provider of business
applications software, today announced that Luxe Worldwide Hotels, a
premier independent hotel representation company, has selected Siebel
CRM OnDemand to enhance the ability of its 25-member sales force to
manage relationships with member hotels, expand the number of hotels in
its portfolio, and enhance sales of hotel services to travel agencies
and corporations.

"As a rapidly growing firm with international operations, we need a
solution that can be deployed worldwide quickly and easily, without a
huge investment in hardware, software, and IT support," said Eve
LeGrand, Vice President of Operations. "Siebel CRM OnDemand gives us
leading-edge sales, marketing, analytics, and reporting capabilities
that enable us to provide better service to our member hotels and ensure
the highest-quality representation for each of them. Siebel Systems is
unique in its ability to support the local language requirements of our
salespeople -- and ultimately, our members -- around the world."

Headquartered in Los Angeles, California, Luxe Worldwide provides global
sales, reservations, marketing, and e-business services to independent
hotels in interesting and vibrant locales. The company's sales efforts
involve two distinct groups: member hotels and the travel agencies,
corporations, and other consumers who are potential customers of these
hotels. Senior management selected Siebel CRM OnDemand after a six-month
evaluation of available hosted solutions. Primary factors in the
decision included ease of use, extensive analytics and reporting, IBM
hosting services, international support, and flexibility in customizing
the software for specific needs.

The Siebel hosted solution replaces manual sales and marketing processes
such as spreadsheets and contact management software. With Siebel CRM
OnDemand, Luxe now has a central repository for maintaining customer and
hotel information and managing contacts and opportunities. As a result,
sales representatives who call on travel agencies and corporations will
have greater access to information on member hotels. Additionally, they
will be able to leverage automated tools that enhance sales
effectiveness, and help drive sales revenues, for both Luxe Worldwide
and its individual portfolio hotels. The IBM-hosted Siebel solution will
also benefit business development managers who work with prospective
members to better manage those opportunities and increase the number of
member hotels in the Luxe Worldwide portfolio.

"Siebel Systems supports our major goal for 2005, which is to increase
our success in sales and marketing," said Efrem Harkham, President and
CEO. "Siebel CRM OnDemand will be an important tool for bringing new
hotels into our brand and for promoting the offerings of member hotels
in a highly effective way that drives revenues and business success for
all of us."

About IBM Hosting Services

IBM hosting services, a key part of IBM's on demand offerings portfolio,
helps customers leverage Siebel Systems' on demand CRM solutions on a
flexible and cost-efficient basis. Other IBM on demand services include
security capabilities, computing capacity on demand, software as a
service and desktop management. Most services are sold on a usage basis,
reducing the upfront capital investment and freeing up financial
resources for strategic growth initiatives. IBM has been providing
hosting services since 1995. For more information, visit:
http://www.ibm.com/services/e-business/hosting/.

About Siebel CRM OnDemand

Siebel CRM OnDemand is a hosted CRM offering delivered over the Web and
accessible from an Internet browser at a fixed price per user per month.
Customers can deploy Siebel CRM OnDemand quickly, easily, and affordably
without any up-front IT investments. Hosted by IBM, Siebel CRM OnDemand
delivers complete sales, marketing, and service functionality; built-in
customer analytics; virtual call center technology; embedded best
practices; and world-class hosting services and support. Siebel CRM
OnDemand is now available for purchase. For more information, visit
www.crmondemand.com.

About Siebel Systems

Siebel Systems, Inc. is a leading provider of business applications
software, enabling corporations to sell to, market to, and serve
customers across multiple channels and lines of business. With more than
4,000 customer deployments worldwide, Siebel Systems provides
organizations with a proven set of industry-specific best practices, CRM
applications, market-leading analytics products, and business processes,
empowering them to consistently deliver superior customer experiences
and establish more profitable customer relationships. Siebel Systems'
sales and service facilities are located in more than 30 countries.

Except for the historical information contained herein, this press
release contains forward-looking statements that involve risk or
uncertainties. Future operating results of Siebel Systems may differ
from the results discussed or forecasted in the forward-looking
statements due to factors that include, but are not limited to, risks
associated with customer relations, such as the availability of Siebel
Systems' products and services, customer implementation of products and
services, relationships with customers, third-party vendors and systems
integrators, concentration of revenues in a relatively small number of
customers, existence of errors or defects in products, ability to
successfully manage growth, significant current and expected additional
competition and the need to continue to expand product distribution and
services offerings. Further information on potential factors that could
affect the financial results of Siebel Systems are included in Siebel
Systems' Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and
its other filings with the Securities and Exchange Commission, which are
available at www.sec.gov. Siebel Systems assumes no obligation to update
the information in this press release.

Siebel is a trademark of Siebel Systems, Inc. and may be registered in
certain jurisdictions. All other product and firm names mentioned are
the property of their respective owners and are mentioned for
identification purposes only.

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