Zag Sales Surge 20% in June

SANTA MONICA, CA, Jul 07 (MARKET WIRE) --
Zag.com Inc., the leader in up-front pricing, transparency and
group-buying power in auto retailing, today announced that it has posted
20% sales growth in June and 15% growth on average for the previous three
months -- offering the automotive industry good news in the midst of auto
company bankruptcies and dealer closings. Zag operates an online
car-buying platform for over 30 affinity brands such as USAA, AAA,
American Express, Capital One, and Overstock.com -- connecting
"in-market" buyers with a nationwide network of more than 2,000 certified
dealers.

Much of Zag's success is credited to its unique sales model which departs
from industry norms: Zag's group-buying power leads to lower prices for
consumers, and its innovative technology gives buyers guaranteed up-front
prices from a network of dealers while those shoppers are still online.
Zag provides its new and used auto-buying platform on a private-label
basis to affinity brands that people already trust and rely on to provide
additional value, service and savings.

"Even in tough economic times, consumers need to buy cars. And, our
mission is to save these shoppers more money and give them a better
car-buying experience through this new retail channel," said Scott
Painter, Zag CEO. "On average, members are saving almost $5100 off of
MSRP including incentives, without even stepping into the dealership.
Up-front pricing, group-buying power, and transparency are the key
drivers that help to sell more cars. The dealers participating in our
programs understand this and are thriving with us as a result."

Zag's platform offers affinity partners a private-label, turnkey
auto-buying program that leverages the group-purchasing power of millions
of affinity group members to lock in significant savings for car buyers.
Members of affinity groups have the power to research and configure a new
car, obtain a special up-front member price, and find a certified dealer
to purchase their new or used vehicle. And, members can apply for
financing, insurance and extended warranty protection -- all from their
affinity partners' auto homepage. To date, Zag's car-buying programs have
saved buyers nearly $219,000,000 on new car purchases.

About Zag

Zag (www.zag.com) has created a better way to buy a car. Zag operates a
robust auto-shopping, research and pricing technology platform that saves
buyers money by concentrating group-buying power, while providing a
superior car-buying experience by presenting great up-front pricing and a
no-hassle delivery process with a select group of dealers. Zag provides
its platform on a private label basis to affinity buying groups, such as
USAA, AAA, American Express, Overstock.com, Liberty Mutual, Administaff
and Capital One Auto Finance. Zag is based in Santa Monica, Calif.

Press Contact:
Sean Stevens
Atomic PR for Zag
(415) 402-0230
Email Contact

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