Lyris, Inc., the online marketing expert, today announced that more than 500 new customers have chosen the Lyris HQ integrated online marketing platform since its launch one year ago. The evolution and success of Lyris HQ illustrates the market demand for a software as a service (SaaS) solution that reduces the cost and complexity of online marketing by bringing mainstream tools together, and enabling customers to create, manage and measure online and mobile marketing campaigns.

“The significant number of new customers that chose Lyris HQ in 2008 exemplifies the time is right for an integrated online marketing platform,” said Luis Rivera, chief executive officer, Lyris, Inc. “Without question, the economy is putting a squeeze on marketers to do more with less and do it better. With Lyris HQ, customers are in a position to focus on meeting the needs of their prospects, customers and businesses in 2009. Lyris is committed to continuing to enhance and maintain a trusted, online marketing solution for marketing teams of any size.”

Industry Leaders Trust Lyris HQ

In the month of November 2008, one year after its launch, Lyris HQ was used to send more than 110 million emails, track more than 380 million page views, and manage more than 3.6 million keywords. Historically, these performance indicators have grown at a rate of between 10 and 20 percent each month.

From creation to delivery to measurement, Lyris HQ provides customers with 360-degree control of online and mobile marketing campaigns, including email, pay-per-click management (PPC), Web content management, search engine marketing (SEM), SMS texting and Web analytics. New customers across many industries include Body Glove, Char-Broil, IndustryWizards.com, The International School, Minnesota Timberwolves, Sony’s Crackle.com, WeddingSolutions.com, Winsper and Xenos.

Lyris also experienced solid growth for its recently launched marketing and advertising agency solution, Lyris HQ Agency Edition. Announced six months ago, more than 100 companies are taking advantage of this offering which provides enhanced functionality and unique features for agencies; allowing distributed teams to collaborate, manage multiple client campaigns and provide reporting capabilities.

“As a professional services firm that provides customer performance management solutions to our clients, the Lyris HQ Agency Edition is a wonderful offering to help our clients find their best customers. We evaluated many offerings and Lyris HQ was the most flexible, user-friendly offering available,” said Jeff Winsper, president of Winsper.

According to Forrester Research, “interactive marketing is a fragmented discipline in which marketers work with many different vendors to develop and execute marketing programs. But as the number of channels and programs grow, this situation becomes untenable. Today’s interactive marketers have few options as neither enterprise marketing suites nor interactive specialists address their needs. Forrester believes that the time is right for the online marketing suite to emerge.” ¹

“Our email marketing efforts are critical in driving interest in Char-Broil and our products,” said Rob Schwing, senior director of brand marketing, Char-Broil, LLC. “With Lyris, we are looking to leverage Char-Broil’s sizzleonthegrill.com newsletter to reach our existing customer base and personalize information and offers based on the specific interests of our grilling enthusiasts.”

“With Lyris HQ, my statistical backend analysis is so much more comprehensive than with any of the other solutions I've seen,” said Tim Heredia, vice president of marketing and business development, WeddingSolutions.com. “It's helped us refine our messages to be so much more effective.”

Software as a Service Innovation

In 2008, Lyris implemented an agile development environment that allows the company to deliver on changing customer requirements while strengthening the development of and integration across the Lyris HQ platform. This innovative environment enables Lyris to significantly shorten SaaS development cycles -- leading to greater productivity, rapid platform enhancements and improved customer satisfaction.

Recent enhancements to the platform include:

• Rich Internet Application (RIA) user interface
• White labeling support for agencies
• Tighter integration across toolsets within the Lyris HQ platform
• Search engine marketing, Web analytics and email deliverability analytics capabilities
• In-product messaging and alerts
• Lyris HQ Mobile with SMS API and support

Pricing for Lyris HQ starts at $299.00 per user per month. For more information, please visit: http://www.lyris.com.

About Lyris, Inc.

Lyris, Inc. (OTCBB:LYRI) is the online marketing expert delivering the right mix of software technology and industry knowledge to help its customers simplify their marketing efforts and optimize campaign ROI. Through the delivery of the industry’s first on-demand integrated marketing suite, Lyris HQ, and knowledge-sharing community, www.lyrishq.com, to secure and reliable on-premise solutions, including Lyris ListManager, Lyris provides customers the right tools to optimize the management, collaboration and execution of their online and mobile marketing initiatives. These sophisticated, yet easy-to-use tools provide marketers a suite of best-of-breed applications for managing email and mobile marketing campaigns, publishing and managing Web site content, creating landing pages, optimizing Web sites and managing pay per click campaigns. Clients include Nokia, Adobe, PalmSource, Johns Hopkins University and JupiterMedia. For more information, please visit www.lyris.com. The company is based in Emeryville, Calif.

The statements in this news release relating to matters that are not historical facts are forward-looking statements based on management’s beliefs and assumptions using currently available information and expectations as of the date hereof, and are not guarantees of future performance and involve certain risks and uncertainties, including risks and uncertainties detailed from time to time in Lyris Inc.’s filings with the Securities and Exchange Commission available at www.sec.gov. Although management believes that the expectations reflected in such forward-looking statements are reasonable, it cannot give any assurances that these expectations will prove to be correct. Lyris assumes no duty to publicly update or revise any such statements, whether as a result of new information, future events or otherwise.

¹ “Defining The Online Marketing Suite,” Forrester Research, October 17, 2007. (http://www.forrester.com/Research/Document/Excerpt/0,7211,43678,00.html).