SuccessFactors Extends Leadership in EMEA; 287 Percent Revenue Growth in Region, Year to Date

SAN MATEO, Calif.--(BUSINESS WIRE)--SuccessFactors, Inc. (NASDAQ:SFSF), the global leader in on-demand performance and talent management solutions, announced today continued momentum across the EMEA (Europe, Middle East, Africa) region, marked by an impressive financial performance for the second quarter, which ended June 30, 2008. The region has delivered 287 percent revenue growth year to date through June 30, 2008.

“SuccessFactors’ commitment to customer success has enabled the EMEA team to deliver a healthy contribution to the business”

“The strategic investments we’ve made across EMEA are rapidly paying off,” said Lars Dalgaard, founder, president and chief executive officer of SuccessFactors. “My experience of having worked in senior leadership positions at two of the biggest European-based multinationals contributed to the vision for building a workforce business productivity platform, now with 4 million users around the world. As a native European, it makes me extremely proud and excited to see SuccessFactors truly delivering on the promise to help European companies transform their local and global workforces with one unified dashboard, to drive motivation, visibility, execution and retention of top performers in all necessary languages.”

Financial Success

The EMEA region contributed greatly to SuccessFactors’ second quarter, as the company added new customers in nine countries including Hilti in Lichtenstein, TetraPak in Sweden, General Dynamics in Austria, Société Générale and SKF in France, Cable and Wireless in the United Kingdom, Novozymes in Denmark, Kongsberg in Norway, and Navionics in Italy. SuccessFactors’ push into small and mid-sized businesses has also flourished with double-digit wins so far this year, including a financial asset company in South Africa and a supply chain management company based in Sweden.

“SuccessFactors’ commitment to customer success has enabled the EMEA team to deliver a healthy contribution to the business,” said Andy Leaver, vice president of EMEA sales at SuccessFactors. “Our ability to win new business and quickly deploy customers for ongoing success is truly unique but in no way an accident. We have the right people, products and vision to capture the market, so we’re excited to build on this growing momentum.”

Customer Success

In addition to the new customers, SuccessFactors enjoyed a large number of deployments across EMEA, including previously-announced customer successes at Allianz Group, one of the world's leading providers of insurance, banking and asset management; Cadbury Schweppes, one of the largest and oldest confectionery companies, now known as Cadbury plc.; and Nokia Siemens Networks, one of the world's largest network communications companies with 60,000 employees.

SuccessConnect Europe in Paris

In response to our customers across the region, SuccessFactors will host its first European Users Conference – November 17 and 18, 2008 in Paris. The event will feature customer, product and partner presentations, discussions on best practices from experts and insight from SuccessFactors’ executives. More information on this event will be available soon at www.successfactors.com.

The SuccessFactors Performance and Talent Management Suite, which includes Performance Management, Goal Management, 360 Degree Reviews, Succession Management, Compensation Management, Learning and Development, Recruiting Management, Employee Profile, and Analytics and Reporting applications, creates a company-wide network of information related to employee performance, including skill-sets, interests, career aspirations, ability to relocate, experience, languages spoken and more. By providing deep, real-time, company-wide visibility into such critical performance data, companies are able to make better, more informed decisions about how to promote, recruit, compensate, reward and manage their entire employee base.

About SuccessFactors, Inc.

SuccessFactors is one of the fastest growing public software companies and the leading provider of on-demand employee performance and talent management solutions. The company enables organizations of every size, and across every industry and geography, to achieve high-performing workforces through goal alignment and execution, talent development and planning, and pay-for-performance initiatives. From 92 customers and approximately 282,000 end users in 2003 to more than 2,140 customers and 4 million end users today, SuccessFactors' solutions are widely deployed across 60 industries in over 185 countries in 22 languages. Founded in 2001 with offices around the world, the company employs more than 700 people, all passionately focused on revolutionizing the future of work. For more information, visit: http://www.successfactors.com.

“Safe harbor” statement under the Private Securities Litigation Reform Act of 1995:

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are SuccessFactors’ current expectations and beliefs.

These forward-looking statements include statements about future growth in international markets. Factors that could cause actual results to differ materially include: our ability to continue to experience high customer renewal rates; whether customers renew their agreements for additional modules or users; levels of new customers; pricing pressures; the fact that our market is at an early stage of development, and it may not develop as rapidly as we anticipate; competitive factors; outages or security breaches; our ability to develop, and market acceptance of, new services; our ability to manage our growth; difficulty in managing geographically-dispersed operations; and general economic conditions worldwide. If any such risks or uncertainties materialize or if any of the assumptions proves incorrect, our results could differ materially from the results expressed or implied by the forward-looking statements we make.

Further information on these and other factors that could affect our financial results is included in the section entitled “Risk Factors” in our Annual Report on Form 10-K, and as amended on Form 10-K/A, for 2007 and in the reports on Form 10-Q and in other filings we make with the Securities and Exchange Commission from time to time.

These documents are or will be available on the SEC Filings section of the Investor Relations section of our website at www.successfactors.com/investor.

SuccessFactors, Inc. assumes no obligation and does not intend to update these forward-looking statements, except as required by law.